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Published on Mar 1, 2009
A wave of trademark infringement bounty-type actions has started because of the $1,000,000 in statutory damages without any need to show actual damages; this has encouraged lawyers to create infringement lawsuits by hiring investigators and paralegals to find possible infringers for the attorney to first demand money (such as $5,000, $10,000 or $15,000), and if not paid, then to sue for $1,000,000 or more. Defendants believe the demands and lawsuits are illegal, unethical and frivolous, the courts have not agreed to this characterization so far.