Hetronic International, Inc. v. Hetronic Germany GmbH
United States Court of Appeals for the Tenth Circuit
10 F.4th 1016 (2021)
- Written by Philip Glass, JD
Facts
Hetronic International, Inc. (Hetronic) (plaintiff), based in the United States, contracted with Hetronic Germany GmbH (Hetronic Germany) (defendant) for a decade for the latter to distribute the former’s radio remote controls in Europe. Hetronic Germany, convinced that it held rights to Hetronic’s trademark, started manufacturing and selling identical products with the Hetronic trademark in Europe. Hetronic initiated a lawsuit against Hetronic Germany for trademark infringement when the latter tried to penetrate the United States market. Hetronic Germany conceded that more than 1.7 million euros worth of foreign sales entered the United States. Hetronic proffered evidence of consumer confusion arising from Hetronic Germany’s sales. Further, Hetronic provided evidence of Hetronic Germany diverting tens of millions of dollars in sales from Hetronic. The district court awarded more than $100 million in damages to Hetronic and issued an injunction forbidding infringing sales by Hetronic Germany globally. Hetronic Germany appealed, contending that the Lanham Act did not apply to its foreign sales.
Rule of Law
Issue
Holding and Reasoning (Phillips, J.)
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