Back in the late 1990's there was a hit song, "Barbie Girl" by the group Aqua. The song was published by MCA Records and was a sarcastic parody referencing the Barbie doll product of the Mattel toy company.
Perceiving that the song infringed on the Barbie copyright and trademarks and sexually objectified, and thus degraded the upstanding reputation of Barbie, Mattel sued MCA in the action Mattel v. MCA Records, 296 F.3d 894 and subsequently, MCA countersued Mattel for defamation.
Various lower courts dismissed the case and ultimately these decisions were upheld as the matter progressed to the higher courts and right to the Supreme Court of the United States. The counterclaim was also dismissed.
The song was eventually ruled as a parody permissible in accordance to the First Amendment to the Constitution of the United States.
In the actual ruling, at paragaph 48, Justice Alex Kozinski stated, "The parties are advised to chill."