PEI Licensing, the company behind the Original Penguin clothing brand, has filed a lawsuit against the unusual Pudgy Penguins token project, alleging trademark infringement, dilution and unfair competition.
The lawsuit, filed in federal court in Florida on Wednesday, focuses on claims surrounding Pudgy Penguins apparel, accusing the company of using “a family of penguin marks that are confusingly similar to themselves.”
“This action results from the defendant’s unauthorized use and attempted registration of various PENGUIN word and design trademarks in connection with apparel-related goods and services that are confusingly similar to the federally registered and well-known PENGUIN trademarks and the PENGUIN design,” PEI said in its complaint.
PEI claimed in its lawsuit that it had been using the “PENGUIN word mark” since at least 1967 and had first used the “penguin design” on clothing in 1956.
PEI Licensing said it sent a cease and desist notice to Pudgy Penguins in October 2023, alleging that “its products infringe and dilute PEI’s popular PENGUIN trademarks.”
The letter also requires Pudgy Penguins to drop applications to the US Patent and Trademark Office “to register various PENGUIN trademarks,” according to the lawsuit.
PEI alleged that Pudgy Penguins had “misappropriated valuable PEI property rights” that was “likely to cause confusion or mislead or deceive members of the consuming public”.
PEI asked the court to order the USPTO to reject Pudgy Penguins’ applications and stop the company from infringing its trademark.
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It has also requested that Pudgy Penguins be ordered to destroy any products “identifying” with the PEI trademarks and to receive all profits from the sale of such products.
In response to the lawsuit, the Pudgy Penguins X account posted a note indicating that its branding is not identical to Original Penguin.
Cointelegraph has contacted Pudgy Penguins for comment.
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