Legal Document

351 U.S. 79 76 Supreme Court Reporter 600 100 L.Ed. 953 AMERICAN AIRLINES, Incorporated, Petitioner,v.NORTH Incorporated. Number 410. Argued March 6 and 7, 1956. Decided April 23, Mr.Howard C. Westwood, Washington, D.C., for petitioner. Mr. Walter Judge Derenberg, New York City, respondent. Justice MINTON delivered the opinion of Court. 1 Twentieth Century Airlines, Inc., was issued a letter registration as large irregular air carrier by Civil Aeronautics Board in 1947. For some reason, beginning 1951 it conducted its business under name North American Airlines. On 3, 1952, amended articles incorporation so legally to change Incorporated By dated 11, requested C.A.B. reissue new corporate name. The took no action on that request, but rather, August adopted an Economic Regulation requiring every after November 15, do which issued. 14 Code Federal Regulations § 291.28. explained would allow continued use different good will had become attached, except where such constitutes violation 411 Act, 52 Statutes-at-Large 1003, amended, 66 628, 49 United States KF62 491, Annotated KF65 U5 prohibits unfair or deceptive commercial practices methods competition. 17 Fed.Reg. 7809. 2 October 6, respondent applied permission continue name, 'North Airlines.' Petitioner, 17, filed memorandum with requesting denial American's application reasons, among others, American' infringed upon long-established trade 'American,' constituted method competition Act. Board, authorized 411, own motion instituted investigation hearing into whether there American. It consolidated proceeding matter registration. granted leave intervene proceeding. 3 After extensive hearings, found respondent's transportation industry, competed American, caused 'substantial public confusion,' 'likely continue' 'an practice within meaning Section 411.' Docket Nos. 5774 5928 (Nov. 4, 1953), 14—15 mimeo). interest required elimination accordingly denied ordered 'cease desist from engaging Inc.,' Airlines,' American,' any combination word 'American." Id., at 15—16. petition review Appeals District Columbia set aside Board's order. 97 U.S.App.D.C. 85, 228 Reporter, 2nd Series 432. having been admitted party below intervention, sought, we granted, certiorari. 350 894, 154. 4 As understand opinion, order because this inadequate justify exercise jurisdiction 411. Although court critical finding did not, disposition case, expressly disturb other findings. purposes here, accept findings, is cause evidence. Universal Camera Corporation versus National Labor Relations 340 474, 71 456, 95 has present posture case before us. questions then presented are confusion between parties' names justified protect kind could support conclusion statute 5 This first impression That section provides 'The may, initiative complaint * if considers be public, investigate determine engaged sale thereof.' 7 If finds engaged, 'it shall cease competition.' modeled closely Trade Commission Act,1 similarly 'unfair commerce, acts practices' issuance 'if appear public.' 38 719, 15 45, 45. We may profitably look judicial interpretation aid resolution raised here 8 should noted outset 'interest public' both not prerequisite such. Rather, consideration made condition assumption agency they unfair. Thus, held that, 5, employ powers vindicate private rights facts, developed, show sufficiently 'specific substantial' authorize question subject review. Klesner, 280 19, 50 1, 74 138. See also R. KF105 F3 Keppel & Bro., 291 304, 54 423, 78 814; Royal Milling Co., 288 212, 53 335, 77 706. 9 In Klesner two retailers, long history acrimonious personal relations, were operating stores called 'Shade Shop.' merely resolving their dispute issuing complaint. courts law open competitors settlement legal rights, one against other. mandate Congress, charged protection affected carriers field transportation. exercising our function generated facts giving rise dispute, must take account significant differences concerned purely enterprises cover full spectrum economic activity. hand, conduct regulated system limited especial essential concern true all common utilities. Finally, Congress committed regulation industry administrative special competence deals only problems industry. 10 clashed specifically interest. Demonstrated origin major services obvious national concern. criteria employed created problem contained following quotation report: 11 '* record convincing requires prevent further intervenor due similarity names. maintenance high standards dealing expected carriers, right free inconveniences flow persons air. speed travel well diminished when passengers check flights wrong carrier, attempt retrieve baggage purchase direct inquiries carrier. Friends, relatives associates planning meet seeking information delayed arrivals annoyance worse confused involved. proper handling complaints members impeded whom presented. itself differ what purchaser anticipated (e.g., terms equipment), even though time place arrival about same. same cities adverse *.' 12—13 (mimeo). 12 Under speaks sit independently matters kind, judgment Board. decide whether, determining interest, stayed appropriate determination. done instant case. Considerations convenience traveling efficiency transport, reliance carrier's equipment properly justifies 13 argued cannot amount authorizing 'Unfair competition,' used broader concepts than common-law idea supra; Raladam 283 643, 648, 51 587, 590, 75 1324. punishment wrongdoing injured competitors, rather supra, pages 27—28, 3—4. have held, construing similar competitor, capacity confuse, deceive prohibited Commission. Algoma Lumber 67, 315, 655; Juvenile Shoe company Commission, Cir., 289 57. And see Pep Boys-Manny, Moe Jack, 122 158, confusing competitor. knowingly might confusion. But findings intentionally fraudulent thereby. Such reason require them page 81, 321; Eugene Dietzgen 142 321, 327; D.D.D. 125 679, 682; Gimbel Bros., 116 578, 579; Balme, 23 615, 621. S.Rep. 221, 75th Cong., 1st Sess. 2. inquire evidentiary type can therefore reversed. However, since decided supported substantial evidence whole, remanded proceedings light opinion. Reversed remanded. 16 DOUGLAS, REED concurs, dissenting. decides confusion' resulting 491. 18 enough impair—or imminently threaten impair—the service, N Dec. Immigration Nationality Decisions agree. construction give practical content phrase confusion.' Court, however, does service. There is, indeed, naked continue.' flight passenger confused; missed his plane checking ticket counter; boarded plane. 19 conceded using 'a serious sanction necessarily involves disturbance loss carrier: carrier.' (Italics added.) 20 permit find easily. actually impairment service least imminent threat impairment. Certainly 'may well' diminish travel—if grows proportions begin missing boarding planes. mere conjecture ever happen result American.' extent probably inquiry Pan-American surprising Eastern Northeast Western Northwest or, railroad Northern Pacific, Union Pacific Southern Pacific. dissenting member said: 21 'Since carries approximately 1/2 million each year over system, am impressed fact witnesses (principally those Airlines itself) testified existed offered contrary, greatly surprised, (in view several phone calls communications receives above received carries) demonstrable case.' 1—2 (dissenting opinion). 22 relies cases arising 57; 158. Those quite different. more bald found, number purchasers misled buying something thought buying. 72, 317. competitor ('Juvenile Corporation' "Juvenile Company, Inc.") mind 'inevitable.' 58. 'Juvenile' led believe goods company. 59. Boys approved test: natural probable petitioner makes average unwittingly, ordinary conditions he intend buy.' 161. bought flew mistaken belief flying mistakenly believing justified. reporting counter attempting analogy cases, situation few prospective walked store, never purchases there. 24 affirm Appeals. Hearings Subcommittee Senate Committee Interstate Commerce S. 3659, 3d 5; 83 Cong.Rec. 6726; 1760, Sess., Pt. 74.

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