Breaking Code Silence v. Papciak

CourtDistrict Court, S.D. California
DecidedFebruary 11, 2022
Docket3:21-cv-00918
StatusUnknown

This text of Breaking Code Silence v. Papciak (Breaking Code Silence v. Papciak) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Breaking Code Silence v. Papciak, (S.D. Cal. 2022).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 SOUTHERN DISTRICT OF CALIFORNIA 10 BREAKING CODE SILENCE, Case No. 21-cv-00918-BAS-DEB 11 Plaintiff, ORDER GRANTING DEFENDANTS’ 12 MOTIONS TO DISMISS v. PLAINTIFF’S SECOND AMENDED 13 COMPLAINT CHELSEA PAPCIAK aka FILER, et al., (ECF Nos. 35, 36) 14 Defendants. 15 16 Presently before the Court are Defendant Jennifer Walker’s Motion to Dismiss (ECF 17 No. 35) and Defendants’ Jenna Bulis, Chelsea Filer, Martha Thompson, and 18 BreakingCodeSilence, Inc.’s Motion to Dismiss (ECF No. 36). Plaintiff filed Oppositions 19 and Objections to the Motions. (ECF Nos. 39–42.) 20 The Court finds these matters suitable for determination on the papers submitted and 21 without oral argument. See Civ. L.R. 7.1(d)(1). For the reasons stated below, the Court 22 GRANTS the Motions to Dismiss. 23 BACKGROUND 24 This lawsuit is a trademark and organizational dispute between various parties 25 involved in a movement to raise awareness of problems in the troubled teen industry. The 26 crux of the dispute is: Who—if anyone—has the right to control the use of the phrase 27 BREAKING CODE SILENCE? Because this case is at the motion to dismiss phase, the 28 Court must accept Plaintiff’s factual allegations as true and interpret them in the light most 1 favorable to Plaintiff. See Mudpie, Inc. v. Travelers Cas. Ins. Co. of Am., 15 F.4th 885, 2 889 (9th Cir. 2021). 3 Plaintiff BCS. Turning to those allegations, Plaintiff Breaking Code Silence 4 (“BCS”) “is a nonprofit public benefit corporation incorporated by survivors of 5 institutional child abuse and activists.” (Second Am. Compl. (“SAC”) ¶ 12, ECF No. 19.) 6 “The mission of BCS is to raise awareness of the problems in the troubled teen industry 7 and the need for reform.” (Id.) 8 “One of the volunteers of BCS started branding BREAKING CODE SILENCE in 9 October of 2010 with his books, blogs, posts, and speaking engagements aimed at helping 10 survivors of institutional child abuse.” (SAC ¶ 14.) This branding continued to be used in 11 the community, including for websites and articles. (Id.) BCS claims “[t]hese rights have 12 been assigned to BCS,” but does not provide any details concerning the assignment, such 13 as who assigned the rights. (Id.) 14 “In 2019, a group of survivors of troubled teen residential facilities joined together 15 to formalize BCS as an organization.” (SAC ¶ 16.) The group started with informal 16 meetings and then established a further presence through a website, online community, 17 social media accounts, email account, and webhosting account. (Id. ¶¶ 15–16.) The 18 website and social media account handles all include part or all of the phrase 19 “breakingcodesilence.” (See id. ¶ 16 (listing various accounts).) 20 “The BCS group started applying for grants by October 15, 2020,” including from 21 the Conrad N. Hilton Foundation. (FAC ¶¶ 17–18.) On March 22, 2021, BCS was 22 incorporated with the California Secretary of State. (Id. ¶ 19.) 23 “BCS uses the trademarks BREAKING CODE SILENCE, BCS, and 24 #breakingcodesilence to brand its services, mission, and publications.” (SAC ¶ 21.) It has 25 several trademark applications pending with the U.S. Patent and Trademark Office 26 (“USPTO”). (Id.) 27 Defendants’ Involvement. BCS alleges Chelsea Papciak (also known as Chelsea 28 Filer), Jennifer Walker, Jenna Bulis, and Martha Thompson “were involved with BCS from 1 2019 through early 2021.” (SAC ¶ 24.) In early 2021, “these Defendants publicly 2 separated themselves from BCS and no longer actively participate in the organization.” 3 (Id.) However, these Defendants are using the BREAKING CODE SILENCE mark 4 without Plaintiff BCS’s permission, including through Defendants Filer and Bulis 5 representing themselves as officers at Breaking Code Silence. (Id. ¶¶ 25–27.) 6 In addition, “Defendants have taken many of Plaintiff’s social media and email 7 accounts and are holding them hostage and will not return them to Plaintiff despite 8 numerous requests.” (SAC ¶ 28.) In April 2021, Defendants Bulis and Filer “filed a 9 registration for a Florida Profit Corporation by the name of BREAKINGCODESILENCE 10 INC.”—which is the final named Defendant. (Id. ¶ 42.) “This was done without the 11 authorization of BCS, and after publicly falsely accusing BCS (a nonprofit) of attempting 12 to profit from the troubled teen survivor movement.” (Id.) Defendants also “continue to 13 make public posts on social media alleging that Plaintiff is committing theft, bullying, and 14 threatening survivors,” which “are causing the public to question Plaintiff’s integrity.” (Id. 15 ¶ 40.) 16 Based on these allegations, BCS brings nine claims, including trademark 17 infringement, unfair competition under the Lanham Act, conversion, and defamation. 18 (SAC ¶¶ 45–107.)1 Some claims involve all Defendants; others do not. Defendant Walker 19 moves to dismiss the claims against her under Rule 12(b)(6). (Def.’s Mot. to Dismiss (“1st 20 MTD”), ECF No. 35.) Defendants Filer, Walker, Bulis, Thompson, and 21 BreakingCodeSilence, Inc. likewise move to dismiss under Rule 12(b)(6). (Defs.’ Mot. to 22 Dismiss (“2nd MTD”), ECF No. 36.) 23 24 25

26 1 There was a dispute between the parties over whether the Second Amended Complaint is the 27 operative pleading. The Court found it is. (ECF No. 34 (applying Rule 15(a)(2).) Consequently, Defendants Filer, Walker, Bulis, Thompson, and BreakingCodeSilence, Inc.’s request to strike the Second 28 1 LEGAL STANDARD 2 A motion to dismiss under Rule 12(b)(6) tests the legal sufficiency of the claims 3 asserted in the complaint. Fed. R. Civ. P. 12(b)(6); Navarro v. Block, 250 F.3d 729, 732 4 (9th Cir. 2001). The court must accept all factual allegations pleaded in the complaint as 5 true and must construe them and draw all reasonable inferences from them in favor of the 6 non-moving party. Cahill v. Liberty Mut. Ins. Co., 80 F.3d 336, 337–38 (9th Cir. 1996). 7 Yet, the court does not have to accept “legal conclusions” as true. Ashcroft v. Iqbal, 556 8 U.S. 662, 678 (2009). 9 To avoid a Rule 12(b)(6) dismissal, a complaint need not contain detailed factual 10 allegations; rather, it must plead “enough facts to state a claim to relief that is plausible on 11 its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007). “A claim has facial 12 plausibility when the plaintiff pleads factual content that allows the court to draw the 13 reasonable inference that the defendant is liable for the misconduct alleged.” Ashcroft v. 14 Iqbal, 556 U.S. 662, 678 (2009) (citing Twombly, 550 U.S. at 556). “Where a complaint 15 pleads facts that are ‘merely consistent with’ a defendant’s liability, it ‘stops short of the 16 line between possibility and plausibility of entitlement to relief.’” Id. (quoting Twombly, 17 550 U.S. at 557). 18 OBJECTIONS 19 BCS objects to Defendants’ Requests for Judicial Notice and reliance on other 20 extrinsic evidence in their Oppositions. (ECF Nos. 39, 40.) Defendants ask the Court to 21 take judicial notice of: (1) a social media post; and (2) a printout from the USPTO that lists 22 Defendant Filer as one of the original applicants for the BREAKING CODE SILENCE 23 mark. (ECF No. 35-3.) In addition, Defendants’ Oppositions rely on declarations from 24 Chelsea Filer and Josh Scarpuzzi, which address BCS’s factual allegations and include 25 various exhibits. (ECF Nos.

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Breaking Code Silence v. Papciak, Counsel Stack Legal Research, https://law.counselstack.com/opinion/breaking-code-silence-v-papciak-casd-2022.