Posts Tagged: "mcdonalds"

This week in Other Barks & Bites: the Supreme Court asks for the U.S. Solicitor General’s view on whether patents that claim a method of medically treating a patient automatically satisfy Section 101; a jury gives Qualcomm a win in its ongoing patent battle with Apple; the World Intellectual Property Office announces record-breaking totals for international patent applications and cybersquatting actions; Cisco avoids a nearly $60 million damages award at the Federal Circuit; McDonald’s appeals its loss in the EU over its Big Mac trademark; Tesla files trade secret lawsuits against former employees; Peloton faces a copyright suit from music publishers who are seeking $150 million; and Google gets another billion-dollar-plus fine from antitrust regulators in the EU.

Today marks the return of our Other Barks & Bites feature, which will profile a collection of news headlines from around the IP world and across practice areas every Friday. This week, the patent spat between Apple and Qualcomm heats up at the PTAB; China’s intellectual property court at Beijing shows signs of heightened requirements in trademark appeals for foreign entities; and the European Union delays debate on copyright reforms that would affect major tech firms that aggregate news and videos online.

On August 15, 2018, Fall Line Patents, LLC asserted U.S. Patent No. 9,454,748 against a number of companies. Specifically, Fall Line alleged in nine separate lawsuits that the mobile applications provided by AMC Entertainment, McDonald’s, Boston Market, Panda Express, Papa John’s, Pizza Hut, Regal Cinemas, Starbucks, and Zoe’s Kitchen directly infringe at least Claim 1 of the ‘748 patent. All of the lawsuits were filed in the Eastern District of Texas and request permanent injunctions as well as damages.

The Federal Circuit panel of Circuit Judges Timothy Dyk, Jimmie Reyna and Richard Taranto noted that “the matter at hand reveals a gap in our jurisprudence on what constitutes ‘use’ under § 271(a).” The Federal Circuit found no controlling precedent on the definition of “use” of a claimed system when the accused infringer must act to put the claimed system into service but does not appear to possess any element of the claimed system. Further, the panel felt that McDonald’s had overstated the Federal Circuit’s holding in Uniloc as the appellate court concluded that a single party can still use a system and directly infringe a patent even when that system requires multiple parties to function. “Therefore, Uniloc only broadened the scope of potential direct infringers under § 271(a),” the Federal Circuit found.

The idea of brand value is evolving. Trademark lawyers must be concerned with everything that contributes to the protection of a brand, not just its trademarks. Protecting a brand now includes a number of issues that were simply not relevant to the role twenty years ago, such as: trademarks in domain names; the use of trademarks online; trademarks used in social media handles; and trademarks being mentioned in general online commentary.

McDonald’s choice to go with a pre-treated graffiti look in some of its restaurants has posed legal challenges along with consumer concerns. On October 3rd, McDonald’s was listed as a defendant in a copyright infringement action filed by Jade Berreau, the administrator of the estate of graffiti artist Dashiell Snow, a former girlfriend of Snow and the mother of his only child. Berreau alleges that graffiti decor used by McDonald’s in the interior of hundreds of its restaurants around the world directly infringes on a “tag,” or graffiti lettering, which was developed and used by Snow and became strongly associated with his work. The case has been filed in the U.S. District Court for the Central District of California (C.D. Cal.).

Google, now Alphabet Inc., is one of the world’s most valuable companies but employs only a tenth of the number of workers of past giants of industry like AT&T and General Motors did about a half century ago. But we need to point out some obvious problems with the theory that technological innovation is dealing irreparable harm to the American workforce. Simply stated, you cannot ignore the reality that technological innovation is a net creator of jobs, from those who create the innovation, to those who market and sell the innovations, to those who install and maintain the innovations. Focusing only on the low income workers who will be displaced by robotics, for example, creates an inaccurate picture that significantly distorts the workplace realities. Further, it is those innovation based jobs that are the high paying jobs that our economy most wants and which will pay livable wages.

In response to all of these body blows to McDonald’s, CEO Steve Easterbrook announced a number of changes that he hopes will set the corporation on a much more successful course. Easterbrook promised investors after the earnings report was published Wednesday that the company would be making meaningful changes to its menu within the month. Easterbrook has also proposed a major restructuring to the corporation’s global operations that would split the company into four segments: one focused on lead markets like Britain and Australia, a high growth division including Russia and China, a U.S. domestic division and one focused on McDonald’s activities in the 100 other countries where the fast food restaurant operates.