Entries from July 1, 2008 - July 31, 2008
Records Show Starbucks Hasn't Yet Opposed Rollergirls' Logo
I hope I’m not jumping the gun here, but it looks like Starbucks Corp. isn’t opposing the Rat City Rollergirls’ application to register its logo as a trademark after all.
In May, STL reported (among others) that Starbucks had filed for an extension of time to oppose the Seattle roller derby league’s application through July 16. That date has come and gone, and the Patent and Trademark Office’s database doesn’t indicate that Starbucks has opposed or sought another extension of time to do so.
Online media seemed pretty critical of Starbucks’ initial extension. Perhaps the company has backed off. Or settled with the ‘girls.
STL can only speculate.




Olympic Cellars and USOC Settle "Olympic" Trademark Dispute
The Seattle Times reported yesterday that the United States Olympic Committee and the Olympic Peninsula’s Olympic Cellars Winery have entered into a settlement in which the winery will keep its “Olympic” name and domain name on the condition that its “wine sales east of the Cascade Mountains are not ‘substantial.’” (Previous STL coverage here.)
The Times was not privy to other terms of the agreement.
The settlement appears to mirror the language contained in the Ted Stevens Olympic and Amateur Sports Act, 36 U.S.C. § 220501, et seq., which vests the USOC with a near monopoly on the word “Olympic.” Section 220506(d) of the statute excepts trade names and trademarks when “it is evident from the circumstances that such use of the word ‘Olympic’ refers to the naturally occurring mountains or geographical region of the same name that were named prior to February 6, 1998, and not to the corporation or any Olympic activity” and “such business, goods, or services are operated, sold, and marketed in the State of Washington west of the Cascade Mountain range and operations, sales, and marketing outside of this area are not substantial.”
Despite the settlement, Olympic Cellars remains unhappy. Its Web site states:
“By forcing Olympic Peninsula businesses to be local in nature and restricting sales to the Olympic Peninsula, it unjustly limits our ability to grow, be competitive and survive. Sure, we could change our business names. It certainly would be easier, cheaper and less hassle. But that means shedding our heritage as well; basically giving in and giving up. And we just can’t do that.
“It makes far more sense for the USOC to simply limit its investigation to activities and companies outside the Olympic Peninsula using the mark OLYMPIC, and sue those who would try to create an association with, or trade upon the goodwill of the USOC, the U.S. Olympic Team or the Olympic Games for commercial use.
“Unfortunately, the bigger picture has been lost.
“Contrary to what the USOC claims, there is no confusion as to whether the name ‘Olympic’ refers to one of our businesses, the Peninsula where we’re located or the Olympic Games themselves. When you hear the name ‘Olympic Cellars Winery’ is your first thought of a swimmer racing across the pool at the Olympic Games? I don’t think so.
About the only way one of our local businesses could ever escape the harassment of the USOC is to become a giant like AT&T, VISA, McDonalds, Nike, Bank of America or Anheuser-Busch and actually help sponsor the Olympics! And they’ll need to do that without the help of national recognition or basic use of the Internet. When someone pulls that off, I’ll be the first to raise a glass of Vino.”
I completely agree.




King County Superior Court Sends Local Trade Dress Dispute to the Jury
Restaurant wars: The owner of Peso’s (left) has sued the owners
of The Matador over trade dress, dilution and other issues.
As STL readers may recall, El Diablo, Inc., and its owner sued Mel-Opp & Griff, LLC, and others in King County Superior Court for trade dress infringement, dilution, and other claims relating to the parties’ competing Tex-Mex restaurants and bars.
Plaintiffs own Peso’s Kitchen & Lounge in lower Queen Anne. Defendants own The Matador restaurants in Ballard, West Seattle, and other locations.
In June, defendants brought several motions for summary judgment, including one seeking dismissal of plaintiffs’ trademark-related claims based on laches. In summary, defendants argued that plaintiffs’ alleged three-year delay in bringing suit unfairly prejudiced them.
Plaintiffs argued in response that laches applies under the Lanham Act because it does not contain an express limitations period but does not apply to their state trademark claims because a statutory limitations period applies instead.
On July 8, King County Superior Court Judge Catherine Shaffer denied the laches motion in a minute order. Unfortunately, the order does not explain the court’s reasoning.
The court also denied defendants’ motion on causation and damages. It granted defendants’ motion dismissing plaintiffs’ tortious interference, breach of fiduciary duty, and fraud claims.
The court previously denied defendants’ motion for summary judgment dismissal of plaintiffs’ dilution claim.
Earlier this month, the court amended the case schedule setting the parties’ expected three-week jury trial for Sept. 15.
The case cite is El Diablo, Inc. v. Mel-Opp & Griff LLC, No. 07-2-01203-6 SEA (King County Super.) (Shaffer, J.).




Payless Shoesource's Insurer Balks at Paying $305M Verdict
As the Trademark Blog reports, American Guarantee & Liability Insurance Co. is balking at the prospect of paying any part of the $305M judgment Adidas America, Inc., obtained against Payless Shoesource, Inc., earlier this year. The insurer filed suit on July 24 in the District of Kansas for a declaration that it is not liable under any of its policies.
Here’s a sampling of the reasons why the insurer says it need not pay Payless’ claim:
- “The jury’s verdict in favor of adidas in the Underlying Lawsuit is not for damages for ‘advertising injury’ or ‘personal advertising injury under any of the American Guarantee Excess Policies as defined in the relevant policy provisions.”
- “None of the damages awarded by the jury are damages caused by advertising, Advertising Injury or Personal Advertising Injury; thus the awarded damages do not have the necessary causal connection to be covered under the policies.”
- “The jury’s specific findings in favor of adidas on its claims for dilution of both trademark and trade dress and on its claims for unfair and deceptive practices, as well as its finding that Payless acted willfully and its award of Payless’ profits to adidas, and its award of punitive damages to adidas, all establish that the jury found Payless’ conduct to be knowing and intentional within the meaning of [the policies’] exclusions.”
- “The jury’s findings and verdict in favor of adidas in the Underlying Lawsuit was for infringement of adidas’s trade dress and trademark rights and are therefore excluded under the Policies.”
- “The jury’s findings and verdict in favor of adidas in the Underlying Lawsuit arises out of and relates to infringing conduct by Payless that began, at the latest, in 1994 when adidas sued Payless for infringement and reached a settlement of that litigation, and Payless was producing two-stripe and four-stripe shoes,” so the award is not covered under the “known-loss doctrine.”
- “Even if the jury’s verdict in favor of adidas in the Underlying Lawsuit fell within the insuring provisions for ‘advertising injury’ or ‘personal and advertising injury’ and was not excluded by any relevant policy provisions under the American Guarantee Policies or barred from coverage by the known-loss doctrine or public policy, the award of damages, when properly allocated among the policy periods, does not trigger any American Guarantee Policy.”
I’m tempted to be quite snarky about how insurance companies never seem to be there when you need them (to put it politely), but if Payless intentionally ripped off Adidas’ trademark, I don’t see why an insurer should be required to foot the bill. Assuming its policies excluded intentional acts, of course.
The case cite is American Guarantee & Liability Ins. Co. v. Payless Shoesource, Inc., No. 08-2337 (D. Kan.).
New Trademark Filings Suggest New Team Won't Be Called "Supersonics"
Forget the Oklahoma City Supersonics, thank goodness. The team’s new owners abandoned their intent-to-use applications for those trademarks less than one week after filing them. (Previous STL discussion here.)
What now appears to be in play is the Oklahoma City Barons, Bison, Energy, Marshalls, Thunder and Wind. Those are the new intent-to-use applications the NBA Development League, LLC, filed with the Patent and Trademark Office on July 21.There are five applications filed for each mark.
As the Seattle Times noted, no applications appear to exist for OKLAHOMA CITY OUTLAWS, TUMBLEWEEDS, RUSTLERS, STEALERS, CARPETBAGGERS or CRIMINALS.
Still wondering why the team’s new owners had to throw a scare into us by filing intent-to-use applications for OKLAHOMA CITY SUPERSONICS when they appeared to be contractually prohibited from having a bona fide intent to use marks containing the word “Supersonics” in connection with their team.
All of the new names seem weak to me, but at least they don’t trade on the legacy the team left behind in Seattle.

A reader writes:
“The NBA Development League is a basketball minor league owned by the NBA, http://www.nba.com/dleague/. I would assume that these are applications for a potential team in that league, not a new name for the NBA team in Oklahoma City.”
Thanks much for sharing. I’ll follow up when I know what’s happening for sure.




