MEMORANDUM AND ORDER
This action involves a smorgasbord of trademark infringement, dilution and false advertising claims relating to Malaco Leaf, AB’s (“Malaco”) fish-shaped gummy candy, known as “Swedish Fish.” Specifically, Ma-laco asserts claims for infringement and dilution of its product configuration trade
I. BACKGROUND
The facts are not in dispute. Since 1956, Malaco has manufactured soft, fish-shaped gummy candy 2 under the name “Swedish Fish.” Malaco is a Swedish company that distributes Swedish Fish through its exclusive licensee Jaret International (CS), Inc. (“Jaret”), owned by Cadbury Trebor Allan, Inc. (“Trebor Allan”), and its predecessors-in-interest. 3 Jaret is also responsible for developing advertising and marketing strategy for Swedish Fish. Jaret distributes Malaco’s Swedish Fish throughout the United States via numerous distribution channels including drug stores, mass merchandisers, grocery stores, convenience stores, vending distributors, club stores, and bulk wholesalers and retailers. Malaco’s Swedish Fish is sold in a variety of packages for retail sale, and in bulk for repackaging or sale. Malaco is also the owner of the federally registered trademark SWEDISH FISH, U.S. Reg. No. 1,273,762, as well as the unregistered mark THE ORIGINAL SWEDISH FISH, both of which are used in the marketing for Swedish Fish.
Founded in 1980, PIM is a primary marketer of a wide variety confectionary products, including a competitive gummy fish-shaped candy named “Famous Sqwish Candy Fish,” various gummy bears, worms, dinosaurs, dolphins and sharks,
II. SUMMARY JUDGMENT STANDARD
Rule 56(c) of the Federal Rules of Civil Procedure provides that summary judgment “shall be rendered forthwith if the pleadings, depositions, answers to interrogatories and admissions on file, together with the affidavits, if any, show there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law.” Fed.R.Civ.P. 56(c);
accord, Celotex Corp. v. Catrett,
To defeat a summary judgment motion, the non-moving party must do “more than simply show that there is some metaphysical doubt as to the material facts.”
Matsushita Elec. Indus. Co. v. Zenith Radio Corp.,
III. PRODUCT CONFIGURATION TRADE DRESS INFRINGEMENT & DILUTION
Malaco asserts three claims based on the fish-shaped product design of the Swedish Fish: (1) infringement under Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a); (2) dilution under the Federal Trademark Dilution Act (“FTDA”), 15
A. Product Configuration Trade Dress Infringement
“[T]rade dress encompasses the design and appearance of the product together with all the elements making up the overall image that serves to identify the product presented to the consumer.”
Fun-Damental Too, Ltd. v. Gemmy Indus. Corp.,
Defendants argue that Malaco’s Swedish Fish product design is not entitled to protection because it is a generic, common design that is used extensively by third parties in the confectionery industry. (Def.’s Br. at 4.) This Court agrees that the generic design of Malaco’s Swedish Fish, along with extensive third party use of the design and Malaco’s failure to police infringing third-party uses, renders the Swedish Fish design generic and unpro-tectable.
It is axiomatic that generic product designs are not entitled to trade dress protection under the Lanham Act, and that “even a showing of secondary meaning is insufficient to protect product designs that are overbroad or generic.”
Yurman,
The fish-shaped animal design of the Swedish Fish is a classic example of a design that is not used to identify source, but rather to render the product itself more appealing, especially to children.
See Samara Bros.,
Notably, animal-shaped gummy candy is common in the candy industry. Indeed, representatives of Jaret, Malaco’s licensee of the Swedish Fish, acknowledged that other animal-shaped gummy candy, including gummy bears, gummy worms and gummy dinosaurs, are generic candy products that have been marketed by several companies for several years, (Sullivan Dep. at 91-93, 96-102; Jaret Dep. at 87-89; Galatolie Dep. at 49-54, 98-102.) Additionally, fish-shaped candies were among the top four shapes sold in the gummy industry in the late 1990s. (Deposition of David Douglas, dated March 12, 2002 (“Douglas Dep.”) at 16, 127-28.) Malaco has presented no evidence that a gummy fish-shaped design is distinguished in any way from other, admittedly generic, gummy animal designs.
The undisputed evidence also unquestionably shows that the Swedish Fish configuration is used extensively throughout the confectionery industry by third parties. Defendants have provided the Court with voluminous evidence showing that numerous third-party manufacturers and distributors in the industry have sold gummy fish-shaped candy that is virtually indistinguishable from Malaco’s Swedish Fish.
{See, e.g.,
Def.’s Ex. C, Def.’s 56.1 Stmt. ¶¶ 52-77.) Specifically, defendants provide examples of sixty-nine (69) third-party uses of gummy fish-shaped designs. (Def.’s Ex. C.) This evidence of extensive third-party use supports a finding that the Swedish Fish design is generic.
See Mana Prods., Inc. v. Columbia Cosmetics Mfg., Inc.,
Additionally, Malaco’s failure to police its trade dress for decades is further evidence that the Swedish Fish trade dress is weak and has not acquired distinctiveness.
See BellSouth Corp. v. DataNational Corp.,
Despite Malaco’s and Jaret’s awareness for decades of competitive third-party gummy fish-shaped candies in the market, they failed to take action against those alleged infringers. 5 It is undisputed that Malaco attempted to enforce its rights against a third parties only twice, and both cease and desist letters concerned the protection of Malaco’s trademarks, not its product configuration trade dress. (Pl.’s Ex. 22 & 23; Def.’s Ex. LLL.) In light of the rampant third-party use in the market, Malaco’s attempt at policing its trademark, and not even its trade dress, is wholly insufficient to sustain its claim that its product design is non-generic. Further, Malaco’s contention that it “has chosen to police against many alleged infringers by taking appropriate business steps ... including] embossing the word SWEDISH onto its product and emphasizing in the advertising this means of identifying the quality of SWEDISH FISH gummy candy” is insufficient to rebut the substantial undisputed evidence of Malaco’s failure to police its product design. (Plaintiffs Memorandum of Law in Opposition to Summary Judgment, dated September 18, 2002 (“Pl.’s Opp.”) at 31-32.) A business decision to emboss a name on a product is not evidence of an attempt by that party to police its product design against third-party use. Indeed, the two types of action are completely unrelated.
Since Malaco’s Swedish Fish design is weak and unprotectable due to its generic shape and extensive third-party use, it cannot sustain its product configuration infringement claim.
2. Functional Design
Even if Malaco could prove that its product design was not generic and entitled to protection, Malaco would additionally bear the burden of proving that its product configuration is non-functional.
TrafFix Devices, Inc. v. Marketing Displays, Inc.,
The purpose behind the functionality doctrine is to “prevent[ ] trademark law, which seeks to promote competition by protecting a firm’s reputation, from instead inhibiting legitimate competition by allowing a producer to control a useful product feature.”
Qualitex,
The undisputed evidence shows that Malaco’s Swedish Fish product configuration is a functional design that is not entitled to protection under the Lanham Act. First, Malaco notably fails to provide this Court with any evidence concerning non-functionality. (Pl.’s Opp. at 33.) Second, it is evident that affording protection to a common, fish-shaped candy design would eliminate competition in this product category, where numerous third parties already compete—something which the functionality requirement is designed to prohibit.
See TrafFix Devices,
Malaco describes the configuration of the Swedish Fish as “a fish-shape having a distinct head and tail,” with “a molded eye and scales throughout [the] top,” and having a “flat back.” (Comply 10.) The “flat back” is a functional result of the manufacturing process, whereby the liquid is poured into a starch impression that always creates a product with one flat side. (Deposition of Sal Ferrara, dated March 5, 2002 (“Ferrara Dep.”) at 325-26; Deposition of Roger L. McEldowney, dated March 6, 2002 (“McEldowney Dep.”) at 17.) Additionally, the other product design features such as the head, tail, scale pattern and eye are necessary attributes to portray any fish. Notably, nearly every third party marketing gummy fish-shaped
Finally, although Malaco has recently attempted to differentiate its product by imprinting the word “SWEDISH” on the body of the Swedish Fish, “[t]he Lanham Act ... does not protect trade dress in a functional design simply because an investment has been made to encourage the public to associate a particular functional feature with a single manufacturer or seller.”
TrafFix Devices,
Therefore, as Malaco’s SWEDISH FISH product design trade dress is generic and functional, defendants are entitled to summary judgment on Malaco’s protect configuration trade dress infringement claim.
B. Federal and State Dilution
Additionally, for the reasons set forth above, Malaco cannot show that its Swedish Fish product design is entitled to protection under federal or state dilution law. First, the Federal Trademark Dilution Act (the “FTDA”), 15 U.S.C. § 1125(c) (2003), “only affords protection to inherently distinctive marks ... [not] to descriptive marks that have acquired distinctiveness.”
Christopher D. Smithers Foundation, Inc. v. St. Luke’s-Roosevelt Hosp. Ctr.,
00 Civ. 5502(WHP),
Defendants also argue that Malaco’s Swedish Fish product configuration is too weak to warrant protection under New York’s anti-dilution law. (Def.’s Br. at 13.) New York’s anti-dilution law only protects “extremely strong marks.”
BigStar Entertainment, Inc. v. Next Big Star, Inc.,
IV. TRADEMARK and TRADE DRESS INFRINGEMENT
Malaco also claims that the defendants infringed its unregistered and federally registered trademarks in violation of Sections 43(a) and 32 of the Lan-ham Act, respectively. (Compl.1ffl 73-89.) Malaco argues that defendants’ use of its mark FAMOUS SQWISH CANDY FISH
In order to succeed on its federal trademark and trade dress infringement claims, Malaco must show that: (1) its Marks and trade dress are entitled to protection under the Lanham Act; and (2) defendants’ use of its FAMOUS SQWISH CANDY FISH mark and packaging trade dress is likely to cause confusion with its Marks and packaging trade dress, respectively.
See
15 U.S.C. §§ 1114(1), 1125(a)(1)(A);
Morningside Group Ltd. v. Morningside Capital Group, L.L.C.,
A. Likelihood of Confusion
In the Second Circuit, courts consider the well-known
Polaroid
factors as a framework for evaluating whether there is a likelihood of confusion.
See Polaroid Corp. v. Polarad Elec. Corp.,
1) the strength of the prior owner’s mark; 2) the similarity between the two marks; 3) the competitive proximity of the products; 4) the likelihood that the prior user will bridge the gap; 5) actual confusion; 6) the defendant’s good faith; 7) the quality of defendant’s product; and 8) the sophistication of the buyers.
Polaroid,
1. Strength of Mark
The “strength” of a mark is a measure of a mark’s distinctiveness,
ie.,
the mark’s “ ‘tendency to identify the goods [or services] sold under the mark as emanating from a particular, although possibly anonymous, source.’ ”
Sports Auth., Inc. v. Prime Hospitality Corp.,
The inquiry into the strength of a mark or trade dress focuses on two factors: (i) the mark’s or trade dress’ inherent distinctiveness
(i.e.,
whether it is generic, descriptive, suggestive, arbitrary, or fanciful); and (ii) its acquired distinctiveness, or strength in the marketplace.
Time, Inc. v. Petersen Publ’g Co.,
a. Trademark
It is undisputed that the dominant part of Malaco’s Marks is the term “Swedish Fish.” The term “Swedish Fish,” as used in Malaco’s Marks is descriptive because it merely describes the shape of the product, a fish, and the geographical origin of the product, Sweden.
See Samara Bros.,
However, defendants assert, and this Court agrees, that this secondary meaning evidence does not correlate to the strength of Malaco’s Marks.
See
2 J. Thomas McCarthy,
McCarthy on Trademarks and Unfair Competition,
§ 15:47 (4th ed.2003) (noting significant product sales “may be due to dozens of factors, only one of which may be the drawing power of the trademark”);
see also Gruner
+
Jahr,
Malaco’s contention that its Marks are entitled to a finding of acquired distinctiveness is further belied by its own internal marketing reports, including one dated a day before it filed this complaint, reporting that “[m]ost respondents consider ‘Swedish Fish’ a generic term of fish-shaped gummi candy,” and that its Marks enjoy “weak trademark protection.” (Def.’s Exs. HH at 9, 00 at M00492.) This internal research is telling, and further confirms this Court’s finding that the Marks are not strong and have not acquired distinctiveness. Accordingly, this Court concludes that Malaco’s Marks are merely descriptive and weak.
b. Trade Dress
This Court finds that Malaco’s packaging trade dress is weak as well. It is undisputed that for several decades prior to 1997, Swedish Fish were sold in a wide array of packaging, each with a different overall look and feel. (Jaret Dep. at 34-37, 74-81; Galatolie Dep. at 148-52, 164-65, 176-88; Del’s Ex. E.) Additionally, in 1996, approximately “70% of the Swedish Fish product sold in the U.S. market [was] sold as bulk or unwrapped,” with no association to Malaco’s trade dress. (Def.’s Ex. CC at 00061; Jaret Dep. at 42-46; Sullivan Dep. at 178-81, 183-84.) Indeed, in its opposition, Malaco does not refute evidence that it used multiple packaging trade dresses for its Swedish Fish, but rather briefly notes that it began using its current packaging consistently since 1997, arguing that “[t]he overall SWEDISH FISH gummy candy line has a definable look and feel that is clearly apparent.” (PL’s Opp. at 19.) Malaco attempted to create a uniform packaging project in 1997, recognizing that it used “[mjultiple packaging designs with different colour schemes, graphic representations, logo treatments, legal lines, type styles and tag lines.” (Defs Ex. CC at 00056.) Even after implementing that “uniformity” policy, however, Malaco still employed two distinct packaging trade dresses for its Swedish Fish product, one with a predominantly yellow background and the other with a white one. (Def.’s Ex. A.) Even Malaco’s representatives acknowledge that each of Malaco’s packages looks different. (Sullivan Dep. at 263-66; Deposition of Magnus Johansson, dated Feb. 13, 2002 (“Johansson Dep.”) at 183-84.)
Further contributing to a finding that Malaco’s packaging trade dress is weak is that Malaco allows private labeling of its Swedish Fish product under other companies’ names, as described above, and under different packaging designs. (Def.’s Exs. C at 20-21, 58, D, GG; Johansson Dep. at 108-15, 119-24, 264-65; McEldowney Dep. at 29.) Indeed, one of Malaco’s representatives testified that 40% of Swedish Fish sales are not sold in the packaging for which Malaco claims protection. (Sullivan Dep. at 174-75.) Malaco’s private labeling practice is strong evidence that Malaco’s trade dress packaging is weak, as the public will be more likely to identify the product and the SWEDISH FISH mark and trade dress with sources other than Mala-
Therefore, as both Malaco’s trademarks and packaging trade dress are weak, the “strength of the mark” factor weighs in defendants’ favor.
2. Similarity of Marks
In examining similarity, courts consider the general, overall impression created by the marks and trade dress, including their presentation in the marketplace as well as, in the case of trademarks, their typewritten similarity.
Morningside Group Ltd. v. Morningside Capital Group L.L.C.,
a. Trademarks
Defendant’s mark, FAMOUS SQWISH CANDY FISH, and Malaco’s Marks, THE ORIGINAL SWEDISH FISH and SWEDISH FISH, are not visually or aurally similar. First, the only term that the marks actually share is “FISH,” which the parties agree is “generic for a fish-type candy.” (Johansson Dep. at 92.) Additionally, most competitors who market fish-shaped gummy candy use the term “Fish” in their names or on their packaging. (Def.’s Ex. C (Nordic Fish, Sweet’s Fish, Original Red Fish, Mini Red Fish, Jelly Fish).) It is well-established that shared use of a generic term, such as “Fish,” to describe a product is insufficient to establish confusing similarity.
Gruner
+
Jahr,
Second, the remaining terms in the parties’ marks are too weak or dissimilar to create actionable similarity. For example, the terms “Original” and “Famous” on candy and food products are used frequently in marketing, and are thus weak.
See
1 J. Thomas McCarthy,
McCarthy on Trademarks and Unfair Competition,
§§ 7.23, 11:17 (4th ed.2003) (it is “close to impossible” for common advertising slogans to achieve trademark significance). Moreover, self-laudatory terms such as “Original” and “Famous” are usually not entitled to protection.
In re Nett Designs, Inc.,
Malaco also claims the “similarity” factor weighs in its favor because the parties’ marks are aurally similar. In support of that contention, Malaco submits the testimony and expert report of Professor David Yerkes, a linguistics expert. (Def.’s Ex. OOO.) Malaco requested Professor Yerkes to determine whether the terms “SWEDISH FISH” and “SQWISH FISH” (the “given terms”) are aurally similar. (Deposition of David Yerkes, dated June 7, 2002 (“Yerkes Dep.”) at 155-58.) Notably, Malaco’s counsel never gave Professor Yerkes the parties’ marks to review as a whole. (Yerkes Dep. at 155-58.) Professor Yerkes found that the given terms were linguistically similar and likely to be confused, based in large part on the placement of the “ISH” sound directly before the word “FISH” in both given terms. (Def.’s Ex. OOO; Yerkes Dep. at 160-61.) Malaco’s mark, however, is FAMOUS SQWISH CANDY FISH, not SQWISH FISH. Indeed, when asked at his deposition to compare the parties’ marks as a whole, Professor Yerkes acknowledged that confusion was less likely. (Yerkes Dep. at 159-62, 167-169.) Accordingly, as Professor Yerkes’ findings regarding aural similarity are not based on a comparison of the parties’ marks as a whole, and since consumers in the marketplace actually hear and view the terms as a whole rather than in a piecemeal fashion, this Court finds that Professor Yerkes’ expert testimony does not create a material issue of disputed fact.
See Universal City Studios,
b. Trade Dress
“[I]n a trade dress infringement case[,] the question is not how many points of similarity exist between the two packages but whether the two trade dresses create the same general overall impression.”
Bristol-Myers Squibb Co. v. McNeil-P.P.C., Inc.,
Finally, Malaco argues that both packages are similar because they are composed of cellophane and have a clear window on the front of the package, allowing the consumer to see the product. (Pl.’s Opp. at 20.) “Use of ... a common type of functional packaging [such as cellophane, however,] cannot give rise to a suit for trademark or trade dress infringement or unfair competition.” 1 J. Thomas McCarthy,
McCarthy on Trademarks and Unfair Competition,
§ 7:63, 8:20 (4th ed. 2003) (“The use of ordinary packaging such as transparent cellophane is functional and free for all to use”) (citing cases);
accord TrafFix Devices,
Accordingly, as the parties’ trademarks and packaging trade dress are dissimilar, this factor weighs in defendants’ favor.
See, e.g., Nabisco,
3. Proximity of Products
The proximity of products factor “focuses on whether the products compete.”
Nikon Inc. v. Ikon Corp.,
4. Bridging the Gap
“Bridging the Gap” refers to whether the senior user is likely to enter the junior user’s market.
Morningside Group Ltd.,
5. Actual Confusion
It is undisputed that Malaco has not identified any instances of actual confusion between defendants’ FAMOUS SQWISH CANDY FISH and Malaco’s SWEDISH FISH Marks or packaging.
(See, e.g.,
Rosenberg Deck at ¶45; Jo-hansson Dep. at 54; Sullivan Dep. at 287; Kling Dep. at 155-56; Galatolie Dep. at 194.) Although the Lanham Act does not require Malaco to show evidence of actual confusion to establish a likelihood of confusion, the fact that the parties have had substantial sales without a single instance of confusion is an indicator of the absence of likelihood of confusion.
See Plus Prods. v. Plus Discount Foods, Inc.,
a. Actual Confusion Between Parties’ Marks
In lieu of submitting actual confusion evidence, Malaco submits a survey conducted by the Admar Group (the “Admar Survey”) that, it alleges, shows a likelihood of confusion between the parties’ marks. (Def.’s Ex. QQQ.) The section of the Ad-mar Survey concerning trademark similarity, however, reports that only one percent of the respondents were confused by any similarity between the parties’ marks. (Def.’s Ex. QQQ at 3, 13.) This one percent response is insufficient to sustain an inference of actual confusion. See 5 J. Thomas McCarthy, McCarthy on Trademarks and Unfair Competition, § 32:188-89 (4th ed.2003). Indeed, this Court finds that such a low finding of similarity is, instead, affirmative evidence that there is no likelihood of confusion between the parties’ marks. See 5 J. Thomas McCarthy, McCarthy on Trademarks and Unfair Competition, § 32:188-89 (4th ed. 2003) (“When the percentage results of a confusion survey dip below 10 percent, they can become evidence which will indicate that confusion is not likely.”).
The Admar Survey also tested for consumer confusion in the marketplace regarding the parties’ packaging trade dress. (Def.’s Ex. QQQ.) In support of its contention that consumers are likely to confuse the parties’ packaging, Malaco cites to the Admar Survey’s conclusion that 18% of respondents were confused as to the source of defendants’ packaging. (Pl.’s Opp. at 22-23, 26; Def.’s Ex. QQQ.) Mala-co’s characterization of the survey’s results is misleading, at best. The Admar Survey states in its findings that “18% of the potential purchasers of a fruit-flavored chewy candy believed that the Famous Sqwish candy was ‘put out’ or made by the same company as Original Swedish Fish candy or that it required the approval or permission from Original Swedish Fish Candy.” (Def.’s Ex. QQQ at 3, 11.) However, Admar Group’s description of the survey results goes on to conclude that, “[i]n total,” only “10% of the respondents said that the similarity of [the parties’] packages was the basis for their belief that the Famous Sqwish candy was ‘put out’ or made by the same company as Original Swedish Fish candy or that it had obtained an approval or permission from Original Swedish Fish.” (Def.’s Ex. QQQ at 3, 11, 12.) Further, the survey attributed the balance of the reported confusion (8%) to other indicia of confusion which are irrelevant to this Court’s trade dress analysis, including, inter a lia, consumers’ belief that both products are the “same type of candy.” (Def.’s Ex. QQQ at 3.)
Indeed, this Court notes that the distilled conclusion of a 10% consumer confusion over packaging overstates the point since the underlying data show only a 9.5% confusion level which was rounded upward by Malaco’s expert to 10%. (Def.’s Ex. QQQ; Expert Report of George Mantis, dated May 21, 2002 (“Mantis Rep.”) ¶ 19.) Even assuming that the Admar Survey was conducted within the bounds of acceptable testing methodology,
9
the survey’s report that only 9.5% of respondents expressed confusion over the parties’ packaging trade dress is too low to sustain Mala-co’s contention of actual confusion.
See
5 J. Thomas McCarty,
McCarthy on Trademarks and Unfair Competition,
§ 32:189 (4th ed.2003) (noting that survey’s confusion figures below 20% are “problematic,” unless accompanied by other evidence of confusion and that responses below 10% “can become evidence which will indicate that confusion is not likely”);
see also Paco Sport, Ltd. v. Paco Rabanne Parfums,
86 F. Supp 2d 305, 320-24 (S.D.N.Y.),
aff'd
Finally, Malaco seeks to use a pilot survey conducted on its behalf by the Admar Group in May 2002 (the “Pilot Survey”), in support of its argument that consumers “were likely to be confused between SWEDISH FISH gummy candy and SQWISH gummy candy.” (PI. Opp. at 26-27; Pl.’s Ex. 51.) Although the Pilot Survey fell within the scope of defendants’ May 22, 2002 subpoena on the Admar Group, it is undisputed that the survey was never produced to defendants during the
Accordingly, since it is undisputed that there is no actual confusion evidence and since Malaco’s survey evidence does not establish an inference of confusion, this factor weighs in defendants’ favor.
6. Bad Faith
In assessing bad faith, the court considers “whether the defendant adopted its mark with the intention of capitalizing on plaintiffs reputation and goodwill.”
Stern’s Miracle-Gro Prods., Inc.,
Finally, Malaco’s contention that PIM purchased sample packages of Malaco’s Swedish Fish during the packaging design process is insufficient to create a material issue of fact concerning bad faith. (PL’s Opp. at 21.) A PIM employee, Carol Thomas, testified at her deposition that she purchased one bag of Malaco’s Swedish Fish that she came across in a convenience store, after the defendants were already comfortable with their packaging design. Indeed, it is undisputed that she never saw Malaco’s packaging prior to the creation of defendants’ packaging. (Deposition of Carol Thomas, dated Jan. 23, 2002 (“Thomas Dep.”) at 70-75, 82-83.) Finally, Rosenberg’s possession of a Malaco Swedish Fish package is also insufficient to establish bad faith. Indeed, the testimony to which Malaco cites shows that Rosenberg received the Malaco Swedish Fish sample in a registration “goodie bag” at a trade show, and that none of PIM’s employees, including Rosenberg, reviewed the sample in connection with the development of defendants’ packaging design. (Rosenberg Dep. at 287-90, 298-300.)
Even aggregating the alleged activities and assuming that defendants acquired Malaco’s packaging for comparative purposes, Malaco still cannot establish bad faith. As Malaco’s own expert acknowledged, a party contemplating a new business idea would be remiss not to research its industry competitors’ packages and designs. (Deposition of Marianne R. Klim-
7. Sophistication of Purchasers
It is undisputed that consumers of the parties’ products are unsophisticated because the products are inexpensive and usually purchased on impulse, without careful examination. A low level of consumer sophistication contributes to an increase in the likelihood of confusion.
Patsy’s Brand, Inc. v. I.O.B. Realty, Inc.,
8. Quality of Goods
This factor considers whether the senior user’s reputation could be “tarnished by the inferior merchandise of the junior user.”
Cadbury Beverages, Inc. v. Cott Corp.,
9.Aggregate Assessment
Summary judgment is granted in infringement cases where the likelihood of confusion factors weigh in the moving party’s favor.
See, e.g., Lois Sportswear, U.S.A., Inc. v. Levi Strauss & Co.,
V. PACKAGING TRADE DRESS DILUTION
Defendants also move for summary judgment on Malaco’s packaging trade dress dilution claim arising under N.Y. Gen. Bus. L § 360—Ü (formerly Section 368-d). (Compl.lffl 67-72.) New York’s anti-dilution law only protects “extremely strong marks” that have inherent or acquired distinctiveness.
BigStar Entertainment,
The undisputed evidence leads to the conclusion that Malaco’s packaging trade dress is weak, has not acquired distinctiveness, and is therefore not entitled to protection under New York’s anti-dilution statute.
See Lang,
VI. FALSE ADVERTISING
Finally, defendants argue that they are entitled to summary judgment on Malaco’s claim that defendants’ use of the term “Famous” on their Famous Sqwish Candy Fish packaging constitutes false advertising. (Def.’s Br. at 34-35.) To establish an actionable false advertising claim pursuant to Section 43(a) of the Lanham Act a plaintiff must show the advertisement is either (1) literally false, or (2) although literally true, “likely to deceive or confuse customers.”
Lipton v. The Nature Co.,
It is axiomatic that “subjective claims about products, which cannot be proven either true or false, are not actionable under the Lanham Act” as mere “puffing.”
Lipton,
Further, Malaco’s novel argument that use of the terms “Famous” and “New” next to each other on the Famous Sqwish Candy Fish packaging creates ambiguity, is insufficient to sustain a false advertising claim. (Pl.’s Opp. at 35; Yerkes Dep. at 182-83; Def.’s Ex. B.) When an advertisement is not literally false, but rather is ambiguous or implicitly false, a plaintiff can only establish a claim of false advertising through a survey.
Johnson & Johnson
*
Merck Consumer Pharms. Co. v. Smithkline Beecham Corp.,
CONCLUSION
For the reasons stated above, defendants’ motion for summary judgment is granted. Plaintiff’s complaint is dismissed with prejudice.
Notes
. The parties did not file dispositive motions concerning PIM’s counterclaim.
. Soft and chewy candy is generally categorized by the industry as either "gummy” if it has a primarily gelatin base, or "juju,” if it has primarily a starch base. (Deposition of Frank Galatolie, dated March 20, 2002 ("Ga-latolie Dep.”) at 130-31; Defendants’ 56.1 Statement ("Def.’s 56.1 Stmt.”) ¶ 3.) For purposes of uniformity, this Court refers to the parties’ products as "gummy” candy.
. Malaco's Swedish Fish was initially manufactured exclusively by Malaco in Sweden. In the late 1970’s or early 1980's, production was gradually switched to M & A Candy Co Ltd. in Canada, a joint venture between Mala-co and a Canadian company Allan Candy, Ltd. In 1995, Allan Candy affiliated with Cad-bury Schwepps PLC, resulting in the formation of a new company, Trebor Allan, Inc., which later became Cadbury Trebor Allan and ultimately took over all responsibility for manufacturing Swedish Fish candy in the United States. In 1997, Cadbury Trebor Allan acquired Jaret and effectively combined all manufacturing and distribution responsibilities for Swedish Fish under common ownership. (Compl. ¶ 9; Jaret Dep. at 40-41, 109-12; Deposition of Paul Sullivan, dated Feb. 20, 2002 ("Sullivan Dep.”) at 10-15, 17-18, 47-50, 129, 132, 135; Johansson Dep. at 287-89; Galatolie Dep. at 6-7, 128, 245-46; Def.’s Exs. Z & AA.)
. Prior to the codification of the functionality element by the Trademark Amendments Act of 1999, 5 Pub.L. 106-43 (August 5, 1999), this element was an affirmative defense in the Second Circuit.
Yurman Design, Inc. v. PAJ, Inc.,
. See, e.g., Jaret Dep. at 21-22, 24-32; Gala-tolie Dep. at 26-32 (knowledge of juju fish marketed by Henry Heide Candy Company); Galatolie Dep. at 7-8, 10, 25-26, 34-41, 194-99; Sullivan Dep. at 71-76, Kling Dep. at 42-49, Def.’s Ex. KKK (knowledge of similar fish candy manufactured by Farley); Jaret Dep. at 56-59, Galatolie Dep. at 59-63, Babiarz Dep. at 70-72, 129-30 (knowledge of "Nordic Fish” marketed by Dae Julie); Galatolie Dep. at 214-18, Johansson Dep. at 81-83, Sullivan Dep. at 110, Def.'s Ex. C at 52-53 (knowledge of CVS store-brand label of gummy fish, where CVS is, and continues to be, a significant customer of plaintiff's Swedish Fish); McEldowney Dep. at 219-21 (knowledge that rebaggers who sell Swedish Fish also sell similar gummy fish-shaped candy manufactured by third parties); Kling Dep. at 39-41, 52-54, Galatolie Dep. at 25-26, 65, 72-74, Def.'s Exs. C at 10, DDD, KKK, MMM (knowledge of similar gummy fish-shaped candy manufactured by Harmony Foods, Gimbal Brothers and knowledge of Snak Club’s "Yuppie Guppies” gummy fish-shaped candy); Johansson Dep. at 66-88, 244-63, 321-23, 330 (other third-party use).
. Malaco filed an application with the United States Patent and Trademark Office ("USP-TO”) for the mark, THE ORIGINAL SWEDISH FISH, in December 2000, but later abandoned that application on August 21, 2002.
. This Court notes that Malaco's federally SWEDISH FISH Mark is considered incontestable by the USPTO. While an incontestable mark is entitled to a presumption of protectability, that presumption may be overcome through a showing of no likelihood of confusion.
Gruner
+
Jahr USA Publ'g v. Meredith Corp.,
. Defendants’ S.Q. Wish cartoon character is used consistently in conjunction with the promotion of Famous Sqwish Candy Fish product.
. The parties vigorously contest whether the methodology employed by the Admar Survey in its questioning and aggregation of certain responses can withstand scrutiny. Because this Court finds that, even accepting the Ad-mar Survey’s results on their face, Malaco’s evidence of only 9.5% confusion is insufficient to tip the actual confusion factor in Malaco’s favor, it declines to address the sufficiency of the survey’s methodology.
