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Beebe ‐ Trademark Law: an Open‐Source Casebook Part II 1 II. Trademark Infringement

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Beebe ‐ Trademark Law: an Open‐Source Casebook Part II 1 II. Trademark Infringement Beebe ‐ Trademark Law: An Open‐Source Casebook II. Trademark Infringement ............................................................................................................. 3 A. The Actionable Use Requirement ..................................................................................... 4 1. Defendant’s “Use in Commerce” ............................................................................. 5 Rescuecom Corp. v. Google Inc. .......................................................................... 7 2. Defendant’s Use “in Connection with the Sale…of any Goods or Services” ......................................................................................................................... 19 Bosley Medical Institute, Inc. v. Kremer ...................................................... 20 B. Confusion‐Based Infringement ...................................................................................... 28 1. The History of the Confusion‐Based Cause of Action for Trademark Infringement ................................................................................................................ 29 a. The Early‐Twentieth Century Approach to the Likelihood of Consumer Confusion ....................................................................................... 29 Borden Ice Cream Co. v. Borden’s Condensed Milk Co. ........................ 29 b. The Development of the Modern Multifactor Test ............................. 34 Polaroid Corp. v. Polarad Electronics Corp. .............................................. 36 2. Contemporary Applications of the Multifactor Test for the Likelihood of Confusion .................................................................................................................. 40 Virgin Enterprises Ltd. v. Nawab ................................................................... 43 3. Survey Evidence and the Likelihood of Confusion ....................................... 59 Smith v. Wal‐Mart Stores, Inc. ......................................................................... 62 4. “Sponsorship or Affiliation” Confusion ............................................................. 85 5. Initial Interest Confusion ........................................................................................ 92 Network Automation, Inc. v. Advanced Systems Concepts, Inc. ....... 93 6. Post‐Sale Confusion ................................................................................................ 113 Ferrari S.P.A. v. Roberts .................................................................................... 114 7. Reverse Confusion .................................................................................................. 129 A & H Sportswear, Inc. v. Victoria’s Secret Stores, Inc. ....................... 130 8. Reverse Passing Off ................................................................................................ 146 Dastar Corp. v. Twentieth Century Fox Film Corp. ............................... 148 9. Lanham Act § 2(d) Confusion ............................................................................. 163 C. Trademark Dilution ......................................................................................................... 166 1. Dilution by Blurring ............................................................................................... 172 Nike, Inc. v. Nikepal Intern., Inc. ................................................................... 172 Starbucks Corp. v. Wolfe's Borough Coffee, Inc. .................................... 187 Chanel v. Makarczyk .......................................................................................... 203 2. Dilution by Tarnishment ...................................................................................... 214 V Secret Catalogue, Inc. v. Moseley .............................................................. 214 D. Cybersquatting ................................................................................................................... 230 Part II 1 This work is licensed under the Creative Commons Attribution‐NonCommercial‐ShareAlike 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by‐nc‐sa/4.0/. V1.0/2014‐07‐03. Beebe ‐ Trademark Law: An Open‐Source Casebook 1. The Section 43(d) Prohibition Against Cybersquatting .......................... 230 Sporty’s Farm L.LC. v. Sportsman’s Market, Inc. ................................... 230 Lamparello v. Falwell ........................................................................................ 243 2. The Uniform Dispute Resolution Policy and the Uniform Rapid Suspension System ................................................................................................. 257 a. The Uniform Dispute Resolution Policy ............................................... 257 Eastman Sporto Group LLC v. Jim and Kenny ........................................ 265 b. The Uniform Rapid Suspension System ............................................... 277 Facebook Inc. v. Radoslav ............................................................................... 279 E. Secondary Liability ........................................................................................................... 283 Tiffany (NJ) Inc. v. eBay Inc. ............................................................................ 283 Gucci America, Inc. v. Frontline Processing Corp. ................................. 301 Part II 2 This work is licensed under the Creative Commons Attribution‐NonCommercial‐ShareAlike 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by‐nc‐sa/4.0/. V1.0/2014‐07‐03. Beebe ‐ Trademark Law: An Open‐Source Casebook II. Trademark Infringement In this Part, we consider the infringement of trademark rights under certain sections of the Lanham Act: § 32, 15 U.S.C. § 1114 (likelihood of confusion with respect to registered marks) § 43(a), 15 U.S.C. § 1125(a) (likelihood of confusion with respect to registered or unregistered marks) § 43(c), 15 U.S.C. § 1125(c) (likelihood of dilution with respect to registered or unregistered marks) § 43(d), 15 U.S.C. § 1125(d) (“cybersquatting” of registered or unregistered marks) Note that the test for likelihood of confusion under § 32 is now essentially the same as the test for likelihood of confusion under § 43(a), and courts often cite to case law under one section interchangeably with case law under the other. When owners of registered marks plead likelihood of confusion, they typically do so under both § 32 and § 43(a) in the event that some defect is discovered in their registration. Such plaintiffs may also plead under both sections in order to avail themselves of the slightly broader language of § 43(a), though, again, courts typically treat § 32 and § 43(a) as essentially interchangeable. Courts have set forth the elements of a trademark infringement claim in a variety of ways. For example, with respect to a claim based on a likelihood of confusion under either or both of § 32 and § 43(a), courts have stated: “[T]o succeed in a Lanham Act suit for trademark infringement, a plaintiff has two obstacles to overcome: the plaintiff must prove that its mark is entitled to protection and, even more important, that the defendant's use of its own mark will likely cause confusion with plaintiff's mark.” Gruner + Jahr USA Publ'g v. Meredith Corp., 991 F.2d 1072, 1074 (2d Cir.1993). “To prevail on a claim of trademark infringement under the Lanham Act, 15 U.S.C. § 1114, a party must prove: (1) that it has a protectible ownership interest in the mark; and (2) that the defendant’s use of the mark is likely to cause consumer confusion.” Network Automation, Inc. v. Advanced Systems Concepts, Inc., 638 F.3d 1137, 1144 (9th Cir. 2011) (citations omitted). “To establish trademark infringement under the Lanham Act, a plaintiff must prove: (1) that it owns a valid mark; (2) that the defendant used the mark ‘in commerce’ and without plaintiff’s authorization; (3) that the defendant used the mark (or an imitation of it) ‘in connection with the sale, Part II 3 This work is licensed under the Creative Commons Attribution‐NonCommercial‐ShareAlike 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by‐nc‐sa/4.0/. V1.0/2014‐07‐03. Beebe ‐ Trademark Law: An Open‐Source Casebook offering for sale, distribution, or advertising’ of goods or services; and (4) that the defendant’s use of the mark is likely to confuse consumers.” Rosetta Stone v Google Rosetta Stone Ltd. v. Google, Inc., 676 F.3d 144, 152 (4th Cir. 2012) (citations omitted). “Both infringement and false designation of origin have five elements. To prevail under either cause of action, the trademark holder must prove: (1) that it possesses a mark; (2) that the [opposing party] used the mark; (3) that the [opposing party's] use of the mark occurred ‘in commerce’; (4) that the [opposing party] used the mark ‘in connection with the sale, offering for sale, distribution, or advertising’ of goods or services; and (5) that the [opposing party] used the mark in a manner likely to confuse consumers.” Lamparello v. Falwell, 420 F.3d 309, 313 (4th Cir. 2005) (citations omitted). Though the enumerations vary in their level of detail, these statements of the elements of a likelihood of confusion claim are all essentially the same. The plaintiff must prove that (1) it possesses exclusive rights in a mark and
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