Court Dismisses Pacamor-Kubar Suit Against AST Bearings

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Jan 19,2007

The U.S. District Court, Northern District of New York, in Binghamton, has dismissed a suit filed by Pacamor-Kubar Bearings against AST Bearings (a division of AXSYS Technologies). Pacamor-Kubar alleged AST sold miniature ball bearings from Sapporo Precision (China) as bearings from Koyo Seiko (Japan). Pacamor claimed unfair competition and cited the Lanham Act, which regulates the trademarking and presentation of goods in the United States. The complaint, originally filed in 2004, was dismissed by Judge Thomas J. McAvoy. AST Bearings is represented by Andrew Rose, of Nixon Peabody LLP. Pacamor-Kubar is represented by Glenn Ripa. Pacamor-Kubar is not afraid of litigation; in 1990, CEO Gus Sperrazza sued NHBB and parent Minebea (Japan), claiming unfair competition over the construction of its miniature ball bearings. Mr. Sperrazza has said an out-of-court settlement of that suit is what helped Pacamor-Kubar through its most difficult times. The Lanham Act is also known as the Trademark Act of 1946. Lanham Act arguments do not have a good history of success in bearing industry litigation. In 2005, SKF lost a much-watched case against "gray market" bearing importers, in part claiming Lanham violations. In the late 1990's, Brenco unsuccessfully cited Lanham arguments in its long-running and litigious feud with RBI.

(ebearing)

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