Office Wins Preliminary Injunction in Trademark Case, Files $6,600,000 Cybersquatting Case

October 3, 2012 in News

Judge Henry Hudson of the U.S. District Court in Richmond has granted a preliminary injunction to our client in a trademark infringement case.

Capri Jewelers is a prominent local jewelry store with a 30 year history in Virginia.  For years, it has advertised its business using a “direct diamond” and “buy direct save direct” theme.  It registered the mark Diamonds Direct in Virginia earlier this year.  Diamonds Direct USA, Inc., a Charlotte jeweler, filed suit against Capri Jewelers, alleging that it had senior rights to the mark in Virginia and ought to have the exclusive right to use the mark in connection with a new Richmond location.  Capri Jewelers hired us to defend that claim and to bring a counterclaim asserting that Capri, and not DD, had the Virginia rights to the mark.

The Court recently granted Capri Jewelers’ motion for a preliminary injunction, putting the brakes on DD’s plans to open a store under that name in Virginia.  Judge Hudson’s opinion is available here (Memorandum Opinion Granting Motion for Preliminary Injunction), and a related news story is accessible here.

That ruling does not end the case.  Cross motions for summary judgment are pending and a trial is set for October 30.

Meanwhile, we have filed on Capri Jewelers’ behalf a cybersquatting claim arising out of the fact that DD has purchased 66 domain names with some variant of “Capri” and “Capri Jewelers” in each.  Federal law makes it illegal to acquire or use a domain name that uses another’s trademark except in very limited circumstances.