Newbro v. Undeland

96 N.W. 635, 69 Neb. 821, 1903 Neb. LEXIS 111
Nebraska Supreme Court·Decided September 17, 1903·No. No. 13,084·Published

Opinion

Pound, C.

This is a suit to enjoin the defendant, who is engaged in the business of selling barbers’ supplies at wholesale, from adulterating a compound or preparation manufactured and sold by plaintiffs under the name of “Newbro’s herpicide,” or “herpicide”; from using the label, trade-mark or bottles of the plaintiffs in the manufacture or sale of the adulterated compound; and from using the trade-mark of the plaintiffs in compounding mixtures or preparations to be put on the market by the defendant. The facts are stated clearly and concisely in the special findings of the trial court. The court found that the Newbro Drug Company, being the owner of the trade-name “Newbro’s herpicide” and of the trade-name “herpicide,” as applied to a liquid application for the hair, and also of a secret formula [822] used in compounding such preparation, sold and transferred said formula to the plaintiffs and also sold and transferred to them the trade-name “Newbro’s herpicide” and the trade-name “herpicide,” which names had been in use by plaintiffs and their assignor for more than two years prior to the bringing of suit; that the plaintiffs are the sole and exclusive owners of said trade-names “Newbro’s herpicide” and “herpicide” and are entitled to the sole and exclusive use of said trade-names as applied to a liquid application for the hair; that said names are well known in business, have been extensively advertised and large quantities of said preparation sold thereunder, and that said names are of considerable pecuniary value to the plaintiffs; that the defendant is engaged in the business of selling barbers’ supplies, and for some months prior to the commencement of this suit, through his clerks and employees, has made, prepared and compounded a preparation similar in Appearance to said Newbro’s herpicide and sold .the same in original bottles of the plaintiffs, which had contained the original compound manufactured by the plaintiffs, with original printed “herpicide” labels thereon, and also with labels thereon containing the word “herpicide” which were intended to deceive the trade and the public in general; that the defendant, having compounded and prepared a preparation resembling plaintiffs’ herpicide in appearance, but Avhich was not genuine herpicide, had for some months prior to the bringing of suit sold and placed upon the market for sale, under the label and trade-name of the plaintiffs,, said spurious compound and preparation, for the purpose of deceiving the public and leading them to believe that they were purchasing the preparation of the plaintiffs which the plaintiffs had prepared and sold under the name of “NeAvbro’s herpicide” and “herpicide.” The court further found that the representations made by the plaintiffs on their labels and .advertisements were not false or fraudulent, and, in particular, that the statements upon such labels and advertisements that dandruff was caused by microbes or para[823] sites and that said preparation would cure baldness, and the address thereon, “Newbro Drug Co., 68 West Broadway, N. Y.,” were not false or fraudulent and were not intended to-deceive. Decree was thereupon entered for the plaintiffs, substantially as prayed, from which the present appeal is taken.

The principal contention of the appellant is that the plaintiffs are entitled to no relief by reason of certain statements upon their printed labels and in their advertisements, which appellant claims are false and misleading and have the effect of deceiving the public. The principle governing such cases is well stated in the recent case of Worden v. California Fig Syrup Co., 187 U. S. 516, in which the authorities are collated and discussed. In that case, Mr. Justice Shiras puts the rule thus:

“When the owner of a trade-mark applies for an injunc- • tion to restrain the defendant from injuring his property by making false representations to the public, it is essential that the plaintiff should not, in his trade-mark or in his advertisements and business, be himself guilty of any false or misleading representation, and if he makes any material false statement in connection with the property which he seeks to protect, he loses his right to claim the assistance of a court of equity; and where any symbol or label claimed as a trade-mark is so constructed or worded as to make.or contain a distinct material assertion which is false, no property can be claimed on it, or in other words, the right to the exclusive use of it can not be maintained.”

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Newbro v. Undeland, 96 N.W. 635, 69 Neb. 821, 1903 Neb. LEXIS 111 (Neb. 1903).

96 N.W. 635 (Newbro v. Undeland) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Worden v. California Fig Syrup Co.
187 U.S. 516 (Supreme Court, 1903)
Samuel Bros. & Co. v. Hostetter Co.
118 F. 257 (Ninth Circuit, 1902)