Blair v. Automobili Lamborghini S.p.A.

District Court, D. Arizona·Decided October 17, 2024·No. 2:22-cv-01439·Unknown

Opinion

WO

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF ARIZONA

Richard Blair, No. CV-22-01439-PHX-ROS Plaintiff, ORDER v. Automobili Lamborghini SpA, Defendant.

Defendant Automobili Lamborghini (“Lamborghini”) manufactures cars sometimes referred to as “Lambos.” Plaintiff Richard Blair is the current owner of the domain name (“Disputed Domain”). Lamborghini believes it is entitled to own that domain name and an international arbitration panel agreed. Blair filed this suit seeking a judgment that he is allowed to retain ownership of . Lamborghini filed a motion for summary judgment on all claims. (Doc. 56). Because Blair has failed to demonstrate genuine issues of material fact, the Court will grant Lamborghini’s motion. BACKGROUND All facts set forth below are undisputed or not subject to reasonable dispute based on the parties’ proffered evidence unless otherwise noted. Both Plaintiff and Defendant filed separate statements of fact in support of their positions. (See Doc. 57, “DSOF”; Doc. 59, “PSOF”). Lamborghini is an Italian manufacturer of luxury sports cars. Richard Blair is an investor and developer of domain names. On January 16, 1990, Lamborghini filed an application, Serial No. 74019105, with the United States Patent and Trademark Office (“USPTO”) to register the LAMBORGHINI mark. On November 13, 1990, the USPTO granted Lamborghini’s application and the LAMBORGHINI mark received its federal registration, U.S. Registration No. 1622382. The domain was registered on March 5, 2000. On February 16, 2018, Blair purchased the Disputed Domain for $10,000 from John Lambeth. When Blair acquired the Disputed Domain, neither Blair nor Lamborghini had any trademark rights in the word LAMBO.1 On April 29, 2022, Lamborghini filed a Complaint with the World Intellectual Property Organization (WIPO) Arbitration and Mediation Center seeking a transfer of domain name under the Uniform Domain Name Dispute Resolution Policy (the “UDRP”). On August 3, 2022, the panel determined (with one dissenting panelist) the domain was “confusingly similar” to the LAMBORGHINI mark and Blair was using the mark in bad faith. The panel ordered Blair to transfer the domain to Lamborghini. After Lamborghini filed its WIPO complaint, Blair redirected visitors to the domain to a third- party website called NamePros.com wherein Blair stated, among other things, he would “defend, defeat, and humiliate” Lamborghini, accused Lamborghini of “theft,” and provided a link to the UDRP proceedings in his blog post. Blair has listed the Disputed Domain for sale at different prices at various times as follows: August 6, 2020—$1,129,298.00; December 23, 2020—$1.5 million; January 27, 2021—$3.3 million; September 23, 2021—$12 million; August 11, 2022—€50 million; September 7, 2023 and currently—$75 million. Blair received several offers and inquiries from others seeking to buy at various different prices, but he declined them all. Blair has not used the Disputed Domain—neither commercially nor non- commercially—and claims he purchased it because he saw as a “brandable, 1 According to the United States Patent and Trademark Office, Defendant Lamborghini filed an application for registration of the LAMBO mark on September 23, 2024. See https://tsdr.uspto.gov/#caseNumber=98765111&caseSearchType=US_APPLICATION&c aseType=DEFAULT&searchType=statusSearch. pronounceable, single-word dot-com domain name” that fit with his existing portfolio of around 130 other domain names. Blair claims he planned to “develop” the Disputed Domain but had abandoned those plans due to “limited personal capacity.” Finally, Blair claims he will seek to later resume development of the website. Lamborghini argues Blair’s ownership of the Disputed Domain violates the Anti-Cybersquatting Consumer Protection Act (“ACPA”). LEGAL STANDARDS A court must grant summary judgment if the pleadings and supporting documents, viewed in the light most favorable to the nonmoving party, “show that there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law.” Fed. R. Civ. P. 56(c); see Celotex Corp. v. Catrett, 477 U.S. 317, 322-23 (1986). The moving party bears the initial responsibility of presenting the basis for its motion and identifying those portions of the record that it believes demonstrates the absence of a genuine issue of material fact. Celotex, 477 U.S. at 323. The non-moving party must then point to specific facts establishing there is a genuine issue of material fact for trial. Id. At summary judgment, the Court considers only admissible evidence. 2 See Fed. R. Civ. P. 56(c)(1)(B). When considering a motion for summary judgment, a court should not weigh the evidence or assess credibility; instead, “the evidence of the non-movant is to be believed, and all justifiable inferences are to be drawn in his favor.” Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 255 (1986). A genuine issue of material fact exists “if the [admissible] evidence is such that a reasonable jury could return a verdict for the non- moving party.” Id. at 248. In ruling on the motion for summary judgment, the Court will construe the evidence in the light most favorable to the non-moving party. Barlow v. Ground, 943 F.2d 1132, 1135 (9th Cir. 1991). 2 Lamborghini objects to the admissibility of certain evidence presented by Blair, including searches of the term “Lambo” on various websites and references to Blair as “Lambo” by social media users and his family members. This evidence does not affect the Court’s decision. To establish a cybersquatting violation under the ACPA, a mark owner must prove “(1) the [domain name owner] registered, trafficked in, or used a domain name; (2) the domain name is identical or confusingly similar to a protected mark owned by the [mark owner]; and (3) the [domain name owner] acted with bad faith intent to profit from that mark.” DSPT Intern., Inc. v. Nahum, 624 F.3d 1213, 1218–19 (9th Cir. 2010) (internal quotations omitted). The ACPA lists nine non-exhaustive factors a court may consider in determining bad faith: (I) the trademark or other intellectual property rights of the person, if any, in the domain name; (II) the extent to which the domain name consists of the legal name of the person or a name that is otherwise commonly used to identify that person; (III) the person’s prior use, if any, of the domain name in connection with the bona fide offering of any goods or services; (IV) the person’s bona fide noncommercial or fair use of the mark in a site accessible under the domain name; (V) the person’s intent to divert consumers from the mark owner’s online location to a site accessible under the domain name that could harm the goodwill represented by the mark, either for commercial gain or with the intent to tarnish or disparage the mark, by creating a likelihood of confusion as to the source, sponsorship, affiliation, or endorsement of the site; (VI) the person’s offer to transfer, sell, or otherwise assign the domain name to the mark owner or any third party for financial gain without having used, or having an intent to use, the domain name in the bona fide offering of any goods or services, or the person’s prior conduct indicating a pattern of such conduct; (VII) the person’s provision of materi

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Blair v. Automobili Lamborghini S.p.A., (D. Ariz. 2024).

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