Jay Franco & Sons, Inc. v. Franek
United States Court of Appeals for the Seventh Circuit
615 F.3d 855 (2010)
Clemens Franek (defendant) designed a circular beach towel, marketed as both a fashion item and a practical way for sunbathers to reposition themselves as the sun moved without having to move their towel. Franek trademarked the round design, even though other parties held expired patents describing round beach towels with the same repositioning benefit. Franek later sued retailers selling Jay Franco's (plaintiff) round towels for infringement; Jay Franco sued Franek seeking a declaration that his trademark was invalid as functional. The district court agreed the design was functional and granted summary judgment for Jay Franco. Franek appealed.
Whether a design that produces a benefit other than source identification is functional, making it ineligible for trademark protection.