AresCoin Exchange Subject of Lawsuit with Starlight Capital for Copying, Trademark Infringement
Before we commence, these are key points about the suit.
- Its between Ares Management LLC (plaintiff) and Starlight Capital Group (defendant)
- Starlight Capital Group is allegedly starting a new cryptocurrency exchange, ARESCOIN, and other ventures with “Ares“ in the names
- Ares Management LLC is claiming that they used their name, color patterns and fonts
- The location of Nicolas Flint the founder of the platform is not known
Ares Management LLC v. Starlight Capital Group, Inc., et al., Case No. Civ-1:19-cv-00894-RBJ (D. Colo. March 25, 2019) [NMR]
A Company brand is what comes to mind when we think about the world's biggest companies, notably, it's name or logo because they invest a lot of funds into their branding.
These companies maintain the uniqueness of their brands by trademarking, and this gives the company a right to persecute if other parties use the Trademarked brand for any other reasons.
Infringement of trademark laws is the basis of this lawsuit, as a startup cryptocurrency exchange platform is being sued by another financial institution for defaulting on trademark laws, unfair competition as well as other violations.
THE PLAINTIFF'S CLAIM
Ares Management LLC (plaintiff) who is an international financial institution with claims of about 131 Billion USD worth of assets being managed by them, has said that they have used the name ‘ARES’ both as its name and logo, for as far back as 1997, for all the services offered by them.
They also stated that they have not less than 105 popular marks and brands (popularity of a brand is subject to a lot of Factors which depends on public opinions) that use the same name ‘ARES’.
THE DEFENDANT'S ALLEGATIONS
Starlight Capital Group (defendant) which is a new digital asset platform is said to launch a crypto-trading platform dubbed ‘ARESCOIN’ and other ventures with Ares in the names.
Ares Management LLC also claims that the defendants have used the name ‘ARES’ in the website name of ventures under them.
TRADEMARK INFRINGEMENT FACTORS
In suing for trademark Infringement, one key factor is if the defendant is using your mark or name “in connection with goods and/or services in a manner that is likely to cause confusion, deception, or mistake about the source of the goods and/or services.” and makes the potential customers unable to tell the exact company they are using its services.
The reason why a potential customer may not know the source company is for example, if as the plaintiff has stated, the two logos or names of the companies are similar.
THE PLAINTIFF'S EVIDENCE
To buttress their claim they showed screenshots of Starlight Capital Group’s website, including :
As well as screenshots from the websites using Ares in its domain name.
The main issue Ares Management LLC is prosecuting for is that Starlight Capital Group used the same color patterns, writing style as well as the name in the ARESCOIN mark.
The case is just at its genesis, and there are still issues, like where Nicolas Flint the founder of the platform and the sole human defendant is presently located.
So there is still some time for Starlight Capital Group to get prepared for their defense in the Trademark suit against them.
Although it will be interesting to see their response, the first amendments arguments and fair use arguments would not likely apply.