Blue Bell, Inc. v. Farah Manufacturing Co., 508 F.2d 1260 (1975) p.160
SUBJECT
Priority and concurrent use
ISSUE
Which party established prior use of the mark in trade. Whether Farah's sale and shipment of slacks to twelve regional managers constitutes a valid first use of the Time Out mark.
RULE
Secret, undisclosed internal shipments are generally inadequate to support the denomination "use." Mere adoption of a mark without bona fide use, in an attempt to reserve in for the future, will not create trademark rights.
HOLDING
What is the test for establishing priority of trademark (who gets to use mark if both started using it around the same time)?
Test is who is first to make a bona fide sale or shipment to intended market and on the intended product or service that you intend to use it.
RATIONAL
Internal shipments are not valid for trademark reservation because salespeople are not intended purchasers of product.
Created on: Tuesday, January 25, 2000 at 18:08:17 (PST)