throbber
Trademark Trial and Appeal Board Electronic Filing System. https://estta.uspto.gov
`
`ESTTA Tracking number:
`
`ESTTA1129356
`
`Filing date:
`
`04/23/2021
`
`IN THE UNITED STATES PATENT AND TRADEMARK OFFICE
`BEFORE THE TRADEMARK TRIAL AND APPEAL BOARD
`
`Proceeding
`
`92074939
`
`Party
`
`Correspondence
`Address
`
`Defendant
`Ithaca Milk, LLC
`
`DANIEL P MULLARKEY
`POLSINELLI PC
`1401 I STREET NW STE 800
`WASHINGTON, NY 20005
`UNITED STATES
`Primary Email: dmullarkey@polsinelli.com
`Secondary Email(s): dcdocketing@polsinelli.com, mtodd@polsinelli.com,
`sozlat@polsinelli.com, jwillard@polsinelli.com, uspt@polsinelli.com
`202-626-8305
`
`Submission
`
`Filer's Name
`
`Filer's email
`
`Signature
`
`Date
`
`Attachments
`
`Other Motions/Submissions
`
`Daniel P. Mullarkey
`
`uspt@polsinelli.com, dmullarkey@polsinelli.com, dcdocketing@polsinelli.com,
`mtodd@polsinelli.com, sozlat@polsinelli.com
`
`/Daniel P. Mullarkey/
`
`04/23/2021
`
`Respondents Motion To Dismiss Petitioners Second Amended Consolidated Pe-
`tition For Cancellation.pdf(30399 bytes )
`
`

`

`IN THE UNITED STATES PATENT AND TRADEMARK OFFICE
`BEFORE THE TRADEMARK TRIAL AND APPEAL BOARD
`
`HUMMUS HOLDINGS LLC
`
`Petitioner,
`
`v.
`
`ITHACA MILK, LLC
`
`Respondent.
`
`)
`)
`)
`)
`) Consolidated Cancellation No. 92074939
`)
`) Registration No. 4971868
`) Registration No. 4971869
`) Registration No. 4971870
`)
`
`RESPONDENT’S MOTION TO DISMISS PETITIONER’S SECOND
`AMENDED CONSOLIDATED PETITION FOR CANCELLATION
`
`Respondent, Ithaca Milk, LLC (“Respondent”), by its attorneys, moves the Trademark
`
`Trial and Appeal Board (“TTAB”) to dismiss the Second Amended Consolidated Petition for
`
`Cancellation (“Petition”) filed by Hummus Holdings LLC (“Petitioner”) for failure to state a claim
`
`upon which relief can be granted under Federal Rule 12(b)(6).
`
`SUMMARY OF ARGUMENT
`
`Petitioner has now filed its third Petition for Cancellation. This time Petitioner has asserted
`
`priority and likelihood of confusion, dilution, fraud, non-use in U.S. commerce, and partial
`
`cancellation. Each cause of action is meritless, but even more important, Petitioner has still failed
`
`to properly assert the causes of action on its third attempt. It is clear that Petitioner adopted a mark
`
`already used by Respondent and this proceeding should be dismissed with prejudice.
`
`The Petition fails on several points: (1) the Petitioner never asserts Respondent was not
`
`using the marks to sell its products; (2) there is no statement as to how Respondent’s intrastate
`
`activity failed to amount to an effect on U.S. commerce; (3) Petitioner has not claimed that its use
`
`predated Respondent’s intrastate use and therefore by failing to properly allege intrastate
`
`77760975.1
`
`1
`
`

`

`commerce, the priority and likelihood of confusion cause of action must be dismissed; (4) the rest
`
`of the claims similarly fail due to the insufficient intrastate pleading and (5) Petitioner continues
`
`to fail to sufficiently allege how the proposed restriction avoids a finding of likelihood of
`
`confusion. For these reasons, the Board must dismiss the Third Petition for Cancellation.
`
`LEGAL STANDARD
`
`A motion to dismiss for failure to state a claim upon which relief can be granted is a test of
`
`the legal sufficiency of a complaint. See Advanced Cardiovascular Systems Inc. v. SciMed Life
`
`Systems Inc., 988 F.2d 1157, 26 USPQ2d 1038, 1041 (Fed. Cir. 1993) (Rule 12(b)(6) challenges
`
`the legal theory of the complaint not the sufficiency of the evidence that might be adduced). To
`
`withstand such a motion, a pleading must allege such facts as would, if proved, establish that the
`
`Petitioner is entitled to the relief sought, that is, that (1) the Petitioner has standing to maintain the
`
`proceeding, and (2) a valid ground exists for canceling the subject registration. See Young v. AGB
`
`Corp., 152 F.3d 1377, 47 USPQ2d 1752, 1754 (Fed. Cir. 1998).
`
`In Section 18 restriction proceedings, a Petitioner must go further and show that: (1) entry
`
`of the proposed restriction will avoid a finding of likelihood of confusion and, moreover, (2) that
`
`the Respondent is not using its mark on those goods or services that will be effectively excluded
`
`from the registration. See Eurostar Inc. v. “Euro-Star” Reitmoden GmbH & Co., 34 USPQ2d
`
`1266, 1270-72 (TTAB 1994) (“[T]he Board will not restrict respondent’s registration to certain
`
`channels of trade in the absence of a pleading and proof that a finding of likelihood of confusion
`
`can be avoided by such a restriction”). It is the Board’s duty to examine the complaint to determine
`
`whether it contains any allegations, which, if proved, would entitle the plaintiff to the relief sought.
`
`See Cineplex Odeon Corp. v. Fred Wehrenberg Circuit of Theaters, 56 USPQ2d 1538 (TTAB
`
`2000).
`
`77760975.1
`
`2
`
`

`

`I.
`
`Non-use in Commerce
`
`The central theme of the Petition is Respondent’s alleged failure to sell product outside of
`
`the state of New York. Petitioner has not asserted prior use or that Respondent abandoned use of
`
`its marks intrastate. Petitioner’s asserted claims are all based on Respondent’s sale of products in
`
`intrastate commerce. Proving non-use in commerce based on intrastate only use is nearly
`
`impossible. See e.g., Christian Faith Fellowship Church v. adidas AG, 120 USPQ2D 1640, 1647
`
`(Fed. Cir. 2016) (stating that goods are not required to be directed across state lines for Congress
`
`to regulate the activity under the Commerce Clause and there is no such per se condition for
`
`satisfying the Lanham Act’s “use in commerce” requirement); Perry v. H. J. Heinz Co. Brands,
`
`L.L.C., No. 20-30418, 2021 WL 1342649, at *6 (5th Cir. Apr. 12, 2021) (stating that de minimis
`
`intrastate activities count as uses in commerce for purposes of the Lanham Act); Operation N.
`
`Pole, Inc. v. Magical Moment Events LLC, No. 217CV02759GMNGWF, 2018 WL 4409374, at *3
`
`(D. Nev. Sept. 17, 2018) (stating that intrastate activity satisfies the use-in-commerce requirement
`
`as the Lanham Act reaches all commerce that “may lawfully be regulated by Congress.”); Sun
`
`Hee Jung v. Magic Snow, LLC, 124 USPQ2d 1041, 1045 (TTAB 2017) (finding that Opposer did
`
`not adequately pleaded non-use in commerce when Opposer only included allegations arguing
`
`Applicant’s services are limited to intrastate commerce). But if it is going to be alleged, a petitioner
`
`is required to assert that the sale of the goods, “in the aggregate, does not have an effect on
`
`commerce that is regulable by Congress.” Sun Hee Jung v. Magic Snow, LLC, 124 USPQ2d 1041,
`
`1045 (TTAB 2017) (citing Christian Faith Fellowship Church, 120 USPQ2d at 1646-47). In other
`
`words, simply stating use was solely intrastate is insufficient to survive a motion to dismiss. In
`
`Magic Snow, Opposer alleged that Applicant had but one store, remote from any interstate
`
`highways and in-person only sales. Id. Yet the Board in dismissing the claim, found those
`
`77760975.1
`
`3
`
`

`

`allegations lacking to survive a motion to dismiss. Similarly, the present Petitioner has only alleged
`
`that Respondent’s website fails to indicate sales outside of New York, a third party website
`
`similarly does not indicate sales outside of New York, Respondent’s products are not available for
`
`purchase online, no foreign state corporate registrations, and a US DOT document that purportedly
`
`indicates Respondent transports cargo intrastate only.1 Petitioner failed to state Respondent is not
`
`selling product. Petitioner has also failed to state that no purchases are made by out of state
`
`residents. These allegations are insufficient to support a non-use in commerce claim.
`
`The Lanham Act extends to all commerce that Congress may regulate. Christian Faith
`
`Fellowship Church at 1646 (citing Larry Harmon Pictures Corp. v. Williams Rest. Corp., 929 F.2d
`
`662, 18 USPQ2d 1292, 1295 (Fed. Cir. 1991)). It has been established that “one need not direct
`
`goods across state lines for Congress to regulate the activity under the Commerce Clause, there is
`
`likewise no such per se condition for satisfying the Lanham Act's ‘use in commerce’ requirement.”
`
`Id. at 1647.
`
`The Board has noted that, “the courts have accorded a wide scope and interpretation of the
`
`phrase ‘used in commerce’ in the Trademark Act.” United States Shoe Corp. v. J. Riggs West, Inc.,
`
`221 USPQ 1020, 1022 (TTAB 1984). The Board has further recognized that it is not “essential
`
`that a service mark be used in connection with services rendered in more than one state to satisfy
`
`‘use in commerce’ requirements. Id.
`
`Further, in Silenus Wines, the court rejected the argument that an earlier decision, In re
`
`Gastown, Inc., 140 USPQ 216 (1964) (“Gastown”), was limited to service marks. Application of
`
`Silenus Wines, Inc., 557 F.2d 806, 808 (C.C.P.A. 1977). In Gastown, the court held that services
`
`1 Petitioner also alleges Respondent’s product is distributed by FingerLakes Farms, LLC.
`FingerLakes Farms, LLC has a license for interstate cargo transport.
`
`77760975.1
`
`4
`
`

`

`directly affect interstate commerce when the services are sold intrastate to persons moving in
`
`interstate commerce, and the services are of the type necessary for the accomplishment of the
`
`interstate commerce. The court then determined that the reasoning of Gastown extends from
`
`service marks for services to trademarks on goods. Id. at 809. The court reasoned that the Supreme
`
`Court has expressly held that intrastate sales of food, which had formerly traveled in interstate
`
`commerce, sufficiently affected that commerce to allow federal regulation of the intrastate sale.
`
`Id. (citing Katzenbach v. McClung, 379 U.S. 294, 85 S.Ct. 377, 13 L.Ed.2d 290 (1964)). Further
`
`the court stated that “[w]hile that case involved facts different from the present case, its holding
`
`on the broad scope of federal regulatory power appears to be of general application.” Id.
`
`In order to meet the pleading standards of non-use in U.S. commerce based on intrastate
`
`use, Petitioner is required to allege that in the aggregate the activities above amount to non-use in
`
`U.S. Commerce despite sales in the state of New York (or elsewhere). Petitioner’s failure to do so
`
`is fatal to its Petition. In this regard, the Federal Circuit has found that sales, even if de minimis,
`
`to out-of-state residents constitutes use in commerce under the Lanham Act. See Christian Faith
`
`Fellowship Church v. Adidas AG, 841 F.3d 986, 992-93 (Fed. Cir. 2016). According to precedent,
`
`Petitioner is required to allege that Respondent’s activities or lack thereof, in the aggregate, result
`
`in no sales to out of state residents. This allegation is missing from the Petition and therefore the
`
`intrastate basis must be dismissed.
`
`II.
`
`Priority and Likelihood of Confusion, Abandonment, Fraud, and Dilution
`
`Petitioner’s fraud, dilution, abandonment, priority, and likelihood of confusion claims all
`
`rely on Petitioner’s assertion that Respondent has not used the marks in “commerce” which
`
`“Congress may regulate.” See Petition, ¶¶93, 100. The Petition fails to state Petitioner was using
`
`its mark in U.S. Commerce before Respondent was using its mark in intrastate commerce or
`
`77760975.1
`
`5
`
`

`

`otherwise. None of the 142 paragraphs make the statement that Petitioner was using its mark before
`
`Respondent. Additionally, with respect to the fraud claim, registering a mark based on intrastate
`
`use does not establish a false representation of use-in-commerce. See Operation N. Pole, Inc., 2018
`
`WL 4409374, at *4 (“Defendant's assertion that Plaintiff “knowingly misrepresented” its use of
`
`the ONP Word Mark in commerce cannot be inferred solely because Plaintiff only offers services
`
`in Illinois.”). Because the non-use in commerce claim fails, so to do these causes of action.
`
`III.
`
`Partial Cancellation Under Section 18
`
`The Petition once again fails to provide any factual basis that the proposed restriction
`
`would avoid a likelihood of confusion. In the absence of a pleading and proof that a finding of
`
`likelihood of confusion can be avoided by such a restriction, the Board will not restrict
`
`Respondent’s registration. Eurostar Inc. v. “Euro-Star” Reitmoden GmbH & Co., 34 U.S.P.Q.2d
`
`1266, 1270-72 (TTAB 1994). Petitioner still cannot prevail on its goal of obtaining a registration
`
`for the mark if Respondent’s description of the products are restricted to “milk, yogurt, and
`
`cheese.”
`
`Petitioner has failed for a third time to plead “commercially significant” factual allegations.
`
`This time Petitioner did not rely on the Examining Attorney’s finding which was the Board’s
`
`reasoning when it granted Respondent’s earlier motion to dismiss. However, Petitioner makes even
`
`less of an effort in this Petition. The only stated reasoning is that Respondent’s description is
`
`overbroad and “because Respondent has set forth goods in terms that overstate the range of goods
`
`or trade channels in which those goods move, such that fairness demands that an appropriate
`
`restriction be entered.” See Petition ¶¶ 127, 134, and 141. Under the principles of Euro-Star,
`
`simply stating that the goods are overbroad is not a sufficient pleading.
`
`77760975.1
`
`6
`
`

`

`Petitioner boasts about its business success and especially the multitude of locations where to
`
`buy its products. See Petition ¶¶ 23 and 24. There is no attempt by Petitioner to restrict its own
`
`channels of trade. Petitioner does not plead or suggest that Respondent’s sells products in a limited
`
`manner or in a restricted channel of trade. The Board has granted motions to dismiss Section 18
`
`claims when the proposed restriction of goods plainly fails to avoid a likelihood of confusion. See
`
`Tapmaster Inc. v. Perfect Water Techs., Inc., Opp. No. 91199561, 2012 WL 8254589, at *6 (TTAB
`
`Dec. 26, 2012) (granting motion to dismiss Section 18 counterclaim where the proposed restriction
`
`to the identification of goods did “not on its face appear to...avoid a likelihood of confusion”).
`
`Petitioner has not asserted any “commercially factual” allegations that consumers would consider
`
`milk, cheese, and yogurt2 unrelated to hummus such that there is no likelihood of confusion. See
`
`Rajca v. New Yorker S.H.K. Jeans GmbH & Co., Canc. No. 92056995, 2014 WL 3752425, at *4
`
`(TTAB July 22, 2014) (“t-shirts identified in respondent’s registration encompass the more
`
`narrowly described t-shirts in petitioner’s pleaded registration, there is no genuine dispute that
`
`these goods are related”). To the contrary, the Petition asserts a likelihood of confusion.
`
`The Eurostar decision was the Board’s effort to end petitions like the one filed here, where
`
`“parties have sought to restrict their opponents’ long-held registrations.” Eurostar Inc., 34
`
`USPQ2d at 1270. The Board, distressed by such “tactical ... [rather] than substantive” petitions,
`
`announced Eurostar as an effort to “virtually eliminate frivolous or harassing restriction
`
`proceedings,” and to discourage “the use of TTAB inter partes proceedings to harass the owners
`
`of existing (and, perhaps, long-held) registrations.” Id. Consequently, certain requested restrictions
`
`were of doubtful “commercial significance,” leading the Board to conclude they were brought for
`
`2 The same argument applies to Petitioner’s attempt to narrow the ITHACA description to only
`“milk.”
`
`77760975.1
`
`7
`
`

`

`tactical rather than substantive reasons. Id. The lack of commercially factual allegations demands
`
`this cause of action be dismissed.
`
`CONCLUSION
`
`For all of the reasons set forth herein and in the Motion, Respondent respectfully requests
`
`that the Board grant Respondent’s Motion and dismiss the Petition in its entirety with prejudice
`
`and grant any further relief and this Board deems just and proper.
`
`Dated: April 23, 2021
`
`Submitted by:
`
`/Daniel P. Mullarkey/
`Daniel P. Mullarkey
`Shaleez Ozlat
`Matt Todd
`POLSINELLI PC
`1401 I Street, NW, Suite 800
`Washington, DC 20005
`(202) 626-8305 (office)
`dmullarkey@polsinelli.com
`sozlat@polsinelli.com
`mtodd@polsinelli.com
`
`77760975.1
`
`8
`
`

`

`CERTIFICATE OF SERVICE
`
`I hereby certify that a true and correct copy of the foregoing Respondent’s Motion To
`Dismiss Petitioner’s Second Amended Consolidated Petition For Cancellation was filed via the
`Electronic System for Trademark Trials and Appeals (ESTTA) and was served on counsel for
`Petitioner by forwarding said copy via email on this 23rd day of April 2021 to:
`
`Darren M Geliebter
`dgeliebter@lombardip.com
`mlombard@lombardip.com
`ehuang@lombardip.com,
`ap@lombardip.com
`scohen@lombardip.com
`ipdocket@lombardip.com
`
`/Daniel P. Mullarkey/
`
`77760975.1
`
`9
`
`

This document is available on Docket Alarm but you must sign up to view it.


Or .

Accessing this document will incur an additional charge of $.

After purchase, you can access this document again without charge.

Accept $ Charge
throbber

Still Working On It

This document is taking longer than usual to download. This can happen if we need to contact the court directly to obtain the document and their servers are running slowly.

Give it another minute or two to complete, and then try the refresh button.

throbber

A few More Minutes ... Still Working

It can take up to 5 minutes for us to download a document if the court servers are running slowly.

Thank you for your continued patience.

This document could not be displayed.

We could not find this document within its docket. Please go back to the docket page and check the link. If that does not work, go back to the docket and refresh it to pull the newest information.

Your account does not support viewing this document.

You need a Paid Account to view this document. Click here to change your account type.

Your account does not support viewing this document.

Set your membership status to view this document.

With a Docket Alarm membership, you'll get a whole lot more, including:

  • Up-to-date information for this case.
  • Email alerts whenever there is an update.
  • Full text search for other cases.
  • Get email alerts whenever a new case matches your search.

Become a Member

One Moment Please

The filing “” is large (MB) and is being downloaded.

Please refresh this page in a few minutes to see if the filing has been downloaded. The filing will also be emailed to you when the download completes.

Your document is on its way!

If you do not receive the document in five minutes, contact support at support@docketalarm.com.

Sealed Document

We are unable to display this document, it may be under a court ordered seal.

If you have proper credentials to access the file, you may proceed directly to the court's system using your government issued username and password.


Access Government Site

We are redirecting you
to a mobile optimized page.





Document Unreadable or Corrupt

Refresh this Document
Go to the Docket

We are unable to display this document.

Refresh this Document
Go to the Docket