Checkpoint Systems v. Check Point Software

Citation: Checkpoint Sys., Inc. v. Check Point Software Techs., Inc., 104 F.Supp.2d 427 (D.N.J. 2000)(full-text).

Factual Background
In this action for trademark infringement and unfair competition, both parties used the trade name and trademark CHECKPOINT in the broad “corporate security industry,” but the parties’ products were different and noncompetitive. Plaintiff sold electronic-security equipment and systems to help retailers protect against the physical theft of merchandise from stores, whereas defendant sold computer software that protected the electronic flow of information. Defendant also used the domain name “checkpoint.com” to promote its products.

Trial Court Proceedings
Even though the parties’ marks were essentially identical, the court found no likelihood of confusion following a bench trial because there was almost no overlap between the physical and network security industries and the parties’ products were “expensive, highly specialized in function, and subject to long sales processes. . . .” The two companies also advertised to different, highly specialized consumers and promoted themselves in different media and trade shows.

Additionally, there was no evidence of actual consumer confusion. Even though plaintiff’s products were “becoming more reliant on computer software and the Internet,. . . this fact of modern life does not turn plaintiff into an Internet company.”

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