Helpful Hound, L.L.C. v. New Orleans Bldg. Corp.

331 F. Supp. 3d 581
CourtDistrict Court, E.D. Louisiana
DecidedAugust 7, 2018
DocketCIVIL ACTION NO. 18-3500; c/w 18-3594
StatusPublished
Cited by2 cases

This text of 331 F. Supp. 3d 581 (Helpful Hound, L.L.C. v. New Orleans Bldg. Corp.) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Helpful Hound, L.L.C. v. New Orleans Bldg. Corp., 331 F. Supp. 3d 581 (E.D. La. 2018).

Opinion

SARAH S. VANCE, UNITED STATES DISTRICT JUDGE

New Orleans Building Corporation and the City of New Orleans move to preliminarily enjoin Helpful Hound, L.L.C. and related parties from using the mark "St. Roch Market" at locations other than the food halls of the same name in New Orleans and Miami.1 The Court issues the preliminary injunction contained in this Order for the reasons discussed below.

I. BACKGROUND

This case arises out of a dispute over use of the name "St. Roch Market." The original St. Roch Market is located at 2381 St. Claude Avenue, on the neutral ground of St. Roch Avenue. It is one of the few remnants of the once-extensive network of public markets in New Orleans.2 According to defendants, St. Roch Market dates back to 1838, when an open-air market was built at the site.3 It was originally known as Washington Market, just as St. Roch Avenue used to be known as Washington Avenue.4 The present structure was designed and built in 1875.5 According to the City, the market was enclosed in 1914, and rebuilt in 1937 by the Works Progress Administration.6 By 1964, the market had acquired its distinctive signage:7

*589The City leased stalls in St. Roch Market to various food vendors until 1945.8 From 1945 until the 1990s, the City leased the market to the Lama family, who first operated a seafood market and po-boy restaurant at the site before converting the space to a supermarket in 1954.9 The City then leased the space to a different tenant, which operated a seafood market, po-boy restaurant, and Chinese food restaurant until the space was damaged by Hurricane Katrina in 2005.10

The City renovated St. Roch Market between 2012 and 2014.11 The renovation cost $3,258,873.77, of which the City contributed $555,459.34.12 The City then sought a master tenant to operate the property.13 On May 10, 2014, defendant Will Donaldson submitted a proposal on behalf of a company called Launch Pad.14 Launch Pad proposed to "replicate the original St. Roch Market through the installation of 15 independent, local food vendors, each selling fresh and prepared foods seven days a week."15

On September 29, 2014, New Orleans Building Corporation (NOBC) leased the building to Bayou Secret, LLC, which was allegedly established by Donaldson and his business partners.16 The lease places a number of restrictions on Bayou Secret's use of the building. For example, the lease requires Bayou Secret to operate "a full service neighborhood restaurant" and *590"fresh foods market using multiple vendors in a 'stalls' concept."17 According to the lease, "[i]t is important to [NOBC] that the fresh and prepared foods market concept remain intact."18 Exhibit D to the lease provides that Bayou Secret "may utilize existing typeface logo for the St. Roch Market as is presently posted on the building and replicate this logo in additional locations of the building."19

According to Bayou Secret, it "has successfully operated St. Roch Market as a southern food hall featuring a diverse lineup of food and beverage purveyors."20 Bayou Secret's responsibilities allegedly include identifying, securing, and managing the market's vendors, cleaning and maintaining the premises, and performing administrative functions for the market.21

Bayou Secret opened a second food hall in New Orleans, called "Auction House Market," in 2018.22 Bayou Secret allegedly displayed a marketing banner using the "St. Roch Market" mark at this location in December 2017.23 After NOBC CEO Cynthia Connick raised this issue with Bayou Secret, the banner was removed.24

Bayou Secret and related entities also opened a food hall called "St. Roch Market" in Miami in 2018.25 Various newspaper articles and Bayou Secret's website report that Bayou Secret has plans to open additional food halls called "St. Roch Market" in other locations, including Chicago and Nashville, Tennessee.26 The City and NOBC have not consented to the opening of additional of food halls under the name "St. Roch Market."27

Helpful Hound, L.L.C. (allegedly a member of Bayou Secret) applied for registration of "St. Roch Market" on April 6, 2017.28 The U.S. Patent and Trademark Office (PTO) refused registration on the Principal Register on the ground that the mark was primarily geographically descriptive.29 The PTO allowed registration on the Supplemental Register on September 19, 2017.30 In April 2018, the City and Helpful Hound filed competing applications for registration of "St. Roch Market" on the Principal Register.31 Both applications remain pending. The PTO initially refused registration of the City's mark, again on the ground that it is primarily geographically descriptive.32 On July 5, 2018, the PTO approved the City's mark for publication on the Principal Register,33 but then withdrew it on August 1.34 On August 3, the PTO refused registration to the City because of a likelihood of confusion *591with Helpful Hound's Supplemental Register mark.35 See 15 U.S.C. § 1052(d) (providing that a trademark application may be refused if it "comprises a mark which so resembles a mark registered in the [PTO], or a mark or trade name previously used in the United States by another and not abandoned, as to be likely, when used on or in connection with the goods of the applicant, to cause confusion"). Also on August 3, the PTO refused Helpful Hound's application on the ground that the mark is primarily geographically descriptive.36 The City and Helpful Hound have not yet responded to these August 3 office actions. The PTO's actions in these proceedings do not directly affect whether the City is entitled to preliminary injunctive relief in this case. See Viacom Int'l v. IJR Capital Invs., L.L.C. , 891 F.3d 178, 185 (5th Cir. 2018) (noting that federal law protects valid though unregistered trademarks); Union Nat'l Bank of Tex., Laredo v. Union Nat'l Bank of Tex., Austin , 909 F.2d 839, 842 (5th Cir. 1990) ("Ownership of trademarks is established by use, not by registration.").

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Bluebook (online)
331 F. Supp. 3d 581, Counsel Stack Legal Research, https://law.counselstack.com/opinion/helpful-hound-llc-v-new-orleans-bldg-corp-laed-2018.