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Alibaba seller can’t recover fees in 'Schedule A' case after trademark owner drops infringement claims

By Melissa Ritti ( October 8, 2024, 19:32 GMT | Insight) -- Allegations by Inhale International that a trademark owner’s lawsuit qualifies as exceptional under the Lanham Act’s fee-shifting provision were properly rejected, a US appellate panel ruled yesterday. “Schedule A” trademark litigation against sellers on third-party marketplaces like Alibaba and Amazon is on track to reach an all-time high later this year. The dispute sheds light on the high costs associated with defending against — and prosecuting — online counterfeiting.Inhale International, a seller on the Chinese-owned online marketplace Alibaba, saw its request for reimbursement of attorney’s fees it expended defending trademark counterfeiting claims denied for a second time....

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