Dear Candi Chatters, It has come to my attention that Integrity Toys is still producing dolls under the Candi® trademark. And they do so illegally. Unfortunately, We regret to inform you that Integrity Toys and Hamilton Toys could not come to a favorable agreement. Integrity Toys lost there Candi® license on January 16, 2003. (Termination letter enclosed). We told Integrity Toys that they could break the news to their dealers and once they did we both would make joint statements. We have not heard from Integrity Toys for 3 months. And they continue to produce Candi® dolls!
Hamilton Toys can no longer remain silent. For the safety of our clients. (And Integrity's). Any dealer that sells a CANDI® DOLL, bought and produced after January 16, 2003, by Integrity toys, does so illegally. Therefore, becoming an accomplice to a criminal act. Integrity Toys assured us that they would not produce any dolls using the CANDI® or CANDI GIRL® REGISTERED TRADEMARKS after January 16th 2003. Candi® Basics are being produced illegally, and without authorization from Hamilton Toys. I can't believe they put it on their website! Hamilton Toys is the sole owner of the CANDI® LICENSE. Anyone selling a FAKE CANDI® PRODUCT from Integrity Toys (Anything produced after January 16th 2003) will be seen as an accomplice and will be included in a lawsuit against Integrity Toys. We have a right and an obligation to protect our trademarks.
Sincerely, Helena Hamilton CEO Hamilton Toys And the Creator of the CANDI® DOLL
TERMINATION LETTER
October 16, 2002
Via: Fax (410) 8853530 and Federal Express
Mr. Percy Neusum Integrity Toys Inc. 100 Chestnut Springs Road Chesapeake City, Md 21915
Re: CANDI License
Dear Mr. Neusum:
In accordance with the TERMS of our AGREEMENT, Hamilton Toys, Inc. hereby is giving Integrity Toys, Inc. three (3) months advance written notice that the License granted to Integrity, for the CANDI® dolls and molds shall be canceled as of January 16, 2003. No new CANDI® doll lines are to be produced beyond the "Weekender Gift Set" the 3 "Fashion Forward" designs, and the remaining "Manhattan Moods" CANDI® doll lines. All on collection disk. Now in production in China. We cannot continue to do business with a company (Integrity Toys) that so blatantly & illegally KNOCK-OFF our doll product lines. While our molds are in their (Integrity Toys) possession. Then when confronted tells us, "We aren't admitting to anything. But we can work something out." Words cannot express my level of disappointment with your company. I never dreamed your could be capable of such a fraud. Our products have been on the market for 13 years now. We know our work, and so do our customers. And you are deliberately trying to confuse the market place for your benefit.
You are on notice that after January 16, 2003, Integrity shall have no right to make any further use of the CANDI® trademark or to manufacture or sell dolls or doll bodies made from the CANDI® molds, including without limitation, both the "old CANDI® molds" and the "new CANDI® molds" referred to in the AGREEMENT. Our attorneys will have to work out the rest of our differences.
You are also put on notice that this notice to cancel in no way limits or reduces the obligations of Integrity Toys, Inc. to Hamilton Toys regarding royalties payable or past due. As of this date we have not seen a quarterly report on the CANDI® license from Integrity Toys for 2002.
Sincerely Yours, Hamilton Toys, Inc.
By Helena Lisandrello, Pres.