Justia Trademark Opinion Summaries

Warner filed suit claiming that AVELA infringed their trademarks and engaged in unfair competition by licensing iconic pictures and phrases from films. On appeal, AVELA challenges a permanent injunction prohibiting them from licensing images from the films Gone with the Wind and The Wizard of Oz, as well as the animated short films featuring cat-and-mouse duo Tom and Jerry. The court concluded that AVELA’s Seventh Amendment claim is not properly before the court and thus the court declined to consider it; the court rejected AVELA's alternative claim that the $2,570,000 statutory damages award is disproportionate to the offense, insufficiently reasoned, and in violation of this court’s ruling in the previous appeal; the doctrine of judicial admissions does not bar Warner’s trademark claims; likewise, judicial estoppel does not apply; Dastar Corp. v. Twentieth Century Fox Film Corp. does not bar Warner's trademark claims; AVELA has waived the functionality and fair use defenses; the likelihood of confusion does not always require a jury trial and, on the merits, the district court did not err by rendering summary judgment on the likelihood of confusion; the court rejected AVELA's challenges to the permanent injunction; and the district court’s order is not inconsistent with the court's ruling in the prior appeal. Accordingly, the court affirmed the judgment. View "Warner Bros. Entertainment v. X One X Productions" on Justia Law

This reverse-confusion trademark dispute involves Wreal and Amazon over the mark "FyreTV." Wreal describes its own FyreTV service as the “Netflix of Porn.” Amazon Fire TV is a hardware device used for streaming “mainstream” “general interest” video via Amazon’s own streaming service, “Instant Video,” or third-party streaming services such as Netflix. In this interlocutory appeal, Wreal challenges the district court's denial of a preliminary injunction. The court concluded that the district court did not abuse its discretion in determining that Wreal’s unexplained five month delay in seeking a preliminary injunction, by itself, fatally undermined any showing of irreparable injury. Because Wreal cannot establish reversible error with respect to the injury prong, the court need not consider whether the district court correctly analyzed the likelihood of success, the balance of harms, or the public interest. Accordingly, the court affirmed the judgment. View "Wreal, LLC v. Amazon.com, Inc." on Justia Law

FN filed a trademark infringement action against Clyde Armory over the use of the marks "SCAR" and "SCAR-Stock" in the firearms industry. On appeal, Clyde Armory challenges the district court's partial grant of summary judgment for FN, its grant of FN's motion to strike Clyde Armory’s jury demand, its denial of Clyde Armory’s motion to amend the proposed pretrial order, and its entry of judgment against Clyde Armory following a bench trial. The court rejected Clyde Armory's contention that the district court erred by: (1) finding that FN used SCAR as a mark in commerce before Clyde Armory began using SCAR-Stock; (2) finding that FN’s SCAR mark acquired distinctiveness through secondary meaning before Clyde Armory began using SCAR-Stock; and (3) finding that Clyde Armory used the SCAR-Stock mark in bad faith to take advantage of the popularity of FN’s SCAR mark, thus divesting it of any rights in the mark that it otherwise might have obtained. Accordingly, the court affirmed the district court on all issues raised on appeal. View "FN Herstal SA v. Clyde Armory Inc." on Justia Law

Plaintiff Forney Industries, Inc.'s product packaging has, since at least 1989, used some combination of red, yellow, black, and white coloration. The issue in this case was whether Forney's use of colors in its metalworking product line was a protected mark under the Lanham Act. Forney alleged that Defendant Daco of Missouri, Inc., which did business as KDAR Co. (KDAR), infringed on its protected mark by packaging KDAR’s “Hot Max” products with similar colors and a flame motif. The district court granted summary judgment to KDAR and the Tenth Circuit affirmed. Forney’s use of color, which was not associated with any particular shape, pattern, or design, was not adequately defined to be inherently distinctive, and Forney failed to produce sufficient evidence that its use of color in its line of products had acquired secondary meaning. View "Forney Industries v. Daco of Missouri" on Justia Law

Trader Joe's filed suit against defendant for trademark infringement and unfair competition under the Lanham Act, 15 U.S.C. 1051 et seq., and Washington law after defendant purchased Trader Joe's-branded goods in Washington state and transported them to Canada for resell in a store defendant designed to mimic a Trader Joe's store. The district court dismissed the Lanham Act and state law claims for lack of subject matter jurisdiction. The court held, consistent with recent case law from the Supreme Court and this court, that the extraterritorial reach of the Lanham Act raises a question relating to the merits of a trademark claim, not to federal courts’ subject-matter jurisdiction. The court concluded, on the merits, that Trader Joe’s alleges a nexus between defendant's conduct and American commerce sufficient to warrant extraterritorial application of the Lanham Act. Therefore, the court reversed as to the Lanham Act claim. The court affirmed the dismissal of the state law claims because Trader Joe’s did not allege trademark dilution in Washington or harm to a Washington resident or business. View "Trader Joe's Co. v. Hallatt" on Justia Law

In the 1980s, a wilderness guide, Maine developed and bottled an all-natural bug repellant under the mark “BUG OFF.” She did not conduct trademark searches. Maine sold BUG OFF at craft fairs, by catalog and website, and at trade shows. From 1992-1998, she took orders for BUG OFF from every state. In 1994, Smith & Hawken began carrying BUG OFF in its catalog and stores. In 1998 Chervitz, who later assigned to Kaz, filed an application for the BUG OFF trademark, which was registered in 2000. In 1999, Kaz sold millions of BUG OFF wristbands. In 2002, Maine sought to register the BUG OFF mark. The PTO refused, based on the Chervitz-Kaz registrations; Maine did not then assert pre-dating rights. In 2003, S.C. Johnson filed an intent-to-use application for the BUG OFF mark. Maine’s attorney communicated that she had used the mark since at least 1992. The PTO refused S.C. Johnson’s application. In 2007 Kaz assigned its rights to S.C. Johnson. In 2010, S.C. Johnson began using the mark. In 2011 Maine sold to Nutraceutical; S.C. Johnson’s application advanced to registration. S.C. Johnson sued Nutraceutical. Afte the bench trial, S.C. Johnson asserted that Nutraceutical had not shown continuous use after 2012. The court found that while Nutraceutical had proved that it was the senior user and was using the mark nationally from 1995-1998 and continued sales through 2012, it did “not demonstrate continued sales after 2012, which constitutes non-use for more than one year.” The Seventh Circuit reversed. The district court abused its discretion in considering the post-trial argument. Trademark ownership is not acquired by registration, but from prior appropriation and actual use in the market. View "S.C. Johnson & Son, Inc. v. Nutraceutical Corp." on Justia Law

Diamond State Tire, Inc. (Diamond State) has been in business since 1989, and its customers and vendors often refer to it as Diamond Tire. Diamond Town Tire Pros & Auto Care LLC (Diamond Town) opened for business in 2015. Diamond State sued Diamond Town, alleging that Diamond Town violated Delaware’s Deceptive Trade Practices Act (the Act) by operating under a business name that creates a “likelihood of confusion” between the two businesses. The Court of Chancery entered judgment in favor of Diamond Town, concluding that Diamond State failed to demonstrate a violation of the Act. View "Diamond State Tire, Inc. v. Diamond Town Tire Pros & Auto Care, LLC" on Justia Law

SnoWizard and Southern Snow, sellers of flavored shaved ice confections, have been involved in litigation for the past ten years in state court, federal district court, and before the Patent and Trademark Office in the Federal Circuit. In this appeal, Southern Snow challenges the district court’s dismissal of its claims under Rule 12(b)(6) and SnoWizard cross-appeals the district court’s denial of its motions for sanctions against Southern Snow. Because the claims against SnoWizard are precluded, and because the claims against Morris and Tolar fail to satisfy the requirements for conspiracy, obstruction of justice, or malicious prosecution, the court affirmed the dismissal of all the claims. Given that Southern Snow advanced arguments that, although creative, were not “ridiculous,” the court affirmed the district court’s denials of sanctions. View "Snow Ingredients, Inc. v. SnoWizard, Inc." on Justia Law

EIP filed suit against PI, alleging claims related to the PAKSTER mark under the Lanham Act, 15 U.S.C. 119, 1120, and 1125(a). PI filed counterclaims for trademark infringement and unfair competition under the Lanham Act. The district court then issued findings of fact and conclusions of law. As relevant to this appeal, the district court cancelled PI’s two federal trademark registrations and found that EIP was the prevailing party. PI now appeals the grant of attorney's fees. The court concluded that the district court lacked jurisdiction to cancel the federal registrations of PI’s trademarks, and vacated the cancellation. Having obtained no damages, injunction, or cancellation from its section 38 claim, there is no basis for concluding that EIP was the prevailing party on that claim, which EIP agrees is a precondition to receiving attorney’s fees. As a result, the court need not reach PI’s argument that attorney’s fees are not available under section 38 of the Lanham Act. The court also concluded that, because EIP was not the “prevailing party” with respect to PI’s trademark infringement and unfair competition counterclaims, it is not entitled to attorney’s fees under section 35 of the Lanham Act. Finally, the court remanded the case for further consideration of the issue of whether EIP should obtain attorney's fees because it successfully obtained a declaration that it owned the PAKSTER trademark. Accordingly, the court vacated in part, reversed in part, and remanded. View "East Iowa Plastics, Inc. v. PI, Inc." on Justia Law

Four years ago, the First Circuit affirmed a judgment that Defendant, a Puerto Rico credit union, infringed on the trademark rights of Plaintiff, a competing bank, by adopting a confusingly similar logo and trade dress. After the First Circuit remanded the case, the district court found no likelihood of confusion with respect to whether the credit union also infringed the bank’s word mark and trade name ORIENTAL with its competing marks COOP ORIENTAL, COOPERATIVA ORIENTAL, ORIENTAL POP, and CLUB DE ORIENTALITO. On appeal, the First Circuit affirmed in part, reversed in part, and remanded, holding (1) there is no clear error in the district court’s conclusion that the CLUB DE ORIENTALITO mark was unlikely to cause consumer confusion; but (2) as to the COOP ORIENTAL, COOPERATIVA ORIENTAL, and ORIENTAL POP marks, the district court’s determination of non-infringement was clearly erroneous. View "Oriental Fin. Group, Inc. v. Cooperativa de Ahorro y Credito Oriental" on Justia Law