Reference no: EM133855011

Question

XYZ Co. can assert several defenses against ABC Inc.'s trademark infringement lawsuit. Here are the primary defenses that XYZ should consider: Laches: This defense is based on the idea that ABC Inc. unreasonably delayed taking legal action against XYZ, and as a result, XYZ suffered prejudice. Since ABC waited three years after sending the initial letter to file a lawsuit, XYZ can argue that this delay was unreasonable and that they relied on ABC's inaction to their detriment by investing significant sums in promoting their brand. Acquiescence: This defense is similar to laches but focuses more on ABC's conduct that might have led XYZ to believe that ABC was not going to enforce its trademark rights. By not taking immediate legal action and allowing XYZ to continue its business operations, ABC may have implicitly consented to XYZ's use of the mark. Estoppel: XYZ can argue that ABC's initial communication and subsequent inaction led XYZ to believe that there was no issue with their use of the mark. As a result, XYZ made business decisions based on this belief, and it would be unfair to allow ABC to now assert its rights. These defenses focus on the delay and the actions (or inactions) of ABC Inc. that may have misled XYZ Co. into believing that their use of the mark was acceptable. Each defense would need to be supported by evidence showing how XYZ relied on ABC's conduct and how they were prejudiced by the delay in legal action.