Perfumebay.com Inc. v. eBay Inc.

In this trademark infringement case, we must decide whether various forms of the mark “Perfumebay” infringe upon the trademark “eBay.” Appellant Perfumebay.com, Inc. (Perfumebay) appeals from the district court’s decision that Perfumebay infringed eBay’s trademark. Perfumebay challenges the district court’s finding that the conjoined terms “perfumebay” and “PerfumeBay” created a likelihood of consumer confusion under the Lanham Act with respect to the mark “eBay.” Perfumebay contends that the district court erred in finding initial interest confusion; in granting injunctive relief despite eBay’s unclean hands; and in fashioning the permanent injunction to prohibit Perfumebay’s use of the names “perfumebay” and “perfume-bay.” Perfumebay also contests the district court’s denial of attorneys’ fees. eBay cross-appeals the district court’s denial of its breachof-contract claim based on the settlement negotiations of the parties. eBay also contends that the district court erred in rejecting its claim for likelihood of dilution, and for not permanently enjoining Perfumebay from using non-conjoined versions of its names that include a space between “Perfume” and “Bay,” such as “Perfume Bay.” We have jurisdiction pursuant to 28 U.S.C. § 1291 and we affirm in part and reverse in part.

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