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Texas Craft Brewer Blocks Calif. Rival's Use Of 'Fireman' Mark

Law360, Dallas (November 18, 2016, 7:34 PM EST) -- Texas craft brewer Real Ale, which makes the popular blonde ale “Fireman’s No. 4,” has convinced California-based Fireman’s Brew Inc. to stop using the Fireman’s mark to sell beer in Texas, as part of a settlement entered Thursday ending a trademark infringement suit in Texas federal court.

Real Ale owner Humulus Lupulus Enterprises Inc. and Fireman’s Brew on Nov. 11 asked the court to sign off on an agreed permanent injunction, and U.S. District Judge Sam Sparks entered judgment Thursday.

Court filings show the parties agreed to a permanent injunction that prevents Fireman’s Brew and related entities from using the “Fireman’s” mark or confusing similar variations of the mark to sell beer in Texas. The parties did not disclose whether any money changed hands as part of the agreement.

“The terms of the settlement are confidential, and we have no comment,” David Johnson, chief operating officer of Fireman’s Brew, told Law360 Friday.

Counsel for Real Ale did not immediately respond to a request for comment.

Real Ale filed the suit in August, accusing Fireman’s Brew of federal trademark infringement, common law trademark infringement and common law unfair competition for entering into the Texas beer market several years after Real Ale had become an established brand and popularized its Fireman’s No. 4 ale.

Real Ale, headquartered in Blanco, Texas, claimed it had superior common law rights to the Fireman’s mark and that its competitor’s “unlawful activities have confused, misled or deceived, and are likely to confuse, mislead or deceive current or prospective customers.” It had asked the court to block Fireman’s Brew from selling its beers in Texas and receiving the benefit of Real Ale’s good will.

Real Ale said in the suit that since it started off in the basement of an antique store 20 years ago, it had grown into a recognizable brand in Texas and gained national acclaim. The company’s flagship beer “Fireman’s No. 4” was introduced in 2002 and has received national recognition, according to the suit.

Although Real Ale has achieved national notoriety, it still relishes its Texas roots and the development of its brand throughout every major city in the state, the company said.

In June, Real Ale became aware Fireman’s Brew — founded in California nine years after Real Ale’s inception — had begun selling beer under the “Fireman’s” name in Austin and other cities in Texas, according to the complaint. Also, one of the beers that Fireman’s Brew began selling is a blond ale, “much like Real Ale’s own Firemans No. 4,” the company said.

Real Ale had asked the court to preliminarily and permanently enjoin Fireman’s Brew from using the relevant marks on its goods sold in Texas and award compensatory and exemplary damages and attorneys' fees.

Real Ale is represented by Stephen C. Stout, W. Scott Brown and Sean M. Hill of Vinson & Elkins LLP.

Fireman’s Brew is represented by Ashley Bolduc of FitzGerald Yap & Kreditor LLP.

The case is Real Ale Brewing Co. v. Fireman’s Brew Inc., case 1:16-cv-00963, in the U.S. District Court for the Western District of Texas.

--Additional reporting by Alex Wolf. Editing by Philip Shea.

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