Singh Mgt. Co., LLC v. Singh Dev. Co., Inc.

CourtCourt of Appeals for the Sixth Circuit
DecidedMay 20, 2019
Docket18-1566
StatusUnpublished

This text of Singh Mgt. Co., LLC v. Singh Dev. Co., Inc. (Singh Mgt. Co., LLC v. Singh Dev. Co., Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Singh Mgt. Co., LLC v. Singh Dev. Co., Inc., (6th Cir. 2019).

Opinion

NOT RECOMMENDED FOR FULL-TEXT PUBLICATION File Name: 19a0258n.06

No. 18-1566

UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT

SINGH MANAGEMENT COMPANY, LLC, ) ) FILED May 20, 2019 Plaintiff-Appellee, ) DEBORAH S. HUNT, Clerk ) v. ) ) SINGH DEVELOPMENT COMPANY, INC.; ) SINGH GROUP, LLC; SINGH GROUP II, LLC; ) ON APPEAL FROM THE SINGH LENDING, LLC, dba Team Singh; SINGH ) UNITED STATES DISTRICT PROPERTY MANAGEMENT, LLC; DARSHAN ) COURT FOR THE EASTERN SINGH GREWAL; PARGAT SINGH GREWAL; ) DISTRICT OF MICHIGAN SINGH BUILDING COMPANY, INC.; SINGH ) MORTGAGE GROUP, LLC; SINGH REAL ) ESTATE, LLC; and JASJIT TAKHAR, ) ) Defendants-Appellants. )

Before: DONALD, LARSEN, and NALBANDIAN, Circuit Judges.

LARSEN, Circuit Judge. Singh Management Company, LLC filed trademark

infringement claims against Darshan Singh Grewal and Pargat Singh Grewal, as well as against

various entities they control. The district court ordered the claims to arbitration, and the arbitrator

issued an award. After ostensibly confirming the arbitration award, the district court then entered

injunctive relief which, Dashan and Pargat claim, was inconsistent with the confirmation order.

Darshan and Pargat filed a post-judgment motion to clarify or amend the judgment, but the district

court summarily denied their motion. Due to the apparent inconsistencies in the district court’s

orders, and our inability to discern an explanation for them, we cannot rule out the possibility that No. 18-1566, Singh Mgt. Co., LLC v. Singh Dev. Co., Inc. et al.

the district court abused its discretion. We therefore VACATE the denial of the motion and

REMAND for further proceedings.

I.

The extended Singh Grewal family operates “a vast network of real estate development

and management companies” which use the ‘Singh’ trade name, including the appellee entity

Singh Management LLC (collectively, Singh Management). The family patriarch, Gurmale Singh

Grewal, has been chief executive of Singh Management since 1973. Two of his nephews, Darshan

Singh Grewal and Pargat Singh Grewal, began working for Singh Management in the mid-1990s.

In 2010 and 2011 respectively, Darshan and Pargat were ousted from Singh Management over

allegations of financial misconduct.1 They subsequently formed their own real estate businesses

using the ‘Singh’ name.

Darshan and Pargat initiated a shareholder lawsuit in Michigan state court against Singh

Management; the state court referred the case (including Singh Management’s counterclaims) to

arbitration. Before the arbitration began, Singh Management filed a complaint in federal court

alleging that Darshan, Pargat, and entities controlled by the two (collectively, Darshan and Pargat),

as well as a business associate named Jasjit Takhar, had infringed Singh Management’s trademark

rights in the ‘Singh’ name. The district court determined that the trademark claims were subject

to the parties’ arbitration agreements and compelled arbitration. The order noted, however, that

the arbitration agreements did not grant the arbitrator authority to issue injunctive relief. Thus, the

district court “retain[ed] jurisdiction to entertain post-arbitration motions to enter judgment on the

arbitration award and for injunctive relief.”

1 The arbitrator ultimately found these allegations baseless.

-2- No. 18-1566, Singh Mgt. Co., LLC v. Singh Dev. Co., Inc. et al.

One arbitrator heard all the state and federal claims in a consolidated proceeding governed

by the Michigan Uniform Arbitration Act (MUAA), Mich. Comp. Laws § 691.1681 et seq. The

arbitrator issued a comprehensive Arbitration Opinion and Award in January 2017 (“January

Award”) in which, among other things, he found that Darshan and Pargat’s use of the ‘Singh’ name

had infringed on Singh Management’s rights. The January Award stated that “consumers would

likely be confused if [Darshan and Pargat] continued to use the name ‘Singh’ alone in the names

of their business entities which are unrelated to those of [Singh Management].” But the arbitrator

also found that because Singh was Darshan and Pargat’s last name, they “may use the name ‘Singh’

in the name of a business entity provided that the name is used as the surname given to Plaintiffs

in conjunction with their full names.” The arbitrator declined to award Singh Management any

money damages for the infringement.

After receiving the January Award, both sides asked the arbitrator to clarify various aspects

of the hundred-page decision—a procedure authorized by the MUAA. See Mich. Comp. Laws

§ 691.1700(1)(c). Specifically, Darshan and Pargat asked the arbitrator to clarify “[t]he scope of

injunctive relief regarding trademark claims,” saying that the January Award “discusses certain

hypothetical instances of the use of the name [i.e., the full name example] which may or may not

be permitted. We seek to confirm our understanding of your ruling.” Determining the scope of

injunctive relief was arguably beyond the arbitrator’s jurisdiction because the district court had

reserved jurisdiction to entertain motions for injunctive relief; nevertheless, Singh Management

did not object to the motion. The arbitrator responded to the motion by ordering both sides to

“prepare a proposed order, for review by the Arbitrator, consistent with the Arbitrator’s rulings on

the trademark issues in the [January] Award.” After receiving the proposed orders, the arbitrator

would “review each order and render a decision as to which Order [was] appropriate based on the”

-3- No. 18-1566, Singh Mgt. Co., LLC v. Singh Dev. Co., Inc. et al.

January Award. Once again, Singh Management failed to object to the arbitrator’s jurisdiction to

“render a decision” about the “appropriate” injunctive relief.

Instead, both sides submitted proposed orders. Singh Management submitted one that

would enjoin Darshan and Pargat and their affiliates from using the ‘Singh’ name in any business

unless they used it as part of a full name—e.g., ‘Darshan Singh Grewal Building Company.’

Darshan and Pargat, on the other hand, submitted a less restrictive proposal that would have

allowed Darshan and Pargat to use the name in any way except “alone as the only identifying name

to describe its business in a manner that is likely to cause confusion with any common law rights

Singh LLC has in the word Singh.” In a letter accompanying their proposed order, Darshan and

Pargat explained that they viewed the January Award’s reference to using their full names as

illustrative, not exclusive. In other words, they believed the January Award indicated that using

Darshan’s or Pargat’s full name as part of a business name was one example of a permissible use

of the ‘Singh’ name but was not the only example. Darshan and Pargat’s proposed order also

specified that “[a]ll claims against [Takhar] are hereby dismissed, with prejudice.” They explained

that explicitly dismissing Takhar would tie up a “loose end” in the January Award, which “made

no finding against . . . Takhar,” and was “clear that ‘any other relief not expressly granted herein

is denied.’”

Unsatisfied with the parties’ proposed orders, the arbitrator instructed Singh Management

“to submit a new order to him for consideration that addresses only the rulings made in the

[January] Award.” He explained that “the Order should not include any relief that was not

specifically ordered in the [January] Award.” Once Singh Management had submitted this new

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