Union Pacific, M.T.H. Electric Trains Settle Trademark Dispute
Omaha, Neb., November 8, 2006 – M.T.H. Electric Trains and Union Pacific Railroad are pleased to announce that they have amicably settled the trademark infringement case that UP filed against M.T.H in Omaha, Nebraska federal court. The settlement benefits both parties, as well the entire model railroad industry. It allows Union Pacific to continue to protect its intellectual property, and authorizes M.T.H.’s use of Union Pacific’s trademarks and paint designs on model train products and accessories. Union Pacific has also decided to change its trademark-licensing program so that model railroad manufacturers will no longer have to pay a royalty, and will enjoy a perpetual license to use Union Pacific trademarks and paint designs on model railroad products.
In reacting to the end of the yearlong legal battle, M.T.H. recognized the commitment of UP to make a change. “UP deserves a lot of the credit here,” Wolf stressed. “UP’s willingness to reconsider its position with regard to model train manufacturers’ use of its trademarks allowed a deal to be struck. UP has long been a friend and a steward of the hobby and this new license reflects that.”
Wolf added that the case was a big drain on M.T.H.’s resources but worth the effort. “For seventy years, Union Pacific and the other railroads have worked with our industry to develop and nurture the model-railroading hobby. The UP license that had been in effect did not properly reflect that mutually beneficial and rewarding relationship.”
Bob Turner, Senior Vice President Corporate Relations for Union Pacific, said, "Mike Wolf is to be commended for his commitment to the model ra
If this all works as reported it’s a win - win for us all. We get accurate models without the agita of royalties, the UP gets good press, and Mike gets an attaboy which has to be sweet as MTH has been the most reviled company since Dupont in the sixties.Maybe now we can all try to get along and make nice. J.R.
Thats great news finally someone had the roller bearings to stand up to UP and get things changed I think MTH needs a round of applause. Now this is what America is about working together.
I agree hard-as-nails lawsuit-happy Mike Wolf did a good thing with this suit – and it so happened he was on our side this time. But I fear Mike isn’t really turning over a new leaf – he will continue to grow his company via the courtroom. I hope I’m wrong, but I expect him to turn his sights back on his peers in the Model Railroad industry next.
I don’t know much about this Mike of MTH (I do HO), but he must be a piece of work, judging from his general popularity. Nevertheless, I appreciate his role in this.
And regardless, this is very refreshing news for model railroaders and the railroad industry. The royalty program was a nasty little stumbling block for modelers and manufacturers, and generated a TON of bad public relations for Uncle Pete. I don’t think that the other big carriers were getting ready to follow UP’s lead; it seems more that their managers were appalled by how badly it was tarring the company, for almost no financial reward, if any.
Let’s give James Young, the new CEO at Union Pacific, a LOT of the credit for throwing out Davidson’s misguided policy, even though Dicky is still Chairman and undoubtedly still has his minions on the UP board. (How else did he keep his job through the SP debacle, etc.?) This might signal the end for the hostility and near-paranoia which has characterized the Union Pacific’s “public relations” over the last few years. I hope so.