Scott Electric Co. of Greensburg, Pa., has been permanently enjoined from selling counterfeit Square D electrical products, according to Schneider Electric, North American Operating Division, Palatine, Ill.

Schneider filed suit April 7 in U.S. District Court in Pittsburgh, charging Scott Electric with participating in false advertising, product disparagement and trademark infringement. The suit specifically claims Scott Electric allegedly sold counterfeit QO circuit breakers bearing the Square D trademarks and copying Square D designs. As alleged in the lawsuit, testing by Square D Co. has shown counterfeit electric distribution products pose serious health and safety hazards to innocent customers.

Scott Electric has signed an agreed consent order to allow Square D to inspect its inventory of Square D products at its Greensburg facility. Square D representatives shall conduct the inspection and identify and take possession of any counterfeit products, Square D said.

Through April 12, 2008, Scott Electric has agreed to notify Square D if it suspects it's in possession of counterfeit Square D product and fully cooperate with a Square D inspection.

Scott Electric has also agreed as part of the consent decree to provide a list identifying all its suppliers of Square D inventory for the past 36 months.

Brian Lewis of Wildman, Harrold LLP, Chicago, outside counsel for Square D, said if Scott Electric complies with the terms of the consent decree and if Square D is satisfied that they have complied with the terms of the consent decree, then Square D will dismiss its lawsuit against Scott Electric.

Scott Electric has never been an authorized Square D distributor, Lewis said. The attorney for Scott Electric did not return phone calls by press time.