Latham Entertainment v. Does

Background

In 2002, the court entered a default judgment and permanent injunction against the defendants. The injunction barred them, and people acting with them, from using “The New York Kings of Comedy” or confusingly similar names or marks to promote, advertise, or solicit attendance at comedy performances or other entertainment events. It also barred false or misleading statements about the source of the defendants’ performances and other conduct that infringed or diluted Latham’s registered service mark, THE KINGS OF COMEDY.

Latham Entertainment, formerly Walter Latham Entertainment, Inc., moved in November 2021 to hold James Harris a/k/a “Talent” and “Capone,” Rob Stapleton, Mark Viera, “Tone X” a/k/a “Grown Man Tone X,” and The New York Kings of Comedy in civil contempt. The court ordered the defendants to appear and explain why they should not be held in contempt. The opinion states that they received actual notice but did not appear at the November 30, 2021 hearing.

Court’s Findings

The court found that the injunction was clear and unambiguous. It further found, based on clear and convincing evidence, that the defendants had not complied with the injunction or made reasonable, diligent efforts to comply. According to the court, they acted together in using “NY Kings of Comedy” or another confusingly similar name to promote, advertise, or solicit attendance at comedy performances in Greensboro, North Carolina, on September 17–18, 2021; Atlanta, Georgia, on September 30–October 3, 2021; and Charlotte, North Carolina, on November 21, 2021.

The court also found that the violations were willful and intentional. The defendants did not file an opposition, attend the hearing, offer evidence, or explain their conduct.

Ruling and Sanctions

The court held the defendants in civil contempt of the permanent injunction. It ordered them to pay a coercive fine of $15,000—$5,000 for each show—to the clerk of court by December 29, 2021. The order states that the fine was intended to encourage future compliance with the injunction.

The court also ruled that Latham was entitled to reasonable attorneys’ fees under Local Civil Rule 83.6. In its findings, the court states that the fees amounted to $21,499.00. However, the operative order directs the defendants to pay Latham’s attorneys’ fees in the amount of $21,299.00 within 30 days after entry of the order. The opinion does not explain this $200 discrepancy.