This week’s BL Business Branding Newsletter takes a look at an unexpected use of trademark law, as Capital One recently filed a lawsuit against alleged operators of large-scale scam campaigns for trademark infringement. While trademark disputes often involve competing brands battling over logos, slogans, or product names, this case highlights how trademark protection can also be used as a tool against fraud and protect consumer trust.
According to the lawsuit filed in the U.S. District Court for the Eastern District of Virginia, Capital One alleges that unknown individuals and entities operated robocall and telemarketing schemes using the Capital One and Discover trademarks to impersonate legitimate representatives of the bank. The complaint alleges that the scammers used automated calls to warn consumers about suspicious charges and prompt them to verify transactions or provide sensitive account information.
Rather than relying solely on traditional fraud claims, Capital One is pursuing creative trademark infringement and false advertising allegations as part of its legal strategy. The bank reportedly believes these claims may provide broader discovery tools to help uncover the identities and infrastructure behind the scam operations. According to Capital One representatives, the lawsuit is intended not only to seek damages, but also to disrupt the networks enabling fraudulent activity and deter future scams. Using trademark infringement to fight business fraud is a new and creative approach.
The lawsuit comes as imposter scams continue to rise nationwide and reflects a growing trend of private companies using civil litigation to pursue scammers instead of targeting them through law enforcement. Major companies like Microsoft, Google, Amazon, and Meta have increasingly turned to private lawsuits to stop online scams that misuse their brands and platforms.
What Can Businesses Learn From This?
Trademark protection is about more than preventing competitors from using similar names or logos. A trademark can also help businesses strategically protect consumer trust, preserve brand reputation, and respond to fraudulent activity that exploits a company’s identity. Trademark law can become a valuable and creative enforcement tool when scammers attempt to profit from the credibility and recognition a business has built over time.
Businesses should actively monitor how their brands are being used online and in the marketplace, including unauthorized communications, impersonation schemes, and fraudulent marketing activity. Registering trademarks early, maintaining strong enforcement practices, and responding quickly to misuse can help companies protect both their intellectual property and their customers. This creative strategy can aggressively combine with local court procedures to unmask fraudsters and protect innocent consumer.
Have questions on how to protect your company’s brand? Contact our BL Trademark Team by reaching out to Seth Berenzweig at sberenzweig@berenzweiglaw.com.