In this case, plaintiffs Thomas & Betts Corporation and Thomas & Betts Holdings, Inc. appeal from the district court’s grant of summary judgment to the defendant. The plaintiffs advance two primary theories with respect to Count I of their complaint, which alleged unfair competition on the part of defendant Panduit Corporation: 1) the district court erred in finding that a product configuration disclosed in a utility patent is not entitled to trademark protection; and 2) questions of fact exist which preclude the district court’s grant of summary judgment. With respect to Count II of the complaint, which sought cancellation of one of the defendant’s trademarks, the plaintiffs allege that the district court erroneously found that no questions of fact exist. Because we find that Thomas & Betts’ contentions are meritorious, *282 we reverse the judgment of the district court and remand this case for trial.
BACKGROUND
This case is presently bn its third sbjoum to the court of appeals. On its first sally, we denied the defendant’s motion to stay a preliminary injunction pending an appeal on the merits.
Thomas and Betts Corp. v. Panduit Corp.,
The parties in this case are the nation’s largest suppliers of cable ties, which, as then-name implies; are small nylon belts used to bundle wires. Cable ties consist of a strap terminating at one end in a tapered tail and at the other in a head which incorporates a horizontal slit and locking mechanism. The strap is looped around the group of wires to be secured and the tail is inserted through the slit in the head and pulled tight, triggering the locking mechanism and prohibiting reverse movement of the tail. The result is a tight bundle of wires with only the thickness of the head (which is made as small as possible to avoid snagging) protruding above the strap and bundled wires.
Cable ties feature either a one-piece or a two-piece locking mechanism. While we need not wade too heavily into the technical aspects of these mechanisms (a detailed explanation is provided in
T & B I,
Plaintiff Thomas & Betts Corporation (“T & B”) obtained a patent on the two-piece cáble tie in 1965 (referred to throughout this opinion as. the “Schwester patent”), which remained in effect until its expiration in 1982. The Schwester patent disclosed a two-piece cable tie with an oval head, metal barb, and transverse slot. While the slot, barb, and head portions of the cable tie were part of the claims of the Schwester patent, the oval shape was not; it was illustrated in a drawing of the cable tie and mentioned in the patent’s specifications. At present, T & B markets a two-piece cable tie under the trademark “TY-RAP” which is essentially identical to that disclosed in the Schwester patent. In about 1994, defendant Panduit Corporation (“Panduit”) began to produce a cable tie similar to that of T & B, sold under the trademark “BARB-TY.” Panduit’s product is substantially similar in appearance to that produced by T & B.
In response, T & B filed suit in the Northern District of Illinois on April 29, 1994, seeking a permanent injunction against Pan-duit’s manufacture of the BARB-TY product and asserting the following claims: 1) trade dress infringement pursuant to 15 U.S.C. § 1125(a); 2) unfair competition under 15 U.S.C. § 1125(a) and withdrawal of Panduit’s “BARB-TY” trademark registration under 15 U.S.C. § 1064(3); 3) common law unfair competition; 4) violations of the Illinois Consumer Fraud and Deceptive Business Practices Act and the Uniform Deceptive Trade Practices Act; and 5) violation of the Illinois Anti-Dilution Act. T & B also sought a preliminary injunction against Panduit. The parties consented to proceed before a magis-'
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trate, and Magistrate Judge Ronald Guzman held an evidentiary hearing on T & B’s motion for a preliminary injunction on July 19, 20, and 21, 1994. On December 19, 1994, Judge Guzman found in favor of T & B and entered a preliminary injunction against Pan-duit’s copying of T & B’s cable tie.
Thomas and Betts Corp. v. Panduit Corp.,
The case was subsequently transferred to Magistrate Judge Morton Denlow, and Pan-duit filed a motion for summary judgment on March 26, 1996. T & B filed its response on April 23, 1996, and oral argument was held on July 11. On August 15, 1996, Judge Denlow granted Panduit’s motion with respect to Counts I, III, IV, and V of T & B’s complaint.
Thomas & Betts Corp. v. Panduit Corp.,
DISCUSSION
As a preliminary matter, we note that while the district court granted summary judgment to Panduit on all five counts of T & B’s complaint, T & B is only appealing the district court’s judgment on Counts I and II, the federal law claims brought by T & B. Since there is no challenge to the district court’s grant of summary judgment on Counts III, IV, and V, we merely acknowledge the existence of these state-law claims for the sake of completeness and then bid them adieu for the remainder of this opinion.
I. Entitlement of Cable Tie Head to Trademark Protection
The first, and foremost, issue presented in this appeal is a matter of law and a matter of first impression in the Seventh Circuit. Succinctly stated, the question is this: can a product configuration that is disclosed in an expired utility patent be protected as a trade dress under the Lanham Act?
1
The district court answered this question in the negative, holding that “the subject of an expired utility patent which is disclosed as the ‘best mode’ in the patent cannot be the subject of trademark protection with respect to the invention disclosed to the public.”
At the heart of this dispute is the relationship between patent law and trademark law; thus, an appropriate place to begin is with a summary of the purposes of and policies behind each. The roots of patent law extend to the beginning of our country, with the Constitution providing that “The Congress shall have the power ... [t]o promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries.” U.S. Const., art. I, § 8, cl. 8. To carry out this objective, American patent law offers “a right of exclusion for a limited period as an incentive to inventors to risk the often enormous costs in terms of time, research, and development.”
Kewanee Oil Co. v. Bicron Corp.,
In return for this monopoly on producing the patented article, the patentee must make an “adequate and full” disclosure of his invention so that, at the expiration of his monopoly, “the knowledge of the invention enures to the people, who are thus enabled without restriction to practice it and profit by its use.”
Kewanee,
First, patent law seeks to foster and reward .invention; second, it promotes disclosure of inventions to stimulate further innovation and to permit the public to practice the invention once the patent expires; third, the -stringent requirements for patent protection seek to assure that ideas in thé public domain remain there for the free use of the public.
Aronson v. Quick Point Pencil Co.,
Trademarks, by contrast, are not mentioned in the Constitution but are protected by the Lanham Trademark Act, 15 U.S.C. § 1051 et seq. Thereunder, a suitably aggrieved person has a federal cause of action against anyone who “on or in connection with any goods ... uses in commerce any word, term, name, symbol, or device, or any combination thereof’ in a manner which is likely to cause confusion as to the origin of the product. See 15 U.S.C. § 1125(a). The policies behind trademark protection have been outlined as follows:
The Lanham Act provides national protection of trademarks in order to secure to the owner of the mark the goodwill of his business and to protect the ability of consumers to distinguish among competing producers..-.. National protection of trademarks is desirable, Congress concluded, because trademarks foster competition and the maintenance of quality by securing to the producer the benefits of good reputation.
Park ‘N Fly, Inc. v. Dollar Park and Fly, Inc.,
In order to be registrable as a trademark, a mark must be capable of distinguishing the applicant’s goods from those of others.
Two Pesos, Inc. v. Taco Cabana, Inc.,
In its opinion, the district court found that allowing T & B trade dress protection for the head shape of its cable tie was “unsound public policy, contravenes the Patent Act and would defeat the expectations of the public and the parties.”
When confronted with apparently conflicting statutes which are “capable of coexistence, it is the duty of the courts, absent a clearly expressed congressional intention to the contrary, to regard each as effective.”
Ruckelshaus v. Monsanto Co.,
In its brief, T & B argues that the district court erred in holding that the expired Sehwester patent destroyed T & B’s Lanham Act rights to protection of the shape of its cable tie head. First, T & B asserts that the right to copy stemming from patent law (which we discuss below) does not preclude the application of the Lanham Act to its cable tie head. As its first line of defense against T & B’s attack, Panduit counters that when the Sehwester patent expired, the cable tie depicted therein was dedicated to the public and that Panduit now has the right to copy it without interference from the trademark laws. This argument, on its face, is appealing. Patent law seeks to foster and reward invention by providing the inventor with a monopoly of limited duration; in return for that reward, the inventor must disclose his invention and dedicate it to the public. Stemming from the inventor’s dedication of the invention to the public, as the district court correctly noted, a “long line” of Supreme Court cases have held that federal patent law creates a right to copy inventions to which patent protection has been extended once the patent expires. The Supreme Court has explained this right to copy thusly:
It is self evident that on the expiration of a patent the monopoly created by it ceases to exist, and the right to make the thing formerly covered by the patent becomes public property. It is upon this condition that the patent is granted. It follows, as a matter of course, that on the termination of the patent there passes to the public the right to make the machine in the form in which it was constructed during the patent.
Singer Mfg. Co. v. June Mfg. Co.,
In Bonito Boats and Sears, the Supreme Court examined the relationship between federal patent law and state unfair competition law, not between federal patent law and federal trademark law. The holdings of these cases, then, has no effect on the scope of federal trademark or unfair competition law.
See Esercizio v. Roberts,
The
Singer
case is factually distinguishable from the present situation. In
Singer,
the Supreme Court found that it could not “be denied that the Singer machines were covered by patents____ There can also be no doubt that the necessary result of the existence of these patents was to give to the Singer machines, as a whole, a distinctive character and form which caused them to be known as Singer machines, as deviating and separable from the form and character of machines made by other manufacturers.”
Singer,
In
Kellogg,
the Supreme Court cited
Singer
in reaching the conclusion that Kellogg could utilize a pillow-shaped form in making shredded wheat biscuits despite the fact that a competitor had done so first. Analogous to the situation in
Singer,
however, patented machines were used by the competitor, and those 'machines “were designed to produce only the pillow-shaped biscuits.”
Kellogg,
Panduit’s case is also seemingly strengthened by
Scott Paper Co. v. Marcalus Mfg. Co.,
By the force of the patent laws not only is the invention of a patent dedicated to the public upon its expiration, but the public thereby becomes entitled to share in the good will which the patentee has built up in the patented article or product through the enjoyment of his patent monopoly. Hence we have held that the patentee may not exclude the public from participating in that good will or secure, to any extent, a continuation of his monopoly by resorting to the trademark law and registering as a trademark any particular descriptive matter appearing in the specifications, drawings or claims of the expired patent, whether or not such matter describes essential elements of the invention or claims.
In
Scott Paper,
however, the question presented was whether the assignor of a patent was estopped, by virtue of his assignment, from defending a suit for infringement of the assigned patent on the ground that the allegedly infringing device was that of a prior art
*287
expired patent.
3
Id.
at 250,
Furthermore, the right to copy established in the cases cited by Panduit is far from absolute. In
Compco Corp. v. Day-Brite Lighting, Inc.,
Here Day-Brite’s fixture has been held not to be entitled to a design or mechanical patent. Under the federal patent laws it is, therefore, in the public domain and can be copied in every detail by whoever pleases. It is true that the trial court found that the configuration of Day-Brite’s fixture identified Day-Brite to the trade because the arrangement of the ribbing had, like a trademark, acquired a “secondary meaning” by which that particular design was associated with Day-Brite. But if the design is not entitled to a design patent or other federal statutory protection, then it can be copied at will.
. Moreover, since setting forth, the right to copy inventions unprotected by patent law, the Supreme Court has recognized that trademark law and patent law are not inherently in conflict. In Bonito Boats, the Court noted:
Indeed, there are affirmative indications from Congress that both the law of unfair competition and trade secret protection are consistent with the balance struck by the patent laws. Section 43(a) of the Lanham Act, ... 15 U.S.C. § 1125(a), creates a federal remedy for making “a false designation of origin, or any false description or representation, including words or other symbols tending falsely to describe or represent the same----” Congress has thus given federal recognition to many of the concerns that underlie the state tort of unfair competition, and the application of Sears and Compco to nonfunctional aspects of a product which have been shown to identify source must take account of competing federal policies in this regard.
Bonito Boats,
The correct rule of law to be applied in this case is no different from that which applies in any other trademark infringement context and is exemplified in
Best Lock, Corp. v. Schlage Lock Co.,
The safeguard against an impermissible extension of a patent monopoly by a trademark, as noted above, is the functionality doctrine: a configuration of an article cannot receive trademark registration if its purpose is to contribute functional advantages to the article or if the configuration results from functional considerations.
Best Lock,
[S]ome articles, made in a purely arbitrary configuration (e.g„ the wine bottle considered in [.Application of} Mogen David [Wine Corp.,51 C.C.P.A. 1260 ,328 F.2d 925 (C.C.P.A.1964) ] .may perform a function, holding wine, which could equally well be served by containers of many other shapes, and in such circumstances the incidental function' should not by itself preclude trademark registrability if the other conditions precedent are present. That is a quite different situation from a configuration whose purpose is to provide a functional advantage. Where such a functional purpose exists, the rule is ... that the configuration is not registrable as a trademark. The reason is clear. If a configuration is functional in that sense, then everyone has the right to use the configuration for its functional purpose, subject only to such exclusive right for a limited time as may exist under the patent laws.
Best Lock,
Both of the parties have cited (as did the district court) only one ease which is almost directly on point with the issue currently before us. In
Vornado Air Circulation Systems, Inc. v. Duracraft Corp.,
This case is distinguishable from
Vomado,
however, in one basic respect: the shape of the head of T & B’s cable tie is not part of the claims in the Schwester patent, and the strict holding of
Vomado,
were we to adopt it, would not be dispositive of the question before us.
4
Our finding is contrary to that of the district court, which stated that “it is the determination of this Court that the oval shaped clinching eyelet is part of the claimed patent----”
The claims as set forth in the Schwester patent, on which the district court based its determination, are as follows:
What is claimed is:
1. A self clinching bundling strap comprising a head-end portion, a tapered tail-end portion and a body portion therebet-ween, said head-end portion having a transverse aperture therethrough and including an eyelet portion projecting from one side thereof with a gusset therebet-ween on the strap side of said eyelet, said eyelet portion having a rectangular slot in the end face thereof in alignment with and extending into said gusset forming a rectangular recess therewith within said eyelet portion in communication with said aperture, and a resilient metallic tongue having one end portion thereof imbedded in said gusset with its opposite end portion extending through said recess into said aper *290 ture- and across the axial center thereof at an acute angle thereto presenting a line edge transversely of the axial center of said' aperture adapted for locking the body portion of said strap in minute increments of adjustment against relative reverse movement when looped upon itself through said aperture.
2. A self clinching bundling strap comprising a head-end portion, a tapered tail-end portion and a body portion therebet-ween, said head-end portion having a transverse aperture therethrough and including an eyelet portion projecting from one side thereof with a gusset therebet-ween on the strap side of said eyelet portion, said eyelet portion having a pair of rectangular slots in the free end .face thereof in alignment with said gusset, one of said slots extending into said gusset and forming therewith a rectangular recess within said eyelet portion in communication with said aperture, and a resilient metallic tongue having one end portion thereof embedded in said gusset with its opposite end portion extending through said recess into said eyelet portion and across the axial center, thereof at an acute angle thereto and presenting a line edge transversely of the axial center thereof adapted for locking the body portion of said strap in minute increments of adjustment against relative reverse movement when looped upon itself through said aperture, said other rectangular slot providing clearance for the angular insertion of said metallic tongue into said gusset.
3. A self clinching bundling strap comprising a head-end portion, a tapered tail-end portion and a body portion therebet-ween, said head-end portion having a transverse aperture therethrough including an eyelet portion projecting axially from one side thereof with a gusset there-between on the strap side of said eyelet portion, said eyelet portion having a rectangular slot in the end face thereof in alignment with said gusset, said slot extending into said gusset and forming therewith a rectangular recess within said eyelet portion in communication with the aperture through the head-end portion of said strap, and a flat resilient metallic tongue having a substantially symmetrical pointed end portion thereof imbedded in said gusset with its opposite end portion extending through said recess into said aperture at least to the axial center thereof at an acute angle thereto and presenting a bevelled (sic) end face defining a knife edge transversely of the axial center of said aperture adapted for engaging and locking the body portion- of said strap in minute increments of adjustment against relative reverse movement when loop-ed upon itself through said aperture.
Schwester Patent, Appendix to Parties’ Briefs at 501 (hereafter “App.”). Despite the advanced level of legalese with which these claims are drafted, they resemble English closely enough for us to clearly discern that the oval-shaped head of T & B’s cable tie is not part of the claimed invention. The claims do mention a “head-end portion,” but no shape is contemplated therein. We therefore find that, as a matter of law, the oval shape of T & B’s cable tie is not part of the invention claimed in the Schwester patent, and that the district court erred in determining that it was. In sum, the preceding long journey has brought us to the conclusion that the strict holding of Vomado is not applicable in the instant case, and it does not foreclose our reasoning above.
T & B also argues that the district court erred in finding that the oval-shaped head was part of the “best mode” set forth (as required) in the Schwester patent, and also erred as a matter of law when it determined that the “best mode” contained in an expired patent could be copied without interference from the Lanham Act. Since dur previous discussion addresses these concerns, we need not reach their merits here.
In summary, we find that the district court’s legal conclusion that the disclosure of a feature in an expired patent (whether as the “best mode” or otherwise 5 ) automatically precludes trademark protection is erroneous. Instead, because the oval *291 shape of the head is not part of the claims of the patent, the appropriate test to apply in determining whether Panduit’s cable ties infringe on T & B’s rights in the oval shape is that which applies in any other trade dress (or trademark) infringement case. As such, we reverse the district court’s legal conclusions. Our holding does not render the entire judgment of the district court erroneous, however. Recognizing that this was a matter of first impression in the Seventh Circuit, the district court applied the traditional test to T & B’s claims, finding that even thereunder T & B’s trade dress infringement claim must fail. T & B challenges this finding as well, the subject to which we now turn.
II. Merits of Trade Dress Infringement Claim
As previously noted, the court found that Panduit was entitled to summary judgment on all of the counts in T & B’s complaint. T & B argues that the district court erred in finding that there were no genuine issues of material fact on any of the elements of its trade dress infringement claim and asserts that we should reverse. We review the district court’s grant of summary judgment
de novo. McGinn v. Burlington Northern Ry. Co.,
1. General Legal Principles
In order to prevail on a claim of trade dress infringement, a plaintiff must show that 1) its trade dress is either inherently distinctive or has acquired secondary meaning, and 2) that the similarity of the defendant’s trade dress causes a likelihood of confusion on the part of consumers as to the source or affiliation of the products.
Dorr-Oliver, Inc. v. Fluid-Quip, Inc.,
2. Secondary Meaning
“ ‘[Secondary- meaning’ is acquired when ‘in the minds of the public, the primary significance of a product feature ... is to identify the source of the product rather than the product itself.’”
Qualitex Co. v. Jacobson Prods. Co.,
Before turning to our discussion, we note that in
T & B I
we reversed a preliminary injunction issued by Magistrate Judge Guzman because we found that T & B had failed to show that the oval-shaped head had acquired secondary meaning. Our findings there, however, are not binding on us here, and were not binding on the district court when it considered the motion for summary
*292
judgment. “A court must be cautious in adopting findings and conclusions from the preliminary injunction stage in ruling on a motion for summary judgment----”
Communications Maintenance, Inc. v. Motorola, Inc.,
T & B attacks the district court’s determination that it failed to raise any issues of material fact with respect to the issue of secondary meaning. First, the district court examined T & B’s advertising, noting that it “describes the utilitarian aspects of the. oval head and does not encourage consumers to identify the oval head with T & B.”
Furthermore, T & B has presented advertisements which show the oval-shaped head without mentioning any advantages of the tie at all.
See, e.g.,
App. at 333 (photograph of ties showing oval heads), 279 (locked tie with oval head), 289 (illustration of tie with oval head). The district court noted that T & B’s product manager stated that head shape was never advertised as a way to identify T & B as the producer of the ties.
T & B also points to affidavits it supplied to the district court, arguing that they establish that for at least some consumers the primary significance of the oval-shaped head is to denote T & B as the
*293
manufacturer. With regard to one of the affidavits, that of E. LeRoy Larson, it appears that the district court improperly engaged in credibility determinations. In its opinion, the district court stated that Larson is employed by T & B and that, as this Circuit has noted, testimony of a party’s own representative should be discounted.
See
Rather than establishing a new test for secondary meaning, as T & B understands it, our reference to “must care” attempted to shed light on the application of the primary significance test in cases where a previously-patented product is at issue. In
T & B I,
our “must care” language was derived from
Sinko v. Snow-Craggs Corp.,
Sinko created a desire on the part of the public for one of two things, either for knobs made by- Sinko, above all other knob makers, or for knobs made in a particular manner regardless of who made them. If it is the first situation, the law of unfair competition gives Sinko the right to monopolize or to exclude other makers from copying the product. If it is the latter situation, Sinko receives no such right to monopolize, even though he might have been the first one to make the article in the particularly desirable manner.
One difference between the present case and
Sinko
that we did not note in
T & B I
is the timeline involved: Sinko’s jeweled knob was on the market for less than a year when Cragg began manufacturing its product, whereas T & B’s oval-headed tie was produced for about 30 years before Panduit’s tie came on the market (and for a period of approximately ten years between the time the Schwester patent expired and the time Panduit began developing its barbed cable tie). See App. at 225, 398. Additionally, we found in
Sinko
that the fact that jewels had been used on other automotive accessories for such a long time rendered it unlikely that a jewel could ever become an indicator of any particular manufacturer.
Sinko,
It is true, as we noted in
T & B I,
that when the first producer in the market manufactures a product under a patent (and thus, for a period, is the exclusive producer), an association between the product’s trade dress and that manufacturer may be inevitable.
In summary, then, we clarify our opinion in
T & B I
by stating that when a trade dress sought to be protected was formerly contained in a patent, evidence establishing secondary meaning must also show that any connection between the trade dress of the product and its producer does not primarily stem from the expired patent. This ensures that there is a true connection between the producer and the product in the minds of consumers, and avoids any problem regarding whether secondary meaning can develop during a period when competition is stifled by some other type of protection.
See Merchant & Evans,
With this discussion in mind, the district court’s determination that the distributor declarations produced by T & B failed to raise a genuine issue of fact on the issue of secondary meaning is incorrect. The court correctly noted that “[f]our distributors and two consultants, all of whom, have considerable experience in the electrical industry, state unequivocally in their declarations that they recognize and associate the oval shape of T & B’s two-piece, barbed cable tie with T & B and can identify products as T & B products by that oval shape.”
T & B also contends that the district court improperly found that a consumer survey produced by T & B was flawed and did not support an inference of secondary meaning. In support of its motion for a preliminary injunction, T & B presented a survey (“1994 survey”) which we found to be flawed because it did not separate the allegedly pro-tectable trade dress from clearly non-protect-able elements.
T & B I,
The district court found, and Panduit argues here, that the 1996 survey was flawed because the interviewees were not consumers, the group the survey instructions indicate it was designed to test (App. at 390), but rather were store personnel in electrical supply stores. App. at 371. As we discussed above, when, as here, the relevant market includes both distributors and ultimate purchasers, the state of mind of dealers is important in determining if secondary meaning exists. While the fact that no ultimate consumers were surveyed may be relevant in determining the weight the survey should be given by the finder of fact, it does not render the 1996 survey meaningless for determining if secondary meaning exists. The same analysis applies to Panduit’s assertion that the survey had no evidentiary value because it was designed for consumers but used on salespeople. The district court’s determination that part I of the 1996 survey did not establish secondary meaning or raise any issues of fact because ultimate consumers were not interviewed is . therefore incorrect.
Panduit argues on appeal that we should nevertheless ignore the 1996 survey because its results were erroneously combined with the results of the 1994 survey and because it did not test whether consumers cared about the source of the cable ties. We disposed of Panduit’s second contention above, and need not discuss it again here. While we agree that the 1994 survey is flawed and should not be used in determining secondary meaning, the fact that the results of the 1994 and 1996 surveys were combined in a report detailing the findings of the 1996 survey does not render the data meaningless. The raw numbers of people naming T & B as the manufacturer of the oval-headed tie are reported as well (see App. at 377), and the data can be reanalyzed to remove the offending 1994 survey results. Taking the evidence contained in the 1996 survey in a light most favorable to T & B, questions of fact are raised on the issue of secondary- meaning.
The district court also found that part II of the 1996 survey did not establish secondary meaning, since the 30% recognition was insufficient to establish secondary meaning. The court cited
Spraying Systems,
An additional factor that is important in determining secondary meaning, which the district court did not examine, is the time, if any, that T & B continuously and exclusively produced the ovalheaded cable ties.
Stuart Hall Co., Inc. v. Ampad Corp.,
3. Likelihood of Confusion
Even though it found that T & B had failed to demonstrate that its cable ties had acquired secondary meaning, the district court proceeded to a discussion of the likelihood of confusion. A number of factors must be examined when determining if a likelihood of confusion exists between the trade dresses of two products. These include: 1) the similarity of the trade dresses; 2) the area and manner of concurrent use; 3) the degree of care likely to be used by consumers; 4) the strength of the plaintiffs trade dress; 5) actual confusion; and 6) intent of. the defendant to pass off its product as that of the plaintiff.
Dorr-Oliver,
The district court did not consider all six of the aforementioned elements (indeed, it did not even mention them), but found that there was no likelihood of confusion between the litigants’ cable ties. The court focused on only several pieces of evidence, including the fact that each cable tie made by Panduit and T & B has the company’s respective name stamped on it. Citing the fact that the Supreme Court had found in
Kellogg,
The district court also noted that T & B submitted an affidavit by Lloyd Francis, a T & B employee. In his affidavit, Francis stated that he regularly addresses customers’ problems with T & B products. While visiting one customer, a production engineer approached him and asked what T & B had done to its ties, since problems were occurring with the metal barbs falling out. After closely inspecting the tie, Francis discovered that the broken tie was a Panduit product, not a T & B product, to which the engineer expressed surprise and puzzlement.
See
Declarations .in Opposition to Motion for Summary Judgment, Ree. Doc. 252 (filed under seal). The district court dismissed this
*297
evidence, stating that it “does not establish a likelihood of confusion.” The court noted that Panduit’s only obligation is to use “every reasonable means” to prevent confusion, and found that Panduit has done so.
Similarly, the district court found (without much elaboration) that Panduit’s labeling and packaging distinguish its ties from those of T & B. T & B picked up this theme, in its brief, arguing that packaging is immaterial because regardless of packaging, post-sale confusion is likely to occur. We have previously recognized that post-sale confusion can precipitate a cause of action for trademark infringement,
Libman Co. v. Vining Industries, Inc.,
The parties raise some additional arguments in their briefs, but we need not discuss them here since no one factor is controlling and all of the factors must be weighed as a whole. We find, therefore, that the district court erroneously determined that no issues of fact remained with respect to the likelihood of confusion between the products of T & B and Panduit.
4. Functionality
Finally, the district court also looked to whether the oval-shaped head of T & B’s cable tie is functional. Even though we have found that questions of fact exist with regard to the issues of secondary meaning and likelihood of confusion, summary judgment may still have been properly granted in Panduit’s favor. This is because an affirmative defense exists to trade dress infringement: if the defendant can demonstrate that the element sought to be protected is functional, the plaintiff loses.
Badger Meter,
In this Circuit, a “feature is functional if it is one that is costly to design around or to do without, rather than one that is costly to have.”
Schwinn Bicycle Co. v. Ross Bicycles, Inc.,
If the feature is ornamental, fanciful, decorative, like the patterns on a piece of china or of silverware, then the manufacturer can use it as his name, his symbol, his identifying mark. Ornamental, fanciful shapes and patterns are not in short sup *298 ply, so appropriating one of them to serve as an identifying mark does not take away from any competitor something that he needs in order to make a competing brand. But if the feature is not ornamental or fanciful or whimsical or arbitrary, but is somehow intrinsic to the entire product consisting of this manufacturer’s brand and his rivals’ brands, trademark protection will be denied. The name of this principle is “functionality”---- Thus the first company to make an airplane cannot use the characteristic shape of an airplane as its trademark, thereby condemning its rivals to build airplanes that won’t fly---A firm that makes footballs could not use as its trademark the characteristic oval shape of the football, thereby forcing its rivals to find another shape for their footballs; since they wouldn’t be able to sell any round or oblong or hexagonal footballs, that firm would have, not an identifying mark, but a product monopoly, and a product monopoly not for a term of years as under the patent laws but forever.
The football’s oval shape is “functional” in the following practical sense: it would be found in all or most brands of the product even if no producer had any desire to have his brand mistaken for that of another producer. A feature functional in this sense — a feature that different brands share rather than a feature designed to differentiate the brands — is unlike those dispensable features of the particular brand that, like an arbitrary identifying name, rivals do not need in order to compete effectively. So if an automobile manufacturer places at the front end of its hood a statue of Mercury, it can if it wants make this its trademark (or one of its trademarks), because its competitors do not need a statue of Mercury on the hoods of their cars in order to be able to compete. To put this differently, a functional feature is one which competitors would have to spend money not to copy but to design around, as they would have to do if they wanted to come up with a nonoval substitute for a football. It is something costly to do without (like the hood itself), rather than costly to have (like the statue of Mercury).
W.T. Rogers,778 F.2d at 339 (citations omitted).
If the defendant is able to show . that the feature which assertedly gives a product distinctiveness is one “ ‘of a few superior designs for its de facto purpose, it follows that competition is hindered’ ... and trademark protection will be denied.” W.T. Rogers,778 F.2d at 340 (quoting In re Bose Corp.,772 F.2d 866 , 872 (Fed.Cir.1985)). Panduit attempted to follow this route in part, arguing in the district court that all of the cable ties on the market have either oval or square heads (with slight variation). See Panduit’s Memorandum in Support of Motion for Summary Judgment at 11-12. In response, T & B introduced into evidence other head shapes that could be utilized on a cable tie and which would fit within the government specifications. See App. at 511-25. Panduit attacks these alternative designs in several respects, first by arguing that T & B’s own expert, Michael Lazar (“Lazar”), testified that the shapes would not operate as drawn. “Because they are inoperable,” Pan-duit argues, “they are not alternative shapes with which Panduit could ‘compete effectively,’ and properly were not considered by the lower court.” See Appellee’s Brief at 22. T & B presented contrary explanatory evidence in the district court, raising material issues of fact with regard to these alternate designs. From the drawings, it is clear that the tail end is too wide to fit through the aperture in the cable tie head (see, e.g., App. at 511). However, Lazar noted that this problem arose because “[i]t appears to be drawn incorrectly,” and did not admit that the proffered designs were fatally flawed. See App. at 564. Indeed, Lazar stated that “these are merely illustrative and not necessarily based on any finite dimensions. They merely illustrate a concept rather than a finite design.” Id. Thus, the fact that the alternate shapes may not operate as drawn does not settle the question of whether such designs could be effectively marketed, and a material issue of fact exists.
*299
Panduit also stresses that there are' only a finite number
8
of shapes in which cable ties can be made and still fit within military specifications, and also that at present all of the cable ties on the market have either essentially square or oval heads. As- such, Panduit argues, it cannot compete effectively in the cable tie market if it cannot use an oval-shaped head.
See
Appellee’s Brief at 25. The fact that only several shapes are currently on the market, however, does not establish as a matter of law that the oval shape is functional. As we have found in the past, the fact that several (or even only one) shape is currently marketed is relevant to, but not dispositive of, the functionality issue. Other factors, including the effect upon retail price and the costs which Panduit would incur if forced to use a head shapé other than oval, must also be considered.
Abbott Labs. v. Mead Johnson & Co.,
Panduit also argues that we have already dismissed the relevance of the hypothetical designs offered by T & B in our previous opinion in this case. Therein, we stated that:
In any event whether one could draw or even produce cable ties with all these different head shapes is irrelevant, because the issue is whether or not one could “compete effectively” selling such cable ties. Schwinn,870 F.2d at 1190 . Neither T & B nor Lazar’s former employer, Burndy, ever successfully marketed a cable tie with anything but a rectangular or an oval head.
T & B I,
Panduit additionally argues that T & B emphasized the functional aspects of the oval head in its advertisements and promotional materials, thus showing that the shape is functional, a position with which the district court agreed. For one, Panduit shows that T & B’s advertising rack includes information about the functional value of the oval head, stating: “Low profile head — won’t snag, looks good.” See App. at 598. Statements in other such promotional materials which Pan-duit says point out that the oval-shaped head is functional include the following: two eata- *300 logs point out that the tie has a “small head” and that its “molded smooth edges enhance the appearance” (App. at 633 and 642); another catalog states that “TY-RAP cable ties have no sharp edges but feature a rounded edge” (App. at 650); and T & B’s trade show display notes that the “Low profile rounded head ... won’t snag” (App. at 660). In response, T & B presented evidence that the references to “small head” and “low profile” referred to the height, not the shape, of the head. See App. at 171; 674-75. Similarly, T & B presented evidence that the references to “rounded edge” referred to the comers of the cable tie head, not the fact that the head had an overall round shape. See App. at 172-75; 213-14. T & B also points to one of Panduit’s ads, in which the “smooth, round edges” of its PAN-TY product are touted. See App. at 403. The cable tie in the illustration, however, has a rectangular or square-shaped head, not an oval head. Thus, material questions of fact exist as to whether the statements raised by Panduit refer to functional advantages of an oval-shaped head or to other features of the cable tie.
The district court also mentioned that, the oval shape was contained in the Schwester patent and thus serves as evidence of functionality. While this is true, it is also true that “[a] utility patent must be examined in detail to determine whether or not the disclosed configuration is really primarily functional or just incidentally appears in the disclosure of a patent.” J. Thomas McCarthy, 1 McCarthy on Trademarks and Unfair Competition § 6:10 (4th ed.1996). The district court found that because the oval shape was part of the patent and did not appear incidentally, it was primarily functional. This finding necessitated a weighing of the evidence, however, and the finder of fact should decide, in light of the other evidence presented, how much weight the Schwester patent should receive. The parties also raise other issues in their briefs, but they do not merit individual discussion since we do not believe that any of them would be determinative in this case. Therefore, because we find that material questions of fact exist regarding the functionality of T & B’s oval shaped head, Panduit has not established its affirmative defense. In addition, as we found above, material questions of fact also exist with respect to elements of T & B’s claim of trade dress infringement. The district court’s judgment in favor of Panduit on T & B’s trade dress infringement claim must therefore be reversed, and this ease remanded for a trial on the merits.
III. Cancellation of Panduit’s Barb-Ty Trademark
In its complaint, T & B also sought the cancellation of Panduit’s trademark “BARB-TY,” arguing that it was a generic term or, alternatively, that registration had been obtained fraudulently. The district court granted summary judgment to Panduit on this count as well, finding that T & B had failed to present a genuine issue of fact as to either contention.
Thomas & Betts Corp. v. Panduit Corp.,
For purposes of trademark law, a generic term is one “that denotes the product rather than any of the brands of the product.”
Door Systems, Inc. v. Pro-Line Door Systems, Inc.,
T & B attacks the district court’s grant of summary judgment to Panduit on Count II in several respects. First, T & B argues that, contrary to the district court’s holding, Panduit was not entitled to a presumption of nongenericness of its “BARB-TY” trademark. The Lanham Act provides that registration of a mark on the principal register is
prima facie
evidence of its validity. 15 U.S.C. § 1115(a);
see also
15 U.S.C. § 1057(b) (same). As we have explained, this section “entitles the plaintiff to a presumption that its registered' trademark is not merely descriptive or generic, or, if merely descriptive, is accorded secondary meaning.”
Liquid Controls Corp.,
In any event, as T & B correctly notes, the presumption of validity can be rebutted. For this to occur, T. & B must meet its burden by providing proof of gener-ieness (or, at the summary judgment stage, by raising genuine issues of material fact with respect to the issue of genericness).
Liquid Controls Corp.,
A registered mark shall not be deemed to be the generic name of goods or services solely because such mark is also used as a name of or to identify a unique product or service. The primary significance of the registered mark to the relevant public ■rather than purchaser motivation shall be the test for determining whether the registered mark has become the generic name of goods or services on or in connection with which it has been used.
15 U.S.C. § 1064(3). The term “relevant public,” as used'in the statutory test, refers to the relevant public which purchases (or may purchase) the' goods in the marketplace.
Magic Wand, Inc. v. RDB, Inc.,
As the district court correctly noted, T & B did not provide a customer survey on the primary significance of the term “barb tie” in consumers’ minds, did not present any direct evidence from consumers regarding the term, and did not show that it had ever used the term “barb tie” in its own advertisements. The court relied in part -on the fact that the testimony regarding genericness “consists largely of testimony from their distributors and employees” in determining that “barb tie” was not generic, and also considered the fact that the term “barb tie” was not used in the Schwester patent and that other terms are used to describe the products made by T & B and Panduit. Despite the weakness of the evidence presented by T & B, however, we find that issues of material fact remain on the topic of genericness and that summary judgment was inappropriate here.
T & B points to certain of Panduit’s advertisements in which the term “barb tie” is used in some manner, arguing that this usage establishes the genericness of “BARB-TY.” See, e.g., App. at 341. (“Highest loop tensile strength stainless steel barb tie”); 345 (“for. those users who prefer a metal barb *302 tie”); 349 (“Lowest threading force of any metal barb tie”); 396 (“designed for users who prefer stainless steel barb ties”). Pan-duit counters that these phrases can only be reasonably interpreted as, for example, “metal barb” “tie”, not “metal” “barb tie.” See Appellee’s Brief at 49. Such interpretation, however, is not properly undertaken by a court on summary judgment but must be left for the finder of fact. In a similar vein, T & B presented testimony from several of its employees and distributors showing that the term “barb tie” has been used by customers to identify cable ties. See, e.g., App. at 100, 148, 156, 161. Despite the district court’s finding that this testimony did not establish that the public perceives “barb tie” as a generic term, we believe that it raises material questions of fact about what the purchasing public understands the term to mean. Thus, the district court erroneously found that no questions of material fact exist with respect to the issue of genericness.
We realize that a gander at the evidence presented by T & B reveals that it is far from overwhelming. However, as we have repeatedly recognized, summary judgment is not the place to resolve evidentiary conflicts. “Before it can properly be granted, therefore, the court must have a very high degree of confidence that any disagreement over the facts is spurious.”
Door Systems, Inc.,
IV. Denial of T & B’s Rule 60(b) Motion
Finally, T & B challenges the district court’s denial of its motion pursuant to Fed. R.Civ.P. 60(b), in which T & B sought relief from the district court’s judgment in favor of Panduit. In light of the fact that we are reversing the underlying judgment from which T & B sought relief in its motion, we vacate the district court’s denial of T & B’s Rule 60(b) motion.
CONCLUSION
For the reasons set forth above, the district court’s grant of summary judgment to the defendant is REVERSED, its denial of T & B’s Rule 60(b) motion is VACATED, and this case is REMANDED for further proceedings consistent with this opinion.
Notes
. In this opinion, we will use the terms "trade dress" and "trademark” interchangeably, since the applicable law, the Lanham Trademark Act, “provides no basis for distinguishing between trademark and trade dress.”
Two Pesos, Inc. v. Taco Cabana, Inc.,
. At the times relevant to this case, patent law provided .that:
Every patent shall contain a ... grant to the patentee, his heirs or assigns, for the term of seventeen years, ... of the right to exclude others from making, using, or selling the invention throughout the United States....
35 'U.S.C. § 154 (1984). This section was amended by Congress in 1988 to provide a twenty year term of exclusion. See 35 U.S.C. § 154 (West Supp.1997).
. Marcalus was attempting to defend against.the charge of infringement by alleging that the patent it had assigned was invalid. The argument of “assignor estoppel” presented by Scott Paper is "that an assignor of a patent right is estopped to attack the utility, novelty or validity of a patented invention which he has assigned or granted as against any one claiming the right under his assignment or grant. As to the rest of the world, the patent may have no efficacy and create no right of monopoly; but the assignor can not be heard to question the right of his assignee to exclude him from its use.”
Scott Paper,
. Although we noted this fact inT & B I, 65 F.3d at 659-60, we went on to discuss whether the differences between the present case and Voma-do dictated a different result. Our discussion of this issue was purely dicta, however, since the outcome of the case was resolved on another basis, and does not constitute the law of the case or any other binding precedent for our current consideration:
. Since we do not separately reach the merits of this argument, we need not decide whether T & B’s assertion that the oval-shaped head was not part of the "best mode” is- correct.
. In its brief, Panduit cites
Textron, Inc. v. U.S. Intern. Trade Com’n,
. These knobs attached to a car’s steering wheel and allowed the driver to turn the car by spinning the knob rather than by turning the wheel itself. Young people of the day referred to them as "necker's knobs” since only one hand was used to turn the wheel. Power steering made the knobs obsolete.
. The parties’ briefs and appendices are subject to a confidentiality agreement and, accordingly, both parties have filed confidential and nonconfi-dential versions. Where necessary, as here, we have omitted confidential information from this opinion.
. X & B does not present any arguments in its brief relating to the fraudulent procurement claim, and as such we need not address it.
Ricci v. Arlington Heights, III.,
