Mattel, Inc. v. MCA Records, Inc.

296 F.3d 894, 2002 Daily Journal DAR 8297, 63 U.S.P.Q. 2d (BNA) 1715, 2002 Cal. Daily Op. Serv. 6617, 2002 U.S. App. LEXIS 14821, 2002 WL 1628504
CourtCourt of Appeals for the Ninth Circuit
DecidedJuly 24, 2002
Docket98-56453, 98-56577
StatusPublished
Cited by164 cases

This text of 296 F.3d 894 (Mattel, Inc. v. MCA Records, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mattel, Inc. v. MCA Records, Inc., 296 F.3d 894, 2002 Daily Journal DAR 8297, 63 U.S.P.Q. 2d (BNA) 1715, 2002 Cal. Daily Op. Serv. 6617, 2002 U.S. App. LEXIS 14821, 2002 WL 1628504 (9th Cir. 2002).

Opinion

OPINION

KOZINSKI, Circuit Judge:

If this were a sci-fi melodrama, it might be called Speech-Zilla meets Trademark Kong.

I

Barbie was born in Germany in the 1950s as an adult collector’s item. Over the years, Mattel transformed her from a doll that resembled a “German street walker,” 1 as she originally appeared, into a glamorous, long-legged blonde. Barbie has been labeled both the ideal American woman and a bimbo. She has survived attacks both psychic (from feminists critical of her fictitious figure) and physical (more than 500 professional makeovers). She remains a symbol of American girlhood, a public figure who graces the aisles of toy stores throughout the country and beyond. With Barbie, Mattel created not just a toy but a cultural icon.

*899 With fame often comes unwanted attention. Aqua is a Danish band that has, as yet, only dreamed of attaining Barbie-like status. In 1997, Aqua produced the song Barbie Girl on the album Aquarium. In the song, one b'andmember impersonates Barbie, singing in a high-pitched, doll-like voice; another bandmember, calling himself Ken, entices Barbie to “go party.” (The lyrics are in the Appendix.) Barbie Girl singles sold well and, to Mattel’s dismay, the song made it onto Top 40 music charts.

Mattel brought this lawsuit against the music companies who produced, marketed and sold Barbie Girl: MCA Records, Inc., Universal Music International Ltd., Universal Music A/S, Universal Music & Video Distribution, Inc. and MCA Music Scandinavia AB (collectively, “MCA”). MCA in turn. challenged the district court’s jurisdiction under the Lanham Act and its personal jurisdiction over the foreign defendants, Universal Music International Ltd., Universal Music A/S and MCA Music Scandinavia AB (hereinafter “foreign defendants”); MCA also brought a defamation claim against Mattel for statements Mattel made about MCA while this lawsuit was pending. The district court concluded it had jurisdiction over the foreign defendants and under the Lanham Act, and granted MCA’s motion for summary judgment on Mattel’s federal and state-law claims for trademark infringement and dilution. The district court also granted Mattel’s motion for summary judgment on MCA’s defamation claim.

Mattel appeals the district court’s ruling that Barbie Girl is a parody of Barbie and a nominative fair use; that MCA’s use of the term Barbie is not likely to confuse consumers as to Mattel’s affiliation with Barbie Girl or dilute the Barbie mark; and that Mattel cannot aSsert an unfair competition claim under the Paris Convention for the Protection of Industrial Property. MCA cross-appeals the grant of summary judgment on its defamation claim as well as the district court’s jurisdictional holdings.

II

A. All three foreign defendants are affiliated members of Universal Music Group and have an active relationship with each other and with domestic members of the Group. Defendants entered into cross-licensing agreements and developed a coordinated plan to distribute the Barbie Girl song in the United States (including California), and sent promotional copies of the Barbie Girl single and the Aquarium album to the United States (including California). This conduct was expressly aimed at, and allegedly caused harm in, California, Mattel’s principal place of business. See Panavision Int’l, L.P. v. Toeppen, 141 F.3d 1316, 1321 (9th Cir.1998). Mattel’s trademark claims would not have arisen “but for” the conduct foreign defendants purposefully directed toward California, and jurisdiction over the foreign defendants, who are represented by the same counsel and closely associated with the domestic defendants, is reasonable. See id. at 1321-22. The district court did not err in asserting specific personal jurisdiction over the foreign defendants.

B. Sales of the Aquarium album worldwide had a sufficient effect on American foreign commerce, and Mattel suffered monetary injury in the United States from those sales. See Ocean Garden, Inc. v. Marktrade Co., 953 F.2d 500, 503 (9th Cir.1991). Moreover, Mattel’s claim is more closely tied to interests of American foreign commerce than it is to the commercial interests of other nations: Mattel’s principal place of business is in California, the foreign defendants are closely related to the domestic defendants, and Mattel *900 sought relief only for defendants’ sales in the United States. See Star-Kist Foods, Inc. v. P.J. Rhodes & Co., 769 F.2d 1393, 1395-96 (9th Cir.1985). The district court properly exercised extraterritorial jurisdiction under the Lanham Act.

III

A. A trademark is a word, phrase or symbol that is used to identify a manufacturer or sponsor of a good or the provider of a service. See New Kids on the Block v. News Am. Publ’g, Inc., 971 F.2d 302, 305 (9th Cir.1992). It’s the owner’s way of preventing others from duping consumers into buying a product they mistakenly believe is sponsored by the trademark owner. A trademark “inform[s] people that trademarked products come from the same source.” Id. at 305 n. 2. Limited to this core purpose — avoiding confusion in the marketplace — a trademark owner’s property rights play well with the First Amendment. “Whatever first amendment rights you may have in calling the brew you make in your bathtub ‘Pepsi’ are easily outweighed by the buyer’s interest in not being fooled into buying it.” Trademarks Unplugged, 68 N.Y.U. L.Rev. 960, 973 (1993).

The problem arises when trademarks transcend their identifying purpose. Some trademarks enter our public discourse and become an integral part of our vocabulary. How else do you say that something’s “the Rolls Royce of its class”? What else is a quick fix, but a Band-Aid? Does the average consumer know to ask for aspirin as “acetyl salicylic acid”? See Bayer Co. v. United Drug Co., 272 F. 505, 510 (S.D.N.Y. 1921). Trademarks often fill in gaps in our vocabulary and add a contemporary flavor to our expressions. Once imbued with such expressive value, the trademark becomes a word in our language and assumes a role outside the bounds of trademark law.

Our likelihood-of-confusion test, see AMF Inc. v. Sleekcraft Boats, 599 F.2d 341, 348-49 (9th Cir.1979), generally strikes a comfortable balance between the trademark owner’s property rights and the public’s expressive interests. But when a trademark owner asserts a right to control how we express ourselves — when we’d find it difficult to describe the product any other way (as in the case of aspirin), or when the mark (like Rolls Royce) has taken on an expressive meaning apart from its source-identifying function' — -applying the traditional test fails to account for the full weight of the public’s interest in free expression.

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296 F.3d 894, 2002 Daily Journal DAR 8297, 63 U.S.P.Q. 2d (BNA) 1715, 2002 Cal. Daily Op. Serv. 6617, 2002 U.S. App. LEXIS 14821, 2002 WL 1628504, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mattel-inc-v-mca-records-inc-ca9-2002.