Vice Spirits Incorporated v. The Vice Wines, LLC, et al.

Background

Vice Spirits alleged that it owned and had used VICE trademarks for alcoholic beverages, including vodka-based ready-to-drink cocktails and icewine. It alleged that The Vice Wines, LLC and The Vice Wines CA, LLC, collectively called “Vice Wines,” used “THE VICE” and “VICES” on wine and wine-cocktail products despite knowing of Vice Spirits’ rights.

Vice Spirits asserted four claims: federal trademark infringement under 15 U.S.C. § 1114; false designation of origin and unfair competition under 15 U.S.C. § 1125(a); trademark dilution under 15 U.S.C. § 1125(c); and common-law trademark infringement. Vice Wines moved to dismiss, and Vice Spirits moved for a preliminary injunction, meaning a temporary court order intended to prevent ongoing harm while a case proceeds.

Motion to Dismiss

The court rejected Vice Wines’ argument that the complaint improperly grouped the defendants together. It concluded that the allegations gave the two named Vice Wines entities sufficient notice that Vice Spirits claimed all defendants had infringed its trademark. The court also held that the use of placeholder defendants did not create a pleading problem at this stage.

The court nevertheless held that Vice Spirits had not adequately pleaded continuous use of the VICE marks. A party claiming earlier trademark rights must allege not only earlier use, but also continued use. The court found that statements that Vice Spirits and its predecessor had used the marks “for many years” did not establish when continuous use began, whether it preceded Vice Wines’ use, whether the predecessor used the marks continuously, or when Vice Spirits acquired the rights.

Because continuous use was necessary to plead Vice Spirits’ federal and common-law trademark claims, the court dismissed all four trademark claims with leave to amend. The court also separately held that the dilution claim was inadequately pleaded because Vice Spirits did not allege facts making it plausible that the VICE mark was famous among the general consuming public in the United States. The court described that deficiency as an independent basis for dismissal but allowed amendment despite skepticism that it could be cured. The court dismissed the common-law trademark claim because the federal infringement allegations were insufficient.

Disposition

The court granted Vice Wines’ motion to dismiss. Vice Spirits may file an amended complaint within 21 days, limited to correcting the deficiencies identified in the order. Because the court dismissed all of Vice Spirits’ claims, it denied Vice Spirits’ motion for a preliminary injunction as moot. The order was signed by United States District Judge Jon S. Tigar on October 28, 2025.