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Colorado Mechanics Accused of Infringing BMW Logo.

DENVER, May 1, 2009 -- German car company BMW initiated a federal lawsuit against Colorado auto mechanics Autowerks East, Inc. for displaying the BMW "Roundel" logo in their marketing.

The action filed in the U.S. District Court for the District of Colorado was brought by BMW of North America because of the mechanics display of the BMW "Roundel" trademark on the mechanic's signs and web site.

The "Roundel" logo is the famous trademark usually associated with BMW consisting of two concentric circles, with the inner circle divided into quarters and the outer circle with the capital letters "BMW." BMW has federally registered at least different variations of the basic "Roundel" trademark.

Apparently the mechanics were using the trademark to indicate they provide repair and maintenance services on BMW manufactured automobiles, along with trademarks belonging to Porsche, Audi, Jaguar and Mercedes-Benz..

BMW claims to have taken substantial steps to unsure that authorized dealers and service providers displaying the "Roundel" trademark are of the highest quality to create and maintain goodwill associated with the mark. They accuse Autowerks East, Inc. of never obtaining permission to use the "Roundel" logo.

The complaint as filed alleges that BMW sent three cease and desist letters to Autowerks East, Inc. before instituting court proceedings.

BMW is seeking compensatory damages, punitive damages, attorneys fees, removal of all BMW trademarks from Autowerk's marketing materials, and a permanent injunction prohibiting further use of BMW trademarks.