Source: https://id.scribd.com/document/397276636/Chooseco-v-Netflix-Complaint
Timestamp: 2019-11-15 12:31:17
Document Index: 70764506

Matched Legal Cases: ['§ 1051', '§ 1121', '§ 1338', '§ 1391', '§ 32', '§ 1114', '§ 1116', '§ 1125', '§ 43', '§ 1125', '§\n43', '§ 1125', '§ 1116', '§ 43', '§ 1125', '§ 1116', '§ 1117']

Chooseco v Netflix Complaint | Lanham Act | Trademark
Bandersnatch trademark lawsuit
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Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 1 of 15
U.S. OlSTRlCT COURT
01'STRtCT Of VERMONT
FOR THE DISTRICT OF VERMONT 201 9JAN 11 AH 9: 11
CHOOSECO LLC, ) BY (ffi4J
) DEPi.0rCLERK
Civil Action No. 2: ;q. ( V--8'
NETFLIX, INC., )
Plaintiff Chooseco LLC ("Chooseco"), by and through its attorneys, Dinse P.C.,
complains against Netflix, Inc. ("Netflix") as follows:
This is an action for trademark infringement, unfair competition, false designation of
origin, and dilution arising under the Trademark Act of 1946, 15 U.S.C. §§ 1051 et seq. , as
amended (the "Lanham Act") and for unfair competition under the common law of the State of
1. Chooseco has several federally registered trademarks that include the word mark
CHOOSE YOUR OWN ADVENTURE. Netflix has no license or authorization to use any
Chooseco trademark.
2. Chooseco's popular and beloved CHOOSE YOUR OWN ADVENTURE brand
began with a series of interactive books for young adults in which the reader acts as the story's
protagonist and makes choices that affect the narrative' s plot and outcome. The brand has
expanded over the years to include related products and services, but Chooseco continues to print
and sell thousands of CHOOSE YOUR OWN ADVENTURE books each year. Part of
Chooseco's marketing strategy includes appealing to adults now in their twenties, thirties, and
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 2 of 15
forties who remember the brand with pleasant nostalgia from their youth and then buy CHOOSE
YOUR OWN ADVENTURE books for their own children.
3. On December 28, 2018, Netflix released a much-hyped, and-upon information
and belief-widely viewed interactive film called Black Mirror: Bandersnatch on its digital
streaming platform. 1 In the first few minutes of the movie, the protagonist refers to a fictional
book in the diegesis as a "Choose Your Own Adventure" book. Netflix has no license or
authorization to use Chooseco ' s trademark and, upon information and belief, used the mark
willfully and intentionally to capitalize on viewers ' nostalgia for the original book series from
the 1980s and 1990s. The film ' s dark and, at times, disturbing content dilutes the goodwill for
and positive associations with Chooseco' s mark and tarnishes its products.
4. Netflix is infringing Chooseco's valuable trademark. It is causing confusion,
tarnishing, denigrating, and diluting the distinct quality of the CHOOSE YOUR OWN
5. Chooseco seeks damages and injunctive relief in this action.
6. Plaintiff Chooseco LLC is a Vermont limited liability company with a principal
place of business in Waitsfield, Vermont.
7. Defendant Netflix, Inc. is a publically traded Delaware corporation with a
principal place of business in Los Gatos, California.
8. This Court has subject matter jurisdiction over the claims alleged pursuant to 15
U.S.C. § 1121, 28 U.S.C. §§ 1338(a), 1338(b) and the principles of pendant jurisdiction.
This Complaint references the plot of the film to some extent and may contain spoilers.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 3 of 15
9. This Court has personal jurisdiction over N etflix because N etflix does business in
this district. Specifically, Vermont residents subscribe to Netflix's streaming services and stream
Netflix's content to their personal devices in this district. Netflix has offered and displayed the
film Bandersnatch: Black Mirror throughout the district by streaming it to the personal devices
of subscribers present in the district.
10. Venue is proper in this district under 28 U.S.C. § 1391.
I. Choose Your Own Adventure Books and Trademark
11. Chooseco is the current publisher of the beloved and well-known series of
CHOOSE YOUR OWN ADVENTURE books. Below is a sample image of the front cover of
The Abominable Snowman by R. A. Montgomery.
12. Each CHOOSE YOUR OWN ADVENTURE book is written in the second
person. The reader acts as the story's protagonist and makes choices to determine the narrative's
plot and ending. The reader is directed to a different page in the book depending on the choice
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 4 of 15
he or she has made. There are multiple potential endings at various points that a reader may land
on based on the choices he or she makes.
13. The series was widely read in the 1980s and 1990s, and book sales remain strong.
Chooseco and its predecessors in interest have sold in excess of 265 million copies of CHOOSE
YOUR OWN ADVENTURE books. Within the last year, Chooseco has printed more than
620,000 copies for distribution throughout the United States. In the last ten years, the CHOOSE
YOUR OWN ADVENTURE series has also been licensed for translation and distribution in
twenty-seven other countries. The target demographic of current readers is primarily children
and young adults between seven and fourteen years old with reading levels of second through
14. When the CHOOSE YOUR OWN ADVENTURE books were originally
published, the children reading them ranged from approximately seven to fourteen years old.
Based on information available to Chooseco, children who read the series during its initial
publication are now in their twenties, thirties, and forties. Chooseco has effectively focused on
that audience and has used the hook of nostalgia to interest adults who read the books when they
were young in buying CHOOSE YOUR OWN ADVENTURE books for their children.
15. Chooseco has registered the trademark CHOOSE YOUR OWN ADVENTURE in
connection with books, movies, and other types of media. See Exhibit A, Reg. No. 2,913,403. It
has numerous other federally registered trademarks and common law rights in its marks, as well
as pending applications. Chooseco has assiduously built and developed the CHOOSE YOUR
OWN ADVENTURE brand using its famous trademark not only for its books, but also for other
entertainment services, including movies.
16. For example, Chooseco has licensed the mark for a tabletop board game that has
sold over 150,000 units since its launch in June 2018, seven months ago.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 5 of 15
17. For further example, Twentieth Century Fox currently holds an option contract
with Chooseco to develop an interactive film series based on the CHOOSE YOUR OWN
ADVENTURE books. See Exhibit B, Ricardo Lopez, 'Choose Your Own Adventure ' Interactive
Movie in the Works at Fox, Variety (April 26, 2018, 11:14 am).
18. Chooseco also owns and operates a consumer website where it provides
interactive games, shares information about its products and the individuals involved in their
creation, and sells products directly to consumers.
19. Beginning in 2016, Netflix actively pursued a license to use CHOOSE YOUR
OWN ADVENTURE in connection with films and interactive cartoons. Chooseco and Netflix
engaged in extensive negotiations that were ongoing for a number of years, but Netflix did not
receive a license.
20. On at least one occasion before the release of Bandersnatch, Chooseco sent a
written cease and desist request to Netflix asking Netflix to stop using the CHOOSE YOUR
OWN ADVENTURE mark in connection with its marketing efforts for another television
II. Netflix's Black Mirror: Bandersnatch
21. N etflix is a popular media services company that primarily offers subscription-
based digital video streaming services. Its digital library includes a wide variety of movies and
television programs. Upon information and belief, Netflix has hundreds of millions of
subscribers worldwide who may access its streaming content through their personal devices.
22. Upon information and belief, Netflix has subscribers who purchase and view
digital content on their personal devices in Vermont and also markets its services to current and
potential subscribers in Vermont
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 6 of 15
23. Netflix's streaming library includes a program called Black Mirror, a speculative
fiction anthology series that examines the relationship between humans and technology.
24. Black Mirror: Bandersnatch ("Bandersnatch") is an interactive film in the Black
Mirror anthology. Netflix released Bandersnatch on its streaming platform on December 28,
25. Upon information and belief, many Netflix subscribers have viewed Bandersnatch
26. As in the CHOOSE YOUR OWN ADVENTURE series, Bandersnatch viewers
make choices to determine the plot and ending of the film. Rather than flip from one page to
another, viewers click a button at the bottom of their screen using a mouse or other controller to
select their choice.
27. For example, early on in the film, the viewer is given two options to select the
protagonist's breakfast cereal:
Netflix provides viewers with the option to turn on subtitles or captions while viewing its content. The images in
this Complaint are screenshots of the film with Netflix' s English subtitle feature turned on.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 7 of 15
28. The protagonist ofBandersnatch is a young programmer named Stefan Butler. In
the first sequence of the film, viewers learn that Butler is preparing for a meeting to pitch a demo
of a videogame that he has been working on. Butler tells his father that his game is based on a
fictional book titled Bandersnatch by a fictional author named Jerome F. Davies:
29. Butler's father remarks that Davies must not be a good writer because Butler is
"always flicking backwards and forwards in that." This feature-flipping back and forth-is a
hallmark of a CHOOSE YOUR OWN ADVENTURE book. Butler responds next that
Bandersnatch is a "Choose Your Own Adventure" book:
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 8 of 15
30. Next, Butler says, "You decide what your character does."
31. The version of the film that the viewer sees depends on the choices the viewer
makes, but every single viewer sees the first sequence, including its reference to the so-called
Choose Your Own Adventure book, Bandersnatch. Upon information and belief, Netflix
provides its own closed-captioning and subtitle services. Its use of quotes and capital letters in
the subtitles is further evidence ofNetflix' s knowing and willful use of Chooseco's trademark.
32. Overall, Bandersnatch is a dark film and the videogame that Butler creates in it
based on its fictional inspiration is equally dark. Nearly every narrative fork includes disturbing
and violent imagery. The movie has a rating of TV-MA, which means the content is specifically
designed to be viewed by adults. Depending on the choices the viewer makes, it can include
references to and depictions of a demonic presence, violent fighting, drug use, murder,
mutilation of a corpse, decapitation, and other upsetting imagery.
33. These dark and violent themes are too mature for the target audience of
Chooseco ' s CHOOSE YOUR OWN ADVENTURE BOOKS . Association with this grim
content tarnishes Chooseco' s famous trademark.
34. Chooseco has not granted Netflix a license to use its trademark.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 9 of 15
35. Netflix has benefitted from its association with Chooseco' s iconic brand.
Bandersnatch has been discussed widely in the press and many reviews of the movie include the
phrase or even reference the book series.
36. The association between Bandersnatch and Choose Your Own Adventure has
been widely discussed on social media. That discussion demonstrates the dilution of the brand.
37. Upon information and belief, Netflix intentionally and willfully used Chooseco's
famous mark in order to benefit from the positive associations with-and nostalgia for-the
brand by adults who read the series as youngsters.
38. Upon information and belief, Bandersnatch viewers have already been confused
about the brand's association with the film and are likely to be confused in the future.
39. Upon information and belief, Chooseco has already suffered reputational harm
due to viewers ' negative associations with Bandersnatch.
40. Upon information and belief, Netflix intends to continue its course of conduct and
wrongfully promote, offer for sale, and distribute a product or products using the mark CHOOSE
YOUR OWN ADVENTURE, despite Chooseco' s ownership of the mark.
41. As a direct and proximate result, Chooseco has suffered damages and will suffer
irreparable injury. A conservative initial estimate of Chooseco's damages based on information
currently available is $25 million.
First Claim for Relief - Federal Trademark Infringement
42. Chooseco restates and incorporates the allegations of Paragraphs 1 through 41 of
43. Chooseco is the owner of the trademark CHOOSE YOUR OWN ADVENTURE
and has federally registered that mark in connection with a variety of goods and services. The
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 10 of 15
CHOOSE YOUR OWN ADVENTURE trademarks have acquired substantial goodwill and
44. In addition to the trademark registrations, Chooseco has actively engaged in and
developed products and services using the trademark CHOOSE YOUR OWN ADVENTURE.
45. Netflix has adopted and is using CHOOSE YOUR OWN ADVENTURE in a
manner that is likely to cause confusion, and is causing confusion, mistake, and deception among
the general purchasing public as to the origin and affiliation ofNetflix with Chooseco.
46. Netflix is likely to deceive the public into believing that the reference to a
"Choose Your Own Adventure" book in the film Black Mirror: Bandersnatch originates from, is
associated with, or is otherwise authorized by Chooseco, all to the damage and detriment of
Chooseco' s reputation, goodwill, and profits.
47. Netflix has committed the acts described in this Complaint with the knowledge
that its imitation is intended to be used to cause confusion, mistake, or deception.
48. Netflix has unlawfully and wrongly derived, and will continue to unlawfully and
wrongfully derive, income and profits from these infringing acts, and Chooseco has sustained
and will continue to sustain substantial injury, loss, and damage in an amount to be proved at
49. Netflix's use of one or more of Chooseco's trademarks on or in connection with
its products constitutes willful and deliberate infringement of Chooseco' s trademarks, without
authorization or consent in violation if§ 32 of the Lanham Act, 15 U.S.C. § 1114.
50. Netflix' s acts of willful infringement have caused and will continue to cause
Chooseco irreparable harm and injury to its goodwill and reputation unless the Court enjoins
such conduct. Chooseco may have no adequate remedy at law. Thus, Netflix should be
restrained and enjoined pursuant to 15 U.S.C. § 1116.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 11 of 15
51. Because ofNetflix's activities, Chooseco has been damaged in an amount to be
Second Claim for Relief - Federal Trademark Dilution
(15 U.S.C. § 1125(c))
52. Chooseco restates and incorporates the allegations of Paragraphs 1 through 51 of
53. Chooseco's trademarks are "famous marks" within the meaning of§ 43(c) of the
Lanham Act, 15 U.S.C. § 1125(c)(l) and have been famous marks prior to Netflix' s conduct
54. Netflix' s use of the trademark CHOOSE YOUR OWN ADVENTURE in the film
Black Mirror: Bandersnatch dilutes the distinctive quality of Chooseco ' s trademarks and was
done with the willful intent to trade upon Chooseco ' s reputation and to cause dilution of
Chooseco's trademarks.
55. Association with Netflix' s use of Chooseco's trademark harms the reputation of
Chooseco ' s mark.
56. Netflix's continuing use of the trademark is being done with notice and full
knowledge that such activities are not authorized or licensed by Chooseco.
57. Netflix's acts are a knowing and willful violation of Chooseco ' s rights under§
43(c) of the Lanham Act, 15 U.S.C. § 1125(c).
58. Netflix may have no adequate remedy at law, and ifNetflix's activities are not
enjoined, Chooseco will continue to suffer irreparable harm and injury to its goodwill and
reputation. Netflix should be restrained and enjoined pursuant to 15 U.S.C. § 1116.
59. Because ofNetflix's activities, Chooseco has been damaged in an amount to be
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 12 of 15
Third Claim for Relief - Unfair Competition and False Designation of Origin
60. Chooseco restates and incorporates the allegations of Paragraphs 1 through 59 of
61. N etflix is selling and offering for sale in commerce a product bearing an
unauthorized trademark identical to Chooseco's trademarks.
62. By deliberately and willfully using Chooseco's trademarks, Netflix has
consciously and deliberately sought to capitalize on the distinctive quality and fame of
Chooseco' s trademark and has intended to capitalize upon and profit by consumer confusion that
63. Netflix' s unlawful, unauthorized, and unlicensed sale and offering for sale of a
product containing Chooseco's trademark creates the express and implied representation that the
product originates from, is associated with, or is otherwise authorized or endorsed by Chooseco,
all to the damage and detriment of Chooseco' s reputation, goodwill, and sales.
64. Netflix's conduct is deliberate and willful, is likely to cause confusion, will injure
Chooseco's reputation unless enjoined, and constitutes a false designation in violation of§ 43(a)
of the Lanham Act, 15 U.S.C. § 1125(a).
65. Netflix wrongfully and unlawfully derived, and will continue to derive, income,
profits, and benefits from this act of false designation of origin and false representation.
Chooseco has sustained and will continue to sustain substantial injury, loss, and damage.
66. Netflix' s acts have caused and will continue to cause Chooseco irreparable harm
and injury to its goodwill and reputation unless restrained by this Court. Chooseco may have no
adequate remedy at law. Netflix should be restrained and enjoined pursuant to 15 U.S.C. § 1116.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 13 of 15
67. Because ofNetflix's activities, Chooseco has been damaged in an amount to be
Fourth Claim for Relief - Unfair Competition
(Vermont Common Law)
68. Chooseco restates and incorporates the allegations of Paragraphs 1 through 67 of
69. Chooseco built up valuable goodwill in Chooseco' s CHOOSE YOUR OWN
ADVENTURE trademark.
70. Netflix's use of CHOOSE YOUR OWN ADVENTURE is likely to and does
permit Netflix to pass off its goods and services as those of, affiliated with, or otherwise
authorized by Chooseco, all to the detriment of Chooseco and unjust enrichment of Netflix.
71. Netflix, with full knowledge of the fame of Chooseco's trademark, intended to
and did trade upon the goodwill associated with Chooseco' s trademark and has misled and will
continue to mislead the public into assuming a connection exists between Chooseco and N etflix,
when no such connection exists.
72. Netflix's actions amount to deception and misappropriation of the exclusive
property owned by Chooseco.
73. Netflix's unauthorized use of Chooseco's trademark has caused and will continue
to cause Chooseco damage by tarnishing the desirable reputation and image associated with
Chooseco and Chooseco ' s trademark.
74. Netflix has unlawfully derived income and profits from their activities and will
continue to derive income and profits from their acts of unfair competition, and Chooseco has
sustained and will continue to sustain substantial injury, loss, and damage.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 14 of 15
75. The acts ofNetflix, which permit and accomplish confusion, mislead and deceive
the public as to the source ofNetflix's goods and services, falsely suggest a connection with
Chooseco, constitute an act of unfair competition in violation of Vermont law. These acts have
caused and will continue to cause Chooseco irreparable harm unless enjoined by the Court.
Chooseco has no adequate remedy at law. Netflix should be restrained and enjoined pursuant to
76. Because ofNetflix's activities, Chooseco has been damaged in an amount to be
Chooseco prays as follows:
1. That the Court grant Chooseco an equitable accounting of N etflix' s profits and
award Chooseco its attorneys' fees and costs, plus its damages of at least $25 million or Netflix' s
profits, whichever are greater, arising from Netflix' s trademark infringement, false designation
of origin, unfair competition, and trademark dilution, and such damages or profits are to be
trebled pursuant to 15 U.S.C. § 1117 and otherwise by reason of the willfulness ofNetflix' s acts.
2. That the Court award Chooseco its costs of suit incurred;
3. That the Court grant Chooseco injunctive relief; and
4. That the Court grant such other relief as it deems just and proper.
Plaintiff Chooseco LLC hereby demands trial by jury on all issues so triable.
DATED at Burlington, Vermont this 11th day of January, 2019.
Case 2:19-cv-00008-wks Document 1 Filed 01/11/19 Page 15 of 15
Shapleigh Smith, Jr., Esq.
Kendall Hoechst, Esq.
ssmith@dinse.com
Counsel for Choose co LLC
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