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Home > What's New > General Cigar Reaches Settlement Over Cohiba Trademark

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General Cigar Reaches Settlement Over Cohiba Trademark

Posted: Thursday, October 11, 2007

By Gregory Mottola  


General Cigar Co.'s Red Dot Cohiba band
General Cigar Co. has reached a settlement concerning infringement of its Cohiba trademark by companies producing and selling unauthorized "yellow band" Cohibas in the United States. The suit was filed in May 2006, in the United States District Court for the Southern District of Georgia against Southern Smoke LLC, Corner Cigars Distributing Inc., Big Dog Cigars LLC and Seminole Cigar Factory.

In the terms of the settlement, the defendants acknowledged that the "yellow band" Cohiba cigars they were producing and selling constituted an infringement of General's Cohiba trademark in the United States. General's Cohiba brand is known to many cigar smokers as the Red Dot Cohiba on account of the red dot on the band.

In addition to admitting infringement, the defendants agreed to turn over approximately 10,000 yellow band Cohiba cigars to General for destruction. The defendants also consented to entry of a permanent injunction against the sale, marketing, distribution or other use of the Cohiba name in the United States. on products not made by General. Furthermore, the defendants agreed to cooperate with General's ongoing efforts to identify sources engaged in Cohiba trademark infringement. The accused will also pay General an undisclosed cash amount.


General Cigar destroying the "yellow band" Cohiba cigars and packaging turned over as a result of the ruling.
"We are very pleased with the outcome of this case," said Daniel Núñez, president and chief operating officer of General Cigar. "This case is another step in our ongoing efforts to stop the sale and marketing of cigars which infringe upon our federally protected trademark rights."

General Cigar has been selling its Cohiba brand nationally since 1994, although the cigar did not become widely available until 1997 when General started to seriously market the Red Dot Cohiba. The company has had to fight for the name ever since, as it has been embroiled in a lawsuit with Cuba since the late 1990s -- a case that was ruled in General's favor in 2005 and upheld by the U.S. Supreme Court in 2006.

Most recently, General went after a company distributing a product called Cohiba Caribbean's Finest -- a cigar that also infringed on General's Cohiba trademark.

General's Red Dot Cohiba is made in the Dominican Republic.

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