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Meril Rivard v. Mark Linville

Citations: 133 F.3d 1446; 45 U.S.P.Q. 2d (BNA) 1374; 1998 U.S. App. LEXIS 169Docket: 97-1191

Court: Court of Appeals for the Federal Circuit; January 7, 1998; Federal Appellate Court

Narrative Opinion Summary

A party appealed the decision of the United States Trademark Trial and Appeal Board, which canceled their trademark registration for the mark ULTRACUTS due to alleged abandonment. The appeal followed a petition for cancellation filed by another party, citing nonuse of the mark in the United States for over two years. Initially, the Board's summary judgment in favor of the petitioner was vacated by the Federal Circuit, allowing the registrant to present evidence of intent to use the mark. Despite multiple exploratory trips to the U.S. and discussions with various stakeholders about potential salon openings, the Board found the registrant's efforts insufficient to demonstrate a genuine intent to use the mark. The Board concluded that the registrant abandoned the mark by not using it or showing intent to resume use from 1986 to 1991, a finding affirmed by the court. The registrant's later actions, including negotiating licensing agreements after being notified of the cancellation proceeding, further undermined their claims of intent. The Board's decision was upheld, confirming the cancellation of the trademark registration based on abandonment due to unjustifiable nonuse.

Legal Issues Addressed

Burden of Proof in Abandonment Cases

Application: Rivard failed to rebut Linville's prima facie case of abandonment by not proving either actual use or intent to resume use of the trademark within the statutory period.

Reasoning: Linville established a prima facie case for the abandonment of the ULTRACUTS mark, as Rivard failed to use it in the relevant services within the United States during the pertinent timeframe.

Evidence of Intent to Use a Trademark

Application: Rivard's sporadic visits and efforts to explore potential salon sites were deemed insufficient to demonstrate a genuine intent to use the mark in commerce.

Reasoning: Between 1986 and 1991, Rivard's activities were limited to sporadic visits and superficial efforts to explore potential salon sites, leading the board to reasonably conclude that he lacked the intent to commence use of the ULTRACUTS mark.

Excusable Nonuse and Business Judgment

Application: Rivard's business judgment in not opening salons did not justify the nonuse of the ULTRACUTS mark during the critical period.

Reasoning: Although Rivard claimed business judgment led to his decision not to open salons, the board highlighted that not all business reasons justify nonuse.

Impact of Post-Petition Actions on Abandonment Claims

Application: Rivard's negotiations for licensing agreements and selection of a salon location post-notification of cancellation proceedings undermined his claims of prior intent to use the mark.

Reasoning: The board noted that shortly after being notified of Linville's cancellation proceeding, Rivard negotiated licensing agreements to use the mark and settled on a location for a salon, undermining his claims of intent to use the mark during the preceding years of nonuse.

Trademark Abandonment under Trademark Law

Application: The court affirmed the cancellation of Rivard's trademark registration due to nonuse and lack of intent to use the mark in the U.S. from 1986 to 1991.

Reasoning: The board concluded that Rivard lacked the intent to use the ULTRACUTS mark for hairdressing services in the U.S. from the registration in August 1986 until the cancellation petition in June 1991.