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  5. 807 F.2d 1136 (1986)
 

AMERICAN GREETINGS CORP. v. DAN-DEE IMPORTS, INC.

Nos. 86-5018, 86-5035.

807 F.2d 1136 (1986)

AMERICAN GREETINGS CORPORATION and CPG Products, Inc. v. DAN-DEE IMPORTS, INC., Daniel Ranzman and Lee Capozzi (Two Cases). Appeal of DAN-DEE IMPORTS, INC., Daniel Ranzman and Lee Capozzi. Appeal of AMERICAN GREETINGS CORPORATION and CPG Products Corp.

United States Court of Appeals, Third Circuit.

Decided December 2, 1986.

Attorney(s) appearing for the Case

Carol F. Simkin, (argued), Cowan, Liebowitz & Latman, New York City, Ronald Gould, Shanley & Fisher, Morristown, N.J., for plaintiffs-appellees-cross-appellant.

Jesse Rothstein, (argued), Joel E. Lutzker, Amster, Rothstein & Ebenstein, New York City, Robert Alvin Adler, Simon & Allen, Newark, N.J., for defendants-appellants-cross-appellee.

Before ADAMS and STAPLETON, Circuit Judges, and VAN DUSEN, Senior Circuit Judge.

OPINION OF THE COURT

STAPLETON, Circuit Judge:

I.

American Greetings Corporation (American) and CPG Products Corporation (CPG) are co-venturers in the enormously successful Care Bears line of plush stuffed animals. The Care Bears themselves are pastel-colored plush teddy bears marked by pictorial designs on their white stomachs, i.e., "tummy graphics." American and CPG filed suit against Dan-Dee Imports, Inc. (Dan-Dee), a toy producer, alleging...

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