News

The Northeastern Lumber Manufacturers Association (NELMA) has received a favorable ruling in a lawsuit brought against a New York wood-packaging facility that used counterfeit NELMA heat-treatment certification stamps without permission or license from NELMA.   Such stamps are generally issued to NELMA-certified facilities to demonstrate compliance with international pest-prevention protocols.   After discovering the New York company’s unauthorized use, the Association quickly brought suit to enforce its rights, alleging numerous claims including federal trademark infringement, counterfeiting, unfair competition, false designation of origin, and violations of the New York Deceptive Trade Practices Act.

The United States District Court granted judgment in NELMA’s favor on all counts, and awarded significant damages—including treble damages and attorneys’ fees—against the company.   The Court found that the company “used packaging that bore near-identical reproductions of NELMA’s marks in the sale of packaging goods and services without NELMA’s consent.   This violates NELMA’s trademark rights…”   The Court also noted that the company “caused stamps bearing counterfeit NELMA marks to be manufactured, and then used the stamps to mark its packages destined for interstate and international commerce with the counterfeit mark, without NELMA’s permission.”   Such use violates both federal and state intellectual-property laws.

"This is a very beneficial ruling for all of those who do abide by the rules of the International Standard and are legitimately authorized to use the NELMA 'HT' heat-treatment symbols, certifier numbers and IPPC designations,” says Jeff Easterling, President of NELMA.   “And those who think that they can take short cuts will find that it is not only illegal, but that it will not be tolerated.”

Since its global adoption in 2002, implementation and enforcement of the ISPM 15 Standard has impacted regulations on importing and exporting goods.   Under the Standard, U.S. exporters must use wood packaging material (WPM) that has been properly treated, inspected and certified by an authorized agency. 

Accredited by the American Lumber Standard Committee, NELMA has the authority to provide inspection services for solid wood materials used in export wood packaging.   "The NELMA stamp on wood packaging materials certifies that the wood has been properly heat treated in line with governing standards,” explains Jeff Easterling.   “Through worldwide use of the NELMA marks and our vigilance in protecting and policing the use of these marks, the integrity of the Standard is being enforced.   This is something that legitimately authorized NELMA facilities can continue to depend on.”