Wheel Pros, LLC v. Rhino Tire USA, LLC

CourtDistrict Court, M.D. Florida
DecidedJuly 18, 2024
Docket6:22-cv-02171
StatusUnknown

This text of Wheel Pros, LLC v. Rhino Tire USA, LLC (Wheel Pros, LLC v. Rhino Tire USA, LLC) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wheel Pros, LLC v. Rhino Tire USA, LLC, (M.D. Fla. 2024).

Opinion

UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF FLORIDA ORLANDO DIVISION

WHEEL PROS, LLC,

Plaintiff,

v. Case No: 6:22-cv-2171-JSS-EJK

RHINO TIRE USA, LLC, QINGDAO RHINO INTERNATIONAL CO., LTD., QINGDAO RHINO INT’L CO., LTD and WILLIAM YI,

Defendants. ___________________________________/ ORDER Plaintiff moves to strike the testimony and opinions of Defendant’s rebuttal expert Henry D. Ostberg, Ph.D. pursuant to Federal Rule of Evidence 702. (Motion, Dkt. 92.) Defendants oppose the Motion. (Dkt. 100.) The court held an evidentiary hearing on the Motion on July 10, 2024. (Dkt. 142.) Upon consideration, Plaintiff’s Motion is denied. BACKGROUND Plaintiff brings this action against Defendants for trademark infringement in violation of the Lanham Act, 15 U.S.C. §§ 1114–19, 1125(a); common law trademark infringement; common law unfair competition; violations of Florida’s Deceptive and Unfair Trade Practices Act, Fla. Stat. §§ 501.201, et seq.; for cancellation of Defendant’s registered trademarks; and for damages resulting from Defendants’ alleged false or fraudulent registration of its trademarks. (Dkt. 46.) Plaintiff and Defendants are engaged in the business of selling wheels and tires for vehicles and each owns trademarks in its respective brand. (Id. ¶¶ 15, 23, 103.) Plaintiff owns various

trademarks related to its “Black Rhino” brand and Defendants own trademarks for their “Rhino” brand. (Id. ¶¶ 17–31.) According to Plaintiff, Defendants’ trademarks infringe on its trademarks in part because the public is likely to be confused by the similarities between the marks. (Id. ¶¶ 103–11.) The matter has proceeded through

discovery and the parties have filed cross motions for summary judgment. (Dkts. 90, 93.) In support of its case, Plaintiff proffered the expert report of Dr. Robert A. Peterson. (Dkt. 92 at 2–4.) Dr. Peterson conducted a forward likelihood of confusion survey designed to determine the likelihood of confusion between Plaintiff’s “Black

Rhino” trademarks and Defendant’s “Rhino” trademarks within a target universe of survey respondents. (Id.; Dkt. 92-1 at 5–20.) Dr. Peterson described his survey as following “the modified sequential lineup approach,” which consisted of exposing one group of respondents, the “assessment” or “test” group, to Plaintiff’s and Defendant’s trademarks and exposing another group of respondents, the “control” group, to

Plaintiff’s mark and a non-infringing mark. (Dkt. 92-1 at 5.)1 Each respondent was then asked the same “operative likelihood of confusion questions.” (Id. at 6.) Dr.

1 Dr. Peterson’s survey and methodology were based in part on the decision of the Trademark Trial and Appeal Board of the U.S. Patent and Trademark Office in Ava Enterprises, Inc. v. Audio Boss USA, Inc., 77 U.S.P.Q.2d 1783 (T.T.A.B. 2006). (Dkt. 92-1 at 5 n.3.) Peterson’s survey found that within the assessment group, 78.7% of participants were likely to confuse Plaintiff’s trademarks and Defendant’s trademarks, and within the control group, 51.7% of participants were likely to confuse Plaintiff’s trademark and

the non-infringing mark. (Id. ¶ 15.) Dr. Peterson thus concluded that there was a 27% net likelihood of confusion (with a confidence range of 22.8% to 31.2%) between Plaintiff’s “Black Rhino” trademark and Defendants’ “Rhino” trademark, which he described as a “significant likelihood of confusion.” (Id. at 20.) In rebuttal to Dr. Peterson’s report, Defendants proffered the expert report of

Dr. Henry D. Ostberg. (Dkt. 92-1 at 112–24.) Dr. Ostberg offered five opinions as to what he termed “significant problems and fatal defects” with Dr. Peterson’s survey. (Id. at 4.) Dr. Ostberg stated that Dr. Peterson’s survey: (1) was conducted with an improper research design; (2) relied on interviews with the wrong survey respondents;

(3) improperly changed research designs; (4) relied on inappropriate statistical calculations; and (5) is called into doubt by its own internal data. (Id. at 115–22.) Dr. Ostberg’s report concluded that in his professional opinion, Dr. Peterson’s survey “lacks reliability and validity, providing no scientific basis for its findings” and therefore does not have “any meaningful evidentiary value.” (Id. at 123.)

Plaintiff now moves to exclude Dr. Ostberg’s rebuttal expert report and preclude him from testifying at trial pursuant to Federal Rule of Evidence 702 and Daubert v. Merrell Dow. Pharm., Inc., 509 U.S. 579 (1993). (Dkt. 92.) Defendants oppose the Motion. (Dkt. 100.) On July 10, 2024, the court held an evidentiary Daubert hearing at which it heard testimony from Dr. Ostberg and Dr. Peterson and accepted evidence offered by the parties. (Dkts. 142, 143.) APPLICABLE STANDARDS

In determining the admissibility of expert testimony under Federal Rule of Evidence 702, “[t]he court serves as a gatekeeper, charged with screening out experts whose methods are untrustworthy or whose expertise is irrelevant to the issue at hand.” Corwin v. Walt Disney Co., 475 F.3d 1239, 1250 (11th Cir. 2007); Moore v.

Intuitive Surgical, Inc., 995 F.3d 839, 850 (11th Cir. 2021) (quoting Kilpatrick v. Breg, Inc., 613 F.3d 1329, 1335 (11th Cir. 2010)). A determination of admissibility requires findings that “(1) the expert is qualified to testify competently regarding the matters he intends to address; (2) the methodology by which the expert reaches his conclusions is sufficiently reliable as determined by the sort of inquiry mandated in [Daubert]; and (3)

the testimony assists the trier of fact, through the application of scientific, technical, or specialized expertise, to understand the evidence or to determine a fact in issue.” United States v. Frazier, 387 F.3d 1244, 1260 (11th Cir. 2004) (en banc) (quoting City of Tuscaloosa v. Harcros Chems., Inc., 158 F.3d 548, 562 (11th Cir. 1998)). The party offering an expert has the burden of satisfying each of these elements by a

preponderance of the evidence. Id.; Cook ex rel. Estate of Tessier v. Sheriff of Monroe Cnty., Fla., 402 F.3d 1092, 1107 (11th Cir. 2005). However, courts must not “improperly use the admissibility criteria to supplant a plaintiff’s right to a jury trial: ‘Vigorous cross- examination, presentation of contrary evidence, and careful instruction on the burden of proof are the traditional and appropriate means of attacking shaky but admissible evidence.’” Moore, 995 F.3d at 850 (quoting Daubert, 509 U.S. at 596).

ANALYSIS A. Dr. Ostberg’s Qualifications to Testify The basic Daubert requirements of “qualification, reliability, and helpfulness [are] distinct concepts and the courts must take care not to conflate them.” Moore, 995 F.3d at 851 (quoting Frazier, 387 F.3d at 1260). With respect to the first prong, the

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Wheel Pros, LLC v. Rhino Tire USA, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wheel-pros-llc-v-rhino-tire-usa-llc-flmd-2024.