What does a fanciful trademark refer to?

A fanciful trademark is defined as a unique and invented word that is specifically created for the purpose of identifying and distinguishing products or services in the marketplace. Such trademarks are typically not derived from any existing words, thus they have no existing meaning outside of the context of the brand. This creativity makes them inherently distinctive, which is an essential characteristic for achieving strong trademark protection.

For example, companies like "Kodak" or "Xerox" use terms that have no meaning before they were associated with their products, making them prime examples of fanciful marks. These types of trademarks are looked upon favorably in the trademark registration process because they are less likely to face confusion with existing marks and embody a high level of originality.

In contrast, other types of trademarks such as descriptive marks or commonly used terms do not have the same level of protection because they either describe the goods and services or are prevalent in the industry, which makes them less distinctive. Thus, the choice highlighting a unique and invented word directly aligns with the legal definition of a fanciful trademark.