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While I’m not an attorney, I have been a TM para for over a decade. 1. They can file for the mark but no guarantee it will register as an intervening application that is closely related to the mark may have been filed that would then prohibit your client from registering. 2. Im not sure what you mean by this but I don’t know that there is any protection from owner. 3. If they let the registration lapse, they’re likely not using the mark. If there is use in the marketplace, it may be third party use or they are phasing out use of the mark which is why they let it lapse. If they are phasing it out, they likely are not going to want to expend resources initiating an infringement claim against your client. Are you sure the mark is lapsed? Make sure the grace period deadline has also passed for any maintenance filings.