Western District Denies Injunction Motion in Yarn False Advertising Case
Seattle yarn distributor Cascade Yarns, Inc., brought a false advertising case against its New York rival, Kitting Fever, Inc. (KFI). It alleges KFI falsely labels its yarns as containing “milk protein fiber” and that its use of the word “milk” deceives consumers into believing that KFI’s fiber is natural when it is not. (Statement from Cascade describing the dispute here).
Cascade moved for a preliminary injunction to enjoin KFI from such conduct.
On Aug. 8, Western District Judge Ricardo Martinez denied the motion because it wasn’t sufficiently clear that Cascade was likely to prevail on the merits.
In the court’s words: “The parties’ moving papers and arguments reveal disputes of fact that preclude the Court from determining whether Cascade is likely to prevail on the merits of a Lanham Act false advertising claim. First, the parties offer expert declarations providing contrary opinions on the fiber content of the subject yarns. Second, the experts contest the appropriate testing method in determining fiber content.” The court declined to decide the “falsity” element based on the limited record presented to it.
The court also found that Cascade had not carried its burden of establishing that consumers had been deceived by KFI’s use of “milk” on its labels.
“Cascade argues that labeling the fiber ‘Milk’ is not accurate because the proper name is either ‘Azlon’ or ‘Polylactide’. Cascade further maintains that using the word ‘Milk’ is deceptive because it ‘implies [that] the milk protein fiber is a natural product’ although it is not natural. KFI counters by arguing that Cascade provided no support for its contention. The Court agrees with KFI. Cascade has failed to meet its burden of demonstrating that a significant portion of consumers have been misled by the word ‘Milk.’ Accordingly, Cascade is not entitled to a preliminary injunction on this basis of consumer deception.”
The case cite is Cascade Yarns, Inc. v. Knitting Fever, Inc., No. 10-861 (W.D. Wash. Aug. 8, 2011) (Martinez, J.).
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