DART DRUG CORPORATION et al., Appellants, v. SCHERING CORPORATION, Appellee, 320 F.2d 745

Summary

Appellee, manufacturer of a cold tablet and owner of a trademark, filed a complaint alleging unfair competition and violations of the Lanham Act, 15 U.S.C.S. § 1051 et seq. Appellants, competitors, were subsequently adjudged in contempt of a decree which enjoined appellants' use of a specified name or any other name containing, inter alia, a specified syllable. Appeal was taken. Appellants challenged the decree only insofar as it enjoined the use of a name they created, a word not expressly prohibited in whole or in part by either a stipulation or the decree itself. The court agreed and reversed the order. The court found that there had never been an admission or adjudication of unfair competition or trademark infringement. The court could not say that appellants' use of the name would render ineffective the decree, or result in the continuation of any confusion to the purchasing public.