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Defendant Groupie LLC answers "declaratory judgment" Complaint of Plaintiff. Mark GROUPME is virtually identical in purpose, form and function. Complaint alleges a false three-part story.
Defendant Groupie LLC answers "declaratory judgment" Complaint of Plaintiff. Mark GROUPME is virtually identical in purpose, form and function. Complaint alleges a false three-part story.
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Defendant Groupie LLC answers "declaratory judgment" Complaint of Plaintiff. Mark GROUPME is virtually identical in purpose, form and function. Complaint alleges a false three-part story.
Droits d'auteur :
Attribution Non-Commercial (BY-NC)
Formats disponibles
Téléchargez comme PDF, TXT ou lisez en ligne sur Scribd
GROUPME, INC., Civil Action No.: 12 CV 5362 (KBF) Plaintiff, ANSWER AND COUNTERCLAIMS -against- JURY TRIAL DEMANDED GROUPIE LLC, Defendant. Defendant Groupie LLC ("Defendant"), by and through its attorneys, Olshan Frome Wolosky LLP, hereby answers the "Declaratory Judgment Complaint" ("Complaint") of Plaintiff Groupme, Inc. ("Plaintiff') and alleges as follows: INTRODUCTION Over a year after Defendant launched its GROUPIE application for group messaging on Apple's iTunes App Store, Plaintiff launched its GROUPME application for a virtually identical type of product and service. The GROUPME and GROUPIE products and services are and have been virtually identical in purpose, form and function; free to download; and marketed through the same chmmels of trade, and offer substitutable functionality and target substantially the same demographic audience. The marks are only one letter apart, use the same root word, and have phonetically similar and rhyming second syllables. Unsurprisingly, there is evidence of actual confusion caused by Plaintiffs use of the mark GROUPME. In an effort to avoid these facts and convince the Court that Plaintiff is entitled to a declaration that its subsequently adopted mark GROUPME does not infringe Defendant's GROUPIE mark, Plaintiffs Complaint alleges a false three-part story. First, the Complaint falsely paints Defendant's principals as opportunists trying to extort money from Plaintiff 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 1 of 24 because it was acquired by Skype Technologies, S.A. or a related entity ("Skype") in August 2011. However, the Complaint also undermines this false portrait by disclosing, correctly, that Defendant filed its Notice of Opposition to Plaintiffs GROUPME trademark application before Skype's acquisition of Plaintiff and announcement of the acquisition. In fact, Defendant commenced the opposition to protect its valuable rights in its registered mark GROUPIE. The second part of the Complaint's story, i.e., that the users of the GROUPME and GROUPIE products and services are supposedly very different, is also false. Plaintiffs GROUPME social networking service is not principally used by the traditional flip cell phone users, as the Complaint infers, but rather by users of smart phones and similar devices, such as iPhones and other iOS devices. Users of iPhones and iOS devices are the same consumers that use Defendant's GROUPIE product and service. Nor is it true that, while the GROUP ME product and service is principally addressed to friends and family, the GROUPIE product and service is mainly directed toward those who seek to link with strangers who share a passion. The story's third element, that Defendant is a two-person start-up with little success, whose mark thereby deserves no respect, is not only legally incorrect but also factually false. Defendant's founders have spent large sums of money, and have expended, with Defendant's other developers, thousands of hours in developing the GROUPIE product and service that is regularly used by tens of thousands of devoted users. While Defendant does not have an advertising budget such as the one that Skype can ensure for Plaintiff, that does not mean that Defendant is without valuable, protectable rights in its trademark. The Court should deny Plaintiff the relief that its Complaint seeks, and should instead, as requested in Defendant's counterclaims, permanently enjoin Plaintiff from using the infringing mark GROUPME. 2 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 2 of 24 The Responses to the Numbered Paragraphs in the Complaint 1. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in the first two sentences in paragraph 1 of the Complaint, and otherwise denies each and every allegation contained in paragraph 1 of the Complaint. 2. Defendant denies each and every allegation contained in paragraph 2 of the Complaint, except admits that, in the Complaint, Plaintiff requests "[a] declaration that Plaintiffs use of the GroupMe mark does not constitute an infringement of any trademark right of Defendant". 3. Defendant denies each and every allegation contained in paragraph 3 of the Complaint, except admits that the Complaint requests "[a]n Order directing the Commissioner of Patents and Trademarks to cancel U.S. Registration No. 3,723,588" on the purported and false ground that "the mark shown in the registration is merely descriptive". 4. Defendant admits the allegations contained in paragraph 4 of the Complaint upon information and belief. 5. Defendant admits the allegations contained in paragraph 5 of the Complaint. 6. Paragraph 6 of the Complaint alleges only legal conclusions as to which no response is required, but, to preserve its rights, Defendant denies each and every allegation contained in paragraph 6 of the Complaint. 7. Paragraph 7 of the Complaint alleges only legal conclusions as to which no response is required. 8. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 8 of the Complaint, except admits that Defendant maintains a place of business in the Southern District of New York. 3 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 3 of 24 9. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 9 of the Complaint, but admits, upon information and belief, that Plaintiff was founded in or around May 2010 by Jared Hecht and Steve Martocci. 10. Defendant denies each and every allegation contained in paragraph 10 of the Complaint, except admits, upon information and belief, that GROUPME is a social networking service by which users can send a group message to all members of a group of users simultaneously by SMS, push technology and other methods of data delivery. Defendant avers that Plaintiffs allegation in paragraph 10 of the Complaint that the GROUPME service "enables its users to create unique groups comprised of family, friends, coworkers, or other individuals in their real life" is misleading because it suggests that groups of GROUPME users consist only of family, friends, and coworkers and not users who met through the GROUPME application, Twitter, or other mediums. 11 . Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 11 of the Complaint, but admits, upon information and belief that the GROUP ME product and service was inspired by a project conceived at the TechCrunch Disrupt Hackathon. 12. Defendant denies the allegation in paragraph 12 of the Complaint that Plaintiff "has developed significant intellectual property rights . .. in its GroupMe brand", and otherwise denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 12 of the Complaint. 13. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 13 of the Complaint, except admits that (a) according to the website of the United States Patent and Trademark Office ("USPTO"), on July 26, 2010, 4 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 4 of 24 - - ~ ----- -------- Plaintiff filed an intent to use trademark application for the word mark GROUP ME in International Classes 35, 36, 38, 42 and 45 and that the trademark examining attorney did not cite any conflicting marks that would bar registration during the examination phase, and (b) according to the USPTO website, on July 11, 2012, Plaintiff filed an application based on claimed use for the following mark in International Class 9, which has not been examined by the USPTO to date: 9 groupme. 14. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 14 of the Complaint, except admits, upon information and belief, sometimes Plaintiff uses the following: 9 groupme. 15. Defendant denies each and every allegation contained in paragraph 15 of the Complaint and avers that the mark GROUP ME is not always used as alleged in said paragraph. 16. Defendant admits, upon information and belief, the allegations in paragraph 16 of the Complaint. 17. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 17 of the Complaint, except admits, upon information and belief, that sometimes the following logo is used in close proximity to the GROUP ME mark. 18. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 18 of the Complaint, except admits, upon information and belief, that it has been publicly reported that Skype acquired Plaintiff in August 2011. 19. Defendant denies the allegation contained in paragraph 19 of the Complaint that "the Groupme service [is] vastly different from Defendant's Groupie [service]" and otherwise 5 17724[2-[ Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 5 of 24 denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 19 of the Complaint. 20. Defendant denies each and every allegation contained in paragraph 20 of the Complaint, except admits that Leo Efstathiou ("Efstathiou") resides and works in the State of New York, Jordan Adler ("Adler") principally resides in the State of New Jersey and currently works both in the State of New Jersey and the State of New York, and that in addition to working for Defendant, both principals of Defendant perform and have performed services for other persons. 21. Defendant denies each and every allegation contained in paragraph 21 of the Complaint, except admits that Defendant is the owner of U.S. Trademark Registration No. 3,723,588 for the mark GROUPIE in International Class 9 for the following goods: "Computer application software for mobile phones" and said registration issued on December 8, 2009. 22. Defendant denies each and every allegation contained in paragraph 22 of the Complaint, except admits that Defendant has been continuously using the GROUPIE mark in interstate commerce since September 2009. 23. Defendant denies each and every allegation contained in paragraph 23 of the Complaint, except admits that Defendant's product and service is an application focused on group messaging called GROUPIE and that, while this application and service, among other things, permits users to create and join groups dedicated to a particular passion or interest, the application and service also permits users to create, join, manage and communicate with a group of existing friends, family members, coworkers and other individuals. 24. Defendant denies each and every allegation contained in paragraph 24 of the Complaint. 6 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 6 of 24 25. Defendant denies having knowledge or information sufficient to form a belief as the truth of the allegations in paragraph 25 of the Complaint, except admits that Defendant's GROUPIE application is compatible with Apple iOS devices and any smartphone with access to a compatible internet browser, and the application can be accessed at www.groupie.co or downloaded through the iTunes App Store, or by following the link on Defendant's website, www.groupie.co, to the iTunes App Store. 26. Defendant denies each and every allegation contained in paragraph 26 of the Complaint, except admits that Defendant's distinctive logo appears in close proximity to the GROUPIE Mark in one place on Defendant's website. 27. Defendant admits the allegations contained in paragraph 27 of the Complaint. 28. Defendant denies each and every allegation contained in paragraph 28 of the Complaint, and avers that some of Defendant's promotions state that "Groupie is the easiest way to connect with people who share your interests and hobbies. Join and create groups, meet new people and stay in touch with friends." 29. Defendant admits the allegations contained in paragraph 29 of the Complaint. 30. Defendant denies each and every allegation continued in paragraph 30 of the Complaint, except admits that it has advised various persons of the opposition proceeding Defendant has brought against Plaintiffs intent to use trademark application in the USPTO for the word mark GROUPME (the "Opposition Proceeding"). 31 . Defendant admits the allegations contained in paragraph 31 of the Complaint, but denies that said paragraph contains all of the contents of the letter to which said paragraph refers and respectfully refers the Court to the letter for all of its contents. 7 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 7 of 24 32. Defendant denies each and every allegation contained in paragraph 32 of the Complaint, and avers that the paragraph paraphrases rather than quotes what was actually stated, but admits that in May 2012, for purposes of the Opposition Proceeding, Plaintiff took the deposition of Defendant pursuant to Federal Rule of Civil Procedure 30(b)(6), and Defendant has been damaged and continues to be damaged by Plaintiff's use of the mark GROUPME, and Defendant refers the Court to the deposition transcript for its contents. 33. Defendant denies each and every allegation contained in paragraph 33 of the Complaint, except admits that Plaintiff's use of the mark GROUPME infringes Defendant's rights in its mark GROUPIE and that if Plaintiff is investing more in the mark GROUPME, it has undertaken such with full knowledge of Defendant' s superior rights. 34. Defendant denies the allegations contained in paragraph 34 of the Complaint and avers that while Group is a word in the English language and other parties use the word "group" with other words in connection with social networking and have federal registrations, these companies' services are markedly different than Defendant's product and service and the marks are sufficiently different from Defendant' s mark GROUPIE. Defendant further avers that, to the extent there may be other persons that use marks that begin with "group" for applications accessible on the iTunes App Store that also feature group messaging, such marks are not as similar as GROUPIE and GROUP ME as (a) these two marks are both one word with two syllables, (b) not only is the first word in both marks the word "group" but also the second syllable in each mark rhymes with the second syllable in the other mark, (c) the GROUPME and GROUPIE marks differ only by one letter, and (d) both GROUPME and GROUPIE are used in connection with the same types of products and services, share the same channels of trade, have often appeared side by side in search results on the ITunes App Store, and share many 8 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 8 of 24 functionalities. Defendant further avers that the cited "Groupies v1.0" application was only released in April 2012, and that Defendant has taken steps to stop that unauthorized use. 35. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 35 of the Complaint, but admits that it has not opposed or sought to cancel any of the registrations cited in paragraph 35 of the Complaint as these marks are sufficiently different from GROUPIE and/or the companies do not use their marks for products and services the same as or close to Defendant's GROUPIE product and serVIce. 36. Defendant denies each and every allegation contained in paragraph 36 of the Complaint. 37. Defendant denies each and every allegation contained in paragraph 37 of the Complaint, except admits that various dictionaries contain definitions of the word "groupie." 38. Defendant denies each and every allegation contained in paragraph 38 of the Complaint. 39. Defendant denies each and every allegation contained in paragraph 39 of the Complaint. 40. Defendant denies each and every allegation contained in paragraph 40 of the Complaint. 41. Defendant denies each and every allegation contained in paragraph 41 of the Complaint and avers that the word "groupie" is widely and principally defined to mean "a fan of a rock group who usually follows the group around on concert tours." See, e.g., groupie, Merriam Webster Online Collegiate Dictionary, http://www.melTiam webster.com/dictionary/groupie (last visited August 27, 2012). 9 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 9 of 24 42. Defendant denies each and every allegation contained in paragraph 42 of the Complaint, except admits that Defendant's GROUPIE mark is used in connection with its GROUPIE application which can be used by family members, friends, coworkers, and others to communicate about anything. 43. With respect to the allegations contained in paragraph 43 of the Complaint, Defendant (a) avers that the allegation that "[a]n actual case or controversy exists between Plaintiff and Defendant" constitutes a legal conclusion as to which no response is required and (b) denies having knowledge sufficient to form a belief as to the truth of the allegations contained in paragraph 43 of the Complaint, except admits that Defendant has maintained and continues to maintain that Plaintiffs mark GROUPME, in whatever form Plaintiff uses it, infringes Defendant' s rights in its mark GROUPIE, and an attorney for Defendant sent a letter in December 2011 to Plaintiff's counsel to which Defendant respectfully refers the Court for its contents. 44. Defendant denies having knowledge or information sufficient to form a belief as to the truth of the allegations in paragraph 44 of the Complaint. AS TO THE "FIRST CAUSE OF ACTION" 45. In answer to paragraph 45 of the Complaint, Defendant repeats and realleges each of the allegations contained in paragraphs 1 through 44 in this Answer as though fully set forth herein. 46. Defendant denies each and every allegation contained in paragraph 46 of the Complaint. 47. Defendant denies each and every allegation contained in paragraph 47 of the Complaint. 10 [772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 10 of 24 AS TO THE "SECOND CAUSE OF ACTION" 48 . In answer to paragraph 48 of the Complaint, Defendant repeats and realleges each of the allegations contained in paragraphs 1 through 47 in this Answer as though fully set forth herein 49. Defendant denies each and every allegation contained in Paragraph 49 of the Complaint. FIRST AFFIRMATIVE DEFENSE 50. The Complaint fails to state a claim against Defendant upon which relief may be granted. SECOND AFFIRMATIVE DEFENSE 51. Plaintiff is barred from seeking the relief requested in the Complaint because Defendant's GROUPIE trademark is not merely descriptive. THIRD AFFIRMATIVE DEFENSE 52. Plaintiff is barred from seeking the relief requested in the Complaint by virtue of the likelihood of confusion and the actual confusion between the GROUP ME and GROUPIE trademarks. FOURTH AFFIRMATIVE DEFENSE 53. Plaintiff is barred from seeking the relief requested in the Complaint by Plaintiffs bad faith and/or fraud. FIFTH AFFIRMATIVE DEFENSE 54. Plaintiff is barred from any recovery under the Complaint because Plaintiff s own wrongful conduct was the sole and proximate cause of Plaintiffs alleged uncertainty over its GROUPME trademark. 11 1772412-\ Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 11 of 24 SIXTH AFFIRMATIVE DEFENSE 55. Plaintiffs claims are barred because the conduct of Defendant was justified under the circumstances, in that Defendant did what was reasonably necessary to protect its legitimate intellectual property rights. SEVENTH AFFIRMATIVE DEFENSE 56. Defendant reserves the right to rely on any additional defenses to the Complaint that become available or apparent during discovery proceedings in this action, and respectfully reserves the right to amend this Answer for the purpose of asserting such defenses. COUNTERCLAIMS Defendant, by and through its attorneys, Olshan Frome Wolosky LLP, alleges on knowledge as to its own acts and otherwise on information and belief as follows: NATURE OF COUNTERCLAIMS 57. The following counterclaims are for trademark infringement, false designation of origin, and unfair competition in violation of the laws of the United States and the State of New York. Defendant seeks an injunction, damages and related relief. JURISDICTION AND VENUE 58. This Court has jurisdiction over these counterclaims pursuant to 15 U.S.c. 1121 and 28 U.S.C. 1331, 1332, 1338 and 1367. Defendant's counterclaims are predicated upon the Lanham Trademark Act of 1946, as amended, 15 U.S.C. 1051, et seq., and the statutory and common law of the State of New York. 59. Venue is proper in this district pursuant to 28 U.S.C. 1391 (b) and (c). 12 1772412-\ Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 12 of 24 PARTIES 60. Defendant is a New Jersey limited liability company organized and existing under the laws of the State of New Jersey with its principal office at 180 Tekening Drive, Tenafly, New Jersey. 61. Upon information and belief, Plaintiff is a Delaware Corporation with a principal place of business located at 26 West 1i h Street, Suite 1002, New York, New York 10011. BACKGROUND Defendant's Business and the GROUPIE Trademark 62. Defendant offers a social networking and group messaging application and service to the public under the mark GROUPIE (the "GROUPIE Mark"), which was initially developed by Adler and Efstathiou in 2009. The GROUPIE service allows users to send group messages to friends, family, coworkers and others through the use of the GROUPIE application. 63. On December 1,2008, Adler filed an intent to use trademark application for the GROUPIE Mark in International Class 009 for "Computer application software for mobile phones" (the "GROUPIE Trademark Application"). 64. No substantive office actions were issued against the GROUPIE Mark during the prosecution of the GROUPIE Trademark Application; rather only a procedural one was issued regarding additional information that was needed as to Defendant's organizational status. An Examiner's Amendment was issued in response to this office action, stating the following entity information: "The applicant is identified as Groupie LLC, a limited liability company organized under the laws of New Jersey." 65. The GROUPIE Mark registered in the name of Defendant on December 8, 2009 on the principal register as U.S. Registration No. 3723588 (the "GROUPIE Trademark Registration"). A true and correct copy of the GROUPIE trademark registration certificate is 13 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 13 of 24 attached hereto as Exhibit A. The foregoing registration is valid, subsisting and in full force and effect. 66. As set forth in the GROUPIE Trademark Registration, Defendant began using the GROUPIE Trademark on June 1, 2009 and began using the GROUPIE Mark in United States commerce on September 25,2009. 67. Since at least as early as September 25, 2009, and prior to the acts of Plaintiff alleged herein, Defendant has used the GROUPIE Mark throughout the United States and within this judicial district in connection with its software products, in marketing and advertising materials, and on its website, www.groupie.co. in connection with its social networking and group messaging product and service. Thus, in addition to its federal trademark rights, GROUPIE has exclusive common law rights in the GROUPIE Mark. 68. Defendant, through its founders, have invested significant sums of money in the development, promotion and advertisement of the GROUPIE product and service and in the establishment, growth and maintenance of the goodwill associated with the GROUPIE Mark. 69. Defendant's GROUPIE product and service cunently has tens of thousands of users, and tens of thousands of messages are sent through the GROUPIE product and service each day. 70. Cunently the GROUPIE product and service is available on any computer or smartphone with a compatible internet browser or on Apple iOS devices. The GROUPIE application can be downloaded through the iTunes App Store or by following the link on Defendant's website, www.groupie.co, to the iTunes App Store. Defendant is in the process of expanding the types of devices that its product and service are compatible with. 14 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 14 of 24 71. As a result of Defendant' s advertising and promotional efforts, and the excellent functionality and value of its GROUPIE application and service, the GROUPIE Mark has acquired great value and recognition in the United States and is recognized and relied upon by the relevant trade and consuming public as indicating a product and service originating from a single source -Defendant. The GROUPIE Mark has become strong and distinctive, and is entitled to broad protection against unfair and infringing uses. Plaintiff Plaintiff's Business and Infringing Acts 72. Plaintiff is a Delaware corporation which was founded in or around May 2010 by Jared Hecht and Steve Martocci. 73. The GROUPME service was inspired by a project conceived at the TechCrunch Disrupt Hackathon, which has been described as a conference where 300 hackers converge for a day and a half long hack day before the conference itself starts. 74. Plaintiff was originally named MINDLESS DRIBBLE INC., but its name was formally changed to GROUPME, INC. on March 25, 2011. On August 15,2011, Defendant recorded said name change with the USPTO Assignment Services Division. 75. Long after Defendant began using the GROUPIE Mark, Plaintiff adopted and used the designation GROUP ME in connection with Plaintiffs social networking and group . . messagmg serVIce. 76. According to Plaintiff, its service can be accessed through Plaintiffs website and mobile web application, www.groupme.com; by downloading the GROUPME app on the iPhone, Android, Windows Phone or Blackberry devices; by texting START to GROUP (47687) 15 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 15 of 24 from a mobile phone; or by texting # to any 10 digit phone number that belongs to a GROUPME group. 77. GROUPME and GROUPIE are confusingly similar as both are made up of one word with two syllables, the second syllable in each of the marks rhymes with the second syllable in the other mark, the two marks differ only in one letter, and the marks are used in the same channels of trade, have often appeared in close proximity to each other, and are used for products and services which are virtually identical in purpose, form and function. 78. Consumers are likely to be confused and have been confused by the similarity between GROUPME and GROUPIE for the same or closely related products and services. 79. At times the following icon is used in connection with the GROUPME product and service: (the "GROUPME Icon"). 80. When first introduced, the GROUPME Icon had a tan background color, as set forth below: 81. Defendant uses the following icon with its blue background color with the GROUPIE Mark: 82. Plaintiff has changed the background color of the GROUPME Icon to blue, a color close to that used by Defendant for its icon. 16 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 16 of 24 83. On the iTunes App Store, the GROUPIE application and the GROUPME application have often been placed next to one another in a list of available applications in search results. 84. A search for GROUPIE on Apple's iTunes App Store prompts the consumer to consider whether he/she instead meant GROUPME, as evidenced in Exhibit B attached hereto. 85. A search for GROUPIE on www.Google.com. has often prompted the consumer to consider whether he/she instead meant GROUPME, as evidenced in Exhibit C attached hereto, or auto-forwarded the consumer to GROUPME search results, as evidenced in Exhibit D attached hereto. The GROUPME Trademark Applications 86. On July 26,2010, Groupme, then known as Mindless Dribble, filed an intent to use trademark application in the USPTO for GROUPME in standard characters, Serial No. 85092723 (the "GROUPME Trademark Application"), for the following services: Class 35: Advertising services; online advertising on an electronic or optical communications network and on wireless and electronic mobile devices; promoting the goods and services of others by placing advertisements and promotional displays in an electronic site accessed through electronic or optical communications networks and on wireless and electronic mobile devices; advertising and promotion of websites for others; providing on line directory information services featuring information regarding the wireless communications and social networking services of others; computerized database management Class 36: Providing electronic processing of electronic funds transfer, ACH, credit card, debit card, electronic check and electronic payments provided via an electronic or optical communications network and on wireless and electronic mobile devices Class 38: Providing multiple-user access to computer networks for the transfer and dissemination of a wide range of information; electronic transmission of data, messages, images, and documents; providing on-line chat rooms and electronic bulletin boards for transmission of messages among users with 17 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 17 of 24 other electronic or optical communications network and wireless and electronic mobile device in the field of general interest Class 42: Computer services, namely, computer software development of web applications for internet and wireless and electronic mobile device users; providing temporary use of on-line non-downloadable software for assisting in website development; providing temporary use of non downloadable software for use in search engine optimization; providing temporary use of non-downloadable software for use in analyzing online and wireless and electronic mobile device user behavior; searching and retrieving information, sites, and other resources available on electronic or optical communications networks and via wireless and electronic mobile devices for others; designing, creating, hosting, and maintenance of websites for others; providing temporary use of a web-based software for communications among users via a personalized webpage and wireless and electronic mobile device interface 87. The GROUPME Trademark Application was published for opposition on May 3, 2011. 88. On May 31,2011, Defendant filed a request for an extension of time to oppose the GROUP ME Trademark Application, which was granted. 89. On July 1, 2011, Defendant filed a Notice of Opposition before the Trademark Trial and Appeal Board ("TTAB") against the GROUPME Trademark Application based on priority and likelihood of confusion, pursuant to Section 2( d) of the Trademark Act, and the opposition commenced thereby was assigned Opposition No. 91200478. 90. On or about August 21, 2011, after the commencement of the Opposition Proceeding, Plaintiff was acquired by Skype. Plaintiffs website says that it "is now a proud member of the Skype family." 91. Skype is a division of Microsoft Corp. 92. On July 11, 2012, despite the pending Opposition Proceeding, Plaintiff filed a used based trademark application for the following GROUPME logo (the "GROUPME Logo"), and assigned Serial No. 85674567, in International Class 9 for "software capable of causing 18 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 18 of 24 transmission of a message from a message originator to multiple predefined recipients across a wired and/or wireless network" : 9 g rou pme 93. Plaintiffs application to register the GROUPME Logo claims a first use date of March 1,2011. 94. The GROUPME Logo application has not been examined by the USPTO trademark examiner to date. 95 . The Opposition Proceeding was suspended on July 24, 2012 pending the outcome of this action. 96. Plaintiffs uses ofthe mark GROUPME by itself or with the design set forth in paragraph 92 herein (a) are likely to cause confusion and mistake among the consuming public that Plaintiffs product and service originate with the source of the GROUPIE product and service; (b) are likely to cause confusion and mistake among the consuming public that there is some affiliation, connection or association of Plaintiff with the source of the GROUPIE product and service; and/or (c) are likely to cause confusion and mistake among the consuming public that Plaintiffs product and service are being offered to the consuming public with the sponsorship or approval of the source of the GROUPIE product and service. FIRST COUNTERCLAIM (Trademark Infringement Under the Lanham Act, 15 U.S.c. 1114(a)) 97. Defendant repeats and realleges each and every allegation contained in paragraphs 57 through 96 of the Counterclaims as though fully set forth herein. 19 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 19 of 24 98. Plaintiff's uses of the mark GROUPME, with or without the design component, infringe Defendant's registered trademark GROUPIE, as they are likely to lead the relevant trade and public to associate Plaintiff's product and service with Defendant's business, product and service, and are likely to cause confusion, mistake, or deception within the meaning of 15 u.s.c. 1114(a). 99. Plaintiff's acts complained of herein are willful and done with the intention of causing confusion, mistake, or deception, or otherwise trading unfairly upon the valuable goodwill built up by Defendant in its registered trademark GROUPIE. 100. Plaintiff's acts complained of herein jeopardize the goodwill symbolized by Defendant's registered trademark, causing serious and irreparable injury to Defendant for which it has no adequate remedy at law. SECOND COUNTERCLAIM (False Designation of Origin Under the Lanham Act, 15 U.S.c. 1125(a)) 1 0 1. Defendant repeats and realleges each and every allegation contained in paragraphs 57 through 96 of the Counterclaims as though fully set forth herein. 102. Plaintiff's uses of the mark GROUPME, with or without the design component, infringe Defendant's rights in the GROUPIE Mark, as they are likely to cause confusion, mistake, or deception as to the affiliation, connection, or association of Plaintiff's product and service with Defendant, or as to the origin, sponsorship or approval of Plaintiff's product, service or commercial activities in violation of Defendant's rights, within the meaning of 15 U.S.c. 1125(a). 20 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 20 of 24 103. Plaintiff s acts complained of herein are willful and done with the intention of causing confusion, mistake, or deception, or otherwise trading unfairly upon the valuable goodwill built up in the GROUPIE Mark. 104. Plaintiffs acts complained of herein jeopardize the goodwill symbolized by the GROUPIE trademark, causing serious and irreparable injury to Defendant for which it has no adequate remedy at law. THIRD COUNTERCLAIM (Trademark Infringement and Unfair Competition in Violation of New York Common Law) 105. Defendant repeats and realleges each and every allegation contained in paragraphs 57 through 96 of the Counterclaims as though fully set forth herein. 106. Plaintiffs uses of the mark GROUPME, with or without the design component, constitute trademark infringement and unfair competition in violation of the common law of New York, as they are likely to cause confusion, or to cause mistake, or to deceive as to the affiliation, connection, or association of Plaintiff s product and service with Defendant's product and service, or as to the origin, sponsorship or approval of Plaintiff s product, service, or commercial activity in violation of Defendant's rights. 107. Plaintiff has willfully engaged in acts of trademark infringement and unfair competition. 108. Plaintiffs acts of trademark infringement and unfair competition have caused, and if not restrained by this Court, will continue to cause Defendant serious and irreparable injury for which Defendant has no adequate remedy at law. 21 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 21 of 24 PRAYER FOR RELIEF WHEREFORE, Defendant demands judgment against Plaintiff as follows: A. Dismissing the Complaint with prejudice; B. Permanently enjoining Plaintiff, its members, officers, agents, licensees, servants, employees, attorneys and all other persons in active concert or participation with Plaintiff from: (1) using the GROUPME trademark, with or without a design element, or any other trademark confusingly similar to the GROUPIE Mark, in connection with any social network, group messaging, or related product or service; (2) advertising, displaying, or promoting any product or service by using the GROUPME trademark, with or without a design element, or any other designation confusingly similar to the GROUPIE Mark; (3) using the GROUPME trademark, with or without a design element, or anything else confusingly similar to the GROUPIE Mark in or as part of an application, domain name, blog name or username, or on any internet site; and (4) holding out through the use of business or trade names, domain names, or in any manner whatsoever, that Plaintiff or its products or services, are in any way sponsored by, or associated or affiliated with Defendant or its products or services. C. That Plaintiff be required to make a detailed accounting to Defendant with respect to all transactions in which Plaintiff used the GROUPME trademark, with or without a design 22 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 22 of 24 element, including: (1) its gross revenues; and (2) its total profits generated, including a detailed explanation of any alleged deductions to be made in the calculation of profits. D. That Plaintiff be directed to pay over to Defendant all gains, profits and advantages realized by Plaintiff from the provision of a product or service using the GROUP ME trademark, with or without a design element, or any other designation confusingly similar to the GROUPIE Mark, pursuant to 15 U.S.C. 1117, and that said amount be increased to an amount the Court deems appropriate and just. E. That Plaintiff be directed to pay over to Defendant its costs, disbursements, and reasonable attorneys' fees and expenses. F. That the Court retain jurisdiction of this action for the purpose of enabling Defendant to apply to the Court at any time for such further orders and interpretation or execution of any order entered in this action, for the modification of any such order, for the enforcement or compliance therewith, and for the punishment of any violations thereof. G. That Defendant have such other and further relief that the Court may deem just and proper. 23 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 23 of 24 Dated: August 28,2012 OLSHAN FROME WOLOSKY LLP By: Thomas J. Fleming Steven R. Gursky Herbert C. Ross Safia A. Anand Park A venue Tower 65 East 55 th Street New York, New York 10022 (212) 451-2300 Attorneys for Defendant Groupie LLC 24 1772412-1 Case 1:12-cv-05362-KBF Document 17 Filed 08/28/12 Page 24 of 24 EXHIBIT A Case 1:12-cv-05362-KBF Document 17-1 Filed 08/28/12 Page 1 of 2 -. groupIe Reg. No. 3,723,588 GROl]PIE LLC (NEW JERSEY LIMITEDLIABILITY COMPANY) Registered Dec. 8,2009 180TEKENING DRIVE TENAFLY, Nl 07.670 Int. CI.: 9 FOR: COMPUTER APPLICATION SOF1WAREFOR MOBILE PHONES, IN CLASS 9 (U.S. CLS. 21,23,26, 36AND.38). TaADEM!\RK FIRST USE.6-1-2009; IN COMMERCE 9-.25-2009. PRINCIPAL REGISTER. .. nm MARK CONSISTS OF S1ANDARD CHARACTERS WITHOUT CLAIMTO ANY PAR TICULAR FONT, STYLE, SIZE, OR COLOR. 8N 77-623,421,.FILED 12-1-2008. ALLISON HOLTZ, EXAMINING ATTORNEY Uira.1ot of tht: United States PUk,frt wnl lltKb:mari'. Offiee Case 1:12-cv-05362-KBF Document 17-1 Filed 08/28/12 Page 2 of 2 EXHIBITB Case 1:12-cv-05362-KBF Document 17-2 Filed 08/28/12 Page 1 of 2 Search r: groupie Cat gory Pri ce Devi ce Reset Filtors All All All r Did you mean groupme? iPad Apps 1-3 of 3 See All ) Sort by: [ R e l e v a n ~ Shannon Tweedls Attack of the ... Shannon Tweedls Attack of the Games: Arcade Games: Action Updated Jun 10, 2012 Updated Jun 18, 2012 96 Ratings 17 Ratings Digital G Studios Music Updated Ju111, 2012 a indicates an app designed for both iPhone and iPad iPhone Apps 1-6 of 8 See All ) Sort by: I R e l e v a n ~ Groupie Social Networking Updated Sep 27, 2011 240 Ratings Shannon Tweedls Attack of the Games: Action Updated Jun 10, 2012 128 Ratings Shannon Tweedls Attack of the Games: Arcade Updated Jun 18. 2012 6 Rati gs BalierAlert Entertainment Updated Mar 31, 2012 31 Ratings Live Music App Music Updated May 04, 2010 31 Ratings GROUPIES Groupies v1.0 Travel Updated Apr 25. 2012 -- .-- ~ Case 1:12-cv-05362-KBF Document 17-2 Filed 08/28/12 Page 2 of 2 EXHIBIT C Case 1:12-cv-05362-KBF Document 17-3 Filed 08/28/12 Page 1 of 4 Chrome File Edit View History Bookmarks 0> 0 * -:;:- WJ Tue 12:06 AM ___ o II () - Oroft. 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