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Five Below, Trendy Retailer, Sues 10 Below, Ice Cream Seller, For Trademark Infringement

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When it comes to frivolous trademark lawsuits, you think you've seen it all, but then one comes along that makes you throw up your hands. Here at Techdirt, we understand that the average individual might not know some of the broader nuances of trademark law, such as the focus on customer confusion, or the requirement, in most cases, that the parties reside within the same industry or market. But that understanding goes out the window when we're talking about a lawsuit brought by a large corporation that, like, totally has lawyers and stuff. I use that tone and vernacular specifically as preparation for stating that Five Below, the large retailer with trendy products for less than five bucks, has sued 10 Below, a small chain of ice cream shops.And before you ask, yes, pretty much all of the media covering this is actually pointing out how divergent the markets and industries of these two companies is, often in spectacularly funny fashion.

One store sells remote-controlled poop, mini-plasma balls, and Mongolian Faux Fur Blankets, all for $5 or less. The other store sells that trendy rolled ice cream.But Five Below (currently 600 locations) says that 10 Below (five locations, only one in Philly) is violating the discount store's trademarks, and the company has told the rolled ice cream shop to find a new name.
For anyone who has watched trademark proceedings in the past, this is something of a laugher. Claiming that anybody might be confused between the type of things that Five Below sells and an ice cream shop is going to be something of a tough sell in any courtroom. And, once you understand the reason for each company's name, you will quickly realize that this is not the case of 10 Below trying to trade on Five Below's good name. Five Below sells things for five dollars or less, where 10 Below refers to the way the ice cream shops make their product, including dropping the temperature to minus-ten degrees. There's just not synergy between the names here at all. In the filing (below), Five Below makes much of its sales of candy and ice cream at its stores, except that I can't find ice cream listed in this section on its website and the candy referenced is merely other brands being sold there.And IP attorneys looking through all of this seem to agree.
"It seems to me that you have a very large company pounding its chest and trying to intimidate a smaller company," says Flaster Greenberg intellectual property attorney Jordan LaVine, whose clients include Martha Stewart and The New York Times. "This is a classic example of trademark bullying. It's an unfortunate situation for a smaller company that might not have the money to defend itself."Plus, 10 Below first opened in New York City in 2015, when Five Below already had a presence there, but Five Below didn't take them to court until more than two years later."They should have taken action a lot sooner than the end of 2017," says LaVine.
In other words, this is pretty much ticking off every checkbox for how to lose a trademark bullying lawsuit. It's enough to wonder whether all of this came down to 10 Below opening a location near Five Below's company HQ in Philadelphia and this is all coming from executives that noticed and went on an ego trip. Regardless, this will hopefully be quickly laughed out of court.

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posted at: 12:02am on 19-Dec-2017
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Comcast's Push For A Shitty New Net Neutrality Law Begins In Earnest

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As we've been noting for a while, the FCC's 3-2 vote to kill net neutrality is really only the beginning of a new chapter in the fight for a healthy, competitive internet. The rules won't truly be repealed until 60 days after they hit the federal register in January. And even then, the repeal will have to survive a multi-pronged legal assault against the FCC, accusing it of ignoring the public interest, ignoring feedback from countless experts, and turning a blind eye to all of the procedural oddities that occurred during its proceeding (like, oh, the fact that only dead and artificial people appear to support what the FCC is up to).ISPs know that this legal fight faces a steep uphill battle with all of the procedural missteps at the FCC. That's why we've been warning for a while that ISPs (and their army of think tankers, sock puppets, consultants, and other allies) will soon begin pushing hard for a new net neutrality law. One that professes to "put this whole debate to bed," but contains so many loopholes as to be useless. The real purpose of such a law? To codify federal net neutrality apathy into law, and to prevent the FCC from simply passing tougher rules down the road.Just like clockwork, Comcast responded to last week's net neutrality killing vote with a blog post by top Comcast lobbyist David Cohen (the company, for the record, hates it when you call Cohen a lobbyist) calling for a new, Comcast-approved law. Cohen declares that it's "time for Congress to act and permanently preserve the internet," while repeatedly and comically trying to downplay Comcast's own role in the chaos we're currently witnessing:

"Unfortunately, there are others who want to continue engaging in a never ending game of back and forth, creating unnecessary anxiety and contributing to an unneeded level of hysteria. Some will undoubtedly continue threatening litigation that does nothing to protect consumers or freedom of the Internet."
Funny, since the one doing the litigating is Comcast, which sued to overturn both the FCC's 2010 and 2015 net neutrality protections. Regardless, Cohen would have you believe that the only path forward at this point is the creation of a new net neutrality law. One, Cohen knows very well would be quite literally written by Comcast thanks to our campaign-cash-slathered Congress. Such a law would, Comcast argues, end the "regulatory ping pong" that Comcast itself is perpetuating:
"It's now time for all of us to take advantage of this moment in time and end the cycle of regulatory ping pong we've been trapped in for over a decade and put this issue to rest once and for all. And there's a simple way to do this -- we really must have bipartisan congressional legislation to permanently preserve and solidify net neutrality protections for consumers and to provide ongoing certainty to ISPs and edge providers alike."
So what would a Comcast-approved net neutrality law look like? Comcast has repeatedly made it clear that it supports a ban on the blatant throttling or blocking of websites and services by ISPs, since that's not something ISPs were interested in doing anyway. ISPs long ago realized there's an ocean of more subtle ways to abuse a lack of competition in the broadband market. For example. why block Netflix outright (and risk a massive PR backlash) when you can impose arbitrary and unnecessary usage caps and overage fees that only apply to Netflix, not Comcast's own content?So, expect any Comcast-approved law to outlaw all of the things large ISPs never intended to do, while ignoring all of the more subtle areas that the net neutrality fight has evolved to cover. For example, a Comcast-approved law won't even mention caps or zero rating. Nor will it address the shenanigans we've seen on the interconnection front. But any Comcast-approved law will include ample loopholes allowing Comcast to do pretty much whatever it likes provided it ambiguously suggests it's for the health of the network (a major problem in the FCC's flimsy 2010 rules).Since he played a starring role the last time ISPs tried this, expect Senator John Thune to play a starring role in this effort. You should also expect an ocean of editorials from ISP-funded policy folk (where financial conflicts of interest aren't disclosed) to start popping up on websites and newspapers nationwide insisting a net neutrality law is the only path forward and that anybody that opposes this push simply isn't being reasonable.And while many lawmakers and media folk will be tempted to support this push arguing it's better than no rules at all that's not really true. If flimsy and poorly-written, this new Comcast-approved legislation could simply codify federal net neutrality apathy into law, while banning any future FCCs' or Congress' (say, a theoretical one not quite so beholden to ISP cash) from passing real protections down the line. The best bet at stopping this net neutrality repeal currently rests with the courts. Should that fail we can revisit this conversation, but only if voters are able to drive ISP-loyal marionettes out of office.

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posted at: 12:02am on 19-Dec-2017
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