Judge rules for American Red Cross in J&J case

By Leslie Gevirtz

NEW YORK (Reuters) - The American Red Cross can continue to use its iconic emblem, a federal judge ruled on Thursday, in a case that pitted Johnson & Johnson against the humanitarian organization and four of its licensees.

J&J, which also uses the symbol, filed suit in U.S. District Court in Manhattan against the American Red Cross and four of the charity's licensees, seeking to prevent them from using the "Greek red cross on a white ground," claiming that it is a trademark violation and that the humanitarian group was barred from using it for commercial purposes.

But U.S. District Judge Jed Rakoff disagreed, noting that the American Red Cross had used the emblem for more than a century and was authorized to do so by various Geneva Conventions and the U.S. Congress.

In his 34-page decision, Judge Rakoff said the "real question" was whether the permission given by U.S. statute to the American Red Cross to use its logo included commercial purposes. The judge ruled the answer was yes.

The American Red Cross and its partners use the logo on products including first aid, health, safety and emergency preparedness products sold in U.S. retailers such as Target Corp, Wal-Mart Stores Inc, Walgreen Co and CVS Caremark Corp.

The organization says the money it receives from the sales is reinvested in its humanitarian work.

Judge Rakoff left intact only a part of the suit that contends the American Red Cross purposefully interfered with J&J's business relationship with two of the four companies.

The American Red Cross entered into licensing agreements with Learning Curve International Inc and three privately held companies: Magla Products LLC, Water-Jel Technologies Inc and First Aid Only Inc.