Buetow, et al. v. A.L.S. Enterprises, Inc., et al, No. 10-2415 (8th Cir. 2011)
Annotate this CaseFive hunters commenced this purported class action against A.L.S. Enterprises, and three of its licensees (collectively, defendants), who sell odor absorbing clothing under various brand names in retail stores and mail order catalogs, alleging that defendants violated the Minnesota Consumer Fraud Act (MCFA), Minn. Stat. 325F.69, subd. 1; the Minnesota Unlawful Trade Practices Act (MUTPA), Minn. Stat. 325D.13; and the Minnesota Uniform Deceptive Trade Practices Act (MDTPA), Minn. Stat. 325D.44, subd. 1. Defendants appealed the grant of a permanent injunction, arguing that the district court erred in its literal falsity determinations and in granting an injunction based solely on those determinations. The court held that plaintiffs failed to prove both the requisite irreparable injury and their core allegations that defendants' use of the terms "odor eliminating" and "reactivation" were literally false. Accordingly, the court directed the district court to enter an order dismissing with prejudice all claims for equitable relief. The court held, however, that plaintiffs' individual claims for damages could not be resolved on this summary judgment record. Accordingly, the court remanded for a determination of those claims applying the standards prescribed in Wiegand v. Walser Auto. Groups, Inc.
Court Description: Civil Case - Lanham Act injunction. The district court erred in granting an injunction enjoining literally false ads without proof of irreparable harm. Proof of irreparable injury is required under Minnesota Consumer Fraud Act and Minnesota Unlawful Trade Practices Act. Under Lanham Act, message must be both false and misleading. It was error to enjoin all uses to the term "odor eliminating" as literally false. Judge Melloy dissents in part.
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