Supreme Courtroom pooh-poohs Arizona agency’s parody protection in trademark case

A Scottsdale firm that makes doggy chew toys spoofing Jack
Daniel’s and different manufacturers isn’t shielded from trademark infringement
fits by its declare that it was merely parodying, not appropriating,
these manufacturers, the Supreme Courtroom dominated.

The unanimous ruling
Thursday mentioned VIP Merchandise’ “Unhealthy Spaniels” chew toy, which mimics a
Jack Daniel’s bottle, might have had components of parody however was
basically utilizing the distiller’s trademark as a mark for its personal
merchandise.

A decrease court docket had mentioned VIP’s merchandise – which embody chew toys
labeled “Heinie Sniff’n” and “Mountain Drool” – loved First Modification
safety as parodies. However Justice Elena Kagan disagreed.

Writing for the court docket, Kagan mentioned it was “not acceptable when the
accused infringer has used a trademark to designate the supply of its
personal items—in different phrases, has used a trademark as a trademark.” She mentioned
that sort of use doesn’t obtain particular First Modification safety.

The justices despatched the case again to a decrease court docket to find out if Unhealthy
Spaniels was more likely to trigger confusion with Jack Daniel’s amongst
customers, which Kagan mentioned is the one query remaining within the case.

Requests for remark from VIP Merchandise and its authorized crew weren’t
instantly returned Thursday. However Jack Daniel’s welcomed the ruling.

“We’re happy with the Supreme Courtroom’s unanimous resolution
recognizing the rights of brand name house owners,” the distiller mentioned in an
emailed assertion, including that it’s going to “proceed to help efforts to
defend the goodwill and energy of this iconic trademark.”

The case started after VIP Merchandise added Unhealthy Spaniels to its Foolish Squeakers of chew toys in 2014.

The Unhealthy Spaniels toy, which was nonetheless accessible for buy
Thursday, has the distinctive sq. form of a Jack Daniel’s bottle.
The place the whiskey bottle says “40% alc. by vol. ” and “Outdated No. 7
Tennessee Bitter Mash Whiskey,” the canine toy says “43% poo by vol.” and
“100% smelly,” in comparable lettering, and is labeled “Outdated No.2 On Your
Tennessee Carpet.”

To Jack Daniel’s, these jokes diluted the model of their world-famous
whiskey by associating it with canine excrement and infringed on their
logos by main customers to imagine that they had created the chew
toys.

It despatched a letter demanding that VIP cease promoting the toy, however the
Scottsdale agency responded by going to court docket and in search of a judgment that
its toy didn’t infringe on the trademark. That sparked a countersuit
and a sequence of rulings that sided first with Jack Daniel’s and, on enchantment, with VIP earlier than touchdown within the Supreme Courtroom.

J. Michael Keyes, a lawyer with Dorsey & Whitney, mentioned in an
emailed assertion that the court docket’s ruling “might be an appreciated outcome
for established, mature manufacturers that have to fend off different customers and
copyists within the market.”

“It might be indicative of a broader development of the Courtroom defending IP
(mental property) house owners and looking out extra askance at people who
copy and imitate these protected works,” mentioned Keyes, referencing a
latest Supreme Courtroom case involving Andy Warhol’s work. “Simply because the
copyright holder prevailed within the Andy Warhol case, so too did the
trademark proprietor prevail right now.”

However he additionally mentioned that “not all hope is essentially misplaced for VIP,”
which he mentioned may nonetheless efficiently make the case that its product is
not complicated customers.

In a concurring opinion, Justice Sonia Sotomayor warned that courts
listening to trademark infringement claims ought to use care when contemplating
surveys, which are sometimes utilized by trademark holders to point out client
confusion. However Sotomayor, joined by Justice Samuel Alito, mentioned these
surveys can be utilized to sow confusion in addition to present it.

Survey solutions, they wrote, “might mirror a mistaken perception that each one
parodies require permission from the proprietor of the parodied mark.”

“Plaintiffs can level to this misunderstanding of the authorized framework
as proof of client confusion” that won’t exist, Sotomayor wrote.
If given undue weight in proof, “well-heeled manufacturers with the
sources to fee surveys could be handed an efficient veto over
mockery.

“In any case, ‘nobody likes to be the butt of a joke, not even a trademark,’” she wrote.