Business and Tax Lawyer Blog

That's right, removing a UPC can amount to trademark infringement in some instances. Such was the case between retailer CVS and luxury fragrance company, Zino Davidoff. Davidoff packages and distributes luxury products like the Cool Water fragrance, which is preferably placed in similar high-end luxury retail outlets.

In order to maintain high quality and prevent counterfeiting, Davidoff uses a unique UPC with its products. The barcodes contain information such as the ingredients of the product, where it was made, and information about the product's line of distribution. This way, Davidoff is able to easily determine where all its products are in the event of a merchandise recall due to defects.

Davidoff discovered that CVS was selling its merchandise with the barcodes removed and brought a lawsuit for trademark infringement. The matter ended up in the United States Court of Appeal, which ruled in favor of Davidoff. The Court did not accept CVS's argument, that the goods being sold were genuine products, but rather held that removing Davidoff's unique barcodes would "subvert [a] quality control measure," reducing the value of the company's trademark as well as altering the distinctive packaging.

What this case means is that retailers should think twice before altering the appearance of a vendor's merchandise. Additionally, manufacturers now have greater trademark protection. For more information about how a trademark could protect your business, product, or service, get in touch with a trademark attorney to arrange a consultation.