The Legal and Economic Aspects of Gray Market Goods

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Greenwood Publishing Group, 1990 - Business & Economics - 230 pages
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The first comprehensive work on the subject, this volume covers all the legal and economic issues raised by gray market goods--genuine trademarked goods manufactured with the authority of the trademark owner but imported without that entity's permission. Seth Lipner analyzes in detail the relevant judicial decisions, administrative actions, and legislation and provides a thorough discussion of the trademark law, copyright, antitrust, customs practice, and fraud issues involved in the importation of gray market goods. Designed to help both the legal and business communities understand and evaluate gray market situations, the book is written with a minimum of legal jargon and contains a supplement of relevant statutes and governmental regulations. The author also provides realistic projections about the future viability of gray market goods.

Following an introductory chapter that explores the business and economics of the gray market, Professor Lipner reviews a number of early gray market cases. Subsequent chapters address specific issues raised by gray market activities and litigation. The chapter on trademarks includes in-depth discussion of such topics as proving local goodwill, injury and the gray market, and the single international enterprise disqualification. Turning to antitrust issues, Professor Lipner covers the history of vertical restraints, antitrust law and the gray market, and specific cases. The succeeding chapters examine, in turn, customs service policies vis-a-vis gray market goods, the question of title, and copyright law and the gray market. The final section examines the effects of state laws, the International Trade Commission, and how the laws of foreign countries affect gray market trade in the United States. Discussion of cases is included throughout to illustrate points made in the text. Attorneys involved in international trade practice as well as importers, trademark owners, and licensees will find this book an indispensable guide to the business and litigation of controversies over gray market goods.

  

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Contents

The Business of the Gray Market
1
Uncovering Gray Market Channels
3
The Economics of Gray Market
7
Guerlain and the Customs Service
20
BHMC and Osawa
23
Trademarks the Gray Market and the 1980s
34
Proving Local Goodwill
35
Injury and the Gray Market
42
The Question of Title Of Good Faith Purchasers Stolen Goods and Voidable Title
128
Johnson Johnson and the Gray Market
129
Good Faith Purchasers and the Gray Market
134
Of Stolen and FraudInduced Goods
138
Conclusion
139
Copyright and the Gray Market The Trade Commission and Foreign Laws
148
A Copyright Law Primer
149
Copyright and the Gray Market
150

The Single International Enterprise Disqualification
54
Conclusion
67
An Issue Lost but Not Forgotten
74
The History of Vertical Restraints in a Nutshell
75
Theories and Explanations
80
The Decided Cases
83
Conclusion
94
The Dispute over Regulations
104
The KMart Decision
111
In the Wake of KMart
117
Conclusion
124
Conclusion
158
State Laws the International Trade Commission and Foreign Laws
162
State Laws
163
The International Trade Commission
169
The Effect of Laws of Foreign Countries on Gray Market Trade in the United States
179
Epilogue
188
Statutes
192
Table of Statutes
222
Table of Cases
224
Index
228
Copyright

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About the author (1990)

SETH E. LIPNER is Associate Professor of Law at Bernard M. Baruch College, New York City.

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