Mandatory Name Procedures

To avoid possible claims that they were unfairly using another business - name, a wide range of local businesses could (until quite recently) feel relatively secure if they checked for possible name conflicts in state and local business directories and Yellow Pages, with no need to do a more formal state or federal trademark search. But today, the rules of the game are dramatically different. The reason is that in the world of the Internet, mail order and rapidly growing national chains, the idea of "local" isn't what it used to be.

Today, even modest-sized businesses must consider taking name protection steps that used to be the sole concern of larger, more expansive enterprises. For example, you might think you have no problem if you're choosing a name for a shoe store in a small town. Think again. If you happen to pick a name that's similar to a shoe store that sells on the Internet, you are very likely to be accused of trademark infringement and probably forced to change your business name, even though the online store is located 2500 miles away.

Excerpted from the "Legal Guide for Starting and Running a Small Business" by Fred S. Steingold
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