Medco Products Co., Inc. v. Commissioner of Internal Revenue

BARRETT, Circuit Judge.

•Medco Products Co., Inc., (Medco) appeals a decision of the United States Tax Court upholding a deficiency in its federal income taxes for 1966 and 1967.

Medco was incorporated in Oklahoma on April 1, 1955. 1 It is engaged in the marketing of electrical therapeutic equipment and related products which are sold primarily to the medical profession. Medco has owned and used the trademark and trade name “Medco” continuously since 1955 in marketing its products.

In 1966, Medco became aware that an Illinois corporation, Medco Hospital Supply Corporation (Hospital Supply) was…