Second Circuit Strengthens Grey Goods Enforcement Law

Milton Springut, New York Law Journal

December 13, 2016

As the world economy becomes more and more global, the norm has become that manufacturers distribute their products internationally, or at least in many other countries.  A by-product of such international distribution is that price points may well vary between countries, with the existence of dealers seeking to exploit these price differentials by importing goods into the U.S. market, where sale prices are often higher.   This is commonly referred to as the “grey market.”  Companies often look to intellectual property law to help them control that market. 

Our article in the New York Law Journal, Second Circuit Strengthens Grey Goods Enforcement Law, discusses a recent trademark case brought by Abbott Laboratories, the manufacturer of pharmaceuticals and medical devices.  The Second Circuit affirmed a preliminary injunction against the grey goods importer and the distribution network of retailers, mainly pharmacies.  The opinion offers several instructive lessons about how trademark owners plagued by grey goods issues can use their trademark rights to control this market  

Click here to get the article.