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Honda Brings Trademark Action Against Dealer For Parking Hondas on a Ford Lot.

SELMA, April 30, 2009 -- American Honda Motor Co. Inc. filed suit today against a Honda dealership because they repeatedly parked Honda cars on the lot of a Ford dealership.

The complaint filed in the U.S. District Court for the Southern District of Alabama accuses the Moore-Stewart Group, Inc., commonly known as Moore-Stewart Honda, of breaching their Dealer Agreement in addition to infringing the HONDA tradeark.

The Dealer Agreement executed by the parties specifies the only authorized location for the Moore-Stewart Honda dealership was their own lot located at 1796 Highway 14 East in Selma.

On March 10, 2009 a representative of American Honda visited the Moore-Stewart Honda dealership and discovered a number of new Honda vehicles parked across the street on the lot of a Ford dealership. The complaint alleges the at the Ford dealership shares some common ownership with the owners of Moore-Stewart Honda. When American Honda complained, representatives of Moore-Stewart Honda allegedly promised to return the stray Honda vehicles back to their own lot.

A representative of American Honda visited Moore-Stewart Honda dealership again on March 6, 2009 to find new Honda vehicles across the street at the Ford dealership. Such was the case again on March 18th.

Moore-Stewart Honda is alleged to have asked American Honda via a letter dated March 19th for permission to hold a sales event from the unauthorized location to last from March 21st through March 31st. American Honda agreed. Then on April 1st Moore-Stewart Honda sent a letter to American Honda announcing their intention to move their dealership across the street by May 1 with no request made for American Honda's permission.

The pleading then explains that new Honda vehicles were still being parked on the Ford dealership as a late as April 3rd.

Moore-Stewart Honda allegedly sent a letter to American Honda on April 13 asking them to consider the "proposed relocation" and then began operating at the new location the next day without receiving a response from American Honda.

A Notice of Requirement to Cure was sent by American Honda to Moore-Stewart Honda on April 21st, which was followed by a Notice To Terminate the dealership on April 30th.

American Honda has accused Moore-Stewart Honda of creating a false association between Honda and Ford by their actions which infringe the HONDA mark and breach the terms of the dealership agreement.