Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_06-cv-01361/USCOURTS-caed-2_06-cv-01361-1/pdf.json

Nature of Suit Code: 196
Nature of Suit: Franchise
Cause of Action: 15:1114 Trademark Infringement

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LITTLER MENDELSON 

A PR OF ESS ION A L CORPOR AT IO N

2520 Ve n tu r e Oa k s Wa y 

Su ite 390 

Sa c r ame n to , CA 9 58 3 3. 4 2 27 

916 . 83 0 . 7200 

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Firmwide:81372922.1 051735.1001 CASE NO. 2:06-cv-01361-FCD-GGH 

FINAL JUDGMENT ON CONSENT 

1

BRUCE M. TIMM, Bar No. 199679 

LITTLER MENDELSON 

A Professional Corporation 

2520 Venture Oaks Way 

Suite 390 

Sacramento, CA 95833.4227 

Telephone: 916.830.7200 

Facsimile: 916.561.0828 

DENNIS D. PALMER, MO Bar No. 21499 

SHUGART THOMSON & KILROY, P.C. 

120 W. 12th Street, Suite 1700 

Kansas City, MO 64105 

Telephone: 816.421.3355 

Attorneys for Plaintiff 

H&R BLOCK TAX SERVICES, INC. 

RICHARD W. OSEN, Bar No. 42566 

ANN TAYLOR SCHWING, Bar No. 91914 

McDONOUGH HOLLAND & ALLEN PC 

Attorneys at Law 

555 Capitol Mall, 9th Floor 

Sacramento, CA 95814 

Phone: 916.444.3900 

Fax: 916.444.3249 

Attorneys for Defendant 

PHONE DIRECTORIES COMPANY, INC. 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

H&R BLOCK TAX SERVICES, INC., a 

Delaware corporation, 

Plaintiff, 

v. 

DWIGHT CLINE, individually and doing 

business as CLINE & ASSOCIATES; 

JOLEEN CLINE, individually and doing 

business as CLINE & ASSOCIATES; and 

PHONE DIRECTORIES COMPANY, 

INC., a Utah corporation, 

Defendants. 

Case No. 2:06-CV-01361 FCD (GGH) 

FINAL JUDGMENT ON CONSENT 

Upon the consent and agreement of Plaintiff H&R Block Tax Services, Inc. 

Case 2:06-cv-01361-FCD-GGH Document 20 Filed 08/30/06 Page 1 of 3
LITTLER MENDELSON 

A PR OF ESS ION A L CORPOR AT IO N

2520 Ve n tu r e Oa k s Wa y 

Su ite 390 

Sa c r ame n to , CA 9 58 3 3. 4 2 27 

916 . 83 0 . 7200 

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2 CASE NO. 2:06-cv-01361-FCD-GGH 

FINAL JUDGMENT ON CONSENT 

(hereinafter “H&R Block”) and Defendant Phone Directories Company, Inc. (hereinafter “PDC”), to 

settle disputed claims, final judgment is entered as follows: 

1. On or about June 16, 2006, H&R Block filed a Verified Complaint for 

Damages and Injunctive Relief against Dwight Cline, Joleen Cline, and PDC for violation of Federal 

Trademark laws, breach of a Franchise Agreement between H&R Block and Dwight Cline, and 

breach of a Line of Credit Agreement between H&R Block and the Clines as more fully set forth in 

the United States District Court, Eastern District of California Complaint, filed H&R Block Tax 

Services, Inc. v. Dwight Cline, et al., Case No. 2:06-CV-01361 FCD (GGH). 

2. Block and its affiliated companies sell franchises for tax preparation and 

related services in the State of California and other states in the United States. 

3. Block and Dwight Cline entered into a Franchise Agreement dated November 

17, 1994 (“Agreement”) under which Dwight Cline operated a Block franchise at 2098 E. Main 

Street, Quincy, California, using Block’s trademark “H&R Block” and the telephone number (530) 

283-0825. 

4. In January 2005, the Clines ceased providing services as an H&R Block 

franchise and began providing those services doing business as Cline & Associates at the same 

location that they were operating the H&R Block franchise and using the same telephone number. 

5. PDC publishes telephone directories. 

6. In approximately February 2006, PDC published a directory distributed in 

Plumas County, California and elsewhere listing H&R Block’s trademark in association with Cline 

& Associates’ tax preparation business address and telephone number. 

7. PDC denies liability on all claims in this action. 

Upon consent of the parties, IT IS HEREBY ORDERED that: 

1. PDC and its agents, servants, affiliates, employees, attorneys and 

representatives and all those in privity or acting in concert with it are enjoined from directly or 

indirectly listing the “H&R Block” trademark in association with 2098 E. Main Street, Quincy, 

California and/or Dwight Cline, Joleen Cline or Cline & Associates in any telephone directory 

Case 2:06-cv-01361-FCD-GGH Document 20 Filed 08/30/06 Page 2 of 3
LITTLER MENDELSON 

A PR OF ESS ION A L CORPOR AT IO N

2520 Ve n tu r e Oa k s Wa y 

Su ite 390 

Sa c r ame n to , CA 9 58 3 3. 4 2 27 

916 . 83 0 . 7200 

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3 CASE NO. 2:06-cv-01361-FCD-GGH 

FINAL JUDGMENT ON CONSENT 

publications. 

2. All other claims in this case have been separately settled by the parties 

pursuant to a Settlement Agreement. 

3. Plaintiff H&R Block Tax Services, Inc.’s Verified Complaint and the claims 

asserted therein are dismissed with prejudice, each party to bear their own costs and attorneys’ fees, 

except as provided in this Consent Decree. 

AGREED TO IN FORM AND SUBSTANCE: 

H&R BLOCK TAX SERVICES, INC. 

By: /s/Bruce M. Timm (as authorized on 8/28/06)

Bruce M. Timm 

LITTLER MENDELSON, P.C. 

By: /s/Dennis D. Palmer (as authorized on 8/28/06)

Dennis D. Palmer 

SHUGHART THOMSON & KILROY, P.C. 

Attorneys for Plaintiff 

H&R BLOCK TAX SERVICES, INC. 

PHONE DIRECTORIES COMPANY, INC. 

By: /s/Richard W. Osen 

Richard W. Osen 

Ann Taylor Schwing 

McDONOUGH HOLLAND & ALLEN PC 

Attorneys for Defendant 

PHONE DIRECTORIES COMPANY, INC. 

IT IS SO ORDERED. In light of the above orders the court hereby VACATES the hearing 

set for October 13, 2006 on Plaintiff’s Motion for Preliminary Injunction and the motion is deemed 

MOOT. 

DATED: August 30, 2006 /s/ Frank C. Damrell Jr. 

 JUDGE, UNITED STATED DISTRICT 

 COURT, EASTERN DISTRICT 

Case 2:06-cv-01361-FCD-GGH Document 20 Filed 08/30/06 Page 3 of 3