115 F. 297 | 2d Cir. | 1902
Lead Opinion
These are appeals -by the complainant from decrees in two actions in equity brought to restrain unfair competition in trade. In the first action there was a decree for the complainant for an injunction and for nominal damages, and in the second there was a decree dismissing the complainant’s bill.
Prior to 1894 the chocolates and cocoas manufactured by the concern of Walter Baker & Co. had acquired great popularity with dealers and retail purchasers throughout the country. Their business had been long established; their products had always maintained a high quality of excellence; and the word “Baker,” when applied to these articles, had come to represent tp purchasers generally the products
During the pendency of this action the defendant changed his business methods, and conformed to the requirements of the preliminary
We are satisfied that substantial justice has been done by each of the two decrees. The complainant, notwithstanding he commenced business under false colors, and occupied a position which did not commend him to the very solicitous consideration of the court, was entitled to be protected in the circumscribed use of his own name which had been accorded to him by a court of equity. He had no right to complain of the use by another of a rightful patronymic, and much less of the name of Baker, in selling the same class of products; but he has a right to complain if a competitor was endeavoring to palm off his own products as those of the complainant by the use of the same name, on misleading circulars or otherwise, and was entitled to be redressed. The evidence shows that the substantial grievance of the complainant is found in the conduct of William H. Baker at the inception and early in the history of his competition. This was remedied as to the future by the preliminary injunction in the first action. That injunction gave the full measure of relief to which the •complainant, under the circumstances of the case, was entitled, except such a recovery for profits and damages as he might be found entitled to. The evidence upon the accounting failed to disclose that the complainant was entitled to any recovery of profits, or any except nominal damages, by reason of the defendant’s conduct. It failed to disclose that a single person had purchased goods marketed by the defendant, supposing them to be the product of the complainant, or that the complainant had lost a single customer by the defendant’s conduct.
We have examined with care the evidence in the record of the second action to ascertain whether the defendant in that action has, by its circulars, its advertisements, or the dress in which its goods have been presented, done anything of which the complainant can reasonably complain; and we have found nothing, unless he has cause to complain of the use of its corporate name. A part of that name is the place of business, and every person who deals with the defendant is thereby notified that its business domicile is not the domicile of the complainant. If the name had been selected unnecessarily, •or for the purpose of illegitimate competition with the complainant.
The decrees are affirmed, with costs.
Concurrence Opinion
I concur in the result, but solely for the reason that the complainant does not come into equity with clean hands. It is true that, since the decrees against him in the suits brought by the original Walter Baker & Co., he has conformed to their requirements. Nevertheless he is still diverting some portion of the business of the original firm by reason of a confusion which he might easily terminate, although, under the decisions, a court might be powerless to give further relief against him. In my opinion, he never was, and is not now, a fair trader. The defendant’s conduct has been equally reprehensible. The individual defendant began by a fraudulent effort to palm off his goods as the manufacture of the complainant, and it does not seem to me • that the corporation defendant has acted with any greater measure of fairness. Its name is so printed on the packages as to deceive the public; it has devised and still uses for one of its wrappers a color scheme closely imitating that of the complainant’s; and its corporate name was selected, as it seems to me, in bad faith, and for the purpose of illegitimate competition with the complainant. The business methods of both sides have been, and still are, unfair; both are piratical traders, seeking to sell their goods on the strength of the reputation of another manufacturer, whose name was a household word throughout the country before either of them appeared; and, in my opinion, neither of them is entitled to equitable relief against the other.