September 24, 2001

Federal Court Awards Auto Wax Over $ 3.6 Million For Clay Patent Infringement 

Mark V Ordered To Stop Selling Infringing Clay

On September 20, 2001 federal judge Barbara Lynn ordered Mark V Products, Inc. to pay Auto Wax over $3.6 million for its infringement of Auto Wax’s U.S. Patent No. 5,727,993, including treble (triple) damages, $1.2 million in attorneys’ fees, and over $131,000 for prejudgment interest.  Mark V was also ordered to pay court costs, including mediation fees and special master fees.  Mark V was also ordered to pay Auto Wax $78,070 for infringing Auto Wax’s RED HOT® trademark.

In addition, Mark V was ordered to stop all importation, manufacture, use, offers for sale, and sales of infringing clay, and Mark V was ordered to stop using Auto Wax’s RED HOT® trademark. 

Mark V was ordered “to take nothing on its counterclaims,” including its counterclaims that  the ‘993 patent at issue was invalid.

The court confirmed that the unanimous jury verdict previously rendered in this case on July 6, 2001 was supported by sufficient evidence “in all respects.”  The court found that “judgment on that verdict in favor of Auto Wax is legally appropriate.”

            Auto Wax’s President, David Miller, stated:  “This is a significant milestone for our company and the whole industry.  After almost 2 ½ years of protracted litigation, a federal jury and judge have now confirmed that our clay patent is valid.  The patent broadly covers many clays used for automobile detailing.  Mark V hired one of the biggest law firms in the nation to try to beat our patent, and they failed in all respects.” 

Auto Wax sells Clay Magic®, the industry’s leading surface preparation bar. Auto Wax owns six patents relating to clay products and provides private label clay to the automotive industry.  For more information, contact David Miller.



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