Posts Tagged: "trademark infringement"

Federal Circuit rules willfulness a prerequisite for disgorgement of trademark infringer’s profits

The Federal Circuit affirmed. Undertaking an extensive analysis of the legislative history of Lanham Act damages, the Court attempted to explain a 1999 amendment inserting language regarding willfulness. Because the “willful violation” language appears to modify violations of § 1125(c) regarding dilution, Romag argued that the amendment negated any preexisting willfulness requirement for causes of action other than dilution. Relying heavily on Second Circuit precedent, which governed the district court decision, the Court disagreed.

A Trademark Lesson from Chicken Soup for the Soul

Chicken Soup for the Soul Day is on November 12th. This is a day to sip on a nice piping hot bowl of soup and feel inspired. However, it’s also an opportunity to learn a little lesson on trademark infringement. In October 2012, Campbell Soup Company filed a trademark suit against Chicken Soup for the Soul Publishing LLC in New Jersey federal court for “willful trademark and trade dress infringement, false designation of origin, trade dress dilution, deceptive acts and practices, and unfair competition.” Campbell Soup Co. and Chicken Soup for the Soul Publishing LLC settled their trademark dispute, but the dispute provides a lesson for on how businesses can avoid trademark infringement issues.

Do Online Retailers’ Search Results Constitute Trademark Infringement?

Since the inception of the search engine, trademark owners, advertisers, search engine providers, and the courts have struggled with the issue of the use of third-party trademarks in keyword advertising and search returns, and whether such trademark use is likely to confuse consumers when they are searching for information regarding a particular brand. Despite an array of holdings on this issue over the years, following the 2011 decision in Network Automation, Inc. v. Advanced System Concepts, Inc., the Ninth Circuit and other courts have generally held that the potential for “mere diversion” of a consumer caused by the use of a third party’s trademark in connection with sponsored keywords or search results does not constitute trademark infringement unless a trademark owner can demonstrate that particular search returns or sponsored keyword advertisements are likely to cause confusion based on the specific use or presentation of a trademark in a search return.

Trademark Bullying: Defending Your Brand or Vexatious Business Tactics?

The USPTO defined the term Trademark Bullying as the vexatious practice of a trademark owner that uses its trademark rights to harass and intimidate another business beyond what the law might be reasonably interpreted to allow. Mirroring the modus operandi exhibited by patent assertion entities and copyright bullies, several creative mark owners have adopted and modified this sue-to-settle paradigm and applied it in the trademark context. In short, trademark trolls—businesses both large and small—aggressively assert rights beyond the scope of trademark protection afforded by the Lanham Act through the issuance of threatening cease-and-desist letters.

Narrow Internet Personal Jurisdiction Leads to Trademark Infringement Case Dismissed

The United States Federal District Court for the District of Nevada has dismissed a trademark infringement lawsuit against a foreign Internet poker site in a ruling that signals a rather substantial win for Internet businesses at large… Judge Robert C. Jones granted iBus Media Holdings’ motion for dismissal of Best Odds Corp.’s trademark infringement lawsuit. Judge Jones said the plaintiff failed to make a case that Nevada courts had general jurisdiction over the foreign-based iBus Media, citing the Supreme Court’s recent Daimler AG v. Bauman decision, which Jones said ”clarified that the reach of general jurisdiction is narrower than had been supposed in lower courts for many years.”

Business Owners Need Federal Trademark Rights

But deciding to apply for a federal trademark registration isn’t the end-all-be-all. Frequently a name or mark is selected for a business without a trademark search ever being done. That can be extremely costly if it is later learned that some other individual or company has been already been operating under that name or mark. Even in the situation where no trademark infringement liability attaches, the second comer will need to stop using, give up on any good will already developed and move on. This can be quite costly, just in terms of recalling and revising advertising campaigns, letterhead, business cards and the like. The best advice is, therefore, to always do a trademark search and file for a United States Trademark.

Machine Gun Maker Sues Alphonse Capone Over Trademarks

Capone, an Illinois corporation, did not have authorization to use the Tommy Gun trademarks on alcoholic beverages that carry a reproduction of the Tommy Gun marks. Additionally, Saeilo claims that Capone’s infringement not only violates federal trademark law, but also Illinois state law and common law.

Frito-Lay Loses SCOOPS!® Patent, Trademark Infringement Case

Frito-Lay brought a lawsuit against Medallion Foods for allegedly trademark infringement, trade dress infringement, unfair competition, and dilution under United States Trademark Act. Frito-Lay also alleged willful patent infringement under the patent laws of the United States.

In its amended complaint Frito-Lay alleged that Medallion Foods’ tortilla chips result from processes, which infringe one or more claims of United States Patent No. 6,610,344 either literally or under the doctrine of equivalents. Additionally, Frito-Lay contends that Medallion Foods is liable for infringing the ‘344 Patent under U.S.C. § 271, as well as the infringement being willful, entitling Frito-Lay to enhanced damages under §284.

Both sides tried to limit the scope of trial through pre-trial motion practice. On October 4, 2012, Frito-Lay filed a motion for summary judgment on Medallion Foods’ sale or public use affirmative defenses and counterclaims. Frito-Lay “contends that it is entitled to summary judgment because Defendants [Medallion Foods] failed to produce clear and convincing evidence that the chip sold by Frito-Lay in a test market had fluted edges, and all testing of a bowl-shaped chip with fluted edges occurred under confidentiality agreements.” The Court went through a thorough analysis and granted in part, and denied in part the motion.

Costco Attempts to Defend Sale of Counterfeit TIFFANY Diamonds

This should have been an open and shut case. But then Costco decided to aggressively defend what seems indefensible. Costco is basing its defense on the belief that the “[t]he word Tiffany is a generic term for ring settings comprising multiple slender prongs extending upward from a base to hold a single gemstone.” See opening paragraph of the Costco Answer and Counterclaim. In support of this position Costco submitted dictionary definitions, pages from Wedding Planning for Dummies discussing rings, online articles (such as from About.com), online sales pages (such as from Amazon.com) and other materials.

Chubby Checker Brings Lawsuit Against Hewlett-Packard, Palm for Trademark Infringement

In the complaint, Willie Gary and his team claim that HP and Palm’s infringing use of the name Chubby Checker in relation to its software application is likely to cause confusion or mistake in the minds of the artist’s long-time fans and supporters, such that it would do damage to the brand and Mr. Evans’ businesses. Additionally, if the infringement is allowed to continue, it will permit HP and Palm to benefit from profits to which they are not entitled.

Ralph Lauren Wins Battle Against USPA Over Horseman Logo

2nd US Circuit Court of Appeals, recently issued an unsigned opinion finding that the USPA could, in fact, be banned from using a double horseman logo on its fragrances or cosmetics on the basis that the logo was too similar to trademarks currently owned by Ralph Lauren

Under Armour Sues Nike Over Use of “I Will”

In its complaint, UA stated that Nike started an ad campaign in the latter months of 2012 that misappropriated UA’s trademark by pretty much making the phrase “I WILL” the focal point of its ads on its FACEBOOK and YouTube video pages, as well as on nike.com. In particular, Nike has used video footage in its ads that has the catch phrase superimposed throughout the video in big bold letters. UA argues that Nike was well aware of its ongoing, long-term use of the “I WILL” trademark (much in the same way that most people in the industry know that Nike is well known for its phrase “JUST DO IT”) and suggests that Nike’s use of “I WILL” not only does harm to UA but to the public as well because customers currently associate the phrase with UA.

East Carolina sues Cisco over “Tomorrow Starts Here” trademark

East Carolina University, also known as ECU, has filed a lawsuit against Cisco Systems, Inc., a huge multination communication company. Why take on a networking and communication giant? Because Cisco has been using the phrase “Tomorrow Starts Here” in their newest marketing campaign – a phrase that ECU has been using for over a decade, and has already federally trademarked.

Amazon Wins Small Victory Against Apple Over App Store

U.S. District Judge Phyllis Hamilton while there are similarities in the names of the digital application storefronts, Apple has not proved that Amazon has in fact tried to pass itself off as an official Apple app store. In her order to dismiss the claim, Hamilton wrote, “There is no evidence that a consumer who accesses the Amazon Appstore would expect that it would be identical to the Apple App Store, particularly given that the Apple App Store sells apps solely for Apple devices, while the Amazon Appstore sells apps solely for Android and Kindle devices. Further, the integration of Apple devices has more to do with Apple’s technology than it does with the nature, characteristics, or qualities of the App Store.”

Hasbro’s Fight for the Little Ponies

Though the owners of the MLP Online site seemed to be aware of the fact that their game was infringing on the Hasbro trademark, they went ahead and constructed the game anyway. However, they are not upset with Hasbro for issuing the cease and desist. The moderator of the online fan site stated that, “Hasbro is not to be blamed here. As per U.S. Trademark law, as soon as an infringement comes to light, they are obligated to defend the trademark, or they will lose it. They had no choice in the matter, regardless of what they thought of the project or how it benefited them. At this time, our game is no longer in development.”