SB 23
Department of Legislative Services
Maryland General Assembly
2020 Session
FISCAL AND POLICY NOTE
Third Reader - Revised
Senate Bill 23 (Chair, Finance Committee)(By Request - Departmental -
Secretary of State)
Finance Economic Matters
Business Regulation - Trademarks, Service Marks, and Trade Names -
Registration
This departmental bill makes several changes to provisions governing the registration of
trademarks, service marks, and trade names, including (1) modifying definitions;
(2) altering the classes of goods and services for which a person may register a mark;
(3) generally prohibiting registration of a mark that is primarily an individual’s name;
(4) specifying application and renewal requirements; (5) altering the contents of a
certificate of registration; (6) modifying renewal notice and application requirements; and
(7) authorizing an officer of an assignor to submit an instrument of assignment for the
registration of a mark.
Fiscal Summary
State Effect: None. The bill’s changes are generally procedural and technical and can be
handled with existing budgeted resources.
Local Effect: None.
Small Business Effect: The Secretary of State (SOS) has determined that this bill has
minimal or no impact on small business (attached). The Department of Legislative Services
concurs with this assessment.
 Analysis
Bill Summary/Current Law:
Definitions
Applicant: Under current law, “applicant” means an assignee, a legal representative, or a
successor of a person who submits an application for registration of a mark. Under the bill,
“applicant” is modified to include the owner of a mark, including an individual, an
organization, or a company who submits an application for registration of the mark.
Mark: Under current law, “mark” means a name, symbol, word, or combination of two or more
of these that a person uses to distinguish goods that the person makes or sells or services that the
person performs, as specified. The bill expands the definition of “mark” to include a logo, slogan
or tag line, program name, or brand name that is different from the business name.
Prohibited Registrations – Individual’s Name
Under current law, a person generally may not register a mark that is primarily merely a
surname, with limited exception. The bill expands this general prohibition to include a
mark that is primarily an individual’s name.
Classes of Goods and Services
Current law establishes 52 general classes of goods and 8 general classes of services,
including miscellaneous classifications, for purposes of registering trademarks and service
marks. Classification does not limit or extend the rights of an applicant or registrant. The
bill updates the list of classifications by repealing 15 goods classifications and establishing
15 new goods classifications, as discussed in greater detail in the following section. In
addition, the bill establishes 25 new service classifications, including employment and
employee benefits, hospitality and lodging, research and development, fitness and beauty,
legal and consulting, and cannabis services, among others.
Application for Registration
Under current law, an applicant for registration of a mark must submit to SOS an
application on a form provided by SOS and three specimens or reproductions of the mark
in addition to a $50 fee. An application must be signed under oath. The application form
must require (1) the name and business address of the applicant; (2) for an applicant that is
a corporation, the state of incorporation; (3) the goods or services with which the applicant
uses the mark; (4) the way the applicant uses the mark with the goods or services; (5) the
class to which the goods or services belong; (6) the dates when the applicant or applicant’s
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predecessor first used the mark anywhere and first used the mark in the State; and (7) a
specified statement.
The bill specifies that (1) the original signed application must be submitted to SOS; (2) an
applicant for registration of a mark must submit to SOS three different specimens or
reproductions of the mark as used; and (3) a specimen or reproduction may not include a
business paper, including letterhead, a business card, or an envelope. In addition, the bill
makes clarifying and other revisions to application form requirements.
Certificate of Registration – Contents
The bill repeals a requirement that a certificate of registration include a reproduction of the
mark and instead requires a certificate to include a full description of the mark.
Renewal Notice and Application
Under current law, SOS must mail a renewal application and specified notice to a registrant
within one year before registration of a mark expires. To renew a registration, a registrant
must submit a renewal application and pay a $50 renewal fee to SOS, as specified.
The bill requires the renewal notice to include instructions on how to access the renewal
application form online. In addition, the bill requires a registrant seeking renewal to submit
three different specimens or reproductions of the mark being used and specifies that a
specimen or reproduction may not include a business paper, including letterhead, a
business card, or an envelope.
Assignment
Under current law, assignment of a mark and its registration must be by a written, signed
instrument. A person may record the assignment of registration of a mark by submitting
the instrument of assignment and paying a $10 fee to SOS. The bill authorizes an officer
of the assignor to submit the instrument of assignment to SOS.
Background: According to SOS, as of June 2019, there were over 7,200 trademarks and
service marks issued. Of these, 2,000 (roughly 28%) fall under miscellaneous goods and
services classifications, with a majority of new service mark registrations classified as
miscellaneous.
SOS advises that it has begun adding product descriptions to class titles for goods classified
as miscellaneous. The 15 most common descriptions identified by SOS are shown in
Exhibit 1. Under the bill, these categories are established as classes of goods.
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 Exhibit 1
Most Common Descriptions of Miscellaneous Goods
Animal products Music and audio Candles and essential oils
Computers and peripherals Applications and software Flowers and plants
Cannabis Novelties and souvenirs Small and large appliances
Boats and marine items Educational materials Eyewear
Home goods Office goods Security devices
Sources: Secretary of State; Department of Legislative Services
In addition, SOS identifies 15 classes of goods under which fewer than 10 marks are
registered, as shown in Exhibit 2. Under the bill, these classifications are repealed.
Exhibit 2
Classes of Goods with Fewer than 10 Registered Marks
Class Number of Marks Registered
Receptacles 9
Abrasives and polishing materials 3
Adhesives 1
Cordage 2
Inks and inking materials 2
Metals and metal castings and forgings 3
Paints and painters’ materials 6
Tobacco products 3
Linoleum and oiled cloth 1
Laundry appliances and machines 0
Locks and safes 4
Brooms, brushes, and dusters 5
Filters and refrigerators 2
Canes, parasols, and umbrellas 9
Thread and yarn 5
Sources: Secretary of State; Department of Legislative Services
SB 23/ Page 4
 Additional Information
Prior Introductions: None.
Designated Cross File: None.
Information Source(s): Secretary of State; Department of Legislative Services
Fiscal Note History: First Reader - January 10, 2020
an/mcr Third Reader - March 11, 2020
Revised - Amendment(s) - March 11, 2020
Analysis by: Elizabeth J. Allison Direct Inquiries to:
(410) 946-5510
(301) 970-5510
SB 23/ Page 5
 ANALYSIS OF ECONOMIC IMPACT ON SMALL
BUSINESSES
TITLE OF BILL: Business Regulation – Trademarks, Service Marks, and Trade
Names – Registration
BILL NUMBER: Senate Bill 23
PREPARED BY: Office of the Secretary of State
PART A. ECONOMIC IMPACT RATING
This agency estimates that the proposed bill:
_X_ WILL HAVE MINIMAL OR NO ECONOMIC IMPACT ON MARYLAND SMALL
BUSINESS
OR
WILL HAVE MEANINGFUL ECONOMIC IMPACT ON MARYLAND SMALL
BUSINESSES
PART B. ECONOMIC IMPACT ANALYSIS
SB 23/ Page 6


Statutes affected:
Text - First - Business Regulation - Trademarks, Service Marks, and Trade Names - Registration: 1-411 Business Regulation, 1-401 Business Regulation, 1-404 Business Regulation, 1-405 Business Regulation, 1-406 Business Regulation, 1-409 Business Regulation, 1-410 Business Regulation, 1-411 Business Regulation
Text - Third - Business Regulation - Trademarks, Service Marks, and Trade Names - Registration: 1-411 Business Regulation, 1-401 Business Regulation, 1-404 Business Regulation, 1-405 Business Regulation, 1-406 Business Regulation, 1-409 Business Regulation, 1-410 Business Regulation, 1-411 Business Regulation