Pacific Telesis Group, a Nevada Corporation v. International Telesis Communications, a California Corporation

In 1988, Pacific Telesis Group (PTG) brought an action against International Tel-esis Communications (ITC) for infringement of its service mark in violation of the Lanham Act, 15 U.S.C. § 1114 and Cal.Bus. and Prof. Code § 14400; for false designation of origin contrary to the Lanham Act, 15 U.S.C. § 1125 (a); and for unfair competition contrary to Cal.Bus. and Prof.Code § 17200. The district court found these violations to have occurred, 795 F.Supp. 979 . We affirm.

FACTS

PTG was formed in 1983 in anticipation of the court-mandated break-up of American Telephone and Telegraph Company. It was to take over the businesses of AT & T’s regional subsidiary, Pacific Telephone .and Telegraph Company, and Pacific Telephone’s subsidiary, Bell Telephone Company of Nevada. It was incorporated on October 26, 1983 and became the holding company for the operating companies in California and Nevada. Its subsidiaries were Pacific Bell, Nevada Bell, Pac Tel Publishing, Pac Tel Communications Services and Pac Tel Mobile Access.

Prior to the incorporation of PTG, -the executives of Pacific Telephone had selected Pacific Telesis Group as the name for the new holding company. On August 5/1983,…