Monday, September 19, 2005

Weight Watchers Scores "Winning Points" With The Second Circuit in Trademark Dispute

Case: Weight Watchers International, Inc. v. Luigino's, Inc., Case No. 04-4103-cv (September 12, 2005, Second Circuit Court of Appeals).

The One Sentence Summary: Competing frozen food maker could be enjoined from referring to Weight Watchers "Points" in its packaging even if the packaging disclaimed an affiliation with Weight Watchers.


What They Were Fighting About: Weight Watchers has trademarked the terms "Points" and "Winning Points" as indicators of the caloric and fat content of foods pursuant to its diet plan. Defendant frozen food maker marketed a line of products that prominently displayed point values but disclaimed sponsorship by Weight Watchers.

Federal Circuit Holdings:
  • Where an infringer attempts to avoid substantial likelihood of consumer confusion by adding a disclaimer, it must establish the disclaimer's effectiveness.
  • Having held that the reference to "Points" on the front of defendant's product was likely to confuse consumers about an endorsement by Weight Watchers, the trial court should have assigned the burden of proof to defendant.
  • Defendant did not sustain its burden with regard to a disclaimer in small type on the back of the product noting that the number of "Winning Points" had been calculated by defendant and that Weight Watchers did not sponsor or endorse the product.
  • Although Weight Watchers may have delayed for a number of weeks, it was still entitled to the presumption that it had suffered irreparable injury from the infringement.
  • An order modifying an earlier injunction against a prior line of packaging to include the new version could be appealed.

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