Bear Lithia Springs Co. v. Great Bear Spring Co.
Bear Lithia Springs Co. v. Great Bear Spring Co.
Opinion of the Court
The opinion of the court was delivered by
The bill of complaint was filed in this cause by the Bear Lithia Springs Company, whose business is selling “Bear Lithia Water," to enjoin the Great Bear Spring Company, whose business is selling “Great Bear Spring Water," from applying the word “Bear” to the water so sold by it, and also from making any use of tlie said word or of the figure of a bear in connection with its said business, upon the ground that such practices by the defendant result in unfair competition from which the complainant has the right to be protected by injunction.
The learned vice-chancellor who heard the cause advised that the complainant’s bill be dismissed without regard to its merits,
We are not convinced of the propriety of the application that was thus made by the vice-chancellor of the ethical maxim of “clean hands” to the circumstances of the present case, but refrain from an extended discussion of the considerations that seem to us to be involved, for the reason that from our examination of the case we have reached the conclusion that the complainant is not entitled to relief upon the merits of the controversy, and hence that the decree of the court of chancery dismissing the bill of complaint should be affirmed.
The salient facts relied upon by the complainant in support of its claim of unfair competition by the defendant are that the parties are both engaged in the business of selling natural water; that the name of the water sold by each contains the word “Bear;” that the labels and literature used by each display a picture of the animal of that name, and that the titles of the two corporations are sufficiently alike to lead to confusion in the public mind.
The equitable question is whether the defendant is unfairly' profiting by these points of similarity.
The underlying facts necessary to the determination of this question are in part objective and in part historical.
Objectively the representations of a bear used by complainant and defendant respectively are as dissimilar as it is possible for them to be. The complainant’s bear is black'—in fact, is the common black American bear-—and is depicted as standing upon all fours on terra firma, with the words “Bear Lithia Water” conspicuously displayed, in pure white letters, across its entire side. The defendant’s bear, on the other hand, instead of being black, is white—is, in fact, the large white polar bear. Instead of being on all fours, it stands erect on its hind feet; instead of being on dry land it is in water in which ice is floating, or is crawling up on a floating cake of ice. Instead of presenting a side view it presents a front view, and instead of the lettering
Incidental reference has been made to the circumstance that the word “Lithia” came into the name of the complainant’s water contemporaneously with its exploitation as a medicinal agent. So firmly was this fact established before the learned vice-chancellor that it led him to deny any relief at all to the
In another significant respect, also, the complainant has directly brought upon itself the confusion of which it complains, viz., in the insertion of the word “Springs” in its corporate title, thereby making it quite similar to the title previously adopted by the defendant.
In April, 1899, the defendant was incorporated in this state under the name of “The Great Bear Spring Company.” At this time the complainant was carrying on business under the corporate title of the “Bear Lithia Water Company,” a title which, by the absence of the word “Spring,” was readily distinguishable from that of the defendant. But in August, 1899, the complainant also became incorporated in this state, and then inserted in its title the word “Springs,” thereby bringing upon itself whatever of confusion arises from the similarity of the two corporate titles in that respect.
It thus appears that the defendant has been guilty of no scheme of simulation leading to confusion, but, on the contrary, has exhibited a studied effort to avoid such a result; but that the complainant, on the contrary, has, either wittingly or unwittingly, so shifted its business and changed its title as to be in fact responsible for the very confusion which it now sets up as the basis for equitable relief.
The complainant also contends that the defendant’s use of the word “Bear” in “Great Bear Springs Water” is in effect a fraud perpetrated to injure complainant’s business.
This contention derives its main support from the circumstance that the first concern that handled the Great Bear Springs water was a partnership that, under the firm name of “The Pure Water Supply Company,” sold Great Bear Springs water under some sort of a license from the Eulton Water Supply Company. When the defendant acquired the rights of these two concerns in the sale of the Great Bear Springs water it took its corporate title from the already established name of the commodity in which it proposed to deal. So that whether in point of fact the water actually came from the Great Bear Springs is of little moment on the question of fraud. As a fact, the water was unquestionably named 'after a somewhat celebrated group of springs in Oswego county, New York, which as early as 1860 at least are shown by the testimony to have been called “The Bear Springs” or “The Great Bear Springs.” The physical conditions affecting these springs were such that those at quite a distance from a given member of the group would be appreciably affected by conditions affecting the latter. This circumstance accounts for the extension of the name in a somewhat loose way to springs in the vicinage without any very great attempt at geodetic accuracy. The principal spring of the group had unquestionably been absorbed by the water works system at Eulton, which had licensed the predecessor of the defendant to sell water from more distant springs as Great Bear Springs water. Whether there is any direct physical connection between the defendant’s spring and the original Great Bear Spring is a fact that is quite difficult to determine from the testimony and quite unimportant in its bearing upon the issue. The material fact is that, whether accurately or inaccurately from a hydrostatic
A review of the entire testimony satisfies us that the complainant has failed to make out a case of unfair competition, and as the decree of the court below was that the complainant’s bill should be dismissed, we affirm that decree, for the reasons we have briefly indicated.
Reference
- Full Case Name
- Bear Lithia Springs Company v. Great Bear Spring Company
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- 3 cases
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- Published