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Printer friendlyGarrett couple sued over online sales
Invisible Fence says trash bins looted for faulty parts passed off as genuine
By Rebecca S. Green
The Journal Gazette
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The parent company of Invisible Fence sued a Garrett police officer and his wife in federal court, alleging the couple damaged the company’s reputation by hawking defective products on an Internet auction site.
The lawsuit accuses Michael Reneau of Dumpster-diving for defective products rejected at the company’s former Garrett inspection facility, then selling them at cheaper prices over the Internet.
According to court documents filed Friday in U.S. District Court, Radio Systems Corp., the parent company of Innotek Inc. and Invisible Fence Inc., sued Michael Reneau and Tammy S. Reneau for conversion, unfair competition and trespass. The company is seeking monetary damages as well as an order permanently barring the couple from selling the products.
U.S. District Judge Theresa L. Springmann granted the company’s request for a temporary restraining order, prohibiting the Reneaus from selling any more Invisible Fence products, and set a hearing for this week.
Tammy Reneau declined to comment Monday and said she would have her husband return a call, which he did not Monday evening.
Formerly based in Garrett, Invisible Fence manufactures electronic animal confinement units – made up of transmitters and receiver collars. The products were available only through licensed distributors, though similar products were sold in retail stores by Innotek Inc. Radio Systems purchased the two brands in September 2006, and the headquarters was moved to Knoxville, Tenn., officials said.
Until July, however, Invisible Fence used its Garrett facility for product inspection, and defective units were tossed in a trash bin and later hauled away by a private contractor, according to court documents.
The company alleges that Michael Reneau was seen removing products from the trash bin between April 2006 and July 2007, according to court documents.
Invisible Fence distributors complained to Radio Systems that a person in Garrett was selling large quantities of “new” Invisible Fence products over the Internet at prices lower than wholesale cost, according to court documents.
Because of the lifetime warranties offered on the products, the company regularly patrols any unauthorized use of the name “Invisible Fence,” said Mark Thomas, senior brand manager for Invisible Fence.
“We’re very protective. Our products have lifetime warranties and have to pass a very rigorous inspection,” he said. “If they were in the Dumpster, they did not work properly.”
Thomas said the Reneaus claimed the products had been discovered in office furniture from the Garrett facility and bought at an auction.
“The amount that was (sold), there’s no way that would happen,” Thomas said. “And we had people go through the furniture and make sure there was no product in there.”
During the course of their investigation, officials with Invisible Fence purchased an “Invisible Fence” receiver for a dog collar from Tammy Reneau, which bore the serial number of a product rejected as defective from the Garrett facility, according to court documents.
Tammy Reneau indicated she and Michael Reneau intended to sell about 3,200 products bearing the Invisible Fence brand, at an Internet value she estimated to be about $350,000, according to court documents.
To Thomas’ knowledge, no pets have been injured because of the products sold by the Reneaus.
“That’s why we took quick action,” Thomas said.
The company found out about the unauthorized sales in late October, took about a week to find out what was going on and then filed the lawsuit, he said.
“This was the only way we could think to protect the dogs,” he said.
