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Liability Discussion for Mega Grocers

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Assume that prior to acquisition by Super Mega Retailers, Inc., Mega Grocers, Inc. had offered for sale products which it bought from a vendor that had a product name and label and package design that was very similar to a national brand product.

Assume also, that a supervisor at one of the Mega Grocers, Inc. stores had been sexually harassing a female employee but that this had not been made known to any other party in management at Mega Grocers, Inc., or to Super Mega Retailers, Inc. before the acquisition by which Mega Grocers, Inc. was acquired.

Please discuss the liability that may exist for Mega Grocers, Inc. with respect to each of the possible claims referenced above and identify the extent to which and the basis on which Super Mega Retailers, Inc. may succeed to that liability.

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Assume that prior to acquisition by Super Mega Retailers, Inc., Mega Grocers, Inc. had offered for sale products which it bought from a vendor that had a product name and label and package design that was very similar to a national brand product.

Sometimes retailers create products with similar package designs as a part of their brand positioning and advertising strategies. However if a firm imitates a lawful brand with very similar packaging and labeling with intent to confuse with the other brand, there are serious charges. Even if the company demonstrates there is no such intention, it ...

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