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Clothe You Inc

Question 49

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Clothe You Inc.was incorporated as a nonprofit organization that gave away secondhand clothes to homeless persons.In order to pay overhead and administration costs,Clothe You Inc.also sold the secondhand clothes to any interested individuals who did not qualify as homeless.One year after its formation,Clothe Me Inc.was incorporated in the same state.Clothe Me Inc.was a consignment shop that sold its secondhand clothes cheaply.Clothe Me Inc.ran an aggressive print advertising campaign,marketing its clothes "to everyone,for every reason,for practically no cost." After this campaign,Clothe You Inc.discovered that people,especially homeless individuals,were confusing the two organizations.What legal action,if any,can be taken by Clothe You Inc.?

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