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OCR Page 1 of 741
EXECUTIVE OFFICE OF THE PRESIDENT
July
bureau OF THE budget
HARRE NARA
WASHINGTON, D.C.
JUL 3 1946
My dear Mr. Latta:
On June 29, 1946, you advised this office that H. R. 1654, "To
provide for the registration and protection of trade-marks used in com-
merce, to carry out the provisions of certain international conventions,
and for other purposes," had been received at the White House and re-
quested reports and recommendations as to the approval of the bill.
The bill codifies and coordinates existing trade-mark law now
scattered through a number of different statutes. It also makes certain
substantive changes in existing law. The most important of these changes
involve (1) the extending of the right of registration to certain descrip-
tive marks, service marks, and certification marks, none of which are
registerable under existing law; (2) liberalizing the provisions for
assignment of marks and the simultaneous use thereof by more than one
producer by permitting assignment of trade-marks with the good will but
independent of the transfer of the business itself, and by authorizing
the use of a mark by others if the registrant possesses legitimate power
to control the nature and quality of the goods or services in connection
with which the mark is used; and (3) extending the rights obtained by
registration by making the exclusive right to use a mark incontestable
under certain conditions.
A facsimile of the enrolled enactment has been referred to the
Departments of State, Justice, and Commerce, and the United States Tariff
Commission, and their replies are attached. The Departments of Justice
and Commerce interpose no objection to the approval of the bill. The
State Department and the Tariff Commission point out certain objectionable
features of the measure, but do not recommend, on that account, that the
bill be disapproved.
The State Department points out that the measure contains certain
features which may encourage the use of trade-marks as a means of effect-
ing private restrictive agreements and, therefore, compromise to some
extent the declared policy of the United States which seeks an elimination
of private restrictions in international trade. It concludes, however,
that, in its opinion, the enactment is directed primarily toward the
field of domestic activity, and because the Department's objections arise
principally on the incidental international consequences of such activity,
it does not recommend that the bill be disapproved.
I recommend that the bill be approved.
Very truly yours,
Mr. M. C. Latta,
The White House.
Acting Director.
Enclosures.
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