California HMO Wins Round In United HealthCare Battle
April 26, 2011
LOS ANGELES -- United Health Plan, a nonprofit health-maintenance organization, won a round in its battle against a giant Minneapolis-based rival with a similar name that recently entered the Southern California market. A federal judge here granted United Health a preliminary injunction barring United HealthCare Corp. from advertising or promoting its services under a service mark and name that the judge found to be ``confusingly similar'' to that of the smaller California plan. United HealthCare ``did not intentionally infringe upon United Health Plan's mark'' and plans to appeal the ruling, said Herma Blain, chief executive officer for the Minnesota HMO's Pacific region. California's Department of Corporations approved the use of the United HealthCare of California name, he said. Mr. Blain said United HealthCare would immediately stop a television advertising campaign in the five Southern California counties affected by the ruling. The preliminary injunction granted Monday came two weeks after United Health Plan filed a lawsuit against United HealthCare seeking a permanent injunction forbidding use of the United name. A trial date hasn't been set. United Health Plan said it began using that name in 1980. It has 80,000 members in Southern California and is part of Watts Health Foundation, a nonprofit organization based in Inglewood, Calif.. In composite trading Tuesday on the New York Stock Exchange, United HealthCare closed at $37.375, down $1.25, or 3.2%.
VastPress 2011 Vastopolis
