Opinion ID: 612451
Heading Depth: 1
Heading Rank: 10

Heading: Patsy's Pizzeria's Cross-Appeal: Merits .1) Limitation of Appellees' Rights to Pizzeria Services

Text: Patsy's Pizzeria argues that the district court erred by including the distinction between general restaurant services and pizzeria services in the jury instructions and special verdict sheet when no definition of pizzeria services was offered. [7] It asserts that the lack of a definition is particularly important because it misled the jury into believing this distinction is recognized at law, and the jury's special verdicts on many of the issues turned on the definition of pizzeria services. We disagree. The court was not obliged to define pizzeria services for the jury because the jury was capable of determining the meaning of that term, which is neither technical nor ambiguous. United States v. Morris, 928 F.2d 504, 511 (2d Cir.1991) (Since the word is of common usage, without any technical or ambiguous meaning, the Court was not obliged to instruct the jury on its meaning.) (citing United States v. Chenault, 844 F.2d 1124, 1131 (5th Cir.1988)). Patsy's Pizzeria also suggests that the distinction between pizzeria services and restaurant services was inappropriate because the classification system used by the PTO does not distinguish between the two services, providing only the category of restaurant services. This argument misunderstands the purpose of the PTO's classification system. The PTO's classifications exist solely for administrative purposes, and does not affect the substantive rights of a mark's owner in any way. See 15 U.S.C. § 1112 (The Director may establish a classification of goods and services, for convenience of Patent and Trademark Office administration, but not to limit or extend the applicant's or registrant's rights.). Rather, Patsy's Pizzeria's substantive rights are defined by the scope of the services used in connection with the mark. See In re Trade-Mark Cases, 100 U.S. 82, 94, 25 L.Ed. 550 (1879); ITC Ltd. v. Punchgini, Inc., 482 F.3d 135, 146 (2d Cir.2007). Patsy's Pizzeria further argues that there was no evidence to support the jury's finding that they did not provide restaurant services and use for pizzeria services. We disagree. Patsy's Pizzeria's argument appears to rely heavily on their claim that pizzeria services are limited to businesses serving pizza only by the slice. However, as noted, Patsy's Pizzeria did not request that the district court provide this definition in the jury instructions, and there is no manifest injustice in the district court's failure to do so. Without a definition, it was up to the jury to determine the appropriate distinction, and there was sufficient evidence to support its determination. For example, the jury had before it a variety of menus, including the menus for various Patsy's Pizzeria locations, Patsy's Italian Restaurant's menu, and menus from Pizza Hut and Dominos Pizza. They were able to compare those to determine whether there was a distinction between the services provided and, if so, what that distinction was. In addition, during the trial, the deposition testimony of a Patsy's Pizzeria franchisee was read into the record, in which the franchisee stated that in [p]izzerias you just serve pizza, and a witness for Patsy's Italian Restaurant also gave a similar definition. Thus, there was sufficient evidence to permit the jury to draw the distinction in question. There was also sufficient evidence to support the jury's verdict that Patsy's Pizzeria's rights were limited to pizzeria services. Patsy's Pizzeria argues that there was no evidence that they served solely pizza, and, indeed, that they demonstrated that they continuously sold a variety of foods. Having conceded that they failed to file a motion for judgment as a matter of law, appellants merely seek a new trial on this ground. As we have previously explained, `[w]here a jury's verdict is wholly without legal support, we will order a new trial in order to prevent a manifest injustice[,]' despite an appellant's failure to move for a directed verdict. Russo v. New York, 672 F.2d 1014, 1022 (2d Cir.1982) (quoting Sojak v. Hudson Waterways Corp., 590 F.2d 53, 54-55 (2d Cir.1978)). There was no manifest injustice calling for a new trial. With regard to the element of continuous provision of restaurant services, the 1991 contract of sale transferring ownership to I.O.B. Realty states that the East Harlem location's restaurant section was closed, and I.O.B. Realty agreed only to provide pizzeria services during a specified period of time. Evidence introduced by Patsy's Pizzeria itself suggests a focus on only pizza. For example, franchisees were trained regarding how to make pizza the Patsy's way, and one franchisee testified to the purchase of a $75,000 pizza oven because their focus was on the pizza. Additionally, the jury was shown a documentary that discussed how the original Patsy's Pizzeria was the first pizzeria to sell pizza by the slice. Thus, Patsy's Pizzeria is not entitled to a new trial on the ground of manifest injustice.