Ninth Circuit Rules NFTs Eligible for Trademark Protection, Yuga Labs Case Returns for Trial

The Ninth Circuit's ruling reaffirms NFTs as protectable trademarks, sending the case back to trial to resolve consumer confusion claims.

APE

Summary

The Ninth Circuit Court of Appeals has overturned a $9 million judgment in favor of Yuga Labs, ruling that the question of consumer confusion in trademark infringement must be decided by a jury. The court confirmed that NFTs are protectable trademarks under the Lanham Act, but remanded the case for trial regarding claims against Ryder Ripps and Jeremy Cahen. This ruling is a significant development in the legal treatment of NFTs and trademark rights.

Terms & Concepts
  • NFTs: Non-fungible tokens, unique digital assets verified using blockchain technology, representing ownership of specific items or content.
  • trademark protection: Legal protection granted to distinctive signs, logos, or symbols that identify goods or services, preventing unauthorized use by others.
  • Lanham Act: A U.S. federal statute that regulates trademarks, service marks, and unfair competition, providing a framework for trademark protection.