Gulfstream Aerospace Corporationv.Gulfstream Unsinkable Boats, LLCDownload PDFTrademark Trial and Appeal BoardOct 21, 201992065548 (T.T.A.B. Oct. 21, 2019) Copy Citation THIS OPINION IS NOT A PRECEDENT OF THE TTAB Mailed: October 21, 2019 UNITED STATES PATENT AND TRADEMARK OFFICE _____ Trademark Trial and Appeal Board _____ Gulfstream Aerospace Corporation v. Gulfstream Unsinkable Boats, LLC _____ Opposition No. 91233257 Cancellation No. 92065548 _____ Roger P. Furey, Terence P. Ross and Michael R. Justus of Katten Muchin Rosenman LLP for Gulfstream Aerospace Corporation. Dean A. Kent of Trenam Law for Gulfstream Unsinkable Boats, LLC. _____ Before Kuhlke, Cataldo and Kuczma, Administrative Trademark Judges. Opinion by Kuhlke, Administrative Trademark Judge: Gulfstream Unsinkable Boats, LLC (Defendant) seeks registration on the Principal Register of the standard character marks GULFSTREAM YACHTS Opposition No. 91233257 and Cancellation No. 92065548 2 (YACHTS disclaimed)1 and GULF STREAM YACHTS (YACHTS disclaimed)2 both for “boats,” in International Class 12. In addition, Defendant owns a registration on the Principal Register of the standard character mark GULFSTREAM UNSINKABLE BOATS (UNSINKABLE BOATS disclaimed) for “boats,” in International Class 12.3 Gulfstream Aerospace Corporation (Plaintiff) filed a notice of opposition to the registration of Defendant’s applications and a petition to cancel Defendant’s registration on the ground that, as used in connection with Defendant’s goods, the marks so resemble Plaintiff’s previously used and registered marks discussed below for aircraft and related products and services, as to be likely to cause confusion under Section 2(d) of the Lanham Act, 15 U.S.C. § 1052(d).4 Amended Not. of Opp. and Amended Pet. Canc., 14 TTABVUE.5 Proceedings were consolidated after the original answers were filed. 5 TTABVUE. 1 Application Serial No. 87097061 filed on July 8, 2016 under Section 1(a), 15 U.S.C. § 1051(a), based on allegations of first use and use in commerce on June 13, 2016. 2 Application Serial No. 87099004 filed on July 11, 2016 under Section 1(b), 15 U.S.C. § 1051(b), based on an allegation of a bona fide intention to use the mark in commerce. 3 Registration No. 5118181 filed on May 9, 2016, under Section 1(a), 15 U.S.C. § 1051(a), based on allegations of first use and use in commerce on May 6, 2016, issued on January 10, 2017. 4 Plaintiff also pleaded claims of dilution, lack of use, lack of bona fide intent to use, and fraud; however, the likelihood of confusion claim has been bifurcated as discussed below. 5 Citations are to the Board’s online docketing system TTABVUE in Opposition No. 91233257 unless otherwise noted. See Turdin v. Trilobite, Ltd., 109 USPQ2d 1473, 1476 n.6 (TTAB 2014). Opposition No. 91233257 and Cancellation No. 92065548 3 Plaintiff pleaded and attached to both its Notice of Opposition and Petition for Cancellation Trademark Status & Document Retrieval (“TSDR”) printouts of the following registrations: Registration No. 1162644 for the typed6 mark GULFSTREAM for “airplanes,” in International Class 12, issued on July 28, 1981, renewed; Registration No. 2297843 for the typed mark GULFSTREAM for “berets, caps, cardigans, hats, knit shirts, neckties, raincoats, rainwear, sport shirts, sweaters, T-shirts, visors, wind resistant jackets,” in International Class 25, issued on December 7, 1999, renewed; Registration No. 2297845 for the typed mark GULFSTREAM for “albums for photographs, ball-point pens, banners made of paper, guide books in the field of airplanes and aviation, reference books in the field of airplanes and aviation, bumper stickers, calendar desk pads, calendars, greeting cards, note paper, coasters made of paper, color prints, diaries, gift cards, gift wrapping paper, lithographs, magazines featuring airplanes and aviation, paper napkins, paintings, pens, postcards, rubber stamps,” in International Class 16, issued on December 7, 1999, renewed; Registration No. 2305715 for the typed mark GULFSTREAM for “beverage glassware, coffee cups, plastic cups,” in International 21, issued on January 4, 2000, renewed; Registration No. 2313514 for the typed mark GULFSTREAM for “model airplanes, stuffed toy animals, golf bag tags,” in International Class 28, issued on February 1, 2000, renewed; Registration No. 4295794 for the standard character mark GULFSTREAM for “aircraft manufacturing, repair, refurbishment and maintenance services,” in International 6 Prior to November 2, 2003, “standard character” drawings were known as “typed” drawings. A typed mark is the legal equivalent of a standard character mark. TMEP § 807.03(i) (October 2018). Opposition No. 91233257 and Cancellation No. 92065548 4 Class 37, “flight safety, aircraft maintenance and technical training classes related to aircraft,” in International Class 41, “aircraft inspection services,” in International Class 42, issued on February 26, 2013, Sections 8 and 15 combined declaration accepted and acknowledged; Registration No. 4373063 for the standard character mark GULFSTREAM FAST for “Field and airborne support services for private jets, namely, providing information and advice in the field of aircraft maintenance and repair,” in International Class 37, issued on July 23, 2013, Sections 8 and 15 combined declaration accepted and acknowledged; and Registration No. 4450312 for the standard character mark GULFSTREAM A GENERAL DYNAMICS COMPANY (COMPANY disclaimed) for “aircraft repair, refurbishment and maintenance,” in International Class 37, issued on December 17, 2013. In each of the consolidated proceedings Applicant admits that: • The web domain www.gulfstream.com is associated with Plaintiff; • Plaintiff’s social media accounts appear to exist and have followers; • Defendant is a limited liability company of Florida; • Defendant’s photo specimens were taken at a warehouse; and • Defendant was represented by counsel. Amended Answer ¶¶ 9, 10, 23, 30, 31, 22 TTABVUE 3-4; see also Pet. Canc. 92065548, 7 TTABVUE. Applicant denies the remaining salient allegations. I. Bifurcation and Accelerated Case Resolution (“ACR”) After discovery closed, Plaintiff filed a motion for summary judgment, which was denied. 49 TTABVUE. On March 12, 2019, the Board held a teleconference with the parties’ counsel wherein the parties “agreed to convert their earlier summary Opposition No. 91233257 and Cancellation No. 92065548 5 judgment briefs and evidence submitted therewith into a bifurcated final decision on the likelihood of confusion claim through ACR.” 52 TTABVUE 1. The parties allowed for and filed supplemental briefs with additional exhibits and testimony by affidavit or declaration (subject to cross-examination or objection by the non-offering party). See TRADEMARK TRIAL AND APPEAL BOARD MANUAL FOR PROCEDURE (“TBMP”) §§ 702.04 and 705. The parties further stipulated that the “Board may resolve any genuine disputes of material fact presented by the summary judgment record and supplemental briefs or which may be discovered by the panel considering the case.” 52 TTABVUE 2. See TPI Holdings, Inc. v. TrailerTrader.com, LLC, 126 USPQ2d 1409, 1411 (TTAB 2018); Bond v. Taylor, 119 USPQ2d 1049, 1051 (TTAB 2016) (“In order to take advantage of any form of ACR, the parties must stipulate that the Board may resolve any genuine disputes of material fact in the context of something less than a full trial.”). See also Kemi Organics, LLC v. Gupta, 126 USPQ2d 1601, 1602 (TTAB 2018) (describing summary judgment ACR model); TBMP §§ 528.05(a)(2), 702.04, 705. As in a traditional Board proceeding, the burden of proof remains with Plaintiff, which must establish its case by a preponderance of the evidence. TBMP § 702.04(a). II. Evidentiary Issues Plaintiff renewed and expanded its objections to the Keegan and Flannery reports. We maintain the evidentiary rulings in the order denying the initial motion for summary judgment as set forth below: With respect to [Plaintiff’s] objection to the reports of [Defendant’s] witnesses, Mark Keegan and Paul Flannery, the objection is sustained to the extent either witness has Opposition No. 91233257 and Cancellation No. 92065548 6 given his opinion on the ultimate question of whether there is a likelihood of confusion in this case. … [W]e have given no weight to Mr. Keegan’s conclusion that [Plaintiff’s] Eveready survey findings “do not provide any evidence upon which likelihood of confusion can be evaluated in this matter.” The Eveready model survey is “a widely used and well-accepted format for surveys.” We treat technical defects, such as the sample size, as affecting the probative weight of the survey, rather than its admissibility. … [Plaintiff’s] objection to the Flannery report is overruled to the extent that Mr. Flannery has provided his opinion regarding subsidiary factual questions such as the nature of the yacht market, the yacht buying process, and the degree of care exercised in purchasing the goods. It is within the Board’s discretion to consider such information from a witness with specialized knowledge or experience in the industry. … We also note that [Defendant] attacks [Plaintiff’s] web page “printouts from brokers offering both boats and airplanes under the same mark” as hearsay. However, the documents are admissible and probative for what they show on their face, not for the truth of what is printed therein. 49 TTABVUE 10-12 (citations omitted). We further note that we have given the testimony and accompanying evidence their due weight, keeping in mind any objections. Luxco, Inc. v. Consejo Regulador del Tequila, A.C., 121 USPQ2d 1477, 1479 (TTAB 2017). III. RECORD The record includes the pleadings and, pursuant to Trademark Rule 2.122(b), 37 C.F.R. §2.122(b), the files of the applications subject to the notice of opposition and registration subject to the petition for cancellation. Pursuant to the ACR Stipulation, the parties also admitted the following evidence from their respective briefs on Plaintiff’s motion for summary judgment and from their ACR Supplemental Briefs. Plaintiff’s Testimony and Evidence: Opposition No. 91233257 and Cancellation No. 92065548 7 Declaration of Jeannine Haas, Opposer’s Senior Vice President and Chief Marketing Officer, and accompanying exhibits, including 10-K filings, excerpts from JetNet IQ survey reports, excerpt from online publications, awards from the Federal Aviation Administration and U.S. National Aeronautic Association, printouts from the Internet Movie Plane Database, printouts of lyrics from songs from online sources, excerpts from the book The King of Torts, excerpt from Britannica Concise Encyclopedia, excerpts from national publications and magazines showing unsolicited coverage and advertisements, photographs of racecars branded with the mark GULFSTREAM, photographs of signage with GULFSTREAM, screenshots from Plaintiff’s Instagram, Facebook, and Twitter accounts, Plaintiff’s online store offering GULFSTREAM branded goods, photographs from yacht shows;7 Declaration of Renee Lessner, a paralegal for Plaintiff’s outside counsel, and accompanying exhibits, including printouts of excerpts from online publications, an excerpt from Urban Dictionary, screenshot of a music video, expert report of Hal Poret, expert report of Paul Flannery, excerpts from Huntington James’ discovery deposition, excerpts from Mark Keegan’ discovery deposition, excerpts of Defendant’s website, excerpts from the website of Plaintiff’s parent company General Dynamics Corporation, printouts from third-party websites promoting and offering for sale boats and private aircraft or cross promoting such goods, excerpts from online publications;8 Declaration of Lisa Hoffman, a paralegal for Plaintiff’s outside counsel, and accompanying exhibits, consisting of USPTO Trademark Electronic Search System (TESS) printouts of third-party use-based registrations that cover aircraft and watercraft;9 7 37, 38, 39, 44 TTABVUE. 25-31 TTABVUE confidential. 8 40, 41 TTABVUE; 48 TTABVUE 14-54. 32, 33 TTABVUE confidential. 9 42 TTABVUE. 34 TTABVUE confidential. Opposition No. 91233257 and Cancellation No. 92065548 8 Declaration of Ricardo Strul, Vice President and CFO of Show Management, an event production company, and accompanying exhibits;10 and Declaration of Joni Jones, legal executive assistant for Plaintiff’s outside counsel, and accompanying exhibits consisting of TESS printouts of third-party use-based registrations that cover watercraft and one or more of other goods, including clothing, glassware and stickers, and printouts of third-party websites promoting and offering for sale both watercraft and clothing, related accessories, or glassware.11 Defendant’s Testimony and Evidence: Expert Report of Mark Keegan;12 Expert Report of Paul Flannery;13 Discovery deposition of Huntington James, Applicant’s owner, President and CEO;14 and Jeannine Haas discovery deposition.15 The Board notes that the parties have designated some submissions of testimony and evidence as confidential and filed under seal. We discuss only in general terms the relevant evidence submitted under seal, when necessary. However, to the extent any testimony and evidence is improperly designated as confidential, the Board will disregard the confidential designation when appropriate. See Trademark Rule 2.116(g), 37 C.F.R. § 2.116(g). 10 43 TTABVUE. 35 TTABVUE confidential. 11 53 TTABVUE 29-204. 54 TTABVUE. 12 47 TTABVUE 17-41. 13 47 TTABVUE 42-48. 14 47 TTABVUE 49-228. 15 56 TTABVUE. 55 TTABVUE confidential. Opposition No. 91233257 and Cancellation No. 92065548 9 IV. STANDING AND PRIORITY Plaintiff’s pleaded and proven registrations in these consolidated proceedings, establish its standing. In addition, with regard to the Opposition proceeding priority is not in issue with respect to the marks and goods in Plaintiff’s registrations. See Empresa Cubana Del Tabaco v. Gen. Cigar Co., 753 F.3d 1270, 111 USPQ2d 1058 (Fed. Cir. 2014); Cunningham v. Laser Golf Corp., 222 F.3d 943, 55 USPQ2d 1842 (Fed. Cir. 2000); Ritchie v. Simpson, 170 F.3d 1092, 50 USPQ2d 1023 (Fed. Cir. 1999); Lipton Indus., Inc. v. Ralston Purina Co., 670 F.2d 1024, 213 USPQ 185 (CCPA 1982); and King Candy Co., Inc. v. Eunice King’s Kitchen, Inc., 496 F.2d 1400, 182 USPQ 108, 110 (CCPA 1974).16 With regard to the cancellation proceeding, priority is at issue and Plaintiff has the burden of proving its priority. See Brewski Beer Co. v. Brewski Bros., Inc., 47 USPQ2d 1281 (TTAB 1998). Under Section 7(c) of the Trademark Act, 15 U.S.C. § 1057(c), a party may rely upon the filing date of the application underlying its registration for purposes of priority as its constructive use date. See Cent. Garden & Pet Co. v. Doskocil Mfg. Co., 108 USPQ2d 1134, 1140 (TTAB 2013); Brewski Beer, 47 UPSQ2d at 84, Larami Corp. v. Talk to Me Programs, Inc., 36 USPQ2d 1840, 1844 (TTAB 1995) (parties may rely on the constructive use i.e. filing dates for purposes of priority). The filing dates of the underlying applications of Petitioner’s pleaded registrations, precede the May 9, 2016 filing date of the underlying application of 16 In an opposition, introduction of an opposer’s pleaded registration does not prove priority; it eliminates the need to prove priority with respect to the mark and goods in the registration. See King Candy, 182 USPQ at 110. Opposition No. 91233257 and Cancellation No. 92065548 10 Defendant’s subject registration. Defendant has not submitted any evidence demonstrating use of its mark prior to May 9, 2016. Accordingly, Plaintiff has established its priority of use against the subject registration. Defendant does not dispute Plaintiff’s standing or priority of use. 47 TTABVUE 6. V. LIKELIHOOD OF CONFUSION Our likelihood of confusion determination under Section 2(d) is based on an analysis of all of the probative facts in evidence that are relevant to the factors set forth in In re E. I. du Pont de Nemours & Co., 476 F.2d 1357, 177 USPQ 563 (CCPA 1973). See also, In re Majestic Distilling Co., 315 F.3d 1311, 65 USPQ2d 1201 (Fed. Cir. 2003). Two key considerations are the similarities between the marks and the similarities between the goods and services. See Federated Foods, Inc. v. Fort Howard Paper Co., 544 F.2d 1098, 192 USPQ 24 (CCPA 1976). In addition to the similarities or dissimilarities of the marks and goods, the parties also presented evidence and argument on the strength of Plaintiff’s mark, channels of trade, purchasing conditions, variety of Plaintiff’s goods, actual confusion and bad faith. For purposes of our likelihood of confusion analysis, we focus our analysis on Plaintiff’s mark in pleaded and proven Registration No. 1162644, summarized above. Cf. In re Max Capital Grp. Ltd., 93 USPQ2d 1243, 1245 (TTAB 2010). A. Strength of Plaintiff’s Mark Before we compare the marks, we address the fifth and sixth du Pont factors to determine the strength of the marks. In the likelihood of confusion context, “fame” under the fifth du Pont factor “varies along a spectrum from very strong to very weak.” Midwestern Pet Foods Inc. v. Societe des Produits Nestle S.A., 685 F.3d 1046, Opposition No. 91233257 and Cancellation No. 92065548 11 103 USPQ2d 1435, 1440 (Fed. Cir. 2012) (quoting Palm Bay Imports, Inc. v. Veuve Clicquot Ponsardin Maison Fondee En 1772, 396 F.3d 1369, 73 USPQ2d 1689 (Fed. Cir. 2005)). A famous mark is one that has extensive public recognition and renown. Bose Corp. v. QSC Audio Prods., Inc., 293 F.3d 1367, 63 USPQ2d 1303, 1305 (Fed. Cir. 2002). Fame, if it exists, plays a dominant role in the likelihood of confusion analysis. Kenner Parker Toys Inc. v. Rose Art Indus. Inc., 963 F.2d 350, 22 USPQ2d 1453, 1456 (Fed. Cir. 1992). In view of the extreme deference that is accorded to a famous mark in terms of the wide latitude of legal protection it receives, and the dominant role fame plays in the likelihood of confusion analysis, it is the duty of the party asserting that its mark is famous to prove it clearly. The commercial strength of a mark “may be measured indirectly, among other things, by the volume of sales and advertising expenditures of the goods or services traveling under the mark, and by the length of time those indicia of commercial awareness have been evident.” Bose Corp. v. QSC Audio Prods., Inc., 63 USPQ2d at 1305. Under the sixth du Pont factor, a mark’s commercial strength may be curtailed by third-party use of similar marks with similar goods or services. Jack Wolfskin Ausrustung Fur Draussen GmbH & Co. KGAA v. New Millennium Sports, S.L.U., 797 F.3d 1363, 116 USPQ2d 1129, 1136 (Fed. Cir. 2015); Juice Generation, Inc. v. GS Enters. LLC, 794 F.3d 1334, 115 USPQ2d 1671, 1674-75 (Fed. Cir. 2015). GULFSTREAM is arbitrary for use in connection with Plaintiff’s goods, and therefore constitutes a conceptually strong mark, see Palm Bay, 73 USPQ2d at 1692 Opposition No. 91233257 and Cancellation No. 92065548 12 (“VEUVE is an arbitrary term as applied to champagne and sparkling wine, and thus conceptually strong as a trademark”). Turning to the commercial strength of the GULFSTREAM mark, Plaintiff and its predecessor have used GULFSTREAM for aircraft since 1959 and since the 1970’s Plaintiff has expanded its use to other related products and services. Haas Dec. ¶¶ 2- 3, 37 TTABVUE 3. Plaintiff owns many federal trademark registrations for the mark GULFSTREAM, several of which are incontestable. Plaintiff’s revenue and advertising figures have been submitted as confidential, suffice it to say they are substantial. Id. ¶¶ 8-9, 37 TTABVUE 4; 25 TTABVUE. Plaintiff also owns a large share of the private jet market. Id. ¶ 7, 27 TTABVUE 4. Plaintiff’s GULFSTREAM- branded aircraft and other products and services are the subject of unsolicited media coverage, including The New York Times, The Wall Street Journal, Forbes, Business Insider and The Washington Post. Lessner Dec. ¶ 2-3, 40 TTABVUE 3-5; Haas Dec. ¶ 22, 37 TTABVUE 7. GULFSTREAM aircraft have also been featured in movies, television shows, books, and popular songs for many years. GULFSTREAM aircraft are reported as owned and touted by celebrities. Lessner Dec. ¶ 7, 40 TTABVUE 10- 11. The GULFSTREAM products have received several awards. It holds the Guinness World Record for “Fastest civil aircraft” (relating to the GULFSTREAM G650 in 2010) and for the “Largest single e-commerce transaction” (relating to Mark Cuban’s purchase of a GULFSTREAM V aircraft on eBay in 1999). Haas Dec. ¶ 16 Exh. 7, 37 TTABVUE 7, 179-185. The GULFSTREAM has received several annual “Best of the Best” awards from the Robb Report (a luxury lifestyle publication on jets, Opposition No. 91233257 and Cancellation No. 92065548 13 yachts, high fashion) and was awarded the “Private Jet Design” from The International Yacht & Aviation Awards in 2017 and 2018. Id. at ¶¶ 11, 12, 37 TTABVUE 5. Plaintiff also holds “dozens of ‘city-pair’ speed records” and is a “two- time winner (2003 and 2014) of the prestigious Robert J. Collier Trophy awarded by the U.S. National Aeronautic Association.” Id. at ¶ 14, 37 TTABVUE 6. Plaintiff has received numerous FAA Diamond Certificates of Excellence by the Federal Aviation Administration. Id. ¶ 13, 37 TTABVUE 6. It has a high brand awareness based on quarterly industry surveys from 2011-2017. Id. ¶ 10, 37 TTABVUE 5. Plaintiff also engages in sponsorships and endorsements (NASCAR team, golfer Adam Scott, co- branding of events during yacht shows). Id. ¶¶ 24-25, 37 TTABVUE 10. Plaintiff maintains aircraft service and support facilities and prominently displays its GULFSTREAM mark on signage in high traffic airports such as Dallas, Texas; Las Vegas, Nevada; Long Beach, California; and West Palm Beach, Florida. Id. ¶ 26, 37 TTABVUE 11. Plaintiff widely licenses its GULFSTREAM mark to third-parties for GULFSTREAM branded promotional items sold on its online store. Id. ¶ 28, 37 TTABVUE 11. Plaintiff also maintains an active and ongoing enforcement program to protect its trademark rights. Id. ¶ 29, 37 TTABVUE 11. Defendant seeks to narrow Plaintiff’s scope of protection based on the declaration of Paul Flannery. Mr. Flannery is the Director of Sales for a yacht brokerage company and is the President of the International Yacht Brokers Association. Flannery Dec. ¶¶ 2, 5, 47 TTABVUE 42. Mr. Flannery’s reference to his awareness of a handful of boats “offered for sale under a name that includes the word ‘Gulfstream’ or some Opposition No. 91233257 and Cancellation No. 92065548 14 variant of that word” has very little probative weight. Flannery Rept. ¶ 22, 47 TTABVUE 45. In addition, the examples of a handful of boats offered for sale on one website is minimal and inconsequential. This evidence does not serve to shrink the scope of protection to be accorded Plaintiff’s mark. We find Plaintiff’s mark is famous in the aircraft industry and this factor weighs heavily in favor of Plaintiff. B. The similarity or dissimilarity of the marks in their entireties as to appearance, sound, connotation and commercial impression We now consider the similarity or dissimilarity of Defendant’s marks GULFSTREAM YACHTS, GULF STREAM YACHTS and GULFSTREAM UNSINKABLE BOATS, and Plaintiff’s mark GULFSTREAM compared in their entireties in terms of appearance, sound, connotation and commercial impression. In re Detroit Athletic Co., 903 F.3d 1297, 128 USPQ2d 1047, 1048 (Fed. Cir. 2018). “The proper test is not a side-by-side comparison of the marks, but instead whether the marks are sufficiently similar in terms of their commercial impression such that persons who encounter the marks would be likely to assume a connection between the parties.” Coach Servs., Inc. v. Triumph Learning LLC, 668 F.3d 1356, 101 USPQ2d 1713, 1721 (Fed. Cir. 2012) (quotation omitted). Finally, “[a]s a mark’s fame increases, the [Lanham] Act’s tolerance for similarities in competing marks falls.” Kenner Parker Toys Inc. v. Rose Art Indus., Inc., 22 USPQ2d at 1456 (“A strong mark … casts a long shadow which competitors must avoid.”). The first and prominent word(s) in Defendant’s marks is GULFSTREAM and GULF STREAM. Palm Bay, 73 USPQ2d at 1692 (presence of the “strong distinctive term [VEUVE] as the first word in both parties’ marks renders the marks similar”). Opposition No. 91233257 and Cancellation No. 92065548 15 Defendant acknowledges this fact. 56 TTABVUE 9. These terms are identical to the entirety of Plaintiff’s mark GULFSTREAM. The space between GULF and STREAM in the mark in Application Serial No. 87099004 does not create a different sound, meaning or commercial impression and the slight difference in appearance does not serve to distinguish the marks. Gastown Inc. of Delaware v. Gas City, Ltd., 187 USPQ 760 (TTAB 1975) (GAS CITY, with “GAS” disclaimed, likely to be confused with GASTOWN); Seaguard Corp. v. Seaward International, Inc., 223 USPQ 48, 51 (TTAB 1984) (SEA GUARD and SEAGUARD are “essentially identical”) and In re Best Western Family Steak House, Inc., 222 USPQ 827, 827 (TTAB 1984) (“There can be little doubt that the marks [BEEFMASTER and BEEF MASTER] are practically identical”). The additional wording, YACHTS and UNSINKABLE BOATS, in Defendant’s marks is generic or highly descriptive for the identified goods, “boats.” In re Nat’l Data Corp., 753 F.2d 1056, 1058, 224 USPQ 749, 750-51 (Fed. Cir. 1985) (“[I]n articulating reasons for reaching a conclusion on the issue of confusion, there is nothing improper in stating that, for rational reasons, more or less weight has been given to a particular feature of a mark, provided the ultimate conclusion rests on consideration of the marks in their entireties.”); see also In re Detroit Athletic Co., 128 USPQ2d at 1050 (affirming TTAB’s finding that the marks DETROIT ATHLETIC CO. and DETROIT ATHLETIC CLUB are similar, and noting that “the non-source identifying nature of the words ‘Co.’ and ‘Club’ and the disclaimers thereof constitute rational reasons for giving those terms less weight in the analysis.”) Although, this wording, having to do with boats, adds to the connotation of Defendant’s marks, and Opposition No. 91233257 and Cancellation No. 92065548 16 may underscore the association with the Gulf Stream ocean current,17 the common term GULFSTREAM could evoke the same idea even with airplanes because it has no other meaning. Overall, we find the marks to be very similar in appearance, sound, connotation and commercial impression, and this du Pont factor weighs in favor of likelihood of confusion. C. Relatedness of the Goods and Services, Channels of Trade, Classes of Purchasers The goods and/or services do not have to be identical or even competitive in order to find that there is a likelihood of confusion. In re Iolo Techs., LLC, 95 USPQ2d 1498, 1499 (TTAB 2010); In re G.B.I. Tile & Stone, Inc., 92 USPQ2d 1366, 1368 (TTAB 2009). We must consider not whether the actual goods and services are literally the same, but rather whether the public will be confused as to their source. See Recot Inc. v. M.C. Becton, 214 F.3d 1322, 54 USPQ2d 1894, 1898 (Fed. Cir. 2000) (“[E]ven if the goods in question are different from, and thus not related to, one another in kind, the same goods can be related in the mind of the consuming public as to the origin of the goods. It is this sense of relatedness that matters in the likelihood of confusion analysis.”); In re Shell Oil Co., 992 F.2d 1204, 26 USPQ2d 1687, 1689 (Fed. Cir. 1993); Safety-Kleen Corp. v. Dresser Indus., Inc., 518 F.2d 1399, 186 USPQ 476, 480 (CCPA 17 We take judicial notice of the dictionary definition for GULFSTREAM, “a warm ocean current flowing N from the Gulf of Mexico, along the E coast of the U.S., to an area off the SE coast of Newfoundland, where it becomes the western terminus of the North Atlantic Current.” Dictionary.com (www.dictionary.com) based on the Random House Unabridged Dictionary (2019). The Board may take judicial notice of dictionary definitions, Univ. of Notre Dame du Lac v. J.C. Gourmet Food Imp. Co., 213 USPQ 594 (TTAB 1982), aff'd, 703 F.2d 1372, 217 USPQ 505 (Fed. Cir. 1983), including online dictionaries that exist in printed format or regular fixed editions. In re Red Bull GmbH, 78 USPQ2d 1375, 1377 (TTAB 2006). Opposition No. 91233257 and Cancellation No. 92065548 17 1975); In re Ass’n of the U.S. Army, 85 USPQ2d 1264, 1270 (TTAB 2007). See also In re Martin’s Famous Pastry Shoppe, Inc., 748 F.2d 1565, 223 USPQ 1289 (Fed. Cir. 1984). The nature and scope of a party’s goods or services must be determined on the basis of the goods or services recited in the application or registration. See, e.g., In re Detroit Athletic Co., 128 USPQ2d at 1052; Stone Lion Capital Partners, L.P. v. Lion Capital LLP, 746 F.3d 1317, 110 USPQ2d 1157, 1162 (Fed. Cir. 2014); Coach Servs., Inc. v. Triumph Learning LLC, 101 USPQ2d at 1722; Hewlett-Packard Co. v. Packard Press Inc., 281 F.3d 1261, 62 USPQ2d 1001, 1004 (Fed. Cir. 2002); Octocom Sys., Inc. v. Hous. Comps. Servs., Inc., 918 F.2d 937, 16 USPQ2d 1783, 1787 (Fed. Cir. 1990). Defendant’s goods are “boats.” Plaintiff’s registrations are for “airplanes” “berets, caps, cardigans, hats, knit shirts, neckties, raincoats, rainwear, sport shirts, sweaters, T-shirts, visors, wind resistant jackets,” “albums for photographs, ball- point pens, banners made of paper, guide books in the field of airplanes and aviation, reference books in the field of airplanes and aviation, bumper stickers, calendar desk pads, calendars, greeting cards, note paper, coasters made of paper, color prints, diaries, gift cards, gift wrapping paper, lithographs, magazines featuring airplanes and aviation, paper napkins, paintings, pens, postcards, rubber stamps,” “beverage glassware, coffee cups, plastic cups,” “model airplanes, stuffed toy animals, golf bag tags,” “aircraft manufacturing, repair, refurbishment and maintenance services,” “flight safety, aircraft maintenance and technical training classes related to aircraft,” “aircraft inspection services,” “field and airborne support services for private jets, Opposition No. 91233257 and Cancellation No. 92065548 18 namely, providing information and advice in the field of aircraft maintenance and repair,” and “aircraft repair, refurbishment and maintenance.” To demonstrate how their goods are related Plaintiff submitted several third- party registrations for “boats” and “airplanes” (nearly 100), or some of Plaintiff’s other registered goods such as clothing (over 60), under the same mark. For example, Reg. No. 2788897 for the mark LOCKHEED MARTIN for jet aircraft and commercial and military ships; Reg. No. 3716974 for the mark GO FAST for automobiles, airplanes, boats, personal watercraft; Reg. No. 4119744 for the mark DORNIER and design for seaplanes, airplanes, and boats; and Reg. No. 4635642 for the mark SPYDER MOTORSPORTS and design for airplanes, boats. 42 TTABVUE 37-72. Plaintiff also submitted website printouts from ten third-parties offering boats and airplanes for sale. 40 TTABVUE 965-1074. In addition, Plaintiff submitted printouts from several websites showing airplane and boat manufacturers who have partnered together to cross-promote each other’s products to their overlapping customer bases. 40 TTABVUE 1075-1077; 41 TTABVUE 2-12. Plaintiff’s goods ranging from aircraft to clothing and golf bag tags, are related to Defendant’s boats in view of the circumstances surrounding the marketing of Plaintiff’s and Defendant’s goods and the fame of Plaintiff’s mark which supports the conclusion that purchasers would perceive that the parties’ goods are related. We find these facts similar to those presented in Tiffany & Co. v. Classic Motor Carriages Inc., 10 USPQ2d 1835 (TTAB 1989) where the Board found the defendant’s automobiles to be related to the plaintiff’s jewelry. Here, the marketing to potential purchasers Opposition No. 91233257 and Cancellation No. 92065548 19 for Defendant’s boats and Plaintiff’s airplanes is focused on the luxury lifestyle aspect of these goods and is directed to wealthy individuals. This association with a luxury lifestyle pertains to both parties’ goods. In view of the fame of Plaintiff’s mark and its association with a luxury lifestyle, consumers are likely to believe that Defendant’s boats are associated with or sponsored by Plaintiff. This finding of relatedness is further bolstered by Plaintiff’s extensive licensing program for use of its mark on a variety of goods. See In re Sloppy Joe’s Int’l, Inc., 43 USPQ2d 1350, 1356 (TTAB 1997) (“[T]he licensing of the names and/or likenesses of well known persons for use on various goods and services is a common practice.”); In re Phillips-Van Heusen Corp., 228 USPQ 949, 951 (TTAB 1986) (“The licensing of commercial trademarks for use on ‘collateral’ products (such as clothing, glassware, linens, etc.), that are unrelated in nature to those goods or services on which the marks are normally used, has become a common practice in recent years.”). With regard to the channels of trade and classes of consumers, because there are no limitations as to these factors in the identifications in the applications and registrations we must presume that they move in all normal channels of trade, and that they are available to all classes of purchasers. See, e.g., Levi Strauss & Co. v. Abercrombie & Fitch Trading Co., 719 F.3d 1367, 107 USPQ2d 1167, 1173 (Fed. Cir. 2013); In re Thor Tech, Inc., 90 USPQ2d 1634, 1638 (TTAB 2009) (“We have no authority to read any restrictions or limitations into the registrant’s description of goods.”) The evidence shows that private airplanes and boats are advertised in the same magazines and at the same trade shows and marketed to the same consumer Opposition No. 91233257 and Cancellation No. 92065548 20 group. Mr. James stated in his discovery deposition that he has seen aircraft companies exhibiting at boat shows. 40 TTABVUE 684. In view of the above, the du Pont factors of the similarity of the goods, the channels of trade and classes of purchasers favor a finding of likelihood of confusion as between the marks in Defendant’s applications and Plaintiff’s registrations. D. Purchasing Conditions In considering this factor, we must look at the goods as identified and base our determination on the least sophisticated consumer. Stone Lion Capital Partners, LP v. Lion Capital LLP, 110 USPQ2d at 1163 cited in In re FCA US LLC, 126 USPQ2d 1214, 1222 (TTAB 2018) (“Board precedent requires our decision to be based on the least sophisticated potential purchasers.”). Although Defendant’s and Plaintiff’s identifications of goods are unrestricted, the nature of Defendant’s goods “boats” and Plaintiff’s “airplanes” would tend to indicate purchasers would exercise higher care in their purchasing decisions. That said, much of Defendant’s argument and evidence pertaining to a complex process to purchase its custom yachts, does not address all types of boat purchasing conditions that are covered by its unlimited identification of boats. This unlimited identification thus includes general consumers. The class of purchasers is not restricted to persons possessing special knowledge or expertise, including those purchasing any type of boat at a store, or post sale confusion. Moreover, even sophisticated purchasers are not immune from trademark confusion. Top Tobacco, LP v. N. Atl. Operating Co., 101 USPQ2d 1163, 1170 (TTAB 2011); In re Decombe, 9 USPQ2d 1812 (TTAB 1988); In re Pellerin Milnor Corp., 221 USPQ 558 (TTAB 1983). Opposition No. 91233257 and Cancellation No. 92065548 21 Plaintiff argues that despite the high price of the goods, purchasers would still be initially confused in what is otherwise a careful purchasing decision. The Board has recognized the initial interest confusion theory as a form of likelihood of confusion which is actionable. See HRL Associates, Inc. v. Weiss Associates, Inc., 12 USPQ2d 1819 (TTAB 1989), aff’d on other grounds, 902 F.2d 1546, 14 USPQ2d 1840 (Fed. Cir. 1990) (Board found that the likelihood of initial interest, pre-sale confusion overcame the sophisticated purchaser defense; on appeal, the Federal Circuit expressly avoided reaching the issue of initial interest confusion). See generally J. T. McCarthy, MCCARTHY ON TRADEMARKS AND UNFAIR COMPETITION, § 23:6 (5th ed. 2019). “The sophistication of the purchasers in the purchasing scenario involved in this case is not enough to overcome the likelihood that these purchasers will be confused at an early stage in the buying decision.” Hrl Associates v. Weiss Associates, 12 USPQ2d at 1823. Thus, even if, as Defendant argues, purchasers would be informed during the purchasing process that the boats are not manufactured or sponsored by Plaintiff, the damage from likely confusion has already occurred. As is the case in any inter partes proceeding involving likelihood of confusion, the plaintiff has the burden of proof to show by a preponderance of the evidence that it is entitled to prevail on its claim. Initial interest confusion, even when the marks are similar, will not be assumed, but rather must be proven by the evidence. Here, as discussed above, these goods are promoted at the same trade shows, in the same publications and are linked as a mode of transportation for wealthy consumers. We Opposition No. 91233257 and Cancellation No. 92065548 22 find the evidence sufficient to establish likely initial confusion. In addition, these goods are also susceptible to post sale confusion for the same reasons. On this record, on balance we conclude that Defendant’s customers are not less likely to be confused as a result of any higher level of care associated with boat or airplane purchases. Accordingly, we conclude that the evidence bearing on the sophistication of the potential purchasers fails to indicate a diminished likelihood of confusion. This factor is neutral. E. Variety of Goods and Services with which Plaintiff’s Mark is Used The record establishes that Plaintiff has used and registered the GULSTREAM mark with a wide variety of goods and services, including aircraft, clothing, toys, glassware, providing aircraft repair, etc. While Plaintiff’s core goods and services are airplanes and related airplane services, and the other goods are collateral goods primarily sold in connection with Plaintiff’s airplane business and services related to their repair and maintenance, we find this factor weighs slightly in its favor. F. Actual Confusion Plaintiff argues that actual confusion has occurred. Plaintiff points to the following testimony from the discovery deposition of Mr. Huntington James: A. I have and maybe four people out of, you know, 1,000 plus people I’ve talked to ask if there was any, you know, relationship. Q. Okay. Was that at boat shows? A. I think a couple were at boat shows and a couple on the phone. Q. Okay. Were all four of those specifically to you or would it have been to your other employee? Opposition No. 91233257 and Cancellation No. 92065548 23 A. Me. Q. Okay. What specifically did the people say? A. I don’t remember specifically, but it was along the lines of is there any relationship. Q. Okay. And were these individual customers or corporate customers or military government-type customers? A. Individual and one was an individual that said they were calling on behalf of someone else, but it was kind of suspicious since it was a call on my way to the – watch the deposition of Mr. Flannery last week. Q. It was last week? A. Yes. Q. And that was a phone call to you? A. Yes. Q. Okay. And do you recall what specifically that person said last week? A. They had a very fake-sounding foreign accent and they asked if – I don’t remember the exact verbiage, but they essentially asked do we also build a plane. Q. That’s all they said? They called you up and said, do you build a plane? A. That’s why I said it seemed like a pretty suspicious call. Q. Well, it wasn’t me, I’ll tell you that. 40 TTABVUE 713-715. Defendant responds of the four instances one was “suspicious” and goes on to undermine the remaining three instances by arguing that “[e]ven with any alleged initial interest in actual consumer confusion, Applicant contends that there is no actual likelihood of confusion based on the dissimilarity of the parties products, the Opposition No. 91233257 and Cancellation No. 92065548 24 number of similar marks in use for boating products, and the high degree of care utilized by purchasers of custom yachts as set forth above.” 47 TTABVUE 14. We do not consider Defendant’s argument “even with any alleged initial interest confusion” to be a concession as to such confusion. While initial interest confusion also supports a finding of likely confusion, this minimal and somewhat vague testimony does not present instances upon which to base a finding of actual confusion. We note however that evidence of actual confusion is not necessary to establish a likelihood of confusion. Herbko Int’l, Inc. v. Kappa Books, Inc., 308 F.3d 1156, 64 USPQ2d 1375, 1380 (Fed. Cir. 2002). We find this factor to be neutral. In connection with this factor, Plaintiff submitted the report and testimony of its expert witness Hal Poret who conducted an “Eveready”18 survey on likelihood of confusion. Lessner Dec. Exh. 9, 40 TTABVUE 500-648. We find that Mr. Poret is qualified to conduct the survey as an expert in this case and the survey follows the Eveready survey format, a widely used and well-accepted format for likelihood of confusion surveys. Anheuser-Busch, LLC v. Innvopak Systems Pty Ltd., 115 USPQ2d 1816 (TTAB 2015). We find that it is reliable and has probative value on the issue of likelihood of confusion and, as discussed above, we give no credit to Mr. Keegan’s conclusions. Starbucks U.S. Brands, LLC v. Ruben, 78 USPQ2d 1741 (TTAB 2006). Mr. Poret’s report shows the results of his survey indicating that 16% to 19% percent of the survey respondents expressed a belief that Defendant was associated with Plaintiff or also made airplanes. This level of confusion is legally significant and 18 Named for a case in which it was used with approval, Union Carbide Corp. v. Ever-Ready, Inc., 531 F.2d 366, 188 USPQ 623 (7th Cir. 1976), cert. denied, 191 USPQ 416 (1976). Opposition No. 91233257 and Cancellation No. 92065548 25 supports a finding of likely confusion. Anheuser-Busch v. Innovapak, 115 USPQ2d at 1832 (citing James Burrough, Ltd. v. Sign of the Beefeater, Inc., 540 F.2d 266, 192 USPQ 555, 565 (7th Cir. 1976)). G. Bad Faith Plaintiff argues Defendant was “well aware of [Plaintiff] and its GULFSTREAM products many years prior to [Defendant’s] adoption of its virtually identical GULFSTREAM and GULF STREAM marks” and that “jets and yachts are promoted side-by-side at boat shows and in boat publications.” 36 TTABVUE 29. Plaintiff also points to the timing of Defendant’s rebranding to the mark GULFSTREAM when it began offering larger boats and promoting them as “the ultimate multipurpose yacht tender.” Id. at 30. Plaintiff concludes that Defendant “made a deliberate choice to reposition its business to penetrate the luxury market by adopting marks virtually identical to [Plaintiff’s] famous mark for luxury aircraft sold in overlapping trade and marketing channels to overlapping customers.” Id. Bad faith, or intent to confuse, falls under the thirteenth du Pont factor “any other established fact probative of the effect of use.” L.C. Licensing Inc. v. Berman, 86 USPQ2d 1883, 1890 (TTAB 2008). “[A] party which knowingly adopts a mark similar to one used by another for related goods should not be surprised to find scrutiny of the filer’s motive.” L’Oreal S.A. and L’Oreal USA, Inc. v. Marcon, 102 USPQ2d 1434, 1442 (TTAB 2012). “[W]hen there is evidence of an applicant’s intent to adopt a mark that suggests to purchasers a successful mark already in use by another, the Board may, and ought to, take into account that intent when resolving the issue of likelihood of confusion when that issue is not free from doubt.” First International Services Corp. Opposition No. 91233257 and Cancellation No. 92065548 26 v. Chuckles Inc., 5 USPQ2d 1628, 1633 (TTAB 1988). However, “an inference of ‘bad faith’ requires something more than mere knowledge of a prior similar mark.” Sweats Fashions, Inc. v. Pannill Knitting Co., Inc., 833 F.2d 1560, 1565, 4 USPQ2d 1793 (Fed. Cir. 1987). A finding of bad faith must be supported by evidence of an intent to confuse, rather than mere knowledge of another’s mark or even an intent to copy. E.g., Starbucks Corp. v. Wolfe’s Borough Coffee, Inc., 588 F.3d 97, 92 USPQ2d 1769, 1782 (2d Cir. 2009) (“[T]he ‘only relevant intent is intent to confuse. There is a considerable difference between an intent to copy and an intent to deceive.’” (quoting J. Thomas McCarthy, MCCARTHY ON TRADEMARKS AND UNFAIR COMPETITION § 23:113 (4th ed. 2012))). We find the mere knowledge of Plaintiff’s mark and the “timing coincidence” too speculative to make a finding of bad faith intent. Proving intent to confuse or deceive is subject to a high evidentiary bar that has not been met here. See, e.g., L’Oreal v. Marcon, 102 USPQ2d at 1442. We find this factor to be neutral. H. Balancing of the Factors We have considered all of the evidence pertaining to the relevant du Pont factors, as well as the parties’ arguments with respect thereto. In balancing the relevant factors, we conclude that because Plaintiff’s mark is famous and the marks are similar, the goods are related, and the trade channels and classes of customers overlap, confusion is likely. In view of our determination on the likelihood of confusion claim, Plaintiff’s bifurcated claims of dilution, lack of use, lack of bona fide intent to use, and fraud are dismissed as moot. Yazhong Investing Ltd. v. Multi-Media Tech. Ventures, Ltd., 126 Opposition No. 91233257 and Cancellation No. 92065548 27 USPQ2d 1526, 1540 n.52 (TTAB 2018) (Board has “‘discretion to decide only those claims necessary to enter judgment and dispose of the case,” as our “determination of registrability does not require, in every instance, decision on every pleaded claim.’”) (quoting Multisorb Tech., Inc. v. Pactive Corp., 109 USPQ2d 1170, 1171-72 (TTAB 2013)). Decision: The opposition is sustained and the petition to cancel is granted. Copy with citationCopy as parenthetical citation