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Intellectual Property

Mar. 13, 2025

Supreme Court restricts Lanham Act profits awards

In Dewberry Group Inc. v. Dewberry Engineers, Inc., 604 U.S. _, the Supreme Court reversed a $43 million Lanham Act profits award, ruling that only the named defendant's profits, not its affiliates', could be considered, while leaving key questions about the "just-sum" provision and economic realities in IP cases unresolved.

Scott R. Commerson

Partner and Attorney , Davis Wright Tremaine LLP

Brand protection

Phone: (213) 633-6800

Email: scottcommerson@dwt.com

Supreme Court restricts Lanham Act profits awards
Shutterstock

In Dewberry Group Inc. v. Dewberry Engineers, Inc., 604 U.S. _, the Supreme Court vacated and remanded a $43 million profits award under the Lanham Act. The Court held that the lower courts erred in considering the profits of a defendant's affiliates - which were not named defendants in the action - in calculating the "defendant's profits" under Section 1117(a). While the Court's decision was narrow and expressly left open a number of questio...

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