Oklahoma District Council of the Assemblies of God of the State of Oklahoma, Inc. v. New Hope Assembly of God Church of Norman, Oklahoma, Inc.

1979 OK 107, 597 P.2d 1211, 204 U.S.P.Q. (BNA) 948, 1979 Okla. LEXIS 256
CourtSupreme Court of Oklahoma
DecidedJuly 17, 1979
Docket50761
StatusPublished
Cited by3 cases

This text of 1979 OK 107 (Oklahoma District Council of the Assemblies of God of the State of Oklahoma, Inc. v. New Hope Assembly of God Church of Norman, Oklahoma, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Oklahoma District Council of the Assemblies of God of the State of Oklahoma, Inc. v. New Hope Assembly of God Church of Norman, Oklahoma, Inc., 1979 OK 107, 597 P.2d 1211, 204 U.S.P.Q. (BNA) 948, 1979 Okla. LEXIS 256 (Okla. 1979).

Opinion

IRWIN, Vice Chief Justice.

This is the second time this controversy has been considered by this Court. In both instances, appellant, New Hope Assembly of God Church of Norman (New Hope), appealed from a summary judgment permanently enjoining it from using the term “Assembly of God” in its name. The litigation arose after the General Council of the Assemblies of God, Inc. and the Oklahoma District Council of the Assemblies of God of the State of Oklahoma, Inc., (District), withdrew recognition of New Hope as an affiliated member and New Hope continued to use its previously adopted name.

In the first appeal —Oklahoma District Council of the Assemblies of God of the State of Oklahoma v. New Hope Assembly of God Church of Norman, Okl., 548 P.2d 1029 (1976)—we reversed the summary judgment in favor of District because the evidence was insufficient to justify summary disposition. Upon remand additional evidence was presented, and upon cross-motions for summary judgment, the trial court rendered summary judgment for District. New Hope appealed and contends the district court erred in rendering t summary judgment for District and denying its motion for summary judgment.

In the first appeal (548 P.2d 1029) we said the First Amendment to the United States Constitution guarantees, inter alia, religious freedom and separation of church and state, and clearly prohibits civil courts from deciding whether religious doctrines have or have not been followed as a basis for resolving a dispute between religious institutions. However, the issue presented here does not involve a controversy over a religious doctrine or a doctrinal dispute. The question presented is whether District is entitled to an injunction enjoining New Hope from using the term “Assembly of God” in its name. This question must be resolved upon neutral, non-religious grounds.

New Hope contends that the term “Assembly of God”, as it appears in its name, is a generic or descriptive term having no specific relationship to any body or group but having a wide and broad application to those people who assemble to do God’s work as they see it. New Hope argues that no entity is entitled to exclusive use of the name or term because it is generic or descriptive.

District admits that the term “Assembly of God” is generic or descriptive in origin but contends it has acquired a secondary meaning and it is entitled to protection. District argues that by usage of the term, it has acquired a secondary meaning, i. e. it stands for churches affiliated with District and its parent organization. District asserts that it is entitled to protection under the rules relating to unfair competition.

The annotation 37 A.L.R.3d 277, discusses the rights of charitable or religious associations or corporations to protection against use of the same or a similar name by another. Numerous cases are cited which hold or recognize that the common law principles of unfair competition protecting business corporations against another’s use of the same or a similar name are equally applicable to charitable or religious associations. 1 In one of the cases cited, Purcell v. Summers, 4 Cir., 145 F.2d 979 (1944), the name “Meth *1214 odist Episcopal Church, South” was in litigation. The Fourth Circuit Court of Appeals, in addressing the unfair competition aspect of appropriating another’s name, said that:

“ * * * principles ordinarily applied in the case of business and trading corporations are equally applicable in the case of churches and other religious and charitable organizations; for, while such organizations exist for the worship of almighty God and for the purpose of benefiting mankind and not for purposes of profit, they are nevertheless dependent upon the contributions of their members for means to carry on their' work, and anything which tends to divert membership or gifts of members from them injures them with respect to their financial condition in the same way that a business corporation is injured by diversion of trade or custom. % * * ft
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“The question of protecting by injunction an eleemosynary or charitable organization, as distinguished from a business corporation, from unfair competition in the use of its name, was before us in Grand Lodge I. B. P. O. Elks v. Grand Lodge I. B. P. O. Elks, 4th Cir., 50 F.2d 860, 862, in which we examined the question thoroughly and laid down the rule, with the supporting authorities, as follows: ‘It is well established that benevolent, fraternal, or social organization will be protected in the use of its name by injunction restraining another organization from using the same or another name so similar as to be misleading.’ (Citations Omitted). The reasons underlying the rule are thus stated in Nims on Unfair Competition and Trademarks (3d Ed.) § 86: ‘The fact that a corporation is eleemosynary or charitable one and has no goods to sell, and does not make money, does not take it out of the protection of the law of unfair competition. Distinct identity is just as important to such a company, oftentimes, as it is to a commercial company. Its financial credit— its ability to raise funds, its general reputation, the credit of those managing it and supporting it, are all at stake if its name is filched away by some other organization, and the two become confused in the minds of the public.’ ”

In the law of unfair competition, a corporate or trade name used in connection with the business to which it relates may become an asset of great value. When it does, it partakes of the nature of a property right, and equity will enjoin the appropriation and use of such name if confusion of identity is likely to result. Little Tavern Shops v. Davis, 4 Cir., 116 F.2d 903 (1941). Our Court addressed the problem in Coalgate Abstract Co. v. Coal County Abstract Co., 180 Okl. 8, 67 P.2d 37 (1937), and said that geographical names and terms, as well as descriptive words, may not be exclusively appropriated but the use of such names, terms and words to palm off the goods of one as those of another and to carry on unfair competition may be lawfully enjoined by a court of equity to the same extent as the use of any other term or symbol. In that case we held the name “Coalgate Abstract Company” was not so similar to “Coal County Abstract Company” that the ordinary buyer, exercising ordinary intelligence and observation in business matters would likely be deceived, or likely to attempt and do business with the former company thinking that in fact it was the latter company.

A word or name is said to have acquired a secondary meaning if because of association with a product or firm over a period of time, the word or name has come to stand in the minds of the public as a name or identification for that product or firm. And, if a descriptive word or name has taken on a secondary meaning, courts will afford equitable protection to the party whose use of the word or name has created the secondary meaning. Safeway Stores, Inc. v. Safeway Properties, Inc.,

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1979 OK 107, 597 P.2d 1211, 204 U.S.P.Q. (BNA) 948, 1979 Okla. LEXIS 256, Counsel Stack Legal Research, https://law.counselstack.com/opinion/oklahoma-district-council-of-the-assemblies-of-god-of-the-state-of-okla-1979.