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HARRY KAFAFIAN, trading as SPOTLESS CLEANERS AND DYERS,complainant-respondent, v. SPOTLESS STORES OF NEW JERSEY, INC., acorporation, defendant-appellant.

1. Complainant has operated a cleaning and dyeing business in Ridgewood since 1926 under the registered name of "Spotless Cleaners and Dyers." A large sign over the store front bears the word "Spotless" in block letters. Defendant started its present system of chain stores in New York City in 1923, and is engaged in cleaning and dyeing, with fur storage, shoe repairing, hat cleaning and laundry as later activities. Its first New Jersey unit was established in 1935, but real expansion in this State did not begin until 1946. It opened a store in Ridgewood in 1947, within five blocks of complainant's establishment and with an almost identical sign over its store front. Held, the mere fact that defendant's business is of the chain store variety, capable of considerable expansion and a large investment of capital, does not except it from submission to the settled rules governing unfair competition. The natural and probable tendency of defendant's conduct is to deceive the public and pass off defendant's business as that of the complainant. Equity will protect complainant from such unfair competition.

2. Restraint in this case will be limited to that phase of defendant's business which is in competition with complainant's in Ridgewood and the surrounding communities served by him.

PER CURIAM.

The decree under review will be affirmed, for the reasons expressed in the opinion of Vice-Chancellor Grimshaw.

For affirmance — THE CHIEF-JUSTICE, BODINE, DONGES, HEHER, COLIE, WACHENFELD, EASTWOOD, BURLING, WELLS, DILL, FREUND, McLEAN, SCHETTINO, JJ. 13.

For reversal — None.

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KAFAFIAN v. SPOTLESS STORES OF N.J., INC
(Jan 29, 1948)