J&J sues Red Cross over red cross
Consumer products company files lawsuit, alleges that use by relief organization disrupts a century-old understanding.
Johnson & Johnson on Wednesday sued the American Red Cross over the use by the relief group and its partners of J&J's trademark red cross logo on first aid kits, hand sanitizer and medical gloves sold to the public.
Among other things, J&J (Charts, Fortune 500) asked the court to prohibit sales of those items and order the defendants to turn over unsold goods and related marketing materials and all monetary gains from sales of the disputed items, which are sold in stores such as Target (Charts, Fortune 500) and Wal-Mart (Charts, Fortune 500).
In its lawsuit filed in U.S. District Court for the Southern District of New York, the maker of Band-Aids said it has for more than 100 years "owned exclusive trademark rights in the Red Cross Design for first aid and wound care products sold to the consuming public, including first aid kits."
J&J said American Red Cross founder Clara Barton in 1895 signed a deal with J&J agreeing and acknowledging the company's "exclusive use of a red cross as a trademark and otherwise for chemical, surgical, pharmaceutical goods of every description."
Until recently, the two sides have cooperated amicably in enforcing their respective rights, J&J said.
Merck, Sanofi lab probed for foot-and-mouth
Mark Everson, American Red Cross president and chief executive, called the lawsuit "obscene" and said the first aid kits and other items promote its humanitarian aim of helping Americans prepare for a disaster.
The money Red Cross receives from sales of the products is reinvested in its humanitarian programs and services, he said.
Everson said the group's partners, Learning Curve International, Magla Products, Water-Jel Technologies and First Aid Only, also receive money from the sales.
Asked if American Red Cross approached J&J about partnering on the kits, Everson said the deals were struck before he took the helm at the group.
"Our outside lawyers have looked at this and think we're on sound ground with what we're doing," Everson said. "We're helping Americans."
(Published by CNN, August 9, 2007)
____________________________