TimesLines, Inc v. Facebook, Inc.

Filing 124

MEMORANDUM by TimesLines, Inc in support of motion in limine 123 No. 1 (Attachments: # 1 Exhibit, # 2 Exhibit, # 3 Exhibit)(Van Baren, Bruce)

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Page 1 1 2 3 4 IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION ---------------------------------------X TIMELINES, INC., PLAINTIFF, 5 -against6 FACEBOOK, INC., 7 8 DEFENDANT. ---------------------------------------X 9 10 11 12 13 DEPOSITION OF DR. ELI SEGGEV New York, New York Thursday, December 6, 2012 14 15 16 17 18 19 20 21 22 Reported by: Rebecca Schaumloffel, RPR, CLR Job 56153 23 24 25 TSG Reporting - Worldwide 877-702-9580 Page 218 1 E. SEGGEV 2 seeing the term online, the term "timeline" 3 online versus hearing it over the phone 4 change the results of the survey? 5 A. Well, as I mentioned in the 6 report, there are two elements to the answer 7 to that question. 8 respondents -- sorry, since the consumers in 9 the marketplace would have encountered this 10 stimulus only online, I thought that by not 11 researching it online, one violated the rule 12 of conducting a survey that replicates market 13 offering circumstances as closely as 14 possible. 15 One is that since the And the second is that the 16 presence of this stimulus being limited to 17 only online forces -- forces consumers to 18 read the name and to -- as I mentioned, to 19 subvocalize it in their own minds, to read it 20 out loud without reading aloud but in their 21 minds, and that's why it is called 22 subvocalization. 23 So that the reading of each 24 individual is their own idiosyncratic 25 reading. And by doing it on the phone, two TSG Reporting - Worldwide 877-702-9580 Page 219 1 E. SEGGEV 2 problems arose. 3 was not allowed to read it as they would 4 individually. 5 telephone interviewing, we have no way to 6 control how the name was enunciated, cadence, 7 completeness and so on, and I call that the 8 auditory bias. 9 One is that each individual And secondly, that in So those two together I think 10 argue strongly against a telephone data 11 collection method for this kind of survey. 12 Q. You are aware, aren't you, that 13 the interviewers not only stated the terms 14 that they were using but also spelled them 15 out? 16 A. Yes, I am aware. 17 Q. And you -- will you concede that 18 that counteracted any of the effects that you 19 just described? 20 A. No. Because there is still the 21 interviewer's voice rather than the 22 respondent's, quote/unquote, inner voice or 23 the subvocalization. 24 surprised, and I don't know why anyone would 25 do that, would use the telephone interview in I am frankly very TSG Reporting - Worldwide 877-702-9580 Page 220 1 2 3 E. SEGGEV a situation like this. Q. Wouldn't that -- the 4 subvocalization and auditory bias issues that 5 you just mentioned, wouldn't they potentially 6 exist in any survey, any genericness survey 7 that's done over the phone, regardless of the 8 context of the goods and services at issue? 9 A. If the respondent has a chance to 10 be exposed to the -- to the term, the word, 11 the mark, in speech, then I would think that 12 that would be proper to do a telephone 13 interview. 14 My point is that these elements 15 or these marks that are being studied here 16 would never be exposed -- would be exposed 17 only online, visually, and so I think that 18 using -- forcing of -- on it the telephone 19 interviewing method is a grave mistake. 20 Q. But if you were to go the online 21 route for such a survey, you should not 22 incorporate elements that skew the results 23 one way or the other, would you agree, visual 24 elements? 25 A. Sorry, I didn't understand. TSG Reporting - Worldwide 877-702-9580 Page 221 1 2 E. SEGGEV Q. For example, to take one extreme, 3 if someone did a survey, genericness survey 4 for the term "timelines" and in the visual 5 display put a little R, trademark 6 registration symbol after the word 7 "timelines," that would skew the results, 8 right? 9 have to not do when you present it to make 10 sure that people aren't led one way or the 11 other. 12 13 14 A. So there are things that you would Well, obviously, yes, obviously. With the R, it is obvious. Q. What would you propose that the 15 visual presentation of the term "timelines" 16 in a genericness survey look like in an 17 online survey? 18 A. Block letters. 19 Q. Anything else on the page? 20 A. No. 21 Q. Why does a determination of the 22 term's genericness depend upon creating a 23 marketplace situation? 24 point you made in the rebuttal report. 25 A. I think that is a It is the method of exposure of TSG Reporting - Worldwide 877-702-9580 Page 222 1 E. SEGGEV 2 the consumer in the market to the name that 3 matters here. 4 only way in which consumers would encounter 5 the word "timelines" would be on a page, then 6 I submit that modifying the method of 7 communication to auditory, from visual to 8 auditory, introduces an unknown bias. 9 Q. And as I said before, if the Do you think that consumers' 10 experience with a term like "timelines" in a 11 non-marketplace condition, such as a school, 12 homework, would have a bearing on whether the 13 term "timelines" has become generic? 14 15 16 A. I have no idea what the question is, I must confess. Q. 17 I will rephrase. Your point, correct me if I am 18 wrong, is that you think a marketplace 19 condition should be recreated when assessing 20 the genericness of the term "timelines," 21 correct? 22 A. I think they should -- as 23 McCarthy and others would say, one of the 24 principles of trademark research is to come 25 as close as possible to the marketing TSG Reporting - Worldwide 877-702-9580 Page 223 1 E. SEGGEV 2 exposure conditions. 3 important principle of survey research 4 conducted for litigation purposes. 5 6 7 Q. Yes. That's an Do you believe that consumers only encounter the term "timelines" online? A. I believe that the litigated area 8 here is the timeline -- the exposure, which 9 can occur only online. 10 11 It is, after all, a website. Q. But wouldn't you concede that the 12 more one encounters an arguably generic term 13 in a non-marketplace context, the more 14 difficult it will be for that person to view 15 that term when encountered in a marketplace 16 context as non-generic? 17 18 19 20 A. No, I don't think there is any basis for that assertion. Q. So from earlier answers, you are familiar with Teflon surveys? 21 A. Yes, I am. 22 Q. What's your understanding as to 23 24 25 how a Teflon survey works? A. It asks people, respondents to distinguish between common names and brand TSG Reporting - Worldwide 877-702-9580 Page 227 1 E. SEGGEV 2 your contention that the order of the testing 3 control questions as used by Dr. Jay 4 invalidates or biases the results of the 5 survey? 6 point to any empirical evidence that that's 7 the case or surveys that have been attacked 8 by courts? 9 A. I know you believe that, but can you Not in the legal context, no. It 10 is a matter of the principles of marketing 11 research, and it goes back to Diamond and -- 12 particularly to Diamond, which is the 13 authority in this case, that order bias has 14 to be handled in survey research, and if it's 15 not handled, then -- if it's not handled 16 properly, then it's -- it brings into 17 question the results. 18 Q. Why do you assert that the stated 19 results would have been more accurate if the 20 "don't know" and "I haven't heard of" answer 21 options were separate? 22 A. Well, because these are two very 23 different categories of answers. 24 report asks people to not -- permits people 25 to not answer the question if they have never TSG Reporting - Worldwide The Jay 877-702-9580 Page 228 1 E. SEGGEV 2 heard of it. 3 in a genericness report, one is interested in 4 the opinion of the person, and I don't think 5 that a precondition of that is awareness of 6 it. 7 "don't know" is -- are two very different 8 categories. 9 to make a decision. Now, what we are -- typically The moment you do that, these two, So "don't know" is the inability "Haven't heard of it" is 10 a definitive statement about -- that says 11 since I haven't heard of it and since you 12 allowed me not to answer because I haven't 13 heard of it, which are very different 14 answers, and when we combine answers, we are 15 allowed to combine only those that come from 16 the same roots, the same family. 17 are two separate, totally separate contexts. 18 Q. Here they And had those answers been 19 separated, can you give me an example of how 20 the -- how and to the extent the overall 21 results of this survey would have differed? 22 23 24 25 A. That's precisely the problem. We don't know. Q. Do you think those two answers are mutually exclusive, "I don't know" and "I TSG Reporting - Worldwide 877-702-9580 Page 229 1 2 3 E. SEGGEV haven't heard of"? A. Yeah. I think anybody can agree 4 that they are from two different contexts, 5 and therefore, they -- I don't know if the 6 right term is "mutually exclusive," but it 7 belongs -- and that -- yeah, they are 8 mutually exclusive, either "I don't know" or 9 "I haven't heard of it." 10 Q. If we look at the -- in your 11 rebuttal report, the section on analysis 12 bias. 13 A. Yes, sir. 14 Q. Do you have an understanding of 15 the concept of acquired distinctiveness in -- 16 under trademark law? 17 A. Yes, I do. 18 Q. What do you understand that to 19 20 mean? A. That people are able to 21 differentiate this trademark -- the trademark 22 in question from other trademarks in the 23 course of time. 24 25 Q. From a trademark law perspective, do you understand the difference between a TSG Reporting - Worldwide 877-702-9580 Page 233 1 E. SEGGEV 2 distinctiveness and function as a source 3 identifier? 4 A. If you are ready to accept that 5 you measure genericness in your sense, that 6 it's a generic word, as being measured by 7 whether it is a common word or not -- common 8 name, I should say. 9 here, my point being, between what research There is a disconnect 10 does, using common name versus brand name, 11 and what -- what the law implies or looks at. 12 My contention -- the reason I 13 introduced the product life cycle is that 14 somewhere in the middle of the product life 15 cycle, when it grew enough, then Timelines or 16 any other name, 50% of the population may say 17 that's a brand name. 18 life cycle, there is not sufficient 19 familiarity of it, with it as a brand name, 20 so it treats it as a common name. 21 Q. But early on in the Now, in your rebuttal report, you 22 concluded that or you stated the conclusion 23 that the Jay, Deborah Jay genericness survey 24 didn't provide its respondents with a frame 25 of reference. I believe I saw that reference TSG Reporting - Worldwide 877-702-9580

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