The US Supreme Court is not toying with Disney’s trademark infringement claims over its use of a teddy bear in the 2010 film “Toy Story 3” that resembled a teddy bear created by a New Jersey toymaker in 1994, according to a Reuters report.
Randice-Lisa Altschul, of Diece-Lisa Industries, claimed that Disney infringed on her trademark rights with her character “Lots-o’-Huggin’ Bear,” which resembled “Lots of Hugs,” a stuffed animal with sleeves that could simulate an animal hug.
In a ruling that overturned two earlier district and appellate rulings that said Disney has First Amendment rights protections, the nation’s highest court on Tuesday told the entertainment company it must face the toymaker̵7;s lawsuit.
Altschul’s company told the Supreme Court that Disney should not have been protected under a legal construct known as the “Rogers test” that “has allowed artists to lawfully use trademarks without permission when the use has artistic relevance to their work and would not expressly mislead consumers.” Reuters reported.
The Supreme Court, which had recently ruled similarly over Jack Daniel’s bottled dog chew toys, agreed.