CCBN.com, Inc. v. c-call.com, Inc.

73 F. Supp. 2d 106
CourtDistrict Court, D. Massachusetts
DecidedNovember 18, 1999
DocketNo. Civ.A. 99-11604-PBS
StatusPublished
Cited by1 cases

This text of 73 F. Supp. 2d 106 (CCBN.com, Inc. v. c-call.com, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
CCBN.com, Inc. v. c-call.com, Inc., 73 F. Supp. 2d 106 (D. Mass. 1999).

Opinion

MEMORANDUM AND ORDER

SARIS, District Judge.

INTRODUCTION

This is a dispute over an Internet domain name and service mark between two competing companies that provide on-line stock market information and financial services to investment professionals. In this essentially two player market, these firms compete web page-to-web page. Plaintiff CCBN.com, Inc. (“CCBN”), which uses the service mark StreetEvents.com, has moved for a preliminary injunction to prevent the defendant, c-call.com (“c-call”) from using the service mark StreetFusion.com, alleging that the similarity between the two marks has caused consumer confusion in violation of section 43 of the Lanham Act, 15 U.S.C. § 1125(a), and state law.1 It also claims that c-call’s pronouncement in its web page that it is the “first and only Internet-based information exchange for the financial community,” is a false and misleading description of fact in violation of 15 U.S.C. § 1125(a)(1).

Defendant argues that plaintiff is not the senior user of the mark and there is no likelihood of consumer confusion. It points out that the purchasers of the systems are highly sophisticated investment professionals; the difference in price is dramatic, ($400,000 for c-call vs. free for CCBN); and plaintiff is providing only a trial product, rather than a final version. Defendant also points out that it has withdrawn the allegedly misleading statement on the web page. After hearing, while it is a close call for c-call, the Court DENIES plaintiffs motion.

I. FACTS

A. StreetEvents.Com

StreetEvents.com is an Internet-based service targeted at investment professionals such as portfolio managers, industry analysts, and research assistants. The staff at CCBN gathers information from investor relations departments of publicly traded companies, and then organizes and posts this information on the StreetEv-ents.com web site. Subscribers who log into the site with an identification and password can gain access to schedules of earnings events, and conference calls for several publicly traded companies. Stree-tEvents.com also offers an e-mail service which alerts subscribers daily to relevant stock market information. Finally, Stree-tEvents.com offers audio archives of conference calls of many large, publicly traded companies.

StreetEvents.com’s services are currently provided at no charge to subscribers. CCBN intends to start charging for the service after the end of 1999.

CCBN began preparing a business plan and brand testing the use of StreetEv[108]*108ents.com as early as October of 1998. The mark is also a domain name that identifies the Internet address on the world wide web. It has used the mark StreetEvents.com on its web page since January of 1999, when it began providing its earning events calendaring service to certain subscribers with a “beta” (or trial) version of the StreetEvents.com web site. There are no records documenting the identity or number of subscribers allowed access to the site in early 1999. Third party access for subscribers was based on personal contacts of Kishore Rao, the general manager.

The service was promoted at a trade fair in February, 1999 where postcards and brochures were distributed. The first advertising was published in May, 1999. CCBN applied for a service mark registration for the StreetEvents.com mark on June 22,1999.

Currently over 500 subscribers use the StreetEvents.Com site every day (free of charge) and more than 1,000 investment professionals are on its e-mail list.

B. StreetFusion.com

Defendant c-call, through its previous web site and now through StreetFusion.com, offers similar stock market information about publicly traded companies over the Internet to similar types of investment professionals. Specifically, c-call provides earnings events information, earnings projections, analyst calls, and broadcasts of conference calls to investment professionals. Conference calls are broadcast live on StreetFusion.com, while they are currently available in audio archive through StreetEvents.com. C-call also provides an e-mail service to inform its subscribers about changes to conference call schedules or earnings release schedules. C-call charges up to $400,000 for a one-year subscription for its services. Its customers include: (1) directors or managers of investor relations for public companies who are responsible for disseminating the company’s ■ earnings' releases and press releases, and disseminating information about analyst conference calls for their companies; (2) independent investor relations firms, which provide basically the same service for public companies as in-house directors or managers of investor relations; (3) portfolio managers or directors of investment research for buy-side firms, such as Fidelity or T. Rowe Price, who are money managers or fund managers; and (4) directors of research or analysts for sell-side firms, such as Bear Stearns or Morgan Stanley, who evaluate stock performance, recommend stocks to buy or sell, and affect actual trades of public stocks.

C-call launched its original web site, under the domain name c-call.com, in November of 1998. In February 1999, c-call engaged the services of a branding and design firm to help create a new name and identifying logo. It was dissatisfied with its c-call.com domain name because it was providing more expanded services than simply access to conference calls. C-call selected StreetFusion.com as its new service mark. On April 2, 1999, it reserved the domain name StreetFusion.com. On April 7, 1999 after intellectual property counsel conducted a preliminary trademark search, which turned up no conflicting marks, c-call filed an application to federally register the StreetFusion.com mark. According to Todd Walker, the co-founder and president of c-call.com, defendant officially rolled out its service under the StreetFusion mark in mid-April 1999. It had a website operating at its StreetFusion.com address by mid-to-late April. By late April, the web site was fully operational. In its press release dated May 1, 1999, defendant announced the launch of StreetFusion.com. The company claims it chose StreetFusion to convey the goal of “fusing” technology and information, and of “fusing” customers who were previously unconnected.

Shortly after c-call changed its name to StreetFusion.com, plaintiff states it began experiencing customer confusion.

[109]*109II. DISCUSSION

A. Preliminary Injunction Standard

Plaintiff, as the moving party seeking a preliminary injunction, must meet four criteria before an injunction can issue. The Court must find: (1) that plaintiff will suffer irreparable injury if the injunction is not granted; (2) that such injury outweighs any harm which granting injunctive relief would inflict on the defendants; (3) that plaintiff has exhibited a likelihood of success on the merits; and (4) that the public interest will not be adversely affected by the granting of the injunction. See TEC Eng’g Corp. v. Budget Molders Supply, Inc., 82 F.3d 542, 544 (1st Cir.1996).

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Related

CCBN. Com, Inc. v. C-Call. Com, Inc.
73 F. Supp. 2d 106 (D. Massachusetts, 1999)

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