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Trade Dress

[12/01] Guessous v. Chrome Hearts, LLC
In plaintiff's suit against defendant for infringement of jewelry designs, trademarks and copyrights, trial court's decision denying plaintiff's motion to strike defendant's complaint under the anti-SLAPP statute is affirmed as the filing of a lawsuit in a foreign country is not protected activity under the United States or California Constitutions as to implicate the statute.

[09/16] Art Attacks Ink, LLC v. MGA Ent'mt. Inc.
In a copyright, trademark, and trade dress infringement action, judgment as a matter of law for defendant on copyright and trade dress infringement claims is affirmed where: 1) defendant did not timely move for judgment as a matter of law, but the time limit under Fed. R. Civ. P. 50(b) is not jurisdictional; and 2) plaintiff failed to demonstrate that defendant had access to plaintiff's copyrighted works or that plaintiff's trade dress had acquired secondary meaning.

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Intellectual Property

[03/09] Richardson v. Stanley Works, Inc.
In an action for patent infringement relating to a design patent for a multi-function carpentry tool that combines a hammer with a stud climbing tool and a crowbar, a district court's finding of noninfringement is affirmed as the district court correctly construed the claim at issue and correctly determined that the patent was not infringed.

[03/08] Ajinomoto Co., Inc. v. Int'l Trade Comm'n
In plaintiffs' suit alleging violation of section 337 of the Tariff Act in the importation and sale of certain lysine feed products made by the methods claimed in their patents relating to improved methods of producing L-lysine with genetically engineered E-Coli bacteria, the International Trade Commission's determination of no section 337 violation is affirmed where: 1) the asserted claims of plaintiffs' '698 patent and '160 patents are invalid under 35 U.S.C. section 112 for failure to comply with the best mode requirement; and 2) plaintiffs' argument that the Commissioner erred in finding '698 patent is unenforceable due to inequitable conduct is waived.

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Sanctions

[02/24] Garcia-Perez v. Hosp. Metropolitano
Dismissal of the case by the district court, acting sua sponte, for lack of prosecution based on plaintiffs' non-compliance with discovery deadlines is vacated and remanded where the absence of a clearly communicated deadline for providing expert reports, or notice that failing to do so more promptly could result in dismissal, rendered that drastic sanction an abuse of discretion.

[02/24] In Re: Grand Jury Subpoena (T-112)
District court's decision holding twelve corporations, interrelated for-profit and not-for-profit corporations suspected of participating in the financing of terrorist activity, in contempt for refusing to turn over documents demanded by grand jury subpoena duces tecum is affirmed where: 1) a grand jury enforcement action is not the appropriate place to litigate the validity of one corporations claims of illegal wiretapping; and 2) the other eleven corporations' claim that the district court abused its discretion by finding them in contempt because the order was ambiguous, and that they did not know they were violating a valid decree when they failed to comply, does not square with the facts of the record.

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Judges & Judiciary

[06/30] ORANGE COUNTY EMPLOYEES ASS'N, INC. v. THE SUPERIOR COURT OF ORANGE COUNTY
The Court denied plaintiff's petition for writ of mandate to disclose records relating to reimbursement of travel expenses for judges and management employees of the Court pursuant to the California Public Records Act, because the Act did not apply to the requested disclosure.

[06/28] US v. PARKER
Evidence seized under a warrant issued by a trial commissioner who was also an administrative assistant at the county jail was properly excluded, because the commissioner was not a neutral and detached party.

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Contracts

[03/10] Anchor Sav. Bank, FSB v. US
In one of the last Winstar cases arising out of the savings and loan crisis of the late 1970s and early 1980s, involving a plaintiff's suit alleging that the adoption of the FIRREA and its implementing regulations breached the government's obligations under supervisory merger contracts, judgment of the trial court in favor of the plaintiff is affirmed in part and remanded in part where: 1) the trial court did not commit clear err in finding that it was foreseeable that the breach would result in lost profits to plaintiff in an amount commensurate with the ultimate award for lost profits; 2) the trial court did not err in finding of a causal connection between the government's breach of contract and plaintiff's sale of RFC (a mortgage banking company); 3) the trial court did not err in awarding lost profit damages attributable to plaintiff's forced sale of RFC; 4) the trial court permissibly concluded that NAMCO (mortgage company) was a reasonable commercial substitute for RFC, and its purchase thus qualified as mitigation for the loss of RFC; but 5) the case is remanded to allow the trial court to determine whether an error was made in offsetting plaintiff's mitigation costs by NAMCO's retained earnings through 1997 and, if so, how to correct the error.

[03/10] Citigroup Global Markets, Inc. v. VCG Special Opportunities Master Fund Ltd.
In an appeal from a district court's order granting plaintiff's motion for a preliminary injunction and enjoining defendant from proceeding with an arbitration initiated against plaintiff before the Financial Industry Regulatory Authority, the order is affirmed where the "serious questions" standard for assessing a movant's likelihood of success on the merits remains valid in the wake of recent Supreme Court cases, and neither the district court's assessment of the facts nor its application of the law supported a finding of abuse of discretion.

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Insurance Law

[03/10] Darvell v. Life Ins. Co. of N. Am.
In an ERISA action regarding defendant-insurer's denial of long-term disability benefits to plaintiff, summary judgment for defendant is affirmed where: 1) it was not an abuse of an ERISA plan administrator's discretion to ignore an opinion when the physician did not provide reliable objective evidence of testing or other proof to support a finding of long term disability; and 2) the plan administrator did not abuse its discretion by using the DOT description of plaintiff's occupation, rather than a description of his actual job duties.

[03/10] Milwaukee Metro. Sewerage Dist. v. American Int'l Specilaty Lines Ins. Co.
In a sewerage district's suit for damages against an environmental liability insurer for denying coverage for costs incurred by the district in removing significant pollution on land it recently purchased, district court's judgment is reversed and remanded as the district court's finding that there was clear and convincing proof that a prior agreement existed between the insurance company and the sewerage district that the parcel would be covered property was clearly erroneous. Therefore, defendant is entitled to judgment on the sewerage district's reformation claim and, as a consequence, judgment in favor of defendant on its indemnity claim is vacated.

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Corporation & Enterprise Law

[03/10] Citigroup Global Markets, Inc. v. VCG Special Opportunities Master Fund Ltd.
In an appeal from a district court's order granting plaintiff's motion for a preliminary injunction and enjoining defendant from proceeding with an arbitration initiated against plaintiff before the Financial Industry Regulatory Authority, the order is affirmed where the "serious questions" standard for assessing a movant's likelihood of success on the merits remains valid in the wake of recent Supreme Court cases, and neither the district court's assessment of the facts nor its application of the law supported a finding of abuse of discretion.

[03/09] In re: Omnicom Group, Inc. Secs. Litig.
In a securities class action alleging that defendants fraudulently accounted for a transaction, summary judgment for defendants is affirmed where: 1) plaintiffs failed to prove loss causation because their expert's testimony did not suffice to draw the requisite causal connection between the information in the article at issue and the fraud alleged in the complaint; and 2) the generalized investor reaction of concern causing a temporary share price decline was far too tenuously connected -- indeed, by a metaphoric thread -- to the transaction to support liability.

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Judgment Enforcement

[03/04] Tivo Inc. v. Echostar Corp.
In a patent infringement action against EchoStar, relating to the software component of plaintiff's patent that allows television users to simultaneously record and play broadcasts using what is commonly known as a digital video recorder (DVR), district court's decision finding defendants in contempt of a permanent injunction is affirmed where: 1) the district court did not abuse its discretion in its decision to hold contempt proceedings; 2) there was clear and convincing evidence before the district court to find that both types of EchoStar receivers continue to infringe and that it was not an abuse of discretion for the ocurt to find EchoStar in contempt of the infringement provision; and 3) given defendant's refusal to disable the DVR functionality in its existing devices and the fact that its original attempts to design around TiVo's patent were wholly unsuccessful, the district court had ample justification for its determination that court pre-approval of any new design-around effort was necessary to prevent future infringing activity.

[02/26] Office Depot Inc. v. Zuccarini
In a judgment debtor's appeal from an order appointing a receiver to take control of and auction off some of debtor's domain names in order to satisfy the judgment, the order is affirmed where: 1) Kremen v. Cohen, 337 F.3d 1024, 1030 (9th Cir. 2003), was still an accurate statement of California law, and domain names are intangible property subject to a writ of execution; and 2) domain names were personal property located wherever the registry or the registrar were located.

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ERISA

[03/10] Darvell v. Life Ins. Co. of N. Am.
In an ERISA action regarding defendant-insurer's denial of long-term disability benefits to plaintiff, summary judgment for defendant is affirmed where: 1) it was not an abuse of an ERISA plan administrator's discretion to ignore an opinion when the physician did not provide reliable objective evidence of testing or other proof to support a finding of long term disability; and 2) the plan administrator did not abuse its discretion by using the DOT description of plaintiff's occupation, rather than a description of his actual job duties.

[03/01] Jones v. Unum Provident Corp.
In an action under ERISA for wrongful denial of benefits, summary judgment for defendant is affirmed where: 1) defendant thoroughly investigated plaintiff's claim, both initially and when plaintiff appealed, and its initial and final decisions were carefully reasoned; and 2) coverage under the policy at issue lapsed more than six weeks prior to plaintiff's return to full-time work, and thus her later disability claim was not covered because of a pre-existing condition clause.

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Civil Procedure

[03/10] American Signature, Inc. v. US
In proceedings involving an importer of furniture that is subject to a 2005 antidumping duty order on certain entries of wooden bedroom furniture from China, a decision of the Court of International Trade denying plaintiff's motion for a preliminary injunction is reversed as plaintiff has satisfied the requirements for a preliminary injunction, and therefore, the Court of International Trade is directed to grant the preliminary injunction prohibiting Customs or Commerce from taking any action to liquidate or reliquidate import entries that are the subject of this action.

[03/10] Anchor Sav. Bank, FSB v. US
In one of the last Winstar cases arising out of the savings and loan crisis of the late 1970s and early 1980s, involving a plaintiff's suit alleging that the adoption of the FIRREA and its implementing regulations breached the government's obligations under supervisory merger contracts, judgment of the trial court in favor of the plaintiff is affirmed in part and remanded in part where: 1) the trial court did not commit clear err in finding that it was foreseeable that the breach would result in lost profits to plaintiff in an amount commensurate with the ultimate award for lost profits; 2) the trial court did not err in finding of a causal connection between the government's breach of contract and plaintiff's sale of RFC (a mortgage banking company); 3) the trial court did not err in awarding lost profit damages attributable to plaintiff's forced sale of RFC; 4) the trial court permissibly concluded that NAMCO (mortgage company) was a reasonable commercial substitute for RFC, and its purchase thus qualified as mitigation for the loss of RFC; but 5) the case is remanded to allow the trial court to determine whether an error was made in offsetting plaintiff's mitigation costs by NAMCO's retained earnings through 1997 and, if so, how to correct the error.

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Attorney's Fees

[03/05] Howard v. St. Germain
In an appeal from the district court's order assessing attorney's fees against defendants based on their improper removal of the case, the order is affirmed where the district court did not abuse its considerable discretion in taxing costs and attorney's fees to defendants because an objectively reasonable basis for removal did not exist.

[03/04] Keup v. Hopkins
In a 42 U.S.C. section 1983 action by a prisoner claiming defendant prison personnel prevented plaintiff from sending drawings outside the prison in violation of the First Amendment, judgment for plaintiff is affirmed in part where: 1) defendants did not raise their mootness or exhaustion defenses at trial; and 2) because the district court directed a verdict for plaintiff, he was the prevailing party. However, the judgment is reversed in part where, when a prisoner plaintiff only receives nominal damages of $1.00, 42 U.S.C. section 1997e(d)(2) caps attorney fees at $1.50.

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Evidence

[03/10] US v. Fisher
Defendant's firearm possession conviction is affirmed where police had probable cause to detain defendant because they were responding to a 911 call late at night, in a high crime area, with every reason to suspect gunplay, and the only vehicle at the scene looked as if it was about to depart.

[03/09] US v. York
Defendant's conviction and sentence for arson and carrying a destructive device are affirmed where: 1) there was sufficient evidence that the fire at issue was intentionally set; 2) the district court did not abuse its discretion by denying defendant's motion for a mistrial, because defendant failed to show that he was prejudiced by a jury note requesting to hear again defendant's confession; and 3) evidence that defendant had harmed his girlfriend went to issues other than defendant's character because it explained that she withheld information from the police due to her fear of defendant's threats.

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Dispute Resolution & Arbitration

[03/10] Citigroup Global Markets, Inc. v. VCG Special Opportunities Master Fund Ltd.
In an appeal from a district court's order granting plaintiff's motion for a preliminary injunction and enjoining defendant from proceeding with an arbitration initiated against plaintiff before the Financial Industry Regulatory Authority, the order is affirmed where the "serious questions" standard for assessing a movant's likelihood of success on the merits remains valid in the wake of recent Supreme Court cases, and neither the district court's assessment of the facts nor its application of the law supported a finding of abuse of discretion.

[03/09] Kuhn Constr. Co. v. Diamond State Port Corp.
In an action to enjoin an arbitration initiated by defendant based on a referee clause in the agreement between the parties, grant of defendant's motions to dismiss the complaint and compel arbitration is reversed where the referee clause, on these facts, did not clearly require arbitration.

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Trademark

[03/04] US v. Xu
Defendant's conviction for trafficking in counterfeit pharmaceutical drugs is vacated as to one count where a rational juror could not have found beyond a reasonable doubt that the Zyprexa mark, allegedly misappropriated by defendant, was registered on the USPTO's principal register.

[03/03] In re: Whirlpool Corp.
In a trademark infringement suit brought by LG Electronics against Whirlpool, relating to a dryer that uses steam to reduce wrinkles, Whirlpool's petition for a writ of mandate challenging the district court's order to disclose communications between its attorneys and its outside advertising agencies is denied as it failed to show both that the order will be effectively unreviewable if Whirlpool is forced to wait until the end of the case and also that the order is patently erroneous or usurpative in character. Furthermore, the Supreme Court held in Mohawk Indus., Inc. v. Carpenter, 130 S. Ct. 599 (2009), that rulings that allegedly infringe upon the attorney-client privilege are not appealable as collateral orders, and as such, the appeal must be dismissed for lack of jurisdiction.

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Commercial Law

[03/10] American Signature, Inc. v. US
In proceedings involving an importer of furniture that is subject to a 2005 antidumping duty order on certain entries of wooden bedroom furniture from China, a decision of the Court of International Trade denying plaintiff's motion for a preliminary injunction is reversed as plaintiff has satisfied the requirements for a preliminary injunction, and therefore, the Court of International Trade is directed to grant the preliminary injunction prohibiting Customs or Commerce from taking any action to liquidate or reliquidate import entries that are the subject of this action.

[03/10] Citigroup Global Markets, Inc. v. VCG Special Opportunities Master Fund Ltd.
In an appeal from a district court's order granting plaintiff's motion for a preliminary injunction and enjoining defendant from proceeding with an arbitration initiated against plaintiff before the Financial Industry Regulatory Authority, the order is affirmed where the "serious questions" standard for assessing a movant's likelihood of success on the merits remains valid in the wake of recent Supreme Court cases, and neither the district court's assessment of the facts nor its application of the law supported a finding of abuse of discretion.

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Trade Secrets

[02/12] Ansys, Inc. v. Computational Dynamics N. Am., Ltd.
In plaintiff's suit against its former employee and his new employer (a competitor) claiming breach of noncompetition and confidentiality clauses in the employee's employment contract, interference with contractual relations, misappropriation of trade secrets, and unfair trade practices, denial of plaintiff's request for preliminary injunction to enforce the provisions of a one-year noncompetition clause in the employment agreement is affirmed as the district court did not abuse its discretion by finding that plaintiff has failed to make a showing of likelihood of success on the breach of contract claim, or a likelihood of irreparable injury.

[12/29] Jasmine Networks, Inc. v. Sup. Ct.
In plaintiff's action under the California Uniform Trade Secrets Act claiming that the defendants misappropriated certain trade secrets belonging to plaintiff, trial court's dismissal of the complaint on the ground that plaintiff had forfeited its standing to maintain an action for misappropriation when it had gone through bankruptcy proceedings shortly after filing the complaint is reversed where: 1) a current ownership requirement is not supported by general principles of property or tort law; 2) existing authority imposes no "current ownership requirement" on trade secret plaintiffs; 3) adoption of a current ownership requirement in trade secrets cases is not warranted by analogy to trademark, patent, or copyright law; and 4) no policy concern preponderates in favor of current ownership requirement.

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Environmental Law

[03/10] Milwaukee Metro. Sewerage Dist. v. American Int'l Specilaty Lines Ins. Co.
In a sewerage district's suit for damages against an environmental liability insurer for denying coverage for costs incurred by the district in removing significant pollution on land it recently purchased, district court's judgment is reversed and remanded as the district court's finding that there was clear and convincing proof that a prior agreement existed between the insurance company and the sewerage district that the parcel would be covered property was clearly erroneous. Therefore, defendant is entitled to judgment on the sewerage district's reformation claim and, as a consequence, judgment in favor of defendant on its indemnity claim is vacated.

[03/09] Native Ecosystems Council v. Tidwell
In an action challenging the Forest Service's approval of a project to update grazing allotments in the Beaverhead-Deerlodge National Forest, summary judgment for defendant is reversed where: 1) because the Forest Service's environmental assessment was based on a nonexistent management indicator species, its habitat proxy analysis was not reliable; and 2) the Forest Service failed to take the requisite "hard look" at the project as required by the National Environmental Policy Act.

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Contact the civil and business litigation attorneys of Weiss & Hiller, PC.

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