In May 1973, Farah Mfg. Co. (Farah) (defendant) developed a new mark for a line of clothing it would launch in the fall. The line would be called “Time Out,” and Farah sent out a pair of slacks featuring the Time Out mark to its regional sales managers in July 1973. The managers paid for the pants to cover the cost in case of loss. Merchandising efforts followed, and the first shipments to customers went out in September 1973. Independently, Blue Bell, Inc. (Blue Bell) (plaintiff) came up with the name “Time Out” as a mark to represent a new line of clothing it was planning. Blue Bell manufactured several hundred labels featuring its Time Out mark and attached them to existing pairs of its “Mr. Hicks” slacks. Blue Bell began production of its actual Time Out line in August and planned shipments of the new product for October. After learning that Farah was using a similar mark on its own clothing line, Blue Bell brought a trademark infringement suit against Farah in the hopes of obtaining an injunction. Both parties moved for summary judgment, and the district court granted Farah’s motion. Blue Bell appealed the trial court decision to the United States Court of Appeals for the Fifth Circuit.