Justia Trademark Opinion Summaries

Plaintiff filed a trademark infringement suit against defendants. The district court entered a default judgment against defendants as sanction for discovery abuses and then proceeded to enter default judgment against defendant Steven West. The court concluded that the district court and the magistrate judge did not abuse their discretion in declining to delay a hearing for damages based on West's medical issues where they were clearly skeptical of West's credibility based on their experience with him during the discovery process. The court rejected West's argument that the district court erred by not deducting overhead and operating costs from its calculation of defendants’ profits. Accordingly, because the court found no error in the district court's rulings, the court affirmed the judgment. View "Peter Kiewit Sons', Inc. v. West" on Justia Law

This case stemmed from rival claims to the “Stolichnaya” trademarks. FTE and Cristall alleged that defendants unlawfully misappropriated and commercially exploited the Stolichnaya trademarks related to the sale of vodka and other spirits in the United States. Control over the marks in the United States is currently exercised by defendants as successors in interest to a Soviet state enterprise. In a prior suit, FTE brought claims against SPI under section 32(1) of the Lanham Act, 15 U.S.C. 1114, and the court dismissed the claims on the grounds that the Russian Federation itself retained too great an interest in the marks for FTE to qualify as an "assign" with standing to sue. FTE's non-section 32(1) claims were either dismissed or dropped during the course of that litigation. At issue principally in this appeal is whether FTE, an agency of the Russian Federation, has been endowed by that government with rights and powers that give it standing to pursue claims under section 32(1) of the Lanham Act. The court concluded that the district court erred in determining whether FTE’s asserted basis for standing was valid under Russian law. However, the court concluded that the district court correctly dismissed all of FTE's other claims as barred by both res judicata and laches. Accordingly, the court affirmed in part, vacated in part, and remanded for further proceedings. View "Fed. Treasury Enter. Sojuzplodoimport v. Spirits Int’l B.V." on Justia Law

This appeal arose from a copyright dispute between Adobe and defendant and his software company, SSI. The court affirmed the district court's dismissal of both Adobe's copyright and trademark claims. Although a copyright holder enjoys broad privileges protecting the exclusive right to distribute a work, the first sale doctrine serves as an important exception to that right. Under this doctrine, once a copy of a work is lawfully sold or transferred, the new owner has the right “to sell or otherwise dispose of” that copy without the copyright owner’s permission. In this case, the court concluded that the district court correctly held that Adobe established its registered copyrights in the disputed software and that defendant carried his burden of showing that he lawfully acquired genuine copies of Adobe’s software, but that Adobe failed to produce the purported license agreements or other evidence to document that it retained title to the software when the copies were first transferred. The district court did not abuse its discretion in granting defendant’s motion to strike and excluding evidence purporting to document the licenses. Finally, the court concluded that the district court properly analyzed the trademark claim under the nominative fair use defense to a trademark infringement claim instead of under the unfair competition rubric. Accordingly, the court affirmed the judgment. View "Adobe Systems, Inc. v. Christenson" on Justia Law

Tam, the “front man” for Asian-American rock band, The Slants, sought to register the mark THE SLANTS and attached specimens featuring the name set against Asian motifs. The examining attorney found the mark disparaging to people of Asian descent (15 U.S.C. 1052(a)) and denied registration. The Trademark Trial and Appeal Board dismissed for failure to file a brief. Tam filed another application, seeking to register the mark THE SLANTS for identical services and claiming use of the mark since 2006. Attached specimens did not contain Asian motifs. The examining attorney again found the mark disparaging and declined to register it. The Board affirmed. On rehearing, en banc, the Federal Circuit vacated, finding Section 2(a) of the Lanham Act unconstitutional. The government may not penalize private speech merely because it disapproves of the message, even when the government’s message-discriminatory penalty is less than a prohibition. “Courts have been slow to appreciate the expressive power of trademarks. Words—even a single word—can be powerful. With his band name, Tam conveys more about our society than many volumes of undisputedly protected speech.” The regulation at issue amounts to viewpoint discrimination; under strict scrutiny or intermediate scrutiny review, the disparagement proscription is unconstitutional, because the government has offered no legitimate interests to justify it. View "In Re:Tam" on Justia Law

In 1956, Ephrem, a Catholic nun, experienced apparitions of the Virgin Mary. Devotions to Our Lady of America was launched. Ephrem joined a cloistered house, approved by the Pope. Fuller entered the cloister in 1965. In 1979 its three members (including Fuller and Ephrem) formed a new congregation. In 1993 Ephrem founded Our Lady of America Center. Upon her death in 2000, she was succeeded by Fuller and willed her property to Fuller. Most had been created by Ephrem or donated to the cloister or the Center. Fuller registered trademarks for artifacts, including Ephrem’s diary, medallions, and statues. In 2005 McCarthy, a lawyer, and Langsenkamp, “a Papal Knight,” began helping Fuller promote devotions to Our Lady. Fuller gave them a statue and other artifacts. In 2007, the three had a disagreement that resulted in this lawsuit. The men claim to be the authentic promoters of devotions to Our Lady and the lawful owners of the artifacts. Another layman, Hartman, began a campaign to smear McCarthy’s and Langsenkamp’s reputations. Fuller is no longer a nun. A jury returned a verdict in favor of McCarthy and Langsenkamp. The Seventh Circuit affirmed awards: $150,000 in compensatory damages, $200,000 in punitive damages (against Hartman only), plus $295,000 in attorney’s fees and sanctions and $281,000 in costs, to be paid by Fuller, Hartman, and their lawyer. The court vacated an injunction concerning the defamation. View "McCarthy v. Fuller" on Justia Law

Defendant appealed the district court's grant of an injunction requiring defendant to transfer to defendant four domain names he had registered in his own name and grant of plaintiff's motion for summary judgment on defendant's counterclaims. The court concluded that it lacked jurisdiction to entertain defendant's appeal under 28 U.S.C. 1291, because there are still pending claims brought against defendant under sections 43(a) and (c) of the Lanham Act, 15 U.S.C. 1125(a) and (c), and state law. The court concluded, however, that it has jurisdiction to review the district court's injunction under 28 U.S.C. 1292(a)(1). The court held that the re-registration of bydesignfurniture.com constituted a registration under the Anticybersquatting Consumer Protection Act (ACPA), 15 U.S.C. 1125, and that plaintiff is likely to succeed on the merits of its ACPA claim. Accordingly, the court concluded that the issuance of the preliminary injunction did not constitute an abuse of discretion and affirmed the judgment of the district court. View "JYSK Bed'N Linen v. Dutta-Roy" on Justia Law

Plaintiff and her companies, Tri-Serve and Capital Concepts, brought a claim for improper use of trade name and false designation of origin under the Lanham Act, 15 U.S.C. 1125, against Sheakley Entity Defendants on the basis of e-mails and mailings Angelia Strunk-Zwick, a manager for plaintiffs and a consultant for Defendant Sheakley HR Solutions, sent to Tri-Serve clients. The court concluded that plaintiffs have stated a claim for improper use of trade name and false designation of origin for which the Sheakley Entity Defendants may be held vicariously liable. Taken together, the representations at issue could not only sow confusion but also strongly imply affiliation - and affiliation not endorsed by plaintiffs. Because the Sheakley Entity Defendants may be held vicariously liable for Strunk-Zwick’s e-mail, plaintiffs have stated a claim for false advertising against Strunk-Zwick and the Sheakley Entity Defendants. Plaintiffs further allege that Strunk-Zwick and all Sheakley Defendants violated the Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. 1962, for failure to state a claim. The court concluded that plaintiffs’ RICO conspiracy claim fails because plaintiffs failed to allege a substantive RICO violation in the first place. Accordingly, the court reversed the district court's dismissal of plaintiffs' Lanham Act claims for failure to state a claim; affirmed the dismissal of plaintiffs' RICO claims; and remanded for further proceedings where the district court may, in its discretion, reexamine whether to reinstate any of plaintiffs' state law claims. View "Grubbs v. Sheakley Group, Inc." on Justia Law

In 2012 Navajo Nation sued for trademark infringement, alleging that Urban Outfitters “advertised, promoted, and sold goods under the ‘Navaho’ and ‘Navajo’ names and marks” on the Internet and in retail stores “[s]ince at least March 16, 2009.” Urban Outfitters tendered the complaint to its insurers. OneBeacon provided commercial general and umbrella liability coverage to Urban Outfitters until July 7, 2010, with “personal and advertising injury” coverage. On July 7, 2010, Hanover became the responsible insurer under a “fronting policy.” On July 7, 2011 Hanover issued separate commercial general liability and umbrella liability policies to Urban Outfitters. The “fronting policy” and Hanover-issued policies excluded coverage for “personal and advertising injury” liability “arising out of oral or written publication of material whose first publication took place before the beginning of the policy period.” After providing a reservation of rights letter, informing Urban Outfitters of Hanover and OneBeacon’s joint retention of defense counsel, Hanover obtained a judicial a declaration that it was not responsible for defense or indemnification. The Third Circuit affirmed.The “prior publication” exclusion of liability insurance contracts prevents a company from obtaining ongoing insurance coverage for a continuing course of tortious conduct. Urban Outfitters engaged in similar liability-triggering behavior both before and during Hanover’s coverage period. View "Hanover Ins. Co v. Urban Outfitters Inc" on Justia Law

This appeal stems from an intellectual property dispute between two religious organizations. Plaintiff filed suit alleging that defendant is infringing its registered service marks in violation of the Lanham Act, 15 U.S.C. 1114, and Florida law. The district court granted judgment for defendant. In the first appeal, the court reversed in part and remanded for reconsideration of whether the parties' marks are likely to be confused. The court was also critical of disparaging comments that the district judge made about the parties. On remand, the court concluded that the district court misapplied several factors in its analysis of likely confusion, incorrectly assessed the Florida Priory’s defense of prior use, relied on historical testimony that the court previously deemed inadmissible, and misinterpreted the court's instructions about consulting facts outside the record. The court declined to order reassignment after balancing the three factors in United States v. Torkington. Accordingly, the court vacated and remanded. View "Sovereign Military Hospitaller v. The Florida Priory of the Knights Hospitallers" on Justia Law

DC filed suit against defendant, producer of replicas of the Batmobile, alleging, among other things, causes of action for copyright infringement, trademark infringement, and unfair competition arising from defendant’s manufacture and sale of the Batmobile replicas. The court concluded that the Batmobile, as it appears in the comic books, television series, and motion picture, is entitled to copyright protection. The court also concluded that the Batmobile character is the property of DC and that defendant infringed upon DC’s property rights when he produced unauthorized derivative works of the Batmobile as it appeared in the 1966 television show and the 1989 motion picture. Finally, the district court did not err when it ruled as a matter of law that defendant could not assert a laches defense to DC's trademark infringement claim because defendant willfully infringed on DC's trademarks. Accordingly, the court affirmed the district court's grant of summary judgment for DC on the copyright and trademark infringement claims. View "DC Comics v. Towle" on Justia Law