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Federal Court Rules in Favor of Fringe Benefit Group Against Beneco
Fringe Benefit Group today announced that the U.S. District Court for the Western District of Texas entered a final judgment in favor of Fringe Benefit Group and against Beneco, Inc. and J. Zane Smith, an officer of Beneco, as the result of a lawsuit tried in Austin.
The dispute arose when Fringe Benefit Group alleged that Beneco, which also offers health and retirement plans to government contractors, had engaged in various unscrupulous business practices. In support of the final judgment, Judge Austin found, among other things, that Beneco violated the Lanham Act and engaged in unfair competition by making literally false statements about endorsements or approvals that Beneco had obtained, by making literally false statements about the cost of its plans compared to the costs of Fringe Benefit Group ’s plans, and by making literally false statements that Fringe Benefit Group hides fees and costs. He also found that Beneco and Smith violated the Copyright Act by copying materials that were created by Fringe Benefit Group .
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