The Legal Battle Begins
Last week, a lawsuit erupted in the world of toys and cannabis when Toys R Us, also known as Tru Kids, filed a complaint against an unlicensed cannabis dispensary named Zaza R Us and its owner, Nedhal Y. Saleh. The toy giant claims that the dispensary has copied its iconic logo and font, replacing the star image in the backwards “R” with a cannabis leaf. The lawsuit was filed in a New York Federal court, and the battle of the brands has begun.
Toys R Us Reaches Out
In January 2023, Toys R Us sent a letter to the dispensary requesting them to cease using their logo and font. However, they never received a response. With no other choice, the toy company decided to take legal action to protect their intellectual property and maintain their kid-friendly image.
“ZAZA” and the Brand Tarnishing
According to the lawsuit, “ZAZA” is a slang term referring to high-grade strains of cannabis. Toys R Us has spent considerable resources to ensure their brand remains fun, safe, and appealing to children.
The use of their logo by Zaza R Us, along with the association with cannabis and drug-related products, tarnishes the carefully crafted image of Toys R Us.
Trademark Registrations and Logos
Toys R Us has used several logos throughout its history, including the current one featuring distinct bubble font, multicolored letters, and the famous reverse “R.” The company owns multiple trademark registrations for the TOYS R US Marks, including the logo in question.
The Demands of Toys R Us
In the lawsuit, Toys R Us is seeking an injunction to prevent Zaza R Us from using their intellectual property. Additionally, they demand a significant award of damages, which includes the defendants’ profits, actual damages to Toys R Us, reasonable royalty payments, attorneys’ fees, and the costs of the lawsuit.
Zaza R Us Stores in Brooklyn
The complaint highlights that there are two Zaza R Us stores located in Brooklyn. These stores sell a variety of drug-related goods and services such as pipes, bongs, cannabis, herbal stimulants, novelty items, accessories, snacks, and retail store services. It’s estimated that New York City has over a thousand unlicensed cannabis dispensaries, making this an ongoing concern for businesses trying to protect their brands.
Toys R Us: A Brand’s Resurgence
Despite going bankrupt in 2017 and closing its last physical stores in 2021, Toys R Us has been making a comeback. Recently, the company has begun opening small departments within Macy’s stores, with plans to open 400 such locations. This partnership with Macy’s (NYSE: M) signals a revitalized interest in the Toys R Us brand and a commitment to preserving its legacy.
A Lesson in Brand Protection
This legal battle serves as a stark reminder for businesses of all sizes about the importance of protecting their brand and intellectual property. With the increasing number of unlicensed cannabis dispensaries and other businesses, it’s crucial for companies to be vigilant and take necessary actions to defend their trademarks and brand image.