In a 33-page, 8-count filing in federal court, Lionel has sued K-Line Electric Trains and several individuals, alleging theft of trade secrets.
CTT will have a story posted on our home page www.classictoytrains.com later this afternoon.
Terry Thompson
The first thing that comes to mind is Mercutio’s dying words in Romeo and Juliet:
“A plague on both your houses.”
This is an industry that demonstrates that FUBAR isn’t just a joke,
it’s a state of being.
There’s blame enough to go around, I’m sure, whatever the rights
and wrongs,
but these fratricidal lawsuits are a pox on the hobby, IMO.
Hmmm.
Not good news for those who like peace in the toy train kingdomland.
If there’s any good news, it is that at least these lawsuits are helping to spread public awareness (i.e. dirty laundry) that there indeed are still 3-rail trains being made, and by more than a single company. And, that people are passionate and even litigeous about their toy trains!
diversion of resources all around the board - MTH, Lionel, K-Line. Rather than puting the dollars hobbyists put into their coffers into making better and more diverse products (as well as the obligatory return to shareholders) the revenues flow into attorney’s offices and into judgements that will never be collected.
Attorney’s are teh winners, and they are the least deserving group to win anything, save a trip to the bottom of the ocean.
You know the old adage, “Sumthin Flows Downhill”, aside from the customers I wonder who will end up at the bottom of the hill? [banghead]
As a lawyer, I do not take umbrage at what Frank has said, but rather I agree wholeheartedly (except for that ocean voyage he mentioned). I too wi***hey could just call all the lawsuits off. Unfortunately, the 3-rail model industry is little more than an inbred cottage industry, where memories and feuds are long-lived.
NH Chris
Gee, maybe Lionel thought K-line felt left out, & wanted to get them in the action too ! Thanks , John
The OGR forum moderators are saying that the lawsuit was filed in bankruptcy court (they did not say why it was in B Court), against K-Line, MDK, Inc, Maury Klein, and Bob Grubba. I think we will get more details from CTT when they update their web page with the story.
I woiuld guess it would have to be filed through the bankruptcy court since there is a potential asset gain to Lionel, which would then be under control of the court pending future dispersement in teh Lionel/MTH matter.
If the 3 rail world would just let the NMRA set some standards that everyone could use, there wouldn’t be any trade secrets. We don’t see the HO and N scale manufacturers fighting like this. Dumb and dumber.
Maybe the problem is everyone uses the same factory in China. DUH.
Hummm !!! Would all this be happening, if all these companies had their products made in USA.
EXACTLY!!! I’m not sure it’s possible to have a trade secret in China. It almost sounds oxymoronic.
You know, if you add in the legal fees, it would be cheaper to make the trains in the US.
Click on the link to read the story about the Lionel/K-Line lawsuit. It will be updated as the story develops.
http://www.trains.com/Content/Dynamic/Articles/000/000/006/063djfrw.asp
Why anyone would expect to have anything remotely resembling “trade secrets” in China is totally beyond comprehension. When one entity, in this case the government, in charge of EVERYTHING there is no such thing as proprietary info.
does anyone know if this will affect the K-Line 4-6-6T locomotives that we are all anxiously awaiting? They were due in May or June, then July, then August. Are they going to be injuctioned at the junction? In other words, is K-Line going to be blocked by the courts from delivering these engines pending resolution of the lawsuit? Interesting that the Lionel guy who is at the center of this is cooperating. There’s an old saying in the corporate world: When your employer suggests that you get your own lawyer to represent you, it’s time to call the other side and make a deal.
Gee, I’m not sure I’m ready to apologize to China, but after reading the article, it sounds like the trouble started in Michigan.
What’s so special about Trainsounds and the CW-80 transformer?
Just think… When China starts sending cars to America, some American car company will probably pay them to build cars for them. Then Ford could sue General Motors for coming out with " Dynaflo " transmissions.
What’s so special about Trainsounds and the CW-80 transformer?<<
Anybody dumb enough to want to copy the cw-80 ought to be sued for being that stupid.
In the immortal words of the Wizard of Oz : “I can not give you a brain. But I can give you a diploma”
Bob
Gee - Just maybe Lionel should have thought twice about all the people that they fired.
Next: K-line sues MTH, then we will have come full circle!