Renaissance Greeting Cards, Inc. v. Dollar Tree Stores, Inc.

227 F. App'x 239
CourtCourt of Appeals for the Fourth Circuit
DecidedMarch 30, 2007
Docket06-1131
StatusUnpublished
Cited by51 cases

This text of 227 F. App'x 239 (Renaissance Greeting Cards, Inc. v. Dollar Tree Stores, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Renaissance Greeting Cards, Inc. v. Dollar Tree Stores, Inc., 227 F. App'x 239 (4th Cir. 2007).

Opinion

Judge FABER wrote the opinion, in which Judge WIDENER and Judge WILKINSON joined.

Unpublished opinions are not binding precedent in this circuit.

FABER, Chief District Judge:

Renaissance Greeting Cards, Inc., appeals the district court’s grant of summary judgment to Dollar Tree Stores, Inc., and the court’s determination of an evidentiary issue under Federal Rule of Evidence 408. For the following reasons, we affirm with regard to both issues.

I.

In connection with its greeting cards business, appellant Renaissance Greeting Cards, Inc. (“RGC”), owns three registered trademarks containing the. words “Renaissance” and “Renaissance Greeting Cards.” Although the marks were registered in 1992, 1996, and 2003, respectively, at least one of these marks has been in continuous use by RGC or its predecessors since 1977. The parties do not dispute that RGC’s “Renaissance” mark is incontestible pursuant to 15 U.S.C. §§ 1065 and 1115(b).

Although RGC operates one retail outlet store in Maine, the vast majority of RGC’s sales are made on a wholesale basis to assorted retailers and to florists affiliated with RGC’s parent company, Florists’ Transworld Delivery, Inc. (“FTD”). Not surprisingly, RGC’s advertising expenditures, which have averaged $358,000.00 in recent years, are targeted mostly at these wholesale customers. With recent annual sales averaging twelve million dollars, RGC claims approximately 0.2% of the greeting cards market. Although RGC’s products at one time included a line of gift bags, gift wrap, bows, and ribbon, RGC abandoned this line in 1990, and has since confined itself to the sale of greeting cards.

Appellee Dollar Tree Stores, Inc. (“DTS”), owns and operates approximately 2,800 discount retail stores nationwide, with recent annual sales totaling in excess of $3 billion. Since 1993, DTS has sold a line of gift bags bearing a “Renaissance” or “Renaissance Gift. Bags” mark. In 2002, it expanded this line to inclüde gift wrap, boxes, bows, ribbon, and tissue paper. DTS estimates that it has sold somewhere between 250 million and 500 million units of these products since 1995. DTS also sells a line of greeting cards, but these cards, which are produced by American Greetings Corporation, are sold under the trademark “Tender Thoughts.”

At the time it selected its “Renaissance” marks, DTS was unaware of RGC’s trademarks. Indeed, DTS did not conduct a trademark search or consult counsel with regard to its use of the mark until 2003, when it discovered that the “Renaissance” mark was widely used by many companies. As a result of this discovery, DTS eventu *241 ally began marketing its line of gift products under the mark “Voila.” The older “Renaissance” gift bags, .however, remained available for purchase in some of DTS’s stores as late as July 2005.

When RGC discovered DTS’s use of the mark in 2003, it sent a letter to Betta Products, Inc., the company it believed to have produced the bags. Betta Products directed RGC to DTS, and in December 2003, counsel for RGC sent a letter to DTS seeking to discuss the issue. When this and two subsequent letters produced no response, RGC filed suit on March 29, 2005, alleging (I) infringement of a federally registered trademark under 15 U.S.C. § 1114(1); (ii) trademark infringement and a false designation of origin under 15 U.S.C. § 1125(a); and (iii) common law infringement and unfair competition under Virginia state law. On December 19, 2005, the district court granted summary judgment in favor of DTS, the parties having previously agreed to a bench trial.

RGC filed a timely notice of appeal with regard to two issues: (1) the. district court’s determination that no likelihood of confusion existed between RGC’s and DTS’s marks; and (2) the district court’s decision to strike portions of the complaint and to preclude certain discovery pursuant to Federal Rule of Evidence 408. We have jurisdiction pursuant to 15 U.S.C. § 1121(a) and 28 U.S.C. § 1291.

II.

We review de novo the legal determinations made by a district court in granting summary judgment. See Lone Star Steakhouse & Saloon v. Alpha of Va., Inc., 43 F.3d 922, 928 (4th Cir.1995). A district court’s likelihood of confusion inquiry, however, necessarily involves factual determinations. Int’l Bancorp, LLC v. Societe des Bains de Mer et du Cercle des Etrangers a Monaco, 329 F.3d 359, 362 (4th Cir.2003). Where, as here, the court is to be the ultimate finder of fact, the entire record is before the court at the summary judgment stage, 1 and only the inferences to be drawn from the underlying facts — as opposed to the facts, themselves — are in dispute, a court may properly proceed to final judgment. See Id.

It makes little sense to forbid the judge from drawing inferences from the evidence submitted on summary judgment when that same judge will act as the trier of fact, unless those inferences involve issues of witness credibility or disputed material facts. If a trial on the merits will not enhance the court’s ability to draw inferences and conclusions, then a district judge properly should draw his inferences without resort to the expense of trial.

Id. at 362 (quoting Matter of Placid Oil Co., 932 F.2d 394, 398 (5th Cir.1991)(internal quotations and citations omitted)). In such circumstances, we review the district court’s findings for clear error. Int’l Bancorp, 329 F.3d at 362; see also Petro Stopping Centers, L.P. v. James River Petroleum, Inc., 130 F.3d 88, 91-92 (4th Cir. 1997)(“This circuit reviews district court determinations regarding likelihood of confusion under a clearly erroneous standard.”). Under this standard, the district court’s findings may not be disturbed unless there is no evidence in the record to support them, or when, having reviewed the record ourselves, “we are left with a definite and firm conviction that a mistake has been committed.” Petro Stopping, 130 F.3d at 92. In no case, however, will this *242

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227 F. App'x 239, Counsel Stack Legal Research, https://law.counselstack.com/opinion/renaissance-greeting-cards-inc-v-dollar-tree-stores-inc-ca4-2007.