- 5 - the paper products for sale to the retailers on the basis of the sales representative’s orders. Petitioner uses several independent printing companies to print its products. Generally, petitioner sends an original cartoon drawing to a printer, and the printer photographs the drawing, performs the necessary color separations, and creates “proofs” of a particular paper product in accordance with specifications dictated by petitioner (e.g., the size of the card to be printed, the color of ink, and the grade of the card stock to be used in printing the card). The printer uses its own paper and its own ink, and it holds title to and bears the risk of loss of the supplies and printed goods until it ships the goods back to petitioner for petitioner to accept or reject. If petitioner rejects the goods, it informs the printer of changes which must be made to meet petitioner’s specifications. Printers do not print petitioner’s paper products absent an order from it, and they are not allowed to sell petitioner’s paper products or any of petitioner’s original cartoon characters or reproductions thereof. Petitioner sends a purchase order to a printer indicating the number of a particular paper product that it wants printed, and the printer prints the approximate number of products ordered. In the case of cards, the printer prepares an invoice with artist’s adjustments noted and ships the printedPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011