OmniAmerica Group v. Street Gold Records, Ltd.

916 F. Supp. 672, 1996 WL 86502
CourtDistrict Court, N.D. Ohio
DecidedFebruary 19, 1996
Docket1:96 CV 308
StatusPublished
Cited by4 cases

This text of 916 F. Supp. 672 (OmniAmerica Group v. Street Gold Records, Ltd.) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
OmniAmerica Group v. Street Gold Records, Ltd., 916 F. Supp. 672, 1996 WL 86502 (N.D. Ohio 1996).

Opinion

MEMORANDUM OF OPINION AND ORDER

NUGENT, District Judge.

This action is before the Court on Plaintiff, OmniAmerica Group’s (hereinafter “Om-niAmeriea”) Motion for a Preliminary Injunction, pursuant to Fed.R.Civ.P. Rule 65(a), against Street Gold Records, Ltd. dba Canterbury Productions/Farag Music BMI et. al. (hereinafter “Canterbury Productions”).

STATEMENT OF THE CASE

OmniAmerica filed this three count Verified Complaint for Injunctive and Monetary Relief which was assigned to Judge Patricia Anne Gaughan on February 12,1996.

Due to the unavailability of Judge Gau-ghan, pursuant to Local Rule 6:2.6, the Clerk of Court referred this matter to the undersigned as the United States District Judge on miscellaneous duty rotation.

OmniAmerica is a general partnership formed under the laws of the state of Massachusetts with its principal place of business at 200 Skylight Office Tower, 1660 West Second Street, Cleveland, Ohio 44113. Om-niAmerica owns and operates several radio stations, including WMJI-FM, WMMS-FM, and WHK-AM. WMJI-FM is located at 105.7 on the FM dial and is known as “Majic 105.7”.

Canterbury is a corporation formed under the laws of the state of Indiana with its principal place of business at 8001 Delaware Place, Marrillville, Indiana 46410. Canterbury is engaged in the business of promoting musical concerts and other types of events. It has been a promoter of concerts in the Cleveland, Ohio area. Henry Farag is the Incorporator and President of the corporation.

Independent Group Limited Partnership (hereinafter “IGLP”) is a limited partnership formed under the laws of the state of Ohio with its principal place of business at One Radio Lane, Cleveland, Ohio 44114. IGLP owns and operates the radio stations WDOK-FM and WRMR-AM. These two radio stations compete with OmniAmerica’s Cleveland stations for listeners.

The Moondog Coronation Ball Corp. is a corporation formed under the laws of the state of Ohio on March 6,1995 by Mr. Henry Farag and Mr. Omar Farag. Its principal place of business is in Cleveland, Ohio.

Moondog Coronation Ball was the name of a concert organized by WJW radio when the legendary Alan Freed worked as a disc jockey for the station in 1952. According to OmniAmerica no other concert took place with the name Moondog Coronation Ball during the remainder of the 1950’s, the 1960’s, or the 1970’s. John Gorman, while working as the business manager for WMMS in 1986, revived the use of Moondog Coronation Ball in connection with concerts that featured “oldies” rock and roll.

Malrite Communications Group, Inc. (hereinafter “Malrite”), the owners of WMMS at that time, registered the service mark “Moondog Coronation Ball II” with the Ohio Secretary of State on March 10, 1986. The service mark and its registration were acquired from Malrite by Shamrock Holdings, Inc. The assignment was recorded with the Ohio Secretary of State.

Shamrock Holdings, Inc. assigned the service mark and its registration to OmniAmeri-ca’s predecessor, Shamrock Broadcasting, Inc. The assignment was recorded with the Ohio Secretary of State. Shamrock Broadcasting, Inc. assigned its rights to OmniAm-erica. The assignment was recorded with the Ohio Secretary of State.

WMJI-FM decided to sponsor another Moondog Coronation Ball in 1992 to commemorate the 40th anniversary of the original Moondog Coronation Ball. John Gor-man, business manager for WMJI-FM, knew that WMJI-FM had worked with Canterbury in the last year to put on other concerts featuring “oldies” rock and roll and thought that Canterbury might be interested in producing the concert for WMJI-FM. Mr. Gor- *675 man informed Canterbury of WMJI-FM’s intent to stage a concert called Moondog Coronation Ball on the 40th anniversary of the original event and faxed Mr. Farag information about the original event (according to both the testimony and the affidavit of John Gorman). Canterbury agreed to produce the concert for WMJI-FM, and the parties entered into a letter agreement.

WMJI-FM created posters, flyers, on-air promotional material, and other advertising for the 1992 Moondog Coronation Ball. The March 21, 1992 event was referred to interchangeably as “Majic’s Moondog Coronation Ball,” “Moondog Coronation Ball ’92,” “Majic Moondog Coronation Ball 1992,” and “Moon-dog Coronation Ball.” The central service mark used by OmniAmerica in all of these instances was Moondog Coronation Ball II.

The 1992 Moondog Coronation Ball was a popular success and OmniAmerica decided to make it an annual event. OmniAmerica continued to use the service mark to promote and identify the event. In 1993, 1994, and 1995, OmniAmerica continued to use Canterbury as the promotional company responsible for booking and paying the artists who preformed. OmniAmerica claimed it invested considerable on-air advertising time, advertising dollars and staff effort to insure the success of the Moondog Coronation Ball. OmniAmerica and Canterbury entered into letter agreements very similar to the agreement in 1992 each year.

OmniAmerica claimed, through its radio station WMJI-FM, they reaped the reward of goodwill generated by the positive public association of the Moondog Coronation Ball as a WMJI-FM event. OmniAmerica further claimed that Canterbury understood and agreed that WMJI-FM should be the entity that the public associated with the service mark. OmniAmerica alleges that they always maintained control and supervision over the use of the service mark in connection with these concerts.

OmniAmerica further alleges that Canterbury developed a scheme over the years in which it planned to misappropriate the service mark from OmniAmerica and use it for its own purposes. OmniAmerica claimed that Canterbury saw the value of the service mark as it worked with OmniAmerica to produce concerts. On March 6, 1995, without informing OmniAmerica, Canterbury incorporated Moondog Coronation Ball as part of its plan to take the service mark from OmniAmerica.

Further, Canterbury and Moondog Coronation Ball Corp. have planned a concert to take place March 23, 1996 at the Cleveland State University Convocation Center. Canterbury and Moondog Coronation Ball Corp. are organizing the March 23, 1996 concert in association with IGLP through IGLP’s stations WDOK-FM and WRMR-AM.

OmniAmerica further claims that Canterbury, Moondog Coronation Ball Corp., and IGLP are unlawfully using the service mark to promote their “oldies” concert scheduled for March 23,1996. OmniAmerica has never authorized Canterbury, Moondog Coronation Ball Corp., or IGLP to use the Mark without OmniAmerica exercising control and supervision over the use of the service mark.

On January 31,1996 Dean Thacker, General Manager for OmniAmerica’s Cleveland Stations, received a facsimile from Henry Farag, as a representative of Canterbury. The letter stated that Canterbury was promoting a concert with Cleveland WDOK and was calling the concert the “Moondog Coronation Ball” (according to both exhibit # 1 attached to the complaint and testimony of Mr. Thacker). In response to this facsimile, Mr. Thacker called Henry Farag and advised him that Canterbury’s use of Moondog Coronation Ball was an infringement of a service mark owned by OmniAmerica (according to both the testimony and affidavit of Mr. Thacker).

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916 F. Supp. 672, 1996 WL 86502, Counsel Stack Legal Research, https://law.counselstack.com/opinion/omniamerica-group-v-street-gold-records-ltd-ohnd-1996.