Lakewood based kars4kids ordered to pay $10 million in damages

LAKEWOOD, NJ – After an eight-year legal battle, a jury found Kars4Kids guilty of trademark infringement against America Can! Cars For Kids, a Dallas-based vehicle donation organization. The court ordered Kars4Kids to pay over $10 million in damages.

In its 11-page verdict form, the jury rejected all of the claims brought by Kars 4 Kids, Inc. of Lakewood, NJ, in its suit alleging it was entitled to nationwide rights to Kars 4 Kids and a companion mark, 1-877-KARS-4-KIDS, concluding not only that America Can! Cars For Kids has the legal rights to use its Cars For Kids phrase but that it was actually Kars 4 Kids, Inc. that committed trademark infringement. Car donations in the U.S. exceed $500 million annually.

The lawsuit, initiated by Kars4Kids in 2015, accused America Can! Cars For Kids of trademark infringement. However, the jury’s decision reversed the allegations, finding that Kars4Kids had infringed upon the Cars For Kids trademark in Texas.

America Can! Cars For Kids, established in 1992, supports at-risk youth by funding their education and providing essentials like food, housing, and clothing. Colin Weatherwax, CEO of Cars For Kids, expressed his willingness to discuss the court’s decision and its implications for the upcoming appeal, scheduled for December 15.

“This verdict means that America Can! Cars For Kids can continue, unimpeded, to collect car donations throughout the United States and foreign countries,” said Richard Marquez, Chief Executive Officer of America Can! Cars For Kids. “Since the Can Academies began in 1985, we have helped more than 150,000 deserving kids. It also allows us to get back to what we do best, educating kids, while still protecting our hard-earned trademarks. Our Cars for Kids and Write Off The Car, Not The Kids marks are our most recognized brands.”

This case highlights the complex landscape of non-profit organizations and the importance of donor awareness in charitable giving. Weatherwax’s insights are particularly relevant as December, National Giving Month, approaches, a time when many consider making charitable donations.

DALLAS, TX – After an eight-year legal battle, a jury found Kars4Kids guilty of trademark infringement against America Can! Cars For Kids, a Dallas-based vehicle donation organization. The court ordered Kars4Kids to pay over $10 million in damages.

America Can! Cars For Kids, established in 1992, supports at-risk youth by funding their education and providing essentials like food, housing, and clothing.

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