Does A Brand Name Communicate Where The Product Was Made?

Cosmetics company L'Oreal sells products, such as shampoo, hairspray, and mascara, under the "L'Oreal Paris" brand name. Does the brand name -- that includes the word "Paris" -- communicate to consumers that the product was made in France? That was the issue in a recent case in federal court in New York.

A consumer sued, alleging that L'Oreal's labels violated California law as well as the consumer protection laws of forty-three other states. On the front of the labels, the brand name, "L'Oreal Paris," is prominently displayed. The back or side of the packaging also includes a disclaimer that explains that the product was manufactured in the United States or Canada. The consumer alleged that, because of the brand name (and because she didn't see the disclaimer), she incorrectly thought that the products were made in France.