A trade dress violation is an intellectual property issue because it can lead to consumer confusion. When a product goes to market, it has packaging, labeling and other distinct features that “dress it up” for sale. In the modern era, trade dress can also include graphics, colors, shapes, sizes, textures and much more.
All of this can go beyond the actual product itself. These are defining elements that help to identify that product to consumers.
For example, many companies that sell whiskey or bourbon have bottles of a unique shape, even though they are all the same size, such as containing 750 mL. But the shape of the bottle means that a consumer can instantly tell which brand and style they are purchasing. If another company made a similar product and copied the bottle design, it could be trade dress infringement.
Misleading consumers
The main issue is that mimicking another product can mislead consumers. Even if the label clearly states that the product is made by a different company, and even if it has its own unique name, logo and other identifying details, similar packaging can cause confusion.
This, in turn, can cost the original company in sales. Consumers may believe that they are buying an authentic product and accidentally buy something else entirely. The company doing the mimicking is illegally profiting off of the good name and reputation of the company that they have copied.
These types of cases can get very complicated, especially when the second company argues that the design is not actually unique and that no intellectual property violation has occurred. To resolve these disputes, it can help to work with an experienced law firm.