NIGHTS AT LAS VEGAS, a Nevada real estate management company, has sued mega-developer Donald Trump, and others, for $4 billion in US District Court in Nevada. The plaintiff seeks $1 billion in compensatory damages and $3 billion in punitive damages. The controversy stems from plaintiff’s allegations that Trump is not allowing them to use the registered, and very valuable, trademark “Trump” in their advertising and marketing to get business from condo rentals, from which the plaintiff derives income. This marketing includes online sites like Travelocity, Expedia, and Orbitz. Plaintiff says these portals have exclusive deals with Trump companies, thereby foreclosing their ability to list and market those same Trump properties on those same sites.
Here’s the lesson: when you plan to do business with anyone, make sure you have the right to use any valuable trademarks for marketing and advertising purposes. And hire a good contract lawyer.
For full details on the lawsuit read the Complaint here. [pdf]
Letter to plaintiff’s attorney, dated January 22, 2008, giving some insight into how Trump’s legal team sees things.
