Caption: Plaintiffs contend that Taco Bell used their ideas based on Psycho Chihuahua to create the live Chihuahua character featured in Taco Bell's advertising campaign and have sued Taco Bell alleging claims for breach of implied contract, misappropriation, conversion, and unfair competition
Facts: Wrench LLC created the "Psycho Chihuahua" character. Taco Bell employees met with Wrench LLC employees at a trade show and took sample designs of the character back to Taco Bell headquarters. Taco Bell later asked Wrench to create designs incorporating the character and Taco Bell's branding, which Wrench did. Taco Bell did not enter into an express contract with Wrench. Taco Bell later gave Wrench's materials to its advertising agency