Tortoise Island Homeowners Association, Inc. v. Tortoise Island Realty, Inc.

790 So. 2d 525, 2001 Fla. App. LEXIS 9707, 2001 WL 786746
CourtDistrict Court of Appeal of Florida
DecidedJuly 13, 2001
Docket5D00-334
StatusPublished
Cited by4 cases

This text of 790 So. 2d 525 (Tortoise Island Homeowners Association, Inc. v. Tortoise Island Realty, Inc.) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tortoise Island Homeowners Association, Inc. v. Tortoise Island Realty, Inc., 790 So. 2d 525, 2001 Fla. App. LEXIS 9707, 2001 WL 786746 (Fla. Ct. App. 2001).

Opinion

790 So.2d 525 (2001)

TORTOISE ISLAND HOMEOWNERS ASSOCIATION, INC., Appellant,
v.
TORTOISE ISLAND REALTY, INC., etc., Appellee.

No. 5D00-334.

District Court of Appeal of Florida, Fifth District.

July 13, 2001.

*527 Allan P. Whitehead of Frese, Nash & Hansen, P.A., Melbourne, for Appellant.

Pamela Huddleston and Elise A. Singer of Huddleston & Palumbo, P.A., Melbourne, for Appellee.

ON MOTION FOR REHEARING AND INCORPORATED MOTION FOR REHEARING EN BANC, ON MOTION FOR CLARIFICATION

SHARP, W., J.

We deny appellee's motion for rehearing and incorporated motion for rehearing en banc. We grant appellee's motion for clarification to the limited extent of correcting a typographical error in the first sentence *528 of the second full paragraph on page thirteen of the opinion. Accordingly, we withdraw our prior opinion and replace it with the following.

Tortoise Island Homeowners Association, Inc. appeals from a judgment denying it relief in its suit to enjoin the infringement and dilution of its trade name/service mark.[1] Although the words trade name, trademark, and service mark are often used interchangeably, they are different. A trade name is descriptive of the dealer or person and applies to a business and its good will; a trademark refers to vendible commodities and a service mark to services provided. Blanding Automotive Center, Inc. v. Blanding Automotive, Inc., 568 So.2d 490 (Fla. 1st DCA 1990). In this case, we are dealing with the protectability of the trade name "Tortoise Island" and infringement and dilution by Tortoise Island Realty, Inc.

In denying relief, the trial court ruled that the name "Tortoise Island" is "geographic," denoting an exclusive, high quality residential subdivision located in Satellite Beach, Florida, that its use by the plaintiff, as well as the defendant, had failed to garner a "secondary meaning," and that use of the picture of a tortoise or turtle in the Realty company's business sign, which was similar but not identical to the Association's logo and entrance sign, was not sufficiently similar to cause confusion as to services performed or potential injury to the Association's business reputation or dilution. We disagree and reverse.

The facts in this case are not in substantial dispute. The name, Tortoise Island, was one selected by the developer/owner of the spoil island and lands, which eventually became the community for which the Homeowners Association was formed to serve. Prior to its development, the area had no name. The owner/developer chose the name because when he first purchased the property for development, it was inhabited by numerous gopher tortoises and snapping turtles. He also selected a logo for his sales and promotional materials which depicted a symbol of a turtle or tortoise, although the kind of animal depicted varied from time to time. The streets in the community all have turtle or tortoise names.

The name "Tortoise Island" and the logo were used beginning in the late 1970s, to advertise the community and to sell lots. When the project was completed, it was turned over to the Homeowners Association. The Association is a non-profit corporation whose primary duties are to maintain the common property and amenities, and enforce the pertinent covenants and restrictions. Both parties agree that it is the only entity which can enforce the community's rights to the trade name/ mark, if such a right exists.

At the entrance to the Tortoise Island community, in front of the gate house, appears the sign "Tortoise Island" in large green block letters. Depicted above those words is a green tortoise. The sign has a curved top, to accommodate the tortoise. The sign is repeated on the gate house. Similar logos depicting a tortoise or turtle are used on the Association's letterheads, parking stickers, other signs, documents and telephone directories. The community has about 300 lots and the home prices average $300,000 to $350,000. The majority of residents are professionals, well-educated *529 and not usually first time home buyers.

Tortoise Island Realty, Inc. is wholly owned and operated by Thomas Palumbo. Palumbo has lived in the Tortoise Island community since June 1994. In November 1994, Palumbo formed the real estate company. Its office was located some distance from Tortoise Island. In 1998, he moved his business to an office located just outside the entrance to Tortoise Island. Above the office appear the words "Tortoise Island" in large green block letters. Just above those words, appears a picture of a turtle. The turtle is somewhat different in appearance than the one on the Tortoise Island entry sign but it too is placed under a curved top to accommodate its shape. Below the Tortoise Island block letters appears the word "Realty" surrounded by a white background.

Realty also uses the name and logo in connection with its advertisements in the newspapers, newsletters, and on a videotape used to sell or promote properties for sale in the area. Realty sells other residential properties outside Tortoise Island, as well as properties in the Tortoise Island community. Other Realtors also have listings for properties in Tortoise Island, and it is known in the real estate community that Palumbo does not have an exclusive right to sell Tortoise Island homes. Palumbo registered the name Tortoise Island Realty, Inc., and a turtle logo in Florida, in 1998, and with the United States Patent Trademark Office in 1999.

Palumbo testified that he chose the name Tortoise Island Realty because he wanted the public to know that he was located in Satellite Beach, and "everyone knows that Tortoise Island is in Satellite Beach." He denied that naming his company Tortoise Island Realty gave him any competitive advantage in listing and marketing homes in Tortoise Island. He denied trying to copy the general shape or design of the Tortoise Island entry sign. The reason his business was located next door to the Tortoise Island community was to be closer to his family.

The Association produced testimony that there was actual confusion on the part of the general public as to whether Realty and the Association were affiliated or one and the same business. The Association's *530 manager said she had received telephone calls and mail directed to the Realty company. A friend of the manager's mistakenly believed she worked for the Realty company. Another Association employee testified she received calls from people who had confused the Association with the Realty office. A contractor came to the Association's office looking for his check from the Realty company.

A real estate salesman testified that while he worked for Realty, the Realty office would receive telephone calls intended for the Association or the gate at Tortoise Island. A resident of Tortoise Island testified that a real estate agent took her family to Tortoise Island where they met Palumbo. She assumed she had to buy a home in Tortoise Island through Palumbo. A security guard who works at the gate house at Tortoise Island testified that many potential home buyers told him they believed Realty was part of Tortoise Island or that they had to go to Realty first before coming to the gate. Another real estate agent testified she had several customers who thought Realty was the exclusive agent for Tortoise Island.

Both parties, as well as the trial court, cite Great Southern Bank v. First Southern Bank, 625 So.2d 463 (Fla.1993) as the controlling trade name case for this state.

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790 So. 2d 525, 2001 Fla. App. LEXIS 9707, 2001 WL 786746, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tortoise-island-homeowners-association-inc-v-tortoise-island-realty-fladistctapp-2001.