Motown Productions, Inc. v. Cacomm, Inc.

849 F.2d 781, 1988 WL 62505
CourtCourt of Appeals for the Second Circuit
DecidedJune 20, 1988
DocketNo. 780, Docket 87-7917
StatusPublished
Cited by30 cases

This text of 849 F.2d 781 (Motown Productions, Inc. v. Cacomm, Inc.) 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
Motown Productions, Inc. v. Cacomm, Inc., 849 F.2d 781, 1988 WL 62505 (2d Cir. 1988).

Opinion

PER CURIAM:

Rule 11 of the Federal Rules of Civil Procedure (“Rule 11”) requires that sanctions be imposed upon an attorney who advocates a position even though it is “patently clear that [the position] has absolutely no chance of success under the existing precedents, and ... no reasonable argument can be advanced to extend, modify or reverse the law as it stands....” Eastway Construction Corp. v. City of New York, 762 F.2d 243, 254 (2d Cir.1985). In a trademark case, section 35(a) of the Lanham Act, 15 U.S.C. § 1117(a), (“Section 35”) provides for an award of attorneys’ fees to a prevailing party under “exceptional circumstances.” Such circumstances exist, for example, where an attorney prosecutes or defends a case in bad faith. See Universal City Studios, Inc. v. Nintendo Co., 797 F.2d 70, 77 (2d Cir.), cert denied, — U.S. -, 107 S.Ct. 578, 93 L.Ed.2d 581 (1986).

This appeal raises the question of whether these rules were applied properly to impose sanctions on a law firm attempting to defend the trademark rights of its client. Although we agree with the district court that the position set forth by the sanctioned firm was weak, we cannot hold that the firm’s conduct was the kind that was meant to trigger the imposition of Rule 11 or Lanham Act sanctions. Accordingly, we reverse.

BACKGROUND

I. The Parties and Their Use of the Name “Nightlife”

Motown Productions, Inc. (“Motown”) and King World Productions, Inc. produced a television program entitled “Nightlife,” a nightly variety/talk show that was hosted by comedian David Brenner (the “Motown Program”). The Motown Program made its premiere appearance on September 8, 1986. Although the Motown Program was eventually cancelled it was, according to the district court, a “slick, network-quality production resembling such well-known programs as ‘The Tonight Show’ with Johnny Carson and ‘Late Night’ with David Letterman.” Motown Productions, Inc. v. Cacomm, Inc., 668 F.Supp. 285, 290 (S.D.N.Y.1987).

[783]*783Prior to the airing of the Motown Program, Cacomm, Inc. (“Cacomm”) produced and aired a television program that was also entitled “Nightlife” (the “Cacomm Program”). The Cacomm Program had an interview format and was televised on cable television in New Jersey. Between the date of its initial airing on January 30,1984 and September 4, 1984, a total of 94 shows were transmitted on the Cable Television Network (“CTN”). In 1985, 75 of Ca-comm’s shows were transmitted on CTN.

II. Proceedings in the District Court

The action that led to this lawsuit was Motown’s receipt of letters asserting Ca-comm’s alleged exclusive right to the use of the name “Nightlife” and demanding that Motown cease its use of the name. These “cease and desist” letters were authored by a law firm that represented Ca-comm prior to the appearance of the law firm whose conduct is at issue here. Thus, the propriety of sending these letters is an issue that is not before us.

Shortly after receipt of the cease and desist letters, and on the eve of the premiere showing of the Motown Program, Motown commenced, by way of order to show cause, a declaratory judgment action in the Southern District of New York. Motown sought a judgment: (1) declaring that Ca-comm had no exclusive rights in the name “Nightlife,” and (2) enjoining Cacomm from asserting any purported trademark rights in the name “Nightlife” or otherwise interfering with Motown’s use of the name in connection with its program.

Motown first presented its order to show cause on Friday, September 5, 1986. Although the district judge originally handling the matter denied Motown the immediate relief sought, the court adjourned the matter only briefly and ordered that the parties appear on Monday, September 8, 1986, before Judge Leisure, the judge to whom the case was assigned. The law firm of Hedman, Gibson, Costigan & Hoare (“Hedman, Gibson” or “the firm”) made its first appearance in this lawsuit at that initial conference. There, the firm agreed, on behalf of Cacomm, to the entry of an order prohibiting it from sending additional cease and desist letters or otherwise claiming any exclusive right to the use of the name “Nightlife.” Since Hedman, Gibson had thus agreed to the entry of an order that allowed Motown to proceed, unhindered, with its programming schedule, an immediate hearing was unnecessary and the parties proceeded to participate in discovery.

On September 24, 1986 Motown filed an amended complaint and on November 12, 1986 Cacomm filed its answer. In its answer, Cacomm formally asserted its alleged exclusive right to the use of the name “Nightlife” by setting forth counterclaims pursuant to federal and state law. The federal cause of action claimed a violation of section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a). The state law causes of action alleged unfair competition under the common law of the states of New York and New Jersey. Upon completing discovery, both parties moved, pursuant to Rule 56 of the Federal Rules of Civil Procedure, for summary judgment. In addition, citing both Rule 11 and Section 35, the parties cross-moved for the imposition of sanctions.

The district court rejected each of Ca-comm’s claims. Turning first to the Lan-ham Act claim, the district judge held that applicable standards required that Cacomm prove: (1) that the title “Nightlife” had acquired secondary meaning, and (2) that both parties’ use of the title would result in a likelihood of public confusion. Motown, 668 F.Supp. at 287-88.

On the issue of secondary meaning, the lower court considered factors stated recently by this court in Thompson Medical Co. v. Pfizer Inc., 753 F.2d 208, 217 (2d Cir.1985). Finding that each of these factors militated against Cacomm’s position, the court held that Cacomm’s use of the title “Nightlife” failed to acquire secondary meaning. Motown, 668 F.Supp. at 289.

Turning next to the question of whether there was a likelihood of public confusion, the lower court considered the factors first set forth in Polaroid Corp. v. Polarad Electronics Corp., 287 F.2d 492, 495 (2d [784]*784Cir.), cert. denied, 368 U.S. 820, 82 S.Ct. 36, 7 L.Ed.2d 25 (1961). Here too, it was found that none of the applicable factors weighed in Cacomm’s favor. Accordingly, the court concluded that the public was unlikely to be confused by the simultaneous use of the name at issue and dismissed the Lanham Act and state law claims. See Motown, 668 F.Supp. at 292-93.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

LVL XIII Brands, Inc. v. Louis Vuitton Malletier S.A.
209 F. Supp. 3d 612 (S.D. New York, 2016)
Berweger v. County of Orange
121 F. Supp. 2d 334 (S.D. New York, 2000)
Tri-Star Pictures, Inc. v. Unger
42 F. Supp. 2d 296 (S.D. New York, 1999)
Ideal World Marketing, Inc. v. Duracell, Inc.
15 F. Supp. 2d 239 (E.D. New York, 1998)
Fogerty v. Fantasy, Inc.
510 U.S. 517 (Supreme Court, 1994)
Levine v. Federal Deposit Insurance
2 F.3d 476 (Second Circuit, 1993)
Banff, Ltd. v. Colberts, Inc.
996 F.2d 33 (Second Circuit, 1993)
Rounseville v. Zahl
819 F. Supp. 1148 (N.D. New York, 1993)
Banff, Ltd. v. Colberts, Inc.
810 F. Supp. 79 (S.D. New York, 1992)
Paganucci v. City of New York
785 F. Supp. 467 (S.D. New York, 1992)
Scotch Whisky Ass'n v. Majestic Distilling Co.
958 F.2d 594 (Fourth Circuit, 1992)
Greenhouse v. United States
780 F. Supp. 136 (S.D. New York, 1991)
Derechin v. State University of New York
138 F.R.D. 362 (W.D. New York, 1991)
West Indian Sea Island Cotton Ass'n v. Threadtex, Inc.
761 F. Supp. 1041 (S.D. New York, 1991)
Taj Mahal Enterprises, Ltd. v. Trump
745 F. Supp. 240 (D. New Jersey, 1990)
Securities Industry Ass'n v. Clarke
898 F.2d 318 (Second Circuit, 1990)
Securities Industry Association v. Clarke
898 F.2d 318 (Second Circuit, 1990)
New York State National Organization for Women v. Terry
732 F. Supp. 388 (S.D. New York, 1990)

Cite This Page — Counsel Stack

Bluebook (online)
849 F.2d 781, 1988 WL 62505, Counsel Stack Legal Research, https://law.counselstack.com/opinion/motown-productions-inc-v-cacomm-inc-ca2-1988.