The Pennsylvania State Univ. v. Vintage Brand LLC: How Penn State's Trademark Dispute Could Impact University Licensin

7/21/20269 min read

The litigation between The Pennsylvania State University ("Penn State") and Vintage Brand LLC (“Vintage Brand”) has become one of the most significant trademark disputes in the collegiate licensing industry. The case addresses a question that extends far beyond a single university: Can a company sell apparel featuring historic university logos, names, and imagery without obtaining a license from the school?

The answer has substantial implications for colleges, sports organizations, apparel companies, trademark owners, and consumers. At stake are millions of dollars in licensing revenue and the scope of trademark protection for symbols that may have historical or nostalgic value.

What initially appeared to be a dispute over vintage T-shirts evolved into a broader examination of trademark law, consumer perception, licensing practices, and the distinction between trademarks and ornamental designs. The litigation attracted significant attention because universities and sports organizations have increasingly focused on protecting their trademarks against unauthorized uses of historical logos and imagery. As a result, the Penn State case has become a closely watched test case for the entire collegiate merchandise industry.

What Is The Case About?

The Pennsylvania State Univ. v. Vintage Brand LLC et al., 4:21-cv-01091 (M.D. Pa.) (“Penn State v. Vintage Brand”) is a federal trademark infringement lawsuit filed by Penn State against Vintage Brand LLC and related defendants. Penn State alleged that the defendants sold merchandise featuring Penn State names, logos, seals, and historical imagery without authorization. According to the university, these sales infringed its federally registered trademarks and violated both federal and state trademark laws.

The defendants took a different position. They argued that many of the historical images appearing on the products were derived from old artwork and public-domain materials, and they challenged whether certain university symbols functioned as trademarks when displayed on apparel. The resulting litigation raised important questions about:

  • Trademark infringement

  • Trademark licensing

  • Consumer confusion

  • Ornamental use doctrine

  • The relationship between trademark rights and public-domain artwork

  • University merchandising rights

Universities generate substantial revenue by licensing their names, logos, mascots, and other trademarks to approved manufacturers. A typical licensing arrangement allows a company to:

  • Place a university logo on apparel

  • Produce officially licensed merchandise

  • Market products as authorized goods

In exchange, the manufacturer generally pays royalties and complies with quality-control requirements. Penn State, like many major universities, maintains an extensive trademark licensing program. Vintage Brand's business model differed. The company sold apparel featuring vintage sports imagery and historical logos while maintaining that it was not affiliated with or licensed by the universities whose names, logos, or historical imagery appeared on the merchandise. This distinction became central to the litigation.

Trademark Law Concepts Readers Need to Understand

Before examining the court's decisions, it is useful to understand several trademark principles that played a major role in the case. A trademark is a word, phrase, symbol, design, or combination that identifies the source of goods or services.

The core purpose of trademark law is to prevent consumer confusion regarding who is responsible for a product. Examples include:

  • University logos

  • Corporate names

  • Product brand names

  • Team mascots

  • Distinctive symbols

What Is Trademark Infringement?

Trademark infringement generally occurs when a party uses a protected mark in a way that is likely to cause consumer confusion regarding source, sponsorship, affiliation, or approval. Courts typically examine multiple factors (often referred to as the Lapp factors in the Third Circuit) when evaluating likelihood of confusion. These may include:

  1. Similarity of the marks

  1. Strength of the trademark

  1. Evidence of actual confusion

  1. Marketing channels used

  1. Intent of the alleged infringer

  1. Consumer sophistication

Not every unauthorized use of a trademark automatically constitutes infringement. The context of the use matters.

What Is Ornamental Use?

One of the most important concepts in this case was "ornamental use." A trademark functions as a source identifier when consumers view it as indicating who stands behind the product. An ornamental use is different. For example, a large logo displayed across the front of a shirt may sometimes be viewed primarily as decoration rather than as an indicator of the manufacturer.

The defendants argued that consumers often purchase collegiate apparel because they like the school or the imagery itself, rather than because they believe the university is the source of or sponsor of the product. That argument became a central issue throughout the litigation.

Public Domain vs. Trademark Protection

A common misconception is that artwork entering the public domain automatically eliminates trademark rights. That is not necessarily true. Copyright and trademark law protect different interests. Copyright protects creative expression for a limited duration. Trademark law protects source-identifying symbols and can potentially last indefinitely if properly maintained.

As a result, an image may lose copyright protection while still serving as a protected trademark. This distinction played a significant role in the Penn State litigation.

Procedural History and Major Court Rulings

One of the most closely watched aspects of the case was how the courts addressed the defendants' challenges to Penn State's trademark rights. During the early stages of the litigation, the case generated significant attention among trademark practitioners because it raised important questions about whether certain university logos and historical imagery functioned as trademarks in the context of their use on apparel.

The court examined whether certain Penn State symbols served as source identifiers, or whether consumers viewed them merely as decorative elements associated with the university. In doing so, the court explored the distinction between trademark use and ornamental use, a doctrine that has become increasingly important in disputes involving collegiate merchandise, sports apparel, and nostalgic branding.

Although the court allowed certain challenges to proceed regarding the trademark significance of Penn State's marks, it did not invalidate the university's trademark rights. Instead, the court emphasized that consumer perception would play a critical role in determining whether the marks functioned as trademarks in the marketplace. These early rulings were notable because they suggested that courts may be willing to scrutinize how consumers actually perceive logos and school insignia appearing on apparel.

Following years of discovery, motion practice, and expert testimony, the case ultimately proceeded to a jury trial in federal court. The trial became one of the most closely watched trademark disputes involving collegiate licensing and unauthorized merchandise sales.

In 2024, the jury returned a verdict in favor of Penn State. The jury concluded that Vintage Brand had infringed Penn State's trademarks and rejected several of the defendants' principal defenses. Among other things, the jury reportedly rejected efforts to cancel Penn State's trademark registrations and declined to accept defenses based on nominative fair use and aesthetic functionality.

The verdict represented a significant victory not only for Penn State but also for universities, sports organizations, and other trademark owners that rely on licensing programs to protect and monetize their brands. The jury awarded damages and reinforced the legal framework that allows colleges and universities to control the commercial use of their names, logos, and other brand assets.

Several key developments emerged from the litigation:

  • The court allowed meaningful examination of whether certain university symbols functioned as trademarks on apparel.

  • Consumer perception remained a central issue throughout the case.

  • The jury ultimately found that Penn State's trademarks were protectable and had been infringed.

  • Defendants' challenges to Penn State's trademark registrations were unsuccessful.

  • The verdict reinforced the value and enforceability of collegiate trademark licensing programs.

The litigation did not conclude with the jury's verdict. Following trial, the defendants filed post-trial motions seeking judgment as a matter of law or, alternatively, a new trial. The district court denied those requests and largely upheld the jury's findings, while also addressing issues related to costs, fees, and other post-judgment matters.

The case has since moved to the United States Court of Appeals for the Third Circuit. Appeals and cross-appeals were filed in 2025, and the appellate proceedings have continued into 2026. The participation of multiple amici underscores the broader importance of the issues presented, particularly for universities, trademark owners, apparel manufacturers, and licensing professionals.

As a result, while Penn State obtained a favorable jury verdict, the case remains important to watch. The Third Circuit's eventual decision could further clarify the relationship between trademark rights, ornamental use, historical imagery, and collegiate merchandising, potentially influencing trademark enforcement strategies for years to come.

What Penn State v. Vintage Brand Means for Universities, Businesses, and Trademark Owners
The significance of Penn State v. Vintage Brand extends well beyond the parties involved in the litigation. The case touches on fundamental questions about trademark ownership, licensing rights, consumer perception, and the commercial use of historical logos and branding. As a result, the case has been closely followed by universities, apparel companies, e-commerce sellers, sports organizations, and trademark practitioners.

For universities and other institutions that rely on trademark licensing programs, the case was viewed as an important test of the strength of trademark protection for longstanding university brand assets in the marketplace. A ruling broadly favoring Vintage Brand could have weakened licensing programs and raised questions about the extent to which schools can control the use of their names, logos, mascots, and historical imagery on merchandise. The jury's verdict in favor of Penn State provided reassurance that federal trademark law continues to offer significant protection against unauthorized commercial uses of university marks.

The case also serves as a cautionary tale for businesses that sell branded merchandise. Many apparel companies, print-on-demand sellers, and online retailers assume that historical logos are automatically free to use or that public-domain artwork eliminates trademark concerns. The litigation highlights why those assumptions can be risky. Even when copyright protection has expired, trademark rights may remain enforceable if the logo, symbol, or design continues to function as a source identifier. More broadly, the dispute sits at the intersection of several important trademark doctrines, including:

  • Ornamentality and decorative use

  • Source identification

  • Consumer perception and likelihood of confusion

  • Merchandising rights

  • Trademark licensing and quality control

  • The relationship between copyright expiration and trademark protection

The appellate proceedings may further shape how courts evaluate these issues in future disputes involving universities, professional sports teams, historical logos, vintage merchandise sellers, and print-on-demand marketplaces. Trademark practitioners are watching closely because the ultimate outcome could provide additional guidance on how courts distinguish between branding and decoration when trademarks appear on apparel and other consumer products. The litigation also helps dispel several common misconceptions about trademark law:

  • Public-domain status does not necessarily eliminate trademark protection: A design may no longer be protected by copyright while still functioning as a valid and enforceable trademark.

  • Consumers do not need to believe a university manufactured a product for trademark liability to exist: Trademark law also protects against confusion regarding sponsorship, affiliation, endorsement, or authorization.

  • Disclaimers are not a guaranteed defense: Courts typically evaluate the overall marketplace context and consumer perception rather than relying solely on disclaimer language.

  • A logo does not lose trademark protection simply because it is old or "vintage.": The key question is whether consumers continue to associate the mark with a particular source.

For trademark owners, the case reinforces several best practices:

  • Maintain and update trademark registrations.

  • Monitor unauthorized third-party uses of important marks.

  • Consistently enforce trademark rights to preserve brand strength.

  • Maintain clear licensing and quality-control programs.

  • Educate consumers about what constitutes officially licensed merchandise.

Businesses selling branded merchandise can also draw valuable lessons from the litigation. Before launching products featuring school names, team logos, mascots, or historical branding, companies should:

  • Conduct trademark clearance searches.

  • Evaluate both copyright and trademark risks.

  • Review applicable licensing requirements.

  • Consider how consumers are likely to perceive the use of the mark.

  • Seek legal guidance when using historical or nostalgic imagery associated with well-known brands.

Ultimately, one of the most important lessons from the litigation discussed in this article is that trademark rights often extend further than businesses expect. A careful legal review before launching a product is almost always less costly than defending a trademark infringement lawsuit after the fact.

The Continuing Impact of Penn State v. Vintage Brand

This case is far more than a dispute over college apparel. The case has become one of the most significant trademark battles involving university licensing, historical logos, and branded merchandise in recent years. Although the ongoing litigation has centered on Penn State's trademarks, the legal issues extend to universities, sports organizations, apparel companies, e-commerce sellers, and trademark owners across a wide range of industries.

The district court subsequently denied post-trial motions and allowed the verdict to stand, with a federal jury finding trademark infringement and rejecting several of the defendants' key defenses. The district court subsequently upheld that result, reinforcing the strength of trademark rights in the collegiate merchandising context. At the same time, the case continues to attract attention because it raises broader questions about ornamentality, consumer perception, trademark licensing, and the extent to which historical imagery may remain protected under trademark law.

As the appeal proceeds before the Third Circuit, trademark owners and merchandise sellers alike will be watching closely. The appellate court's eventual decision may provide important guidance on the intersection of trademark protection, public-domain materials, and branded merchandise.

If you’re interested in learning more about this topic or how the principles discussed in this article may impact your business, don’t hesitate to contact us at info@patentxl.com or at +1(610)871-2024.

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