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Buzz Off Insect Shield, LLC v. SC Johnson & Son

Citations: 606 F. Supp. 2d 571; 2009 U.S. Dist. LEXIS 17530; 2009 WL 618246Docket: 1:05CV363, 1:05CV739

Court: District Court, M.D. North Carolina; March 6, 2009; Federal District Court

Narrative Opinion Summary

The case involves a trademark infringement dispute where SCJ sued BOIS for violations under the Lanham Act, false advertising, and unfair trade practices. Initially filed in Illinois, the case was consolidated in this district. In pre-trial motions, SCJ's false advertising claims and unfair trade practices were allowed to proceed, while its OFF! mark infringement claim was dismissed. A jury trial resulted in a verdict for SCJ on the Maryed trademark infringement, awarding $280,000 in damages, but found in favor of BOIS on false advertising and state law claims. SCJ sought a new trial on false advertising, while BOIS filed for judgment as a matter of law, which the court denied, affirming the jury's findings. The court also denied enhanced damages and attorneys' fees due to lack of bad faith or malicious conduct by BOIS. SCJ was granted a nationwide injunction, restricting BOIS's use of the 'BUZZ OFF' mark, acknowledging SCJ's nationwide common law rights. The court balanced equitable factors, finding sufficient evidence for injury under the reverse confusion theory, and denied further motions from both parties, including BOIS's conditional new trial request.

Legal Issues Addressed

Awarding Damages under the Lanham Act

Application: The court upheld the jury's damages award of $280,000 for willful infringement, considering it reasonable based on expert testimony.

Reasoning: The jury awarded SCJ $280,000 in actual damages from the infringement while awarding $0 for the profits earned by BOIS from the infringement.

False Advertising Claims

Application: The jury found no deceptive advertising by the defendant, siding with the defendant on the false advertising claim.

Reasoning: After a four-week jury trial, the jury ruled in favor of BOIS on the false advertising claim, finding no deceptive advertising by BOIS.

Injunctions and Common Law Trademark Rights

Application: The court granted a nationwide injunction against the defendant's use of the mark, recognizing the plaintiff's nationwide common law rights.

Reasoning: The Court determined that SCJ possesses nationwide common law rights in the 'Maryed' mark due to extensive sales, advertising, and promotions across all fifty states.

Motion for Judgment as a Matter of Law

Application: The court denied the defendant's motion for judgment as a matter of law on the trademark infringement claim, finding substantial evidence supporting the jury's conclusions.

Reasoning: The Court finds substantial evidence supporting the jury's conclusions regarding SCJ's common law trademark rights acquired from Maryed International.

Trademark Infringement under the Lanham Act

Application: The jury ruled in favor of the plaintiff regarding the trademark infringement claim, finding that the defendant willfully infringed the Maryed mark.

Reasoning: The jury found in favor of SCJ, recognizing the Maryed mark as valid and concluding that BOIS willfully infringed it, awarding SCJ $280,000 in damages.

Unfair and Deceptive Trade Practices

Application: The jury concluded that the defendant's actions did not constitute unfair and deceptive trade practices.

Reasoning: For the state law claims, the jury sided with BOIS, finding no grounds for unfair and deceptive trade practices based on false advertising.

Willfulness in Trademark Infringement

Application: The jury found the defendant's infringement willful, supported by evidence of awareness and use of a confusingly similar mark.

Reasoning: Despite BOIS's contention that the evidence did not support a finding of willfulness, the jury had enough evidence to conclude that BOIS was aware of the Maryed mark and deliberately used a confusingly similar mark.