A Canadian Entertainment Company filed a lawsuit against Tree Dispensary for trademark infringement. The present suit is filed on the ground of trademark infringement of the word and logo “TREEHOUSE”.
Toronto and Canada based Nelvana Enterprise Inc; alleged that a medical marijuana dispensary chain in Oklahoma has a logo that closely resemblance to their channels. It is named as Treehouse dispensary which is cannabis selling dispensary in Tulsa.
Whereas Corus Entertainment is the owner of both Nelvana and Treehouse TV. It is a Canadian English language channel service. Treehouse was a programming block of this channel. The case is filed on 19th July 2019, before the US District Court for the Northern District of Oklahoma.
To support a trademark infringement claim in court, a plaintiff must prove that it owns a valid mark. It has to prove that its rights in the marks are prior to the defendants. Additionally, the plaintiff has to show evidence that the defendant's mark is likely to cause confusion in the minds of consumers about the source or sponsorship of the goods or services offered under the parties' marks.
According to USPTO, when a plaintiff owns a federal trademark registration on Principal Register, there is a legal presumption of the validity and ownership of the mark as well as of the exclusive right to use the mark nationwide on or in connection with the goods or services listed in the registration. These presumptions may be rebutted in the court proceedings.
According to the plaintiff, the channel received complaints from parents and teachers in Oklahoma that it is attached to the defendant in the cannabis business. The lawsuit stated that the confusion with the similarity of trademark causing disturbance to both the plaintiff and its customers. The suit depicted that the brand of “Treehouse” is built on the pillar of the goodwill of Nelvana and Corus Entertainment.
The Canadian animation studio and it's subsidiary companies are famous for producing and creating programmes for kids. Adventures of Tintin, Peppa Pig, The Fuzzpaws are amongst the programmes hosted and created by these companies. The Plaintiff alleged that the defendant used the children's brand to sell cannabis products. It spoiled the reputation of Nelvana and Corus Entertainment.
The complaint stated that in previous conversations with Treehouse Dispensary, it promised to restrain the use of logo but didn't provide a timeline. Till date, the defendant remained reluctant. The United States Patent and Trademark Office records showed that Nelvana registered "TREEHOUSE DIRECT" as a trademark on 27th November 2007.
Both logos of the word “Treehouse” featured similar bubble-block lettering. In the suit, Nelvana claimed financial damages from revenue that Treehouse Dispensary earned while using the logo at its various locations in Oklahoma. Additionally, the plaintiff prayed for a court mandate ordering the confiscation, delivery and destruction of any cannabis products that infringe Nelvana's rights to its logo.
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