Fleischmann Distilling Corp. (FDC) (plaintiff) distilled and distributed high-end scotch whiskey under the trademarked name Black and White. Maier Brewing Co. (Maier) brewed a cheap beer and sold it under the Black and White label as well. Maier distributed the beer through Ralph’s Grocery Co. (Ralph’s) (defendant). FDC sued Maier and Ralph’s under the Lanham Act for trademark infringement. The trial court found that the two products did not compete with each other, but consumers might think that the beer and scotch were produced by the same company. The trial court entered judgment in favor of FDC and awarded damages based on an accounting of the profits of Maier and Ralph’s. Maier and Ralph’s appealed to the United States Court of Appeals for the Ninth Circuit.