Uptown Grill, LLC v. Shwartz

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Michael Shwartz and his family owned and operated the Camellia Grill restaurant, which was originally located on Carrollton Avenue in New Orleans. Shwartz formed and wholly-owned CGH. After Hurricane Katrina, Shwartz agreed to sell the business to Hicham Khodr. Shwartz, Camellia Grill, Inc., and CGH were collectively the “Seller” in the transaction, and Uptown Grill was the “Purchaser.” In this appeal, the parties dispute the ownership of the trademarks associated with Camellia Grill. The district court subsequently granted summary judgment to Uptown Grill, determining that it is the owner of all the Camellia Grill trademarks. Determining that federal subject matter jurisdiction exists, the court concluded that Uptown Grill may not be punished for failing to assert the Bill of Sale in prior litigation, and laches is inapplicable. On the merits, the court concluded that the Bill of Sale clearly and unambiguously transfers to Uptown Grill the trademarks within or upon the Carrollton Avenue location. While CGH may be bound by a mis-drafted Bill of Sale, the district court must consider whether Uptown Grill should be bound by its pleadings, representations in court, and practice with respect to a License Agreement for which its affiliate, Grill Holdings, paid a million dollars. Accordingly, the court remanded for further proceedings to determine the appropriateness of any further relief. View "Uptown Grill, LLC v. Shwartz" on Justia Law