Category Archives U.S. Circuit Courts

A California federal jury has awarded $710,001 to Grumpy Cat Ltd., which had alleged that a beverage company infringed its copyright and trademarks. Grumpy Cat Ltd. v. Grenade Beverage LLC, No. 15-2063 (C.D. Cal., verdict entered January 23, 2018). The dispute arose after Grumpy Cat licensed its trademark to Grenade  Beverage LLC for a line of iced-coffee products; Grumpy Cat filed suit when it learned that Grenade was also using Grumpy Cat’s likeness on coffee products and apparel—which fell outside the scope of the companies' agreement—and had registered the domain name grumpycat.com. The jury awarded Grumpy Cat $1 for breach of contract and $710,000 for copyright and trademark violations. The parties agreed before trial that the court would rule on the cybersquatting and accounting claims as well as Grenade’s counterclaims for declaratory relief for ownership and non-infringement of trademark, copyright and domain name.

Iceland has filed a notice of opposition to a trademark application filed by an Ecuadorean company for use of the mark “I ' CELAND” for vodka, arguing that consumers will be confused as to the origin of the product, which features a label with images of snow-capped mountains and the term “Iceland Vodka.” Republic of Iceland, Ministry for Foreign Affairs v. Cosmica Cia. Ltda., No. 91239021 (T.T.A.B., notice filed January 17, 2018). Iceland’s Ministry for Foreign Affairs coordinates the exports of Icelandic businesses and alleges it is responsible for protecting the “Iceland” mark, which has been used for various Icelandic alcohol products, including vodka. Iceland registered its mark with the U.S. Patent and Trade Office in 2009.

The maker of Luigi’s Real Italian Ice is facing a proposed class action alleging that each Luigi's cup contains 5.5 ounces of the product despite packaging listing the contents as six ounces. Orbach v. J&J Snack Foods Corp., No. 18-0321 (S.D.N.Y., filed January 12, 2018). The plaintiffs allege that both the outer packaging and the cup lids indicate that each cup contains six fluid ounces. Claiming breach of warranties, unjust enrichment, violations of New York and Massachusetts laws governing deceptive acts and practices, false advertising and fraud, the plaintiffs seek class certification, damages, restitution, injunctive relief and attorney’s fees.

Delicious Inc. has filed a lawsuit alleging Texas restaurant Delicious Tamales and its owners have infringed on Delicious Inc.'s trademark. Delicious Inc. v. Lopez, No. 18-0041 (W.D. Tex., filed January 12, 2018). Delicious Inc. argues that it has owned the federal rights to the "Delicious Tamales" mark since 2012 in the categories of "Tamales, bunuelos, hot sauce and tortillas" as well as "Chile con carne, and Mexican barbecue, namely, prepared meat." In 2017, the defendants opened a restaurant under the Delicious Tamales name, "brazenly located" a "mere one mile from Plaintiff's long-established location" in San Antonio. Delicious Inc. alleges it received "numerous complaints from customers regarding the quality of the food sold at Defendant's location" because they believed "that both locations were owned by the same individuals or company." Alleging violations of the Lanham Act as well as state trademark infringement, the plaintiffs seek a permanent injunction, damages, costs and attorney's…

A consumer has filed a lawsuit alleging Schwan's Co. falsely advertises Mrs. Smith's Original Flaky Crust Pies as made with “real butter” despite allegedly containing a vegetable and butter shortening blend. Leguette v. Schwan’s Co., No. 17-7599 (E.D.N.Y., filed December 31, 2017). The plaintiff alleges that she bought a Mrs. Smith's apple pie because the package prominently displayed the statements “Made With Real Butter,” “No Artificial Sweeteners, Dyes or Flavors” and "No High Fructose Corn Syrup.” The Nutrition Facts panel disclosed that the product contains a “Shortening Butter Blend (Palm Oil, Butter [Cream, Salt])” and corn syrup. Claiming violations of New York’s General Business Law, breach of warranties and unjust enrichment, the plaintiff seeks class certification, injunctive relief, damages and attorney’s fees.

A federal court has dismissed a lawsuit alleging Earth’s Best falsely labels its infant and toddler foods as organic, asserting that the foods contain at least 29 ingredients not permitted to be labeled as such under the Organic Food Production Act of 1990 (OFPA). Organic Consumers Ass’n v. Hain Celestial Grp., Inc., No. 16-0925 (D.D.C., entered January 3, 2018). Although the court found the plaintiff advocacy group had standing to sue because it expended resources to challenge Hain Celestial’s labeling practices, it determined that the plaintiff’s claims were preempted by the OFPA. The court found that “in enacting the OFPA, Congress could not have been clearer about its purposes” to establish national standards for organically produced products, ensure organic products met a consistent standard and facilitate interstate commerce of organic foods. The plaintiff’s lawsuit, the court held, was premised on an allegation that Hain Celestial violated District of Columbia law by mislabeling…

After secretly filmed footage of an Idaho dairy farm drew national attention and threats against the owners, the Idaho legislature passed a law criminalizing entry, records access and the creation of recordings of agricultural production operations. The Animal Legal Defense Fund, the American Civil Liberties Union and 15 other plaintiffs challenged the law, and a federal district court invalidated it in 2015. On appeal, the Ninth Circuit has held that while two of the law’s provisions are “staggeringly overbroad” restrictions on speech, the other two survive scrutiny and do not violate the First Amendment. Animal Legal Def. Fund v. Wasden, No. 15-35960 (9th Cir., entered January 4, 2018). The panel held that Idaho cannot criminalize misrepresentations made to enter a production facility, partly because the language was overbroad and partly because it was targeted at investigative journalism. “Even assuming Idaho has a compelling interest in regulating property rights and protecting…

A winery has filed a notice of opposition against BuzzFeed Inc.'s trademark application for Wordy Wine, a wine brand allowing purchases to customize the label. Kalaris v. BuzzFeed Inc., No. 91238653 (T.T.A.B., filed December 29, 2017). Although the words “Wordy Wine” do not appear on the purchaser’s custom label, Axios Napa Valley Wines alleges the term is nearly identical to the mark for its line of “Worthy” wines.

President Donald Trump has commuted the 27-year sentence of Sholom Rubashkin, a former kosher meatpacking plant executive convicted of 86 counts of federal bank fraud and money laundering. After Rubashkin was sentenced in 2009, politicians, law enforcement officials and legal experts argued that his case was tainted by prosecutorial misconduct, but the Eighth Circuit Court of Appeals upheld his conviction and sentencing in 2011. Rubashkin and his family members were initially accused of a range of charges, including conspiracy to harbor undocumented immigrants for profit and child labor law violations.

A former employee has filed a discrimination lawsuit alleging Five Guys Operations paid female employees less than similarly situated male employees, echoing a similar lawsuit she filed in 2016. Finefrock v. Five Guys Operations, LLC, No. 17-2214 (M.D. Pa., filed December 1, 2017). The plaintiff asserts that after she and two other female general managers confronted executives about the alleged pay disparity, she was placed on a performance improvement plan and later fired. Alleging violations of Title VII and the Equal Pay Act provisions of the Fair Labor Standards Act, the plaintiffs seek class certification, damages, back and front pay and attorney’s fees.

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