The U.S. Supreme Court case Compania General de Tabacos de Filipinas v. Alhambra Cigar & Cigarette Manufacturing Company in 1918 revolved around a dispute over the use of trademarks on tobacco products between two companies operating in the Philippines, which was then an American territory. The plaintiff, Compania General de Tabacos de Filipinas (CGTF), accused Alhambra Cigar & Cigarette Manufacturing Company of infringing upon its trademark rights by using similar labels and packaging for their products that could potentially confuse consumers. However, the court ruled against CGTF stating that it had failed to establish exclusive ownership over these marks under Philippine law or any other applicable jurisdiction's laws prior to its registration with US Patent Office after annexation of Philippines by United States. Therefore, it did not have grounds to prevent others from using similar marks within this territory.

In the dissenting opinion for Compania General de Tabacos De Filipinas v. Alhambra Cigar & Cigarette Manufacturing Company, it was argued that the plaintiff should not be allowed to bring a lawsuit in U.S. courts because they were operating under an illegal monopoly granted by Spain in the Philippines before American control of those islands. The justice believed that allowing such a suit would effectively endorse and enforce this unjust monopoly, which is contrary to American principles of free competition and antitrust laws. Furthermore, he contended that since the plaintiff's business practices violated these principles, they should not be able to seek protection from U.S courts against alleged trademark infringement by another company.