Quality Inns International, Inc. v. McDonald's Corporation

Quality Inns (plaintiff) planned to launch a new hotel chain called "McSleep Inn," prompting internal questions of "What will McDonald's think?"; both parties' consumer surveys showed substantial confusion with McDonald's (defendant) marks -- over 30% in McDonald's survey and still over 16% in Quality's own survey, even with qualifying language. Quality sought a declaratory judgment of non-infringement, and McDonald's counterclaimed for infringement, unfair competition, and dilution.