Springboards to Educ., Inc. v. Hous. Indep. Sch. Dist.
912 F.3d 805
| 5th Cir. | 2019Background
- Springboards to Education operates a monetary-themed literacy program (“Read a Million Words”) and registered four trademarks/service mark for related names and incentives used with school districts.
- Houston Independent School District (HISD) independently ran a summer reading program called the “Houston ISD Millionaire Club,” using similar monetary-themed incentives (certificates, T‑shirts, fake money) and later rebranded the program.
- Springboards sued HISD under the Lanham Act for trademark infringement, counterfeiting, false designation of origin, and dilution; district court granted summary judgment for HISD on grounds the use was not commercial.
- On appeal, the Fifth Circuit affirmed on alternative grounds: Springboards could not show a likelihood of confusion (required element for infringement, counterfeiting, and false designation) and could not show its marks were “famous” for a dilution claim.
- The court applied the eight-factor (digits) likelihood-of-confusion test, focusing on postsale confusion risk to third‑party purchasers (school districts), and concluded most digits weighed against confusion.
- The court also affirmed denials of Springboards’ procedural requests to extend deadlines or amend pleadings because Springboards failed to show Rule 16(b) good cause.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Trademark infringement — likelihood of confusion | HISD’s use of “Houston ISD Millionaire Club” on materials and items would cause school districts or third‑party educators to believe Springboards was affiliated with HISD’s program | HISD argued its use did not create confusion: marks are commonly used, HISD developed program independently, and it did not market to Springboards’ customers | No likelihood of confusion; summary judgment for HISD affirmed |
| Counterfeiting | HISD’s labeled items were counterfeit uses of Springboards’ registered marks | Same defenses as to infringement; lack of confusion/intent | Counterfeiting claim fails for lack of likelihood of confusion; summary judgment affirmed |
| False designation of origin | HISD’s marks falsely designated Springboards as source/sponsor of HISD materials | HISD argues no confusion and no commercial use to mislead purchasers | Fails—likelihood of confusion lacking; summary judgment affirmed |
| Trademark dilution | Springboards’ marks are famous and diluted by HISD’s use | HISD: marks are not famous; limited market presence and widespread third‑party use | Fails—marks not famous; summary judgment affirmed |
| Procedural: extensions and amendments | Requested extensions and leave to amend to add late evidence / clarify complaint | HISD opposed; court found no good cause under Rule 16(b) | Denials affirmed for lack of good cause |
Key Cases Cited
- Elvis Presley Enters., Inc. v. Capece, 141 F.3d 188 (5th Cir.) (defines likelihood-of-confusion standard)
- Streamline Prod. Sys., Inc. v. Streamline Mfg., Inc., 851 F.3d 440 (5th Cir.) (sets out eight "digits" of confusion framework)
- Scott Fetzer Co. v. House of Vacuums Inc., 381 F.3d 477 (5th Cir.) (digits are guides; consider consumer perception)
- Oreck Corp. v. U.S. Floor Sys., Inc., 803 F.2d 166 (5th Cir.) (third‑party use weakens mark strength; junior user identification reduces confusion)
- Sun Banks of Fla., Inc. v. Sun Fed. Sav. & Loan Ass’n, 651 F.2d 311 (5th Cir.) (widespread third‑party use can dilute mark strength)
- Gibson Guitar Corp. v. Paul Reed Smith Guitars, LP, 423 F.3d 539 (6th Cir.) (postsale confusion and relevance of product quality in some contexts)
- Yellowfin Yachts, Inc. v. Barker Boatworks, LLC, 898 F.3d 1279 (11th Cir.) (discusses postsale confusion)
- Squyres v. Heico Cos., 782 F.3d 224 (5th Cir.) (Rule 16(b) good‑cause factors for scheduling modifications)
