Russell Road Food and Beverage, LLC v. Galam et al

Filing 29

ORDER Granting 26 Plaintiff's Motion for Temporary Restraining Order. Russell Road shall provide security for this temporary restraining order by tendering $100 cash to the Clerk of the Court. Defendants shall file and serve their opposition to Russell Roads 4 Motion for Preliminary Injunction by 5/13/2013. Russell Road shall file and serve its reply brief in support of its 4 Motion for Preliminary Injunction by 5/17/2013. Motion Hearing set for 5/22/2013 10:00 AM in LV Courtroom 6A before Judge James C. Mahan. Signed by Judge James C. Mahan on 05/10/2013. (Copies have been distributed pursuant to the NEF - AC)

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Case 2:13-cv-00776-JCM-NJK Document 26-2 Filed 05/10/13 Page 1 of 4 1 2 3 4 5 6 7 8 9 10 BRUNO W. TARABICHI, CA State Bar No. 215129 btarabichi@owenstarabichi.com OWENS TARABICHI LLP 111 N. Market St., Suite 730 San Jose, California 95113 Telephone: 408.298.8200 Facsimile: 408.521.2203 Pro Hac Vice Application Pending PUOY K. PREMSRIRUT, State Bar No. 7141 puoy@brownlawlv.com PUOY K. PREMSRIRUT, ESQ. INC. 520 S. Fourth Street, Second Floor Las Vegas, NV 89101 Telephone: 702.384.5563 Facsimile: 702.385.1752 Attorneys for Plaintiff Russell Road Food and Beverage, LLC 11 UNITED STATES DISTRICT COURT 12 DISTRICT OF NEVADA 13 SOUTHERN DIVISION 14 15 16 RUSSELL ROAD FOOD AND BEVERAGE, LLC, a Nevada limited liability company Plaintiff, 17 18 19 20 21 22 23 24 25 26 27 28 owens tarabichi llp Counselors At Law vs. MIKE GALAM, an individual; VICTOR GALAM, an individual; JACQUELINE GALAM BARNES, an individual; CANICO CAPITAL GROUP, LLC, a California limited liability company; ABRAHAM ASSIL, an individual; GEORGE ESHAGHIAN, an individual; DJAVID HAKAKIAN, an individual; MORRIS NEJATHAIM, an individual; HAMED YAZDANPANAH, an individual; SOLEIMAN NAZARIAN, an individual; ISAAC JAVDANFAR, an individual; KAMRAN SAMOOHA, an individual, MEHRAN SADIGHPOUR, an individual; WEST BEST CAPITAL GROUP, LLC, a Delaware limited liability company; SEFOX INVESTMENT, LLC, a California limited liability company; OLYMPIC CAPITAL VENTURE, LLC, a Case No. 2:13-CV-00776-JCM-NJK [PROPOSED] ORDER GRANDING T PLAINTIFF RUSSELL ROAD FOOD AND BEVERAGE, LLC’S EMERGENCY OPPOSITION TO AND REQUEST FOR RECONSIDERATION OF ORDER EXTENDING THE BRIEFING AND HEARING SCHEDULE FOR PLAINTIFF’S MOTION FOR PRELIMINARY INJUNCTION AND RENEWED REQUEST FOR ISSUANCE OF A TEMPORARY RESTRAINING ORDER PENDING HEARING ON MOTION FOR PRELIMINARY INJUNCTION Judge: Hon. James C. Mahan [PROPOSED] TRO Case 2:13-cv-00776-JCM-NJK Document 26-2 Filed 05/10/13 Page 2 of 4 1 2 3 4 5 6 7 8 9 10 Delaware limited liability company; EL MARINO, LLC, a California limited liability company; KNOTTING HILL, LLC, a California limited liability company; SN & GE, LLC, a California limited liability company; IJ PROPERTIES, LLC, a California limited liability company; S DOUBLE, LLC, a California limited liability company; INDUSTRIAL ROAD 2440-2497, LLC, a Nevada limited liability company; RHINO BARE PROJECTS LLC, a California limited liability company; RHINO BARE PROJECTS 4824 LLC, a California limited liability company; CRAZY HORSE TOO GENTLEMEN’S CLUB LLC, a Nevada limited liability company; and DOES 1 – 50, inclusive, Defendants. 11 12 13 AFTER FULL CONSIDERATION of Plaintiff Russell Road Food and Beverage, 14 LLC’s Emergency Opposition to and Request for Reconsideration of Order Extending the 15 Briefing and Hearing Schedule for Plaintiff’s Motion for Preliminary Injunction and Renewed 16 Reqeust for Issuance of a Temproary Restraining Order Pending Hearing on Motion for 17 Preliminary Injunction is GRANTED as follows. 18 THE COURT HEREBY FINDS AND ORDER THAT 19 1. Plaintiff Russell Road Food and Beverage, LLC (“Russell Road”) is likely to 20 succeed on the merits of its trademark infringement claim. Russell Road has shown that it owns 21 common law and statutory trademark rights in the CRAZY HORSE III mark in connection with 22 its gentlemen’s club in the City of Las Vegas and State of Nevada and that such rights date back 23 to at least as early as September 4, 2009 when it opened its CRAZY HORSE III gentlemen’s 24 club. Russell Road has also shown that an analysis of the Ninth Circuit’s Sleekcraft factors weigh 25 in favor of a finding of likelihood of confusion. The Court also notes that Russell Road has 26 submitted substantial evidence of actual confusion in the marketplace, which is the best indicator 27 that a likelihood of confusion exists. 28 owens tarabichi llp Counselors At Law 2 [PROPOSED] TRO Case 2:13-cv-00776-JCM-NJK Document 26-2 Filed 05/10/13 Page 3 of 4 1 2. Russell Road has shown that it is suffering and is likely to suffer irreparable harm 2 in the absence of a temporary restraining order. Such irreparable harm may be presumed by 3 Russell Road’s showing that it is likely to succeed on the merits of its trademark infringement 4 claim. However, Russell Road has made a separate and sufficient showing of irreparable harm 5 through its submission of evidence that (i) actual confusion has already occurred in the market; 6 (ii) it has suffered, and will continue to suffer, intangible harm to the goodwill of its CRAZY 7 HORSE III mark, (iii) it will be unable to control and maintain the reputation and perception of 8 its CRAZY HORSE III mark, (iv) it will be unable to obtain a reasonable return on its investment 9 of millions of dollars into its CRAZY HORSE III mark; and (v) its CRAZY HORSE III mark will 10 be tarnished by being associated with the negative reputation of the former Crazy Horse Too club 11 and its owners. 12 3. The balance of equities tips in Russell Road’s favor. Russell Road has invested 13 millions of dollars into its mark and created substantial goodwill and consumer recognition in its 14 CRAZY HORSE III mark. In contrast, Defendants have just recently adopted the CRAZY 15 HORSE TOO mark and did so with full knowledge of Russell Road’s prior rights in the CRAZY 16 HORSE III mark. The damage to Russell Road if a temporary restraining order does not issue far 17 outweighs the alleged harm to Defendants of their duty to comply with the law. 18 4. As in most trademark cases, a temporary restraining order serves the public 19 interest because it prevents confusion in the market. Here, actual confusion is already occurring 20 and a temporary restraining order would serve to the public’s interest by preventing further 21 confusion. 22 5. A temporary restraining order would serve to preserve the status quo in this case 23 until the Court can hear and make a decision on Russell Road’s Motion for Preliminary 24 Injunction. 25 6. A bond in the amount of $100 is appropriate because Defendants have just recently 26 started using the CRAZY HORSE TOO mark and have not yet opened their competing 27 gentlemen’s club, such that they will suffer no lost sales, and because Defendants adopted the 28 CRAZY HORSE TOO mark with full knowledge of Russell Road’s use and ownership of the owens tarabichi llp Counselors At Law 3 [PROPOSED] TRO Case 2:13-cv-00776-JCM-NJK Document 26-2 Filed 05/10/13 Page 4 of 4 1 2 3 4 CRAZY HORSE III mark and position that Defendants’ use would constitute infringement. THEREFORE, IT IS HEREBY ORDERED THAT, pending a decision on Plaintiff’s Motion for Preliminary Injunction 1. All named Defendants, including without limitation, all of their respective owners, 5 officers, managers, employees, agents, partners, and all other persons acting in concert or 6 participation with Defendants, are hereby temporarily restrained and enjoined from opening a 7 gentlemen’s club under the CRAZY HORSE TOO name or mark prior to June 1, 2013. 8 IT IS HEREBY FURTHER ORDERED THAT 9 1. Upon the issuance of this Order, Russell Road shall provide security for this 10 temporary restraining order by tendering $100 cash to the Clerk of the Court pursuan to Local 11 Rule 67-1; 12 13 14 15 16 2. Defendants shall file and serve their opposition to Russell Road’s Motion for May 13 Preliminary Injunction by ____________ ___, 2013; 3. Russell Road shall file and serve its reply brief in support of its Motion for May 17 Preliminary Injunction no later than __________ ____, 2013; and 4. The parties shall appear for hearing and oral argument on Russell Road’s Motion 17 May 22 6A 10:00 AM for Preliminary Injunction on ____________ ____, 2013 at _____ __.m. in Courtroom _____, at 18 the Lloyd D. George Fedeal Courthouse, 333 South Las Vegas Boulevard, Las Vegas, Nevada. 19 20 21 May 10, 2013 at of May, ENTERED this _________ day1:50 PM.2013. 22 HON. JAMES C. MAHAN UNITED STATES DISTRICT JUDGE 23 24 25 26 27 28 owens tarabichi llp Counselors At Law 4 [PROPOSED] TRO

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