Neuros Co., Ltd. v. Kturbo, Inc.

Federal 7th Circuit Court
Criminal Court
Case Number: 
Nos. 11-2260 and 11-2375 Cons.
Decision Date: 
October 15, 2012
Federal District: 
N.D. Ill., E. Div.
Affirmed and reversed in part and remanded
Dist. Ct. did not err in finding in favor of plaintiff in its defamation claim against defendant arising out of series of PowerPoint slides presented by defendant to engineers/customers of turbo blowers used in waste treatment plants where plaintiff alleged that said slides contained fraudulent misrepresentations that were disparaging about plaintiff’s turbo blowers. Record showed that accusations made by defendant were false and were based on computational errors, and that defendant was previously warned by disinterested individuals that said accusations were false. Moreover, Dist. Ct.’s awards of $10,000 in compensatory and $50,000 in punitive damages were appropriate given defendant’s potential gains if it succeeded in convincing customers to purchase turbo blowers from defendant. Dist. Ct. erred, though, in dismissing plaintiff’s Lanham Act claim where Dist. Ct. improperly believed that defendant’s PowerPoint slides did not qualify as requisite advertising or promotion.