(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.
