Plush wars? Squishmallows toy maker and Build-A-Bear sue each other over ‘copycat’ accusations

Category: Business

Listening

Unlocking Word Meanings

Read the following words/expressions found in today’s article.

  1. sharp elbows / ʃɑrp ˈɛl boʊz / (idiom) – an aggressive and competitive behavior to advance or succeed in one’s goals and interests
    Example:

    She is known for having sharp elbows in sales. She always does her best to get new customers.


  2. distinctive / dɪˈstɪŋk tɪv / (adj.) – having a quality or characteristic that makes someone or something different from others; different in a way that is easy to notice
    Example:

    Van Gogh’s distinctive style of painting wasn’t popular during his time.


  3. vigorously / ˈvɪg ər əs li / (adv.) – in a way that is full of force or energy
    Example:

    The workers vigorously protested against the new company policies, demanding better working conditions.


  4. unenforceable / ˌʌn ɪnˈfɔr sə bəl / (adj.) – relating to a rule or law that is impossible to make people follow it
    Example:

    The new law was considered unenforceable because it went against current laws.


  5. skyrocket / ˈskaɪˌrɒk ɪt / (v.) – to increase quickly to a very high level or amount
    Example:

    After the release of the product’s new ad, sales skyrocketed within days.


Article

Read the text below.

It turns out there are lots of sharp elbows in the plush toy business. Build-A-Bear and the makers of Squishmallows are facing off in federal court.


Kelly Toys and its Berkshire Hathaway-controlled parent company Jazwares have sued Build-A-Bear, saying its new “Skoosherz” toys copy the look and feel of their mega-popular Squishmallows products.


The Skoosherz line, which Build-A-Bear began selling last January, has the “same distinctive trade dress” of Squishmallows, the complaint filed says, pointing to similarities in shape, face style, coloring and fabric.


“If a picture is worth a thousand words, comparing the Squishmallows original products to Build-A-Bear’s copycats speaks volumes,” Moez Kaba, an attorney representing Kelly Toys and Jazwares, said in a statement. The companies will “vigorously defend” their intellectual property rights, he added.


Jazwares is seeking unspecified damages and for Build-A-Bear to stop selling Skoosherz products.


But Build-A-Bear hit back with its own lawsuit, claiming Skoosherz does not infringe on the Squishmallows makers’ rights. It wants a declaratory judgment saying that the Squishmallow maker’s claimed trade dress rights are invalid and unenforceable.


The St. Louis-based retailer says Skoosherz products are based on its own original plush animals, “which have been sold for a number of years.” The lawsuit notes that products from other companies using features laid out in Jazwares’ complaint were around long before Squishmallows were created.


“If each aspect of the claimed trade dress were in fact protected trade dress, it would be virtually impossible for competitors to create alternative designs,” Build-A-Bear added. It said Squishmallows’ own line has also evolved and is not always consistent.


Squishmallows were created in 2016 and have skyrocketed in popularity. According to market research firm Circana, the brand’s 8-inch plush assortment was the top-selling toy in the U.S. last year. The toys also have become an online sensation. Celebrities like Kim Kardashian and Lady Gaga, for example, have shared images of their collections on social media.


In a statement, Jazwares accused Build-A-Bear of going to great lengths to capitalize on Squishmallows’ success. Jazwares’ lawsuit, filed in the U.S. District Court for the Central District in California, added that Skoosherz’s look, name and marketing have already confused consumers — causing potential losses in sales.


This article was provided by The Associated Press.


Viewpoint Discussion

Enjoy a discussion with your tutor.

Discussion A

  • In your opinion, is it possible for companies to create original designs in the toy industry, considering there are a lot of toys already on the market? Why or why not? Discuss.
  • Should businesses be allowed to sue other companies for creating similar products even if they are not exact copies? Why or why not? Discuss.

Discussion B

  • Celebrities like Kim Kardashian and Lady Gaga have shared on their social media their Squishmallows collections. Do you think a product’s popularity is greatly affected by the celebrities promoting it? Why or why not? Discuss.
  • Do you think Squishmallows would still be popular if it weren’t for the social media posts of celebrities? Why or why not? Discuss.