Daytona Automotive Fiberglass v. Fiberfab, Inc.

475 F. Supp. 33, 205 U.S.P.Q. (BNA) 1245, 1979 U.S. Dist. LEXIS 11058
CourtDistrict Court, W.D. Pennsylvania
DecidedJuly 13, 1979
DocketCiv. A. 77-621
StatusPublished
Cited by2 cases

This text of 475 F. Supp. 33 (Daytona Automotive Fiberglass v. Fiberfab, Inc.) is published on Counsel Stack Legal Research, covering District Court, W.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Daytona Automotive Fiberglass v. Fiberfab, Inc., 475 F. Supp. 33, 205 U.S.P.Q. (BNA) 1245, 1979 U.S. Dist. LEXIS 11058 (W.D. Pa. 1979).

Opinion

OPINION

DIAMOND, District Judge.

Daytona Automotive Fiberglass (Daytona), a Florida corporation, brought this action against Fiberfab, Inc. (Fiberfab), a California corporation, seeking various relief on the grounds, inter alia, that the defendant engaged in unfair competition in infringing the trademark “Migi” allegedly owned by the plaintiff. 1 Jurisdiction is based on diversity, 28 U.S.C. § 1332(a) and the Lanham Trade-Mark Act of 1946, 15 U.S.C. § 1051 et seq.

The matter presently under consideration by the court is defendant’s motion for partial summary judgment under Rule 56, Fed. R.Civ.P., wherein it seeks a ruling that Daytona acquired no rights to the trademark “Migi” from any alleged predecessor in interest. For the reasons set forth below, the motion will be granted.

Rule 56(c) Fed.R.Civ.P. provides in its pertinent part as follows:

“The judgment sought shall be rendered forthwith if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.”

All of the following facts are derived from allegations made by the plaintiff in its complaint, admissions made by the plaintiff in its reply to the defendant’s counterclaim, statements made by plaintiff in its answers to interrogatories, and admissions made by one LaVerne J. Martincic, the president and owner of all of the stock of Daytona and its alleged predecessor in interest to the trademark “Migi.” Since the defendant has admitted these facts for the purposes of its motion, there is no genuine issue as to any of them, and, while the plaintiff has filed an affidavit in opposition' to the defendant’s motion for summary judgment, as we conclude later herein, the factual assertions in that affidavit, assuming the truth thereof, would not alter our ruling, therefore there is no genuine issue as to any material fact.

Daytona was incorporated under Florida law on or about April 9,1976. Its president and the owner of all of its stock is one LaVerne J. Martincic. Notwithstanding its non-existence prior to April 9, 1976, Daytona alleges in its complaint that prior to and since April, 1975, it has continuously adopted and used the name or mark “Migi.” This right antedating Daytona’s existence is based on an alleged use of the mark by its former owner, plaintiff’s assignor, dating back to at least April, 1975, and a “tack-on” right back to that date by virtue of the assignment from the owner. The predecessor from whom Daytona contends it acquired ownership of the trademark “Migi” is LaVerne J. Martincic who purported to assign that trademark to Daytona by a document which she executed on or about April 9, 1976. Daytona admits that at the time LaVerne J. Martincic executed the assignment she deemed herself to be the owner of the trademark “Migi” and contends that its predecessor first used the mark “Migi” pri- or to April, 1975, by displaying that mark on a piece of printed advertising literature and thereafter by displaying the mark on a tape attached to the fire wall of each MG-TD replica automobile body that was sold and on the invoices therefor. However, plaintiff also admits that this printed literature bearing the mark “Migi” was ordered and paid for by Martin Enterprises, Inc., an Ohio corporation wholly owned by Joseph Martincic, LaVerne J. Martincic’s husband. *35 Plaintiff further admits that by May, 1975, Martin Enterprises, Inc. had gone out of business and LaVerne J. Martincic was working for defendant in Bridgeville, Pennsylvania.

Daytona has further admitted that La-Verne J. Martincic personally never conducted any business in Ohio prior to May, 1975, and that during the period April 1, 1975, up to April 9, 1976, there are no records indicating that LaVerne J. Martincic conducted any business (other than her participation in Fiberfab’s business) which used the trademark “Migi” and that there are no invoices of any date reflecting any sale by LaVerne J. Martincic personally of an MG-TD replica automobile body. Finally, Daytona admits that Daytona, as Daytona, first used the trademark “Migi” on MG-TD replica automobile bodies shortly after April 9, 1976.

From the foregoing, it is clear that at no time did LaVerne J. Martincic as an individual conduct any business in which she utilized the trade name “Migi” as an appurtenance thereof. Nor is there any genuine issue as to any fact upon which that conclusion is based.

The principles of trademark law which govern our disposition of the defendant’s motion are well settled. In the landmark case of United Drug Co. v. Theodore Rectanus Co., 248 U.S. 90, 39 S.Ct. 48, 63 L.Ed. 141 (1918), Mr. Justice Pitney speaking for the Court stated:

“There is no such thing as property in a trade-mark except as a right appurtenant to an established business or trade in connection with which the mark is employed. The law of trade-marks is but a part of the broader law of unfair competition; the right to a particular mark grows out of its use, not its mere adoption; its function is simply to designate the goods as the product of a particular trader and to protect his good will against the sale of another’s product as his; and it is not the subject of property except in connection with an existing business.” (emphasis supplied).

In 1960 the D.C. Circuit held in Rogers v. Ercona Camera Corporation at 107 U.S.App.D.C. 295, 298, 277 F.2d 94, 97 as follows:

“We take it as settled that ownership rights in a trademark in the United States, in the case of private persons, exist only as an appurtenance to a manufacturing or marketing business conducted in the United States in which the mark is used. . . . As we stated in Watson v. E. Leitz, Inc., 1958, 103 U.S.App.D.C. 74, 77, 254 F.2d 777, 780:
‘A trademark must be appurtenant to some enterprise which is related to the marketing of goods. It is both philosophically and legally impossible for it to exist in gross. But a merchant as well as a manufacturer may have a trademark.’ ”

In support of its motion, the defendant filed a brief and an extensive well-indexed appendix in which it cited the specific documents in which the admissions or contentions of the plaintiff previously set forth herein appeared and upon which the defendant was relying in support of its motion.

In its reply thereto the plaintiff did not attempt to dispute those foregoing facts or to suggest that there was any genuine issue as to any of them. Instead, plaintiff filed an affidavit of LaVerne J. Martincic consisting of thirteen numbered paragraphs. We find however, that none of the averments contained in the affidavit of Mrs.

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Bluebook (online)
475 F. Supp. 33, 205 U.S.P.Q. (BNA) 1245, 1979 U.S. Dist. LEXIS 11058, Counsel Stack Legal Research, https://law.counselstack.com/opinion/daytona-automotive-fiberglass-v-fiberfab-inc-pawd-1979.