Gizmo Beverages has filed a lawsuit against its former chair alleging trademark infringement, cyberpiracy and conversion in response to his reported refusal to surrender company-related domain names and email accounts. Gizmo Beverages, Inc. v. Park, No. 17-2037 (C.D. Cal., filed June 14, 2017). Gizmo licenses the patents for a bottle-cap closure from another company, but after defendant Don Park allegedly failed to pay $400,000 for the licensing agreement, Gizmo removed him from management. Park registered the domain name "gizmoclosure.com," one letter different from Gizmo's "gizmoclosures.com," and has continued using the domain and associated email addresses after leaving the company. Gizmo seeks an injunction, transfer of all domain names, damages and attorney's fees. Issue 639
Category Archives 9th Circuit
Sugarfina, maker of “luxury boutique” candies, has filed a trademark, copyright, patent and trade dress infringement suit against Sweet Pete’s alleging the competitor relied “heavily on several design elements of Sugarfina’s distinctive packaging and marketing” of Cuba Libre®, Peach Bellini®, Fruttini, Candy Cube, Candy Concierge and Candy Bento Box® products. Sugarfina v. Sweet Pete’s, No. 17-4456 (C.D. Cal., filed June 15, 2017). Sugarfina asserts that Sweet Pete’s copied the names, “size, shape, color or color combinations, texture, graphics and sales techniques” of all six named product lines that Sugarfina packages in “museum-quality Lucite.” Sugarfina further argues that Sweet Pete’s was “a failing business prior to its radical transformation into a Sugarfina copycat.” The plaintiff seeks an injunction, treble damages, corrective advertising and attorney’s fees. Issue 639
Sanderson Farms, Inc.’s "all natural" chicken contains pesticides, antibiotics and other pharmaceuticals, according to a lawsuit filed by the Center for Food Safety, Friends of the Earth and Organic Consumers Association. Organic Consumers Ass’n v. Sanderson Farms, No. 17-3592 (N.D. Cal., filed June 22, 2017). The plaintiffs allege that Sanderson’s chicken products are advertised as “100% natural,” but testing purportedly shows the products contain human and veterinary antibiotics, tranquilizers, growth hormones, steroids and pesticides. The complaint further alleges the presence of such drugs indicate that Sanderson’s raises its chickens in “unnatural, intensive-confinement, warehouse conditions” rather than “sipping lemonade and playing volleyball” as represented in the company’s online advertising. For alleged violations of California consumer protection laws, the plaintiffs seek accounting of profits, injunctive relief, corrective advertising and attorney’s fees. “Consumers should be alarmed that any food they eat contains steroids, recreational or anti-inflammatory drugs, or antibiotics prohibited for use in livestock—much…
Two livestock trade associations have filed a lawsuit against the U.S. Department of Agriculture (USDA) alleging the agency’s 2016 repeal of marking and labeling regulations violates the Meat Inspection Act and the Tariff Act. Ranchers-Cattlemen Action Legal Fund, United Stockgrowers of Am. v. U.S. Dept of Agric., No. 17-0223 (E.D. Wash., filed June 19, 2017). The Ranchers-Cattlemen Action Legal Fund, United Stockgrowers of America (R-CALF) and the Cattle Producers of Washington (CPW) assert that the Meat Inspection Act requires that meat from animals slaughtered outside the United States be “marked and labeled as required for imported articles” and the Tariff Act requires “conspicuous” marking “as to indicate to an ultimate purchaser in the United States the English name of the country of origin of the article." After a World Trade Organization ruling against a U.S. requirement to include country-of-origin labeling (COOL) on imports of livestock from Canada and Mexico, USDA…
A plaintiff’s “cursory, formulaic recitation” of her purchase of Jelly Belly Candy Co.'s Sport Beans did not include enough factual allegations to establish a claim for relief, a California federal court has ruled. Gomez v. Jelly Belly Candy Co., No. 17-0575 (C.D. Cal., order entered June 8, 2017). The plaintiff had alleged the candy maker’s use of the term “evaporated cane juice” (ECJ) on the packaging misled her about the product's sugar content. Additional details on the complaint appear in Issue 629 of this Update. “Absent from the Complaint are any factual allegations concerning the circumstances of Gomez’s purchase of the product, how she intended to use the product, whether she in fact expected a sugar-free product, whether she thought ‘evaporated cane juice’ was juice as opposed to sugar, and whether she consumed the product,” the court said, granting Jelly Belly's motion to dismiss. However, the court ruled that Gomez…
A consumer has filed a putative class action alleging Chipotle Mexican Grill, Inc. failed to take measures to prevent an April 2017 data breach in which hackers used malware to steal customer data from the magnetic stripes on payment cards. Baker v. Chipotle Mexican Grill, Inc., No. 17-1134 (C.D. Cal., filed June 9, 2017). The complaint alleges that Chipotle failed to take “adequate and reasonable measures” to protect its data systems, which reportedly contain personally identifiable information in addition to payment card data. The plaintiff seeks class certification, equitable relief, damages and attorney’s fees. Issue 638
A California federal court has decertified a class and granted partial summary judgment in an action alleging Kraft Foods Group falsely advertised its fat-free cheddar cheese as “natural.” Morales v. Kraft Foods Grp., No. 14-4387 (C.D. Cal, order entered June 9, 2017). Details on previous decisions in the case appear in Issues 570 and 625 of this Update. The court first granted summary judgment for Kraft as to restitution because the plaintiffs failed to provide sufficient evidence about their potential willingness to pay a premium based on the “natural cheese” label and therefore could not establish a basis for calculating restitution for the class. Turning to the issue of whether the consumers' belief that the cheese was "natural" was material to their purchasing decisions, the court determined that the plaintiffs' expert testimony created a triable issue of fact that could not be dismissed during the summary-judgment phase. Denying that portion…
According to a news source, a California appeals court indicated during oral argument that it would likely reverse the dismissal order of a lower court in a wrongful death action alleging that Dole Food Co. paid Colombian paramilitaries to kill 170 people near South American banana plantations. Gomez v. Dole Food Co., Inc., No. B242400 (Cal. Ct. App., 2d App. Div.). During the June 12, 2013, hearing, the court reportedly said “legal problems” with the trial court’s dismissal were sufficient to warrant reversal. In 2012, the lower court dismissed the suit after the plaintiffs’ lawyers failed to file a new complaint within 30 days after an appeals court ruling allowing them to do so became final. Plaintiffs’ counsel apparently claimed that they were unaware of the deadline imposed under California procedural rules and that the court erred by dismissing the case on the basis of Dole’s purported ex parte application.…
A pastry chef and food blogger has filed a copyright-infringement lawsuit against the owner of Food Network, alleging the channel copied her video tutorial for “Snow Globe Cupcakes.” LaBau v. Television Food Network G.P., No. 14-4077 (C.D. Cal., filed June 1, 2017). Elizabeth LaBau, owner of a website that provides recipes and tutorials for desserts, asserts that she created a tutorial for making edible snow globes using gelatin sheets and balloons in 2015, and the post caught enough attention for the cupcakes to become her "signature recipe." In November 2016, she created a tutorial video explaining how to create the Snow Globe Cupcakes, then learned in December 2016 that Food Network had published a similar video illustrating how to prepare the cupcakes. "The Food Network video copied numerous copyrightable elements of Plaintiff's work precisely, including but not limited to choices of shots, camera angles, colors, and lighting, textual descriptors, and…
A California federal court has granted a motion to dismiss a consolidated proposed class action alleging Trader Joe’s underfilled its five-ounce cans of tuna, holding the plaintiffs’ claims are preempted by the Federal Food, Drug and Cosmetic Act (FDCA). In re Trader Joe’s Tuna Litig., No. 16-1371 (C.D. Cal., order entered June 2, 2017). The plaintiffs commissioned the National Oceanic and Atmospheric Administration to test several varieties of Trader Joe’s canned tuna, and the agency apparently determined that some cans were filled as much as 25 percent below the U.S. Food and Drug Administration (FDA) minimum. Additional information on one of the consolidated complaints appears in Issue 589 of this Update. Trader Joe’s argued that the weights listed on the labels were accurate and that the plaintiffs’ claim was preempted by federal law because it was based on an alleged violation of FDA standards. The court agreed, finding the FDCA…