Anheuser-Busch, Inc. v. Balducci Publications

814 F. Supp. 791, 26 U.S.P.Q. 2d (BNA) 1180, 1993 U.S. Dist. LEXIS 2150, 1993 WL 49938
CourtDistrict Court, E.D. Missouri
DecidedFebruary 22, 1993
Docket89-0872-C(7)
StatusPublished
Cited by4 cases

This text of 814 F. Supp. 791 (Anheuser-Busch, Inc. v. Balducci Publications) is published on Counsel Stack Legal Research, covering District Court, E.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Anheuser-Busch, Inc. v. Balducci Publications, 814 F. Supp. 791, 26 U.S.P.Q. 2d (BNA) 1180, 1993 U.S. Dist. LEXIS 2150, 1993 WL 49938 (E.D. Mo. 1993).

Opinion

814 F.Supp. 791 (1993)

ANHEUSER-BUSCH, INC., Plaintiff,
v.
BALDUCCI PUBLICATIONS, et al., Defendants.

No. 89-0872-C(7).

United States District Court, E.D. Missouri, E.D.

February 22, 1993.

*792 Thomas J. Cotter, Associate, Norman S. London, Managing Partner, St. Louis, MO, Richard Lehv, Lawrence S. Rickles, Weiss and Dawid, New York City, for plaintiff.

James E. Parrot, Richard E. Schwartz, President, Richard Schwartz and Associates Ltd., St. Louis, MO, for defendants.

MEMORANDUM AND ORDER

HAMILTON, District Judge.

Plaintiff Anheuser-Busch, Inc. asserts five causes of action in this matter: (1) trademark infringement under Section 32(1) of the Lanham Act, 15 U.S.C. § 1114(1); (2) unfair competition under Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a); (3) infringement of trademarks registered in Missouri under Mo.Rev.Stat. § 417.056; (4) common law unfair competition; and (5) dilution of Plaintiff's marks and injury to its business reputation under Mo.Rev.Stat. § 417.061. Plaintiff seeks one dollar in nominal damages and injunctive relief. The Court heard evidence on this matter June 25, 26, and 29, 1992. Also pending before the Court is Plaintiff's Motion For Leave to Supplement the Record.

I. Motion for Leave to Supplement the Record

Plaintiff seeks leave to supplement the record to add Supplemental Exhibits 1, 2, 3, and 4. These Exhibits are the current issue of Snicker magazine, the November 1992 edition of the St. Louis Journalism Review, and excerpts from both publications. The excerpted portions state that Snicker magazine is now distributed nationwide. Defendants do not oppose Plaintiff's Motion. The Court will grant Plaintiff's Motion to Supplement the Record.

II. Findings of Fact

1. Plaintiff Anheuser-Busch, Inc. is a Missouri corporation that brews a wide variety of popular beers. Among those beers is the Michelob family of beers which includes Michelob, Michelob Dry, Michelob Light and Michelob Classic Dark.

2. Plaintiff's Missouri brewery uses water from the Gasconade River to produce its beers. There was an oil spill in the Gasconade River in 1988. Plaintiff's beers were not contaminated as a result of the oil spill.

3. Plaintiff owns various federally registered trademarks which it uses to market its beers. The following trademarks are at issue in this litigation: (1) Michelob; (2) Michelob Dry; (3) A & Eagle Design; (4) Bottle and Label Configuration; (5) Bottle Configuration; (6) Vertical Stripe Design; (7) the phrase "ONE TASTE AND YOU'LL DRINK IT DRY;" and (8) Vertical Stripe and A & Eagle Design.

4. In addition, the A & Eagle Design and the term "Michelob" are registered Missouri trademarks.

5. These marks are all famous and are generally known to refer to Anheuser-Busch and to beer brewed by Anheuser-Busch.

*793 6. Plaintiff uses its marks to advertise its products. Plaintiff has also used its marks in a series of advertisements concerning the environment.

7. Defendant Balducci Publications is a Missouri business entity owned by Defendants Richard Balducci and Kathleen Balducci. Defendants publish Snicker magazine, a humor magazine.

8. Snicker magazine is distributed throughout the St. Louis area and, as of the end of 1992, nationwide.

9. Issue No. 5½ of Snicker was published in April 1989. On the back cover of Issue 5½ Defendants published a mock advertisement for a fictional product called Michelob Oily. This mock advertisement is the subject matter of this lawsuit.

10. The mock advertisement contains the phrase "One Taste and You'll Drink it Oily" in bold type and the phrase "Michelob Oily" followed by the symbol ®. At the bottom of the page is the phrase "At the rate it's being dumped into our oceans, lakes and rivers, you'll drink it oily sooner or later, anyway." At the side of the page, in small type, are the words: "Snicker Magazine Editorial by Rich Balducci. Art by Eugene Ruble. Thank goodness someone still cares about quality (of life)."

11. Plaintiff has used the slogan "Somebody still cares about quality" and the trademark "ONE TASTE AND YOU'LL DRINK IT DRY" to advertise and sell its products.

12. The mock advertisement depicts a human hand holding a crumpled Michelob Dry can. The thumb of the hand partially obscures the word "Dry." Oil and an oily fish spill from a spigot inserted in the can. The can is a photograph of an actual Michelob Dry can.

13. At the center of the page, is a drawing of an oil-drenched eagle exclaiming "Yuck!" The eagle is standing inside of the letter "A." This design strongly resembles, but is not identical to, Plaintiff's A & Eagle logo.

14. A six pack of beer is depicted at the bottom left-hand corner of the page. In the bottom right-hand corner of the page, there is a representation of two beer bottles and a mug of beer. "Michelob Oily" is written on all of the bottles and on the mug. The bottles are in the trademarked configuration of Michelob Dry bottles.

15. The mock advertisement published on the back page of Issue 5½ and described in Findings of Fact 9-14 is an ad parody.

16. Defendants produced the ad parody to express an opinion regarding the dangers of pollution in the nations waterways and also to comment on Plaintiff's "brand proliferation."

17. Defendant Richard Balducci expressed negative opinions regarding Plaintiff's corporate officers and its employees.

18. The artwork on the back page of Issue 5½ was prepared, in part, by Eugene Ruble at the direction of Richard Balducci.

19. Mr. Ruble used Anheuser-Busch clip-art to prepare the piece. Clip-art is prepared by Anheuser-Busch to ensure accurate and consistent representation of Plaintiff's marks. Specifically, Mr. Ruble used clip art to represent the six pack of Michelob Oily, the two bottles of Michelob Oily and the mug, and the words "Michelob Oily."

20. In addition, Mr. Ruble used the Anheuser-Busch A & Eagle design as the basis for his rendition of an "A" and an eagle in the ad parody.

21. In sum, Defendants clearly used Plaintiff's marks in their ad parody, they used some of those marks without alteration, and they did so without Plaintiff's permission.

22. Defendants' use of Plaintiff's marks did not create a likelihood of confusion in the marketplace.[1]

23. Any Findings of Fact not specifically stated in these Findings of Fact but set forth in the Conclusions of Law is incorporated herein.

III. Conclusions of Law

A. Jurisdiction

The case presents claims arising under the trademark laws of the United States. The *794 Court has jurisdiction over these claims pursuant to 15 U.S.C. § 1121 and 28 U.S.C. § 1338. The Court has supplemental jurisdiction over Plaintiff's state law claims. 28 U.S.C. § 1367.

B. Trademark Infringement

Plaintiff maintains that Defendants' unauthorized use of Plaintiff's marks constitutes trademark infringement in violation of Section 32(1) of the Lanham Act, 15 U.S.C.

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814 F. Supp. 791, 26 U.S.P.Q. 2d (BNA) 1180, 1993 U.S. Dist. LEXIS 2150, 1993 WL 49938, Counsel Stack Legal Research, https://law.counselstack.com/opinion/anheuser-busch-inc-v-balducci-publications-moed-1993.