Kelly-Brown v. Winfrey

717 F.3d 295, 41 Media L. Rep. (BNA) 1881, 106 U.S.P.Q. 2d (BNA) 1875, 2013 WL 2360999, 2013 U.S. App. LEXIS 10972
CourtCourt of Appeals for the Second Circuit
DecidedMay 31, 2013
DocketDocket 12-1207-cv
StatusPublished
Cited by136 cases

This text of 717 F.3d 295 (Kelly-Brown v. Winfrey) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kelly-Brown v. Winfrey, 717 F.3d 295, 41 Media L. Rep. (BNA) 1881, 106 U.S.P.Q. 2d (BNA) 1875, 2013 WL 2360999, 2013 U.S. App. LEXIS 10972 (2d Cir. 2013).

Opinions

Judge SACK concurs in the result in a separate opinion.

STRAUB, Circuit Judge:

Plaintiff Simone Kelly-Brown (“Kelly-Brown”) is the owner of a motivational services business, Own Your Power Communications, Inc., that holds events and puts out publications under the registered service mark “Own Your Power.” Defendants Oprah Winfrey (“Oprah”), Harpo, Inc., and Harpo Productions, Inc. (collectively, “Harpo”), and Hearst Corp. and Hearst Communications, Inc. (collectively, “Hearst”) were involved in the production of a magazine, event, and website also employing the phrase “Own Your Power.” Kelly-Brown argues that in so using the [299]*299phrase, the defendants infringed upon her mark. She brings suit for claims including trademark infringement, false designation of origin, reverse confusion, and counterfeiting. She also brings suit for vicarious and contributory infringement against Wells Fargo & Co. (“Wells Fargo”), Clinique Laboratories, LLC (“Clinique”), Es-tee Lauder Cos., Inc. (“Estee Lauder”), and Chico’s FAS, Inc. (“Chico’s”), which were all corporate sponsors of the allegedly infringing “Own Your Power” event.

Kelly-Brown appeals from the grant of a motion to dismiss in the Southern District of New York (Paul A. Crotty, Judge), finding that the defendants’ use of the phrase “Own Your Power” was fair use. The District Court dismissed Kelly-Brown’s counterfeiting, vicarious infringement, and contributory infringement claims on additional grounds. Because we find that the defendants have not adequately established a fair use defense, we VACATE the judgment of the District Court with respect to Kelly-Brown’s trademark infringement, false designation of origin, and reverse confusion claims and REMAND this case for further proceedings not inconsistent with this opinion. We agree with the District Court’s holdings with respect to Kelly-Brown’s vicarious infringement, contributory infringement, and counterfeiting claims and therefore AFFIRM with respect to these claims.

BACKGROUND

The allegations recited below are taken from the complaint, and we assume they are true for the purposes of this appeal.

Kelly-Brown owns a motivational services business organized around the concept “Own Your Power.” Kelly-Brown hosts a radio show, holds conferences and retreats, and writes a blog promoting the concept of “owning” one’s power. She also has a federally registered service mark in the phrase “Own Your Power.”

The service mark registered with the United States Patent and Trademark Office is displayed in a distinctive font that Kelly-Brown uses on her website and other materials, as follows:1

[[Image here]]

The service mark states, “THE COLORÍS) LIGHT BLUE IS/ARE CLAIMED AS A FEATURE OF THE MARK. THE MARK CONSISTS OF LIGHT BLUE SCRIPTED LETTERS WHICH CREATE THE WORDS OWN YOUR ‘POWER.’ ” Kelly-Brown’s service mark was registered May 27, 2008.

Defendant Oprah almost needs no introduction, but warrants one in this context. She runs a vast media empire, which consists of, inter alia, a magazine, and a website, which is run by Harpo, and (until recently) a television program. Oprah’s name and images figure prominently in the branding of these enterprises.

At roughly the same time that Kelly-Brown was seeking to register her service mark in “Own Your Power,” the defendants also sought to register a trademark in a new Oprah venture, the Oprah Winfrey Network, to be known as “OWN.” During the creation of OWN, Harpo arranged for the transfer of a trademark in [300]*300“OWN ONYX WOMAN NETWORK” from its original owner to Harpo to avoid an infringement action from that mark’s original owner. Defendants would likely have been aware of Kelly-Brown’s pending registration for the service mark in “Own Your Power,” since the same search defendants would have run to locate and negotiate the transfer of the trademark in “OWN ONYX WOMAN NETWORK” would have also revealed Kelly-Brown’s mark.

Kelly-Brown alleges that the defendants infringed upon her service mark by producing a bevy of publications, events, and online content all using the phrase, “Own Your Power.” For example, the October 2010 issue of 0, the Oprah Magazine (the “Magazine”), which was distributed on or about September 13, 2010, prominently featured the words “Own Your Power” on its front cover. Beneath these words were the sub-headings “How to Tap Into Your Strength”; “Focus Your Energy”; and “Let Your Best Self Shine.” It also contained the following headline set off to the right side: “THE 2010 O POWER LIST! 20 Women Who Are Rocking the World.”

[301]*301[[Image here]]

The Power List therein consisted of a list of people who were influential in various fields, with each serving as an example of a particular “kind” of power. For example, one page contained a photograph of the actress Julia Roberts and a paragraph describing her. Set off from the text is a red circle containing the phrase THE POWER OF ... living large.”

On September 16, 2010, the Magazine, in connection with various other businesses, including defendants Wells Fargo, Clinique, and Chico’s, held an “Own Your Power” event (the “Event”). At the Event, various celebrities posed for pro[302]*302motional photographs in front of an “Own Your Power” backdrop that also contained trademarks for Chico’s, Wells Fargo, Clinique, and the Magazine. The Event involved a seminar and workshop offering motivational advice regarding self-awareness, self-realization, and entrepreneurship, under the aegis of the theme “Own Your Power.” The Event was subsequently described in the December 2010 issue of the Magazine as the “FIRST-EVER OWN YOUR POWER EVENT.”

Following the Event, the Harpo website (the “Website”) contained video clips from the Event and placed “Own Your Power” banners and content on at least 75 different individual webpages. Each page containing the “Own Your Power” banner displayed the same header image, with font and graphics that resembled the layout of the October issue of the Magazine. In the center of the banner were the words “Own Your Power!” in a large italicized font. On either side of these words were truncated, colored circles, each containing text. The text inside the leftmost circle contained the words, “The Power of ... ” To the right were arrayed other circles containing ellipses followed by the words, “... heart,” “... vision,” “... one voice,” and “... seizing the moment.”

The October issue contained pages with a similar format, with the phrase “the power of ...” surrounded by various concepts written in colored circles, each beginning with an ellipsis. The “Own Your Power” bannered pages of the website included articles such as, “How to Tap Into Your True Power,” Motivation: One Entrepreneur’s Fabulous Story,” and “The Secrets 0f Success.” Each page is accompanied by banner advertisements,

Approximately two weeks after the Event occurred, the Magazine’s Facebook [303]*303page displayed photographs taken that evening. On September 27, 2010, Oprah appeared on her television show and displayed the cover of the October 2010 issue of the Magazine. In addition, the December 2010 issue of the Magazine, circulated around November 13, 2010, contained information encouraging readers to view the videos from the Event online at the Website.

Following the Magazine’s Own Your Power cover, Kelly-Brown and Own Your Power Communications, Inc.

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717 F.3d 295, 41 Media L. Rep. (BNA) 1881, 106 U.S.P.Q. 2d (BNA) 1875, 2013 WL 2360999, 2013 U.S. App. LEXIS 10972, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kelly-brown-v-winfrey-ca2-2013.