Kiwanis International v. Ridgewood Kiwanis Club (d.c. Civil No. 85-4306). Kiwanis Club of Ridgewood, Inc., and Julie Fletcher v. Kiwanis International (d.c. Civil No. 85-4483). Appeal of Kiwanis International

806 F.2d 468
CourtCourt of Appeals for the Third Circuit
DecidedDecember 3, 1986
Docket86-5199
StatusPublished

This text of 806 F.2d 468 (Kiwanis International v. Ridgewood Kiwanis Club (d.c. Civil No. 85-4306). Kiwanis Club of Ridgewood, Inc., and Julie Fletcher v. Kiwanis International (d.c. Civil No. 85-4483). Appeal of Kiwanis International) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kiwanis International v. Ridgewood Kiwanis Club (d.c. Civil No. 85-4306). Kiwanis Club of Ridgewood, Inc., and Julie Fletcher v. Kiwanis International (d.c. Civil No. 85-4483). Appeal of Kiwanis International, 806 F.2d 468 (3d Cir. 1986).

Opinion

806 F.2d 468

55 USLW 2321, 1 U.S.P.Q.2d 1062

KIWANIS INTERNATIONAL,
v.
RIDGEWOOD KIWANIS CLUB (D.C. Civil No. 85-4306).
KIWANIS CLUB OF RIDGEWOOD, INC., and Julie Fletcher,
v.
KIWANIS INTERNATIONAL (D.C. Civil No. 85-4483).
Appeal of KIWANIS INTERNATIONAL.

Nos. 86-5199, 86-5278.

United States Court of Appeals,
Third Circuit.

Argued Sept. 16, 1986.
Decided Dec. 3, 1986.

Donald E. Knebel (argued), Brian J. Martin, Barnes & Thornburg, Indianapolis, Ind., John F. Darcy, Thomas F. Cermack, Jr., Orbe, Nugent and Collins, Ridgewood, N.J., for appellant.

Marcia K. Baer (argued), Hirsch, Newman, Simpson & Baer, Hackensack, N.J., for appellees.

Thomas P. Ondeck, Baker and McKenzie, Washington, D.C., for amicus curiae Conference of Private Organizations.

Before ADAMS, STAPLETON and GARTH, Circuit Judges.

OPINION OF THE COURT

GARTH, Circuit Judge:

Kiwanis International has appealed from a district court order holding that the local Kiwanis club of Ridgewood, New Jersey (Kiwanis Ridgewood) is a place of public accommodation within the meaning of the New Jersey statute which prohibits unlawful discrimination in places of public accommodation. The district court held that Kiwanis International could not revoke the trademark license it had granted to the local Ridgewood club, because Kiwanis Ridgewood was a "place of public accommodation" and, as such, could not refuse admission to women.1 Moreover, the district court reformed the license agreement and permitted Kiwanis Ridgewood to continue using the Kiwanis marks under the Kiwanis charter, holding that the provisions of the Kiwanis Ridgewood license which restricted Kiwanis membership to men could be severed from the whole of the license agreement. We reverse.

I.

Appellant Kiwanis International is the parent organization of 8,200 chartered Kiwanis clubs scattered throughout the world. Kiwanis clubs number in excess of 313,000 members. The nonprofit association, founded in 1915, is incorporated in Illinois and headquartered in Indiana. The principal focus of the Kiwanis organization is community service. Club activities include fundraisers for scholarships and other charitable purposes.2 Kiwanis is not a secret society; members do not partake in clandestine meetings or private rituals. Neither the goals nor the activities of the organization are sex-specific. Indeed, the district court found that while a "collateral benefit" of Kiwanis membership is the pleasure of camaraderie, the social aspect of the club does not supplant its charitable and civic focus. The district court further found that Kiwanis "engages in no activities in which the presence of women would create uncomfortable or embarrassing situations." Kiwanis International v. Ridgewood Kiwanis Club, 627 F.Supp. 1381, 1384 (D.N.J.1986). Moreover, the court found, "since women already participate to such a significant degree in [Kiwanis] activities ..., their full membership will not adversely affect the camaraderie or ... impede the achievement of any of the overall goals of the organization." Id. As to the effect of any change in membership on the public, the district court found that those "persons who would otherwise contribute [to the charitable functions sponsored by Kiwanis] will not cease doing so because women are members." Id.

Chartered Kiwanis clubs are bound by the constitution and bylaws of Kiwanis International. Since its formation, Kiwanis has restricted its membership to men. This restriction is contained in article V, Sec. 4(a) of the Kiwanis constitution3 and article II, Sec. 2 of the bylaws.4 There are several national requirements for membership, such as employment in a recognized trade or profession. Local clubs can adopt additional requirements for membership. New members are selectively chosen. Each new member must be sponsored by at least one current member and must be accepted by vote of the local club's Board of Directors.

Kiwanis International and Kiwanis Ridgewood entered into a charter agreement on November 2, 1942. Under the agreement, Kiwanis Ridgewood was allowed to use the Kiwanis marks, as long as it adhered to the organization's constitution and bylaws. The Ridgewood club currently has twenty-eight members and meets weekly for a luncheon meeting at a local restaurant. Several individuals have been members of the Ridgewood club for over twenty years. Kiwanis Ridgewood has admitted no more than twenty members over the past decade, and every applicant has been sponsored by a member of the Kiwanis Ridgewood club.

The current dispute arose when Julie Fletcher joined the Ridgewood club in June of 1984. Following her admission to Ridgewood, Ms. Fletcher's membership application and processing fee were sent to Kiwanis International; both were promptly returned. This rejection was followed by, on June 26, 1985, a letter from the Secretary of Kiwanis International stating that Ms. Fletcher's membership was in violation of the Kiwanis constitution and bylaws and that, unless Kiwanis Ridgewood cured the violation within sixty days, Kiwanis International would revoke Ridgewood's license to use the Kiwanis marks.

Kiwanis Ridgewood refused to revoke Fletcher's membership, and Kiwanis International filed suit in federal court under the Lanham Act on September 3, 1985.5 Kiwanis International claimed that Kiwanis Ridgewood had forfeited its license to use the marks, and sought preliminary and permanent injunctions prohibiting Ridgewood's continued use. On September 6, 1985, Kiwanis Ridgewood filed suit in New Jersey Superior Court seeking an injunction against International's license revocation and a declaration that Ms. Fletcher was a bona fide member of the Ridgewood club. Kiwanis Ridgewood asserted in its complaint that the revocation would violate the New Jersey Law Against Discrimination.

Kiwanis International removed Ridgewood's suit to federal court, where both parties agreed to a consolidation of their suits. Kiwanis International then filed a motion to dismiss Ridgewood's complaint on the grounds of failure to state a claim. The district court considered International's motion to dismiss and both parties' requests for injunctions in an evidentiary hearing on November 18 and 19, 1985.6 The district court filed its opinion on February 6, 1986.

In its opinion, the district court examined each of the consolidated actions, and found that federal law did not preempt the application of New Jersey law as to either claim. Applying the New Jersey Law Against Discrimination, the district court held that Kiwanis Ridgewood was a place of public accommodation and as such was prohibited from restricting membership on the basis of sex. The district court then held that Kiwanis International was precluded from enforcing its illegal discriminatory membership restrictions against Ridgewood.

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806 F.2d 468, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kiwanis-international-v-ridgewood-kiwanis-club-dc-civil-no-85-4306-ca3-1986.