Interlego A.G. v. Leslie-Henry Co.

214 F. Supp. 238, 136 U.S.P.Q. (BNA) 601, 1963 U.S. Dist. LEXIS 10131
District Court, M.D. Pennsylvania·Decided February 16, 1963·No. Civ. 7660·Published·Cited by 5 cases

Opinion

SHERIDAN, Chief Judge.

This is a motion by plaintiff to enjoin defendants, pendente lite, from engaging in certain alleged practices of unfair competition.

Plaintiff is a Swiss corporation doing business in Zug, Switzerland. Defendants are New York corporations doing business in Wilkes-Barre and Kingston, Luzerne County, Pennsylvania. Under an agreement, dated April 21,1961, plaintiff gave to Shwayder Bros., Inc., Denver, Colorado, a license to manufacture and sell toy building bricks in the United States. Under an agreement, dated April 15, 1961, Sven Willumsen, a Denmark toy manufacturer, gave defendants a license to manufacture and sell toy building bricks in the United States.

The building bricks manufactured by plaintiff’s licensee and by defendants are so made that they will lock together without the use of adhesive. The locking device permits a child to avoid accidental demolition of his structure, while deliberate unlocking is quite easy.

On April 18, 1962, the plaintiff filed a complaint which alleged patent infringement, unfair competition, and trademark infringement. Count I alleges that defendants are infringing plaintiff’s Letters Patent by making, using and selling toy plastic building brick sets and sets of individual toy building elements embodying plaintiff’s patented invention. Count II alleges that defendants are engaging in unfair competition in attempting to benefit from plaintiff’s good will and advertising by (a) marketing toy plastic building bricks of the same colors and dimensions as plaintiff’s, and which are completely interchangeable with plaintiff’s, with the result that defendants unfairly benefit from the wide *240 commercial acceptance and advertising of plaintiff’s product, and there is confusion in the trade; (b) offering its product in a box confusingly similar to plaintiff’s, and by employing the trademark LINO, which is similar to plaintiff’s trademark LEGO; (c) advertising its bricks as the LINO METHOD, whereas, plaintiff’s product has been associated with the term- LEGO SYSTEM. Count III alleges trademark infringement in that defendants’ trademark LINO is confusingly similar to plaintiff’s registered trademark LEGO because the two marks are being used on goods of identical descriptive properties.

The plaintiff does not seek injunctive relief for the patent and trademark infringement allegations in Counts I and III, respectively, and has indicated its willingness to await trial on the merits of these matters.

Plaintiff’s motion is directed to Count II of the complaint since plaintiff seeks to restrain defendants from:

“1. The advertising or other promotion or the manufacture, use or sale of toy plastic building brick which are dimensionally interchangeable with the Lego product of plaintiff’s licensee. Interchangeability results from a brick having a height of another dimension of %" and a third dimension of BAe" multiplied by a factor of from 1 to 4;

“2. The conjoint use of LINO and METHOD as trade marks or in the advertising or other promotion of toy plastic building brick;

“3. The use of LINO as a trade mark or in the advertising or other promotion of toy plastic building brick; and

“4. Reference to the Danish origin of the product in advertising or other promotion of a toy building brick.”

In its motion the plaintiff does not request that defendants be enjoined from using similar interlocking devices or product colors, although at the hearing and in its brief plaintiff argued to enjoin defendants’ use of the interlocking devices and colors. While Rule 7(b) (1) of the Federal Rules of Civil Procedure provides that a motion must state with particularity the grounds and the relief or order sought, the defendants argued all the matters raised by plaintiff’s brief and oral argument. The defendants did not object to these procedural defects. The request to enjoin defendants’ use of the interlocking devices and colors, therefore, will be considered in this motion. See McNichols v. Lennox Furnace Co., N.D.N.Y.1947, 7 F.R.D. 40.

A preliminary injunction should be granted only in a clear case. The court must be satisfied that it is necessary to prevent irreparable injury during the pendency of the action. The moving party must show at least a reasonable probability of success in the principal action. The court should balance the conveniences and injuries which will be caused by the grant or denial of the injunction. Warner Bros. Pictures, Inc., et al. v. Gittone, 3 Cir., 1940, 110 F.2d 292; Joseph Bancroft & Sons Co. v. Shelly Knitting Mills, Inc., 3 Cir., 1959, 268 F.2d 569; Speedry Products, Inc. v. Dri Mark Products, Inc., 2 Cir., 1959, 271 F.2d 646.

Plaintiff’s allegation of unfair competition caused by defendants’ imitation of plaintiff’s toy building bricks relates to the interlocking and outside dimensional features, and the colors of the bricks. All parties agree that interlocking is a functional feature of the bricks. A functional feature may be freely imitated or copied and not result in unfair competition. Unfair competition results when a person, through deception or confusion, attempts to pass off his product as that of the person’s whose product is imitated. Smith, Kline & French Laboratories v. Waldman, E.D. Pa.1946, 69 F.Supp. 646, 648; Smith, Kline & French Laboratories v. Clark & Clark, 3 Cir., 1946, 157 F.2d 725, 730, 731; Vaughn Novelty Mfg. Co. v. G. G. Greene Mfg. Corp., 3 Cir., 1953, 202 F.2d 172. Whether the other allegations of unfair competition caused by defendants’ advertising, promotion, and other practices, or the use of a similar trade *241 mark amount to passing off would not affect defendants’ right to manufacture, use, or sell a toy brick embodying functional features resembling those of plaintiff’s brick. These relate only to the question of whether those practices should be enjoined to prevent passing off. See Smith, Kline & French Laboratories v. Clark & Clark, supra, 157 F.2d at page 731.

Plaintiff contends that the dimensions and colors are non-functional, and that defendants’ imitation of the appearance of the bricks results in identity of product appearance and amounts to unfair competition. Defendants contend that the outside dimensions and colors are functional. Aside from any question of patent infringement, and assuming the outside dimensions and colors to be non-functional, to justify an injunction plaintiff must show that its product has attained a “secondary meaning,” that is, the appearance of its product has come to mean that plaintiff makes it, and that the public is interested in this fact, and not merely in its appearance or structure. The demand must be for a product made by the plaintiff as distinguished from a demand for a product for which the, plaintiff has created a market.

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Interlego A.G. v. Leslie-Henry Co., 214 F. Supp. 238, 136 U.S.P.Q. (BNA) 601, 1963 U.S. Dist. LEXIS 10131 (M.D. Pa. 1963).

214 F. Supp. 238 (Interlego A.G. v. Leslie-Henry Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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