GOOD NEWS: UP to Drop Model Licensing Royalty! I overheard someone in my local hobby shop talk about this on the phone today: http://www.uprr.com/newsinfo/releases/heritage_and_steam/2006/1108_mth.shtml 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 railroad industry. His energy and passion helped us find a solution that will better reflect the positive relationship that Union Pacific and the model train industry have enjoyed for many years." To help commemorate the new arrangement between UP and the model train industry, M.T.H. will release a yet-to-be determined Union Pacific-sanctioned commemorative model locomotive.
That is great news for all of use modelling UP and former fallen flag RR companies. As A DRGW / SP fan, but more generally as a model train enthusiast I really appreaciate UPs decision to grant a "free" licence to entitled manufacturers to product their UP and others models. Here in Europe, there is no such licencing phenomenon with European railroad companies over model railroad manufacturers, and I really hope there won't go this way. Will CSX follow UP and stop asking a 5% licencing tax? Jean-Edouard
That is good news. No more having to pay an extra $20 on top of the cost of a locomotive with UP on them. That's a load off my mind...... and wallet!
So let me get this straight. UP Filed this trademark infringement to begin with. Then for one reason or another, they decide to settle. The big question in my mind is which brain-dead fart thought of persuing this to begin with. I wonder if the Judge helped them to decide, the public, or maybe a Higher-up Model RR'r. I am glad that it all came out in the end but, the fact that it started to begin with toally and completely disgusts me. "Wolf added that the case was a big drain on M.T.H.’s resources but worth the effort." Thanks M.T.H. http://www.ogaugewatch.com/ogaugewatchcom/2006/08/a_summary_of_th.html
