Heron Development Corporation v. Vacation Tours Inc. ( 2019 )


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  •               Case: 17-13351    Date Filed: 03/18/2019   Page: 1 of 6
    [DO NOT PUBLISH]
    IN THE UNITED STATES COURT OF APPEALS
    FOR THE ELEVENTH CIRCUIT
    ________________________
    No. 17-13351
    Non-Argument Calendar
    ________________________
    D.C. Docket No. 1:16-cv-20683-FAM
    HERON DEVELOPMENT CORPORATION,
    a foreign corporation,
    Plaintiff - Appellee,
    versus
    VACATION TOURS INC.,
    a Florida Corporation d.b.a. Vacation Store of Miami, Inc.,
    MEDIA INSIGHT GROUP, INC.,
    a Florida corporation d.b.a. Media Insight,
    GEORGE A. ALVAREZ,
    jointly, severally, and individually,
    ROSANNA M. MENDEZ,
    Defendants - Appellants.
    ________________________
    Appeal from the United States District Court
    for the Southern District of Florida
    ________________________
    (March 18, 2019)
    Case: 17-13351     Date Filed: 03/18/2019   Page: 2 of 6
    Before MARTIN, JILL PRYOR, and JULIE CARNES, Circuit Judges.
    PER CURIAM:
    Defendants Vacation Tours, Inc., Media Insight Group, Inc., Rosanna
    Mendez, and George Alvarez (collectively, “Defendants”) appeal a preliminary
    injunction order that prohibited them from registering certain domain names.
    Because the district court recently entered final judgment, we dismiss this appeal
    as moot.
    I.    Background
    Plaintiff Heron Development Corporation (“Heron”) is a wholesale
    commercial retailer of unsold resort inventory in Mexico and the Caribbean,
    including properties owned by Palace Resorts, S.A. de C.V. (“Palace Resorts”).
    Plaintiff brought a seven-count action alleging that Defendants violated the
    trademark infringement and anti-dilution protections of the Lanham Act, the
    Anticybersquatting Consumer Protection Act, and Florida state trademark and
    consumer protection law.
    Plaintiff moved for a preliminary injunction. The district court granted
    Plaintiff’s motion as to Count I (Anticybersquatting Consumer Protection Act,
    15 U.S.C. § 1125(d)). The district court ordered that “during the pendency of this
    action, Defendants are: (1) prohibited from registering domain names that
    incorporate, in whole or in part, the Palace Resort registered trademarks that have
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    become incontestable; and ( 2) required to change the Domain Name Service
    settings on all the Infringing Domain Names to forward website traffic to the
    appropriate Palace Resort webpage.” Defendants filed a motion for
    reconsideration, arguing that Heron lacked standing under 15 U.S.C. § 1125(d) to
    assert the Palace Resort registered trademarks because it was not the owner of the
    trademarks, only an exclusive licensee. The district court denied the motion.
    Defendants appealed.
    On October 27, 2017, Heron filed a joint second amended complaint
    realleging and making Palace Resorts, the owner of the relevant trademarks, a
    plaintiff with respect to the cybersquatting claim under 15 U.S.C. § 1125(d) (Count
    I). On November 30, 2017, the district court dismissed Count I as to Heron for
    lack of standing. Defendants subsequently argued that the district court should
    dissolve the injunction because Heron no longer had a claim under Count I.
    In view of the district court’s dismissal of Heron as a party to the sole count
    underlying the preliminary injunction, on January 26, 2018, we requested
    supplemental briefing on:
    [W]hether the preliminary injunction that is the subject of this appeal
    survives the dismissal of the claim underlying that injunction, such that
    the injunction ruling should be addressed on the merits by this Court
    rather than remanded to the district court with instructions to dissolve
    the injunction as moot. Cf. Fed. R. Civ. P. 62.1 (providing that, if a
    party files a motion for relief that the district court lacks authority to
    grant because of a pending appeal, the district court may issue an
    indicative ruling stating either that it would grant the motion if the court
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    of appeals remands for that purpose or that the motion raises a
    substantial issue); Birmingham Fire Fighters Ass’n 117 v. City Of
    Birmingham, 
    603 F.3d 1248
    , 1254–55 (11th Cir. 2010) (dismissing for
    lack of jurisdiction an appeal from the issuance of a preliminary
    injunction because, during the pendency of the appeal, the district court
    entered a final judgment into which the preliminary injunction merged).
    In their supplemental brief, Defendants argued that the preliminary
    injunction cannot survive the dismissal of Heron’s Count I and, therefore, asked
    that this Court remand the case and direct the district court to dissolve the
    injunction. Heron, on the other hand, argued that the injunction survived because
    Palace Resorts was “effectively substituted” for Heron as to Count I.
    On the same day Heron filed its supplemental brief in our Court, it and
    Palace Resorts filed a motion in the district court asking that court to modify the
    preliminary injunction to reflect that Palace Resorts, rather than Heron, was the
    beneficiary of that injunction. The district court denied that motion and compelled
    Defendants’ compliance with the preliminary injunction.
    On June 12, 2018, the district court granted summary judgment for Palace
    Resorts on Count I, concluding that Defendants’ registration and use of certain
    domain names violated the Anticybersquatting Consumer Protection Act,
    15 U.S.C. § 1125(d). Heron and Palace Resorts jointly moved to dismiss all other
    claims. The district court granted the motion and proceeded to a bench trial on
    statutory damages, attorneys’ fees, and equitable relief as provided under the
    Lanham Act.
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    The district court issued a Trial Order on February 15, 2019, concluding that
    Palace Resorts is “entitled to injunctive relief, statutory damages, and reasonable
    attorneys’ fees and costs.” The district court ordered Defendants to “transfer all
    forty (40) of the Infringing Domain Names to Plaintiff Palace Resorts.” However,
    the district court denied Palace Resort’s request to permanently enjoin Defendants
    from any further infringement of Palace Resort’s trademarks, stating: “While the
    facts of the case would likely support entry of a permanent injunction, Plaintiff has
    failed to analyze, or otherwise mention, any of the requisite factors and the Court
    will not engage in the analysis on its behalf.” The district court awarded $400,000
    in statutory damages and directed that Palace Resorts file a separate motion for
    attorneys’ fees and costs. The court entered final judgment on February 20, 2019.
    II.   Discussion
    “[I]t is incumbent upon this court to consider issues of mootness sua sponte
    and, absent an applicable exception to the mootness doctrine, to dismiss any appeal
    that no longer presents a viable case or controversy.” Hunt v. Aimco Props., L.P.,
    
    814 F.3d 1213
    , 1220 (11th Cir. 2016) (quoting Pac. Ins. Co. v. Gen. Dev. Corp., 
    28 F.3d 1093
    , 1096 (11th Cir. 1994)). “A case is moot when it no longer presents a
    live controversy with respect to which the court can give meaningful relief.” 
    Id. (quoting Ethredge
    v. Hail, 
    996 F.2d 1173
    , 1175 (11th Cir. 1993)).
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    This appeal is moot. “Once a final judgment is rendered, the appeal is
    properly taken from the final judgment, not the preliminary injunction.” Burton v.
    State of Ga., 
    953 F.2d 1266
    , 1272 n.9 (11th Cir. 1992); Associated Builders &
    Contractors Fla. East Coast Chapter v. Miami-Dade Cty., 
    594 F.3d 1321
    , 1323–24
    (11th Cir. 2010) (“Once an order of permanent injunction is entered, any
    preliminary injunction merges with it, and appeal may be had only from the order
    of permanent injunction.”). Here, the district court entered final judgment,
    awarding statutory damages, requiring transfer of 40 infringing domain names, and
    denying further injunctive relief. Defendants’ appeal is properly taken from the
    final judgment, not the preliminary injunction. 
    Burton, 953 F.2d at 1272
    n.9.
    III.   Conclusion
    For the above reasons, we dismiss this appeal for lack of jurisdiction.
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