Meridian Textiles v. Topson Downs of California , 605 F. App'x 671 ( 2015 )


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  •                              NOT FOR PUBLICATION                           FILED
    UNITED STATES COURT OF APPEALS                       MAY 22 2015
    MOLLY C. DWYER, CLERK
    U.S. COURT OF APPEALS
    FOR THE NINTH CIRCUIT
    MERIDIAN TEXTILES, INC., a California             No. 12-57190
    Corporation,
    D.C. No. 2:11-cv-08351-RGK-
    Plaintiff - Appellant,               AGR
    v.
    MEMORANDUM*
    TOPSON DOWNS OF CALIFORNIA,
    INC., a California Corporation; et al.,
    Defendants - Appellees.
    Appeal from the United States District Court
    for the Central District of California
    R. Gary Klausner, District Judge, Presiding
    Argued and Submitted May 8, 2015
    Pasadena, California
    Before: BEA and FRIEDLAND, Circuit Judges and RICE,** District Judge.
    Appellant Meridian Textiles, Inc. appeals from the district court’s sua sponte
    entry of summary judgment in favor of Appellees. We have jurisdiction under 
    28 U.S.C. § 1291
    , and we reverse.
    *
    This disposition is not appropriate for publication and is not precedent
    except as provided by 9th Cir. R. 36-3.
    **
    The Honorable Thomas O. Rice, United States District Judge for the
    Eastern District of Washington, sitting by designation.
    The district court held that Meridian’s copyright in its zebra design,
    registration number S1479, was invalid because the only differences between
    Meridian’s design and prior art zebra stripe designs were “in the thickness of the
    lines and orientation of the pattern.” But there is no evidence that Meridian
    copied its zebra design from prior art, and the district court may not say as a matter
    of law that “the differences in the placement of geometric shapes should be
    regarded as trivial.” N. Coast Indus. v. Jason Maxwell, Inc., 
    972 F.2d 1031
    , 1035
    (9th Cir. 1992). The district court therefore erred in holding the copyright to the
    zebra design invalid. See 
    id. at 1033
     (“All that is needed to satisfy both the
    Constitution and the statute is that the author contributed something more than a
    merely trivial variation, something recognizably his own.” (citation and internal
    quotation marks omitted)). We decline to affirm the district court on the
    alternative ground that there is no substantial similarity between Meridian’s zebra
    design and Appellee’s zebra design. Reasonable jurors could differ on whether
    the designs are substantially similar to each other. Cavalier v. Random House,
    Inc., 
    297 F.3d 815
    , 822 (9th Cir. 2002).
    The district court held that Meridian has a valid copyright in its animal print
    design, registration number I03879, but entered summary judgment sua sponte for
    2
    Appellees on infringement because the district court did not find substantial
    similarities in protectable elements between Meridian’s design and Appellees’
    design. But there are objective similarities between the two designs such that,
    drawing all inferences in Meridian’s favor, a rational jury could find that
    Appellees’ design is substantially similar to Meridian’s. Because reasonable
    jurors could differ on the issue of substantial similarity, summary judgment was
    improper. Id.1
    The district court held that Meridian has a valid copyright in its burnout and
    lace designs,2 registration numbers I03703 and S2088, but entered summary
    judgment sua sponte for Appellees on infringement because the district court did
    1
    To the extent Appellees ask us to hold that Meridian’s animal print design is not
    entitled to copyright protection because it was copied from another source, that
    argument was not raised before the district court and is waived on appeal. United
    States v. Flores-Montano, 
    424 F.3d 1044
    , 1047 (9th Cir. 2005). Nor did
    Appellees otherwise offer sufficient evidence in the district court to rebut the
    presumption that Meridian’s animal print design copyright is valid. N. Coast, 
    972 F.2d at 1033
    .
    2
    To the extent Appellees ask us to hold that Meridian’s lace design is not entitled
    to copyright protection because of inaccuracies in the copyright registration, that
    argument was not raised before the district court and is waived on appeal. Flores-
    Montano, 
    424 F.3d at 1047
    . Appellees did not offer sufficient evidence in the
    district court to rebut the presumption that Meridian’s lace design and burnout
    design copyrights are valid. N. Coast, 
    972 F.2d at 1033
    .
    3
    not find substantial similarities between Meridian’s and Appellees’ designs. The
    district court did not provide notice to Meridian that it was considering entering
    summary judgment sua sponte for Appellees, and in its ruling, the court considered
    only properly authenticated photographs submitted by Meridian and did not
    provide Meridian an opportunity to authenticate its other proposed exhibits,
    including physical exhibits. This was error. See Fed. R. Civ. P. 56(f); Cool Fuel,
    Inc. v. Connett, 
    685 F.2d 309
    , 311 (9th Cir. 1982) (holding that sua sponte
    summary judgment is permissible only if “it is made to appear from all the records,
    files, affidavits and documents presented that there is no genuine dispute
    respecting a material fact essential to the proof of movant’s case”).
    For the foregoing reasons, the district court’s sua sponte grant of summary
    judgment to Appellees is REVERSED.3
    3
    Meridian’s opposed motion to transmit physical exhibits to this court under
    Circuit Rule 27-14 is DENIED.
    4