Klemchuk Kubasta Senior Partner to Speak at State Bar

Gray Market Goods Form Gray Area, says Kelly Kubasta

Kelly Kubasta, co-founder and senior partner of the full-service intellectual property (IP) law firm, Klemchuk Kubasta LLP (KK LLP), will speak on March 23 at the Advanced IP Conference for the IP Section of the State Bar. His presentation, “How Costco and its Progeny Affect the First Sale Doctrine - Based on Where Goods Are Made and Sold,” will focus on the relationship between gray market goods and copyright laws.

The gray market refers to the flow of goods through distribution channels other than those authorized or intended by the manufacturer or producer. A gray market typically occurs when the price of an item is significantly higher in one country than another.

“Unlike black market goods, which we are more familiar with, gray market goods are legal,” said Kubasta. “Gray market goods, also known as parallel imports, are genuine goods, but are imported into the United States without the consent of the intellectual property owner.”

The presentation will cite various court cases that delve into the legal ramifications of gray market goods with respect to U.S. copyright law and the First Sale Doctrine. Kubasta suggests that while public policy may encourage or discourage a gray market, many times these goods lead to increased competition, therefore lowering prices for consumers.

“Intellectual property owners enjoy decreased profit margins and may therefore reduce investment in development of new intellectual property,” said Kubasta. “Moreover, gray market goods may actually decrease the value of existing intellectual property by tarnishing the reputation and/or goodwill thereof.”

Additional information about the firm and its attorneys may be found at www.klemchuk.com.

About the Firm:

Klemchuk LLP is a litigation, intellectual property, transactional, and international business law firm dedicated to protecting innovation. The firm provides tailored legal solutions to industries including software, technology, retail, real estate, consumer goods, ecommerce, telecommunications, restaurant, energy, media, and professional services. The firm focuses on serving mid-market companies seeking long-term, value-added relationships with a law firm. Learn more about experiencing law practiced differently and our local counsel practice.

The firm publishes Intellectual Property Trends (latest developments in IP law), Conversations with Innovators (interviews with thought leaders), Leaders in Law (insights from law leaders), Culture Counts (thoughts on law firm culture and business), and Legal Insights (in-depth analysis of IP, litigation, transactional, and international law).

NewsChelsea Green