03.03.06
Procter & Gamble Co. (NYSE:PG - News) is closely watching manufacturers that mimic its iconic brand packages or formulas in private label products, executives said. The company may file more claims against them soon.
In the last three months, P&G has already sued two companiesdue to products it found to be very similar to brands such as Charmin, NyQuil and Crest.
The claims are made regarding "trade dress," or packaging that mimics P&G packaging and patent infringement.
Often, retailers claim that they did not knowingly put items violating those trade dress or patent laws on their shelves.
"My general experience is the private label manufacturer knows they're doing something not quite right; the retailer doesn't necessarily know," McDonald said.
P&G most recently sued Vi-Jon Industries, alleging that Vi-Jon's mouthwash packaging and advertising claims infringe on its Crest Pro-Health oral rinse, as well as the blue color of the rinse precisely matches the shade of Crest Pro-Health.
It also reached a settlement with McLane Co. Inc. P&G said that McLane sold products with packaging that copied some of P&G's well-known brands, such as Charmin and NyQuil.
While McLane denied P&G's contentions, it said it would immediately redesign the packaging of its products.
A P&G spokeswoman said that the company typically has about five trade dress and patent claims each year. There has been one settlement, with McLane, and one outstanding suit, against Vi-Jon, so far this year.