Opinion ID: 3166404
Heading Depth: 2
Heading Rank: 2

Heading: trademark claim

Text: Adobe’s primary problem on the trademark claim is that it confuses the claim that it made—trademark infringement—with the claim it wishes it had made—unfair competition, or false advertising. Although in summary judgment pleadings Adobe belatedly cast its infringement claim as one for false advertising under § 43(a) of the Lanham Act, 60 Stat. 441, as amended, 15 U.S.C. § 1125, the district court rejected the argument because Adobe failed to plead such a false advertising claim in its complaint. The 5 Adobe also originally argued that the first sale defense does not apply to copies made abroad. This distinction is no longer relevant because the Supreme Court has since held that the first sale doctrine applies with equal force to goods made and sold abroad. See Kirtsaeng v. John Wiley & Sons, Inc., 133 S. Ct. 1351, 1358 (2013). ADOBE SYSTEMS, INC. V. CHRISTENSON 19 district court properly analyzed this claim under the nominative fair use defense to a trademark infringement claim instead of under the unfair competition rubric. To prove trademark infringement, “a trademark holder must show that the defendant’s use of its trademark ‘is likely to cause confusion, or to cause mistake, or to deceive.’” Fortune Dynamic, Inc. v. Victoria’s Secret Stores Brand Mgmt., Inc., 618 F.3d 1025, 1030 (9th Cir. 2010) (quoting 15 U.S.C. § 1125(a)(1)). The “core element of trademark infringement” is “[p]rotecting against a likelihood of confusion,” which helps to “ensur[e] that owners of trademarks can benefit from the goodwill associated with their marks” and “that consumers can distinguish among competing producers.” Id. (quoting Brookfield Commc’ns v. W. Coast Entm’t Corp., 174 F.3d 1036, 1053 (9th Cir. 1999); Thane Int’l, Inc. v. Trek Bicycle Corp., 305 F.3d 894, 901 (9th Cir. 2002)). We have long recognized that nominative fair use is a defense to a trademark claim. See New Kids on the Block v. News Am. Pub., Inc., 971 F.2d 302, 306–08 (9th Cir. 1992). The doctrine protects a defendant “where the use of the trademark does not attempt to capitalize on consumer confusion or to appropriate the cachet of one product for a different one.” Id. at 308. The defense may be invoked “where a defendant uses the mark to refer to the trademarked good itself.” Toyota Motor Sales, U.S.A., Inc. v. Tabari, 610 F.3d 1171, 1175 (9th Cir. 2010). This principle recognizes the proposition that “[t]rademark law generally does not reach the sale of genuine goods bearing a true mark even though such sale is without the mark owner’s consent.” Am. Circuit Breaker Corp. v. Oregon Breakers Inc., 406 F.3d 20 ADOBE SYSTEMS, INC. V. CHRISTENSON 577, 585 (9th Cir. 2005) (quoting NEC Elecs. v. CAL Circuit Abco, 810 F.2d 1506, 1510 (9th Cir. 1987)). In a nominative fair use case, the concern is avoiding confusion over whether the speaker is endorsed or sponsored by the trademark holder. To that end, the Toyota test replaces the usual Sleekcraft test as the proper measure of consumer confusion when a defendant uses the mark to refer to the trademarked good itself. Toyota Motor Sales, 610 F.3d at 1182 (citing Cairns v. Franklin Mint Co., 292 F.3d 1139, 1151 (9th Cir. 2002)); AMF Inc. v. Sleekcraft Boats, 599 F.2d 341 (9th Cir. 1979). Under the Toyota test, we ask “whether (1) the product was ‘readily identifiable’ without use of the mark; (2) defendant used more of the mark than necessary; or (3) defendant falsely suggested he was sponsored or endorsed by the trademark holder.” Toyota Motor Sales, 610 F.3d at 1175–76 (quoting Playboy Enters., Inc. v. Welles, 279 F.3d 796, 801 (9th Cir. 2002)). Rather than argue the Toyota factors, Adobe presses the argument that Christenson engaged in a “bait and switch” tactic of selling Adobe products licensed as academic or OEM products by describing them as “full” or “retail” versions, misleading consumers as to which version they would receive. Here lies the confusion: this theory maps to a claim for false advertising or unfair competition under § 43 of the Lanham Act, not trademark infringement under 15 U.S.C. § 1114. Adobe does not argue that the marks did not truthfully label genuine Adobe products as such. Nor does it assert that “Adobe Acrobat Pro” and the same product when under an academic or OEM license, correspond to different marks than Christenson used on the Software Surplus website, to render Christenson’s use untruthful. Adobe’s major gripe was with the sales themselves, which it ADOBE SYSTEMS, INC. V. CHRISTENSON 21 attacked via its copyright claim. The bottom line is that Christenson’s nominal use of the marks was to identify the products themselves and not to “inspire a mistaken belief on the part of consumers that the speaker is sponsored or endorsed by the trademark holder.” Toyota Motor Sales, 610 F.3d at 1176. We therefore affirm as to this claim. AFFIRMED.