Smart Inventions, Inc. v. Allied Communications Corp.

ORDER RE: SMART INVENTION’S APPLICATION FOR PRELIMINARY INJUNCTION

Plaintiff Smart Invention Inc.’s application for a preliminary injunction came on regularly for hearing before this Court on March 20, 2000. After reviewing the materials submitted by the parties, argument of counsel, and the case file, it is hereby ORDERED that the application is GRANTED with MODIFICATIONS.

I. Background

This case involves two competing direct marketing sellers of the same product — a disk-shaped battery-operated light that illuminates when its dome is pressed. Plaintiff markets its light under the name “Tap Light,” and Defendants market their light under the name “Click Light” (collectively, the “Light”). In August 1999, Plaintiff finished shooting its television commercial for the Tap Light. In mid-August 1999, Plaintiff tested the commercial with limited air time purchases. Satisfied with the viewer responses, in late August 1999, Plaintiff rolled out the commercial nationwide. Since September 1999, Plaintiff has spent more than $5 million in advertising and promotion of the Tap Light. Plaintiff sells six Tap Lights for $19.95.

In October 1999, Defendants produced a series of commercials…