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March 12, 2026

America February 24, 2023

Insurer and Guitar Maker Settle Gibson Trademark Case After Texas Federal Court Battle

America ı By Samuel Lopez

308 0 Comments

(USA Herald) - After a long and hard-fought legal battle, Allied Property and Casualty Insurance Co. and Armadillo Distribution Enterprises Inc. have finally reached a settlement in their Texas federal court case over a trademark dispute with Gibson Brands Inc. The case centered around whether Allied had a duty to defend and indemnify Armadillo in Gibson's underlying suit and whether the company was liable for breaching that duty. The legal dispute stemmed from a May 2019 suit filed by Gibson Brands Inc. against Armadillo Distribution Enterprises, accusing the guitar maker of infringing on its trademarked guitar designs, including the "Flying V" and "Explorer" guitar body shape designs. In response, Armadillo and Allied reached an agreement for the insurer to defend the company under personal advertising injury coverage. The case was complex, and it took a Texas federal judge to rule in August that Allied had a duty to defend Armadillo in Gibson's underlying suit and was liable for breaching that duty. The ruling granted partial summary judgment for Armadillo's claims for declaratory relief and breach of contract. The lawsuit continued, with both parties dismissing claims without prejudice, reserving their rights to determine the duty to indemnify later. In January, the parties notified the court that they had reached a settlement, leading to the cancellation of jury selection in February. However, representatives of the parties did not immediately comment on the settlement, and no further details of the settlement have been disclosed. The lawsuit's remaining claims were about whether Allied had a duty to indemnify Armadillo and for defense costs accrued after the settlement. The parties dismissed these claims without prejudice, and both sides bore their own costs. The case is Allied Property and Casualty Insurance Co. v. Armadillo Distribution Enterprises Inc. et al., in the U.S. District Court for the Eastern District of Texas. Samuel Lopez, a reporter for USA Herald, has been following the case closely, providing updates on the proceedings. The legal battle between Allied Property and Casualty Insurance Co. and Armadillo Distribution Enterprises Inc. has been an intense one, with both sides fighting for their rights. The lawsuit has been complex and has taken a lot of time to resolve. However, with this settlement, both parties have finally agreed to dismiss all remaining claims. The lawsuit has been centered around whether Allied had a duty to defend and indemnify Armadillo in Gibson's underlying suit, and whether the company was liable for breaching that duty. This has been a crucial question throughout the legal proceedings. The settlement marks an end to this prolonged legal battle, with both parties dismissing all remaining claims without prejudice. While no details of the settlement have been disclosed, it is a relief that this case has finally been resolved.
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Samuel Lopez
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Samuel Lopez

With over 20 years of experience in the legal and insurance sectors, Samuel applies his profound legal acumen to investigate and accurately report on the facts.

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