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RECOMMENDED FOR PUBLICATION
Pursuant to Sixth Circuit I.O.P. 32.1(b)
File Name: 21a0050p.06
UNITED STATES COURT OF APPEALS
FOR THE SIXTH CIRCUIT
â
THE OHIO STATE UNIVERSITY,
â
Plaintiff-Appellant, â
> No. 19-3388
â
v. â
â
REDBUBBLE, INC., â
Defendant-Appellee. â
â
Appeal from the United States District Court
for the Southern District of Ohio at Columbus.
No. 2:17-cv-01092âAlgenon L. Marbley, District Judge.
Argued: March 12, 2020
Decided and Filed: February 25, 2021
Before: GRIFFIN, WHITE, and NALBANDIAN, Circuit Judges.
_________________
COUNSEL
ARGUED: Michael J. Hendershot, OFFICE OF THE OHIO ATTORNEY GENERAL,
Columbus, Ohio, for Appellant. Kenneth B Wilson, COASTSIDE LEGAL, Half Moon Bay,
California, for Appellee. ON BRIEF: Michael J. Hendershot, Benjamin M. Flowers, OFFICE
OF THE OHIO ATTORNEY GENERAL, Columbus, Ohio, for Appellant. Kenneth B Wilson,
COASTSIDE LEGAL, Half Moon Bay, California, Gerhardt A. Gosnell II, JAMES E.
ARNOLD & ASSOCIATES, LPA, Columbus, Ohio, Joshua M. Masur, ZUBER LAWLER &
DEL DUCA LLP, Redwood City, California, for Appellee. David H. Bernstein, DEBEVOISE
& PLIMPTON LLP, New York, New York, Paul D. Clement, KIRKLAND & ELLIS LLP,
Washington, D.C., Joseph C. Gratz, Samuel J. Zeitlin, DURIE TANGRI LLP, San Francisco,
California, Jef Pearlman, UNIVERSITY OF CALIFORNIA GOULD SCHOOL, Los Angeles,
California, for Amici Curiae.
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 2
_________________
OPINION
_________________
NALBANDIAN, Circuit Judge. Online shopping has transformed American life. Gone
is the heyday of shopping malls and in-person retail. Instead, Americans increasingly choose to
make purchases online. Although digital marketplaces may not require the same type of upkeep
and maintenance as brick-and-mortar businesses, someone still manages them. This case
concerns the responsibilities of companies that operate marketplaces facilitating online
transactions between consumers and vendors.
The prime example of the modern digital marketplace is Amazon.com, Inc. Amazon
operates a website where, among other things, third-party vendors sell their goods to consumers.
Because Amazonâs marketplace operates as a neutral intermediary between consumers and
third-party vendors, courts have typically not found it liable for trademark-infringing goods
sold through its platform. See, e.g., Multi Time Mach., Inc. v. Amazon.com, Inc., 804 F.3d 930,
938â39 (9th Cir. 2015); Milo & Gabby, LLC v. Amazon.com, Inc., No. C13-1932RSM, 2015 WL
4394673, at *6 (W.D. Wash. July 16, 2015). This case turns on whether Redbubble, Inc., an
Australia-based online retailer, enjoys similar immunity from trademark-infringement claims
arising from products displayed on and sold through its digital marketplace. The Ohio State
University (OSU) argues that Redbubbleâs marketplace model differs from those used by
Amazon, eBay, and other passive e-commerce facilitators. So OSU alleges that Redbubble
violated the Lanham Act and Ohioâs right-of-publicity statute because it acted less like a hands-
off intermediary and more like a company that creates knock-off goods. Because Redbubbleâs
marketplace involves creating Redbubble products and garments that would not have existed but
for Redbubbleâs enterprise, we find that the district court erred by entering summary judgment
for Redbubble under an overly narrow reading of the Lanham Act. Thus, we REVERSE and
REMAND.
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 3
I.
Redbubble operates an online marketplace with a global reach. This marketplace is
largeâaround 600,000 artists use the website, and over $100 million in sales has flowed through
Redbubbleâs platform. Products for sale on Redbubbleâs website include apparel, wall art, and
other accessories emblazoned with an image selected by a consumer. Independent artists, not
employed by Redbubble, upload images onto Redbubbleâs interface. Consumers then scroll
through those uploaded images and place an order for a customized item.
Once a consumer places a purchase on its website, Redbubble automatically contacts the
artist and arranges the manufacturing and shipping of the product with independent third parties.
So Redbubble never takes title to any product shown on its website. And Redbubble does not
design, manufacture, or handle these products. But the shipped packages bear its logo, and
Redbubble handles customer service duties such as returns.
Aside from managing the website, Redbubble plays a larger role in overseeing and
executing sales made on its marketplace. For example, Redbubble helps market products listed
on its website. And it markets those goods as Redbubble products to consumers; for instance, it
provides instructions on how to care for âRedbubble garments.â (R. 39-1, Shook Aff., PageID
631.) When customers receive goods from Redbubbleâs marketplace, they often arrive in
Redbubble packaging and contain Redbubble tags. And if there are excess goods, Redbubble has
the right to dispose of those items.
In short, independent artists can have goods displaying their artwork and images
advertised, manufactured, and sold by using Redbubbleâs platform. OSU argues that Redbubble
is responsible for trademark-infringing products sold on Redbubbleâs marketplace. Neither party
disputes that some of Redbubbleâs artists uploaded trademark-infringing images, that these
images appeared on Redbubbleâs website, or that consumers paid Redbubble to receive products
bearing images trademarked by OSU. Instead, they dispute whether Redbubble is liable for
trademark infringement because of its role in managing the marketplace.
OSUâs licensing program has generated over $100 million in the last seven years. To
protect its trademarks, OSU carries out a âstrict oversight of licensed products.â (Appellant Br.
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 4
at 7.) While conducting this oversight in 2017, OSU discovered products on Redbubbleâs
marketplace that displayed OSUâs trademarked images without approval. So OSU sent
Redbubble a cease-and-desist letter.
In response, Redbubble asked OSU to âspecifically identify each infringing design.â
(R. 24-6, Ex. F, PageID 549.) Redbubbleâs user agreement states that trademark holders, and not
Redbubble, bear the burden of monitoring and redressing trademark violations. Redbubble also
told OSU that it needed more information about which designs violated OSUâs trademarks. So
OSU sent Redbubble a letter containing photos of nine offending items. But Redbubble told
OSU that pictures werenât enough to identify the offending products, asking for URLs or other
identifying information. After this, communication halted between the parties. In the end,
Redbubble did not remove the offending products from its website.
After the communication breakdown, OSU sued Redbubble in December 2017.
It brought claims alleging trademark infringement, counterfeiting, and unfair competition under
the Lanham Act, as well as Ohioâs right-of-publicity law. The parties cross-moved for summary
judgment, and the district court entered summary judgment for Redbubble. According to the
district court, Redbubble did not âuseâ OSUâs trademarked images in operating its business
model under the Lanham Act because it only acted as a âtransactional intermediaryâ between
buyers, sellers, manufacturers, and shippers. (R. 48, Op. & Order, PageID 922â28.) And
because OSU had argued that Redbubble met âthe âuseâ requirement under state law for the same
reasons Redbubble [met] the âuseâ requirement under federal law,â the district court declined to
address Redbubbleâs argument that Ohioâs right-of-publicity statute creates a stricter use
standard. (Id. at 929.) OSUâs arguments failed even âunder the more lenient federal definition.â
(Id.) OSU now appeals, arguing that the lower court incorrectly interpreted the Lanham Act and
Ohio law by entering summary judgment for Redbubble.
II.
We review a district courtâs grant of summary judgment de novo. Miles v. S. Cent.
Human Res. Agency, 946 F.3d 883, 887 (6th Cir. 2020). Summary judgment is appropriate âif
the movant shows that there is no genuine dispute as to any material fact and the movant is
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 5
entitled to judgment as a matter of law.â FED. R. CIV. P. 56(a). This standard of review remains
the same for reviewing cross-motions for summary judgment. United States S.E.C. v. Sierra
Brokerage Servs., Inc., 712 F.3d 321, 327 (6th Cir. 2013). When both parties move for summary
judgment below, this Circuit does not assume that âthe parties consent to resolution of the case
on the existing record or that the district court is free to treat the case as if it was submitted for
final resolution on a stipulated record.â Taft Broad. Co. v. United States, 929 F.2d 240, 248 (6th
Cir. 1991) (quoting John v. Louisiana (Bd. of Trustees for State Colleges and Univs.), 757 F.2d
698, 705 (5th Cir. 1985)). In short, a case involving cross-motions for summary judgment
requires âevaluat[ing] each partyâs motion on its own merits, taking care in each instance to draw
all reasonable inferences against the party whose motion is under consideration.â EMW
Womenâs Surgical Ctr., P.S.C. v. Beshear, 920 F.3d 421, 425 (6th Cir. 2019) (quoting McKay v.
Federspiel, 823 F.3d 862, 866 (6th Cir. 2016)).
III.
OSU asserts two claims against Redbubble: (1) a Lanham Act violation for use of OSUâs
trademarks without permission; and (2) a violation of Ohioâs right-of-publicity law for use of the
persona of Urban Meyer, OSUâs former employee.
The Lanham Act creates a cause of action against any person who, without the consent of
the trademark owner, either:
(a) [U]se[s] in commerce any reproduction, counterfeit, copy, or colorable
imitation of a registered mark in connection with the sale, offering for sale,
distribution, or advertising of any goods or services on or in connection with
which such use is likely to cause confusion, or to cause mistake, or to deceive; or
(b) âreproduce[s], counterfeit[s], cop[ies], or colorably imitate[s] a registered
mark and appl[ies] such reproduction, counterfeit, copy, or colorable imitation to
labels, signs, prints, packages, wrappers, receptacles or advertisements intended to
be used in commerce upon or in connection with the sale, offering for sale,
distribution, or advertising of goods or services on or in connection with which
such use is likely to cause confusion, or to cause mistake, or to deceive.
15 U.S.C. § 1114(1). And OSU asserts that Redbubble directly infringed OSUâs trademarks
under the Act because Redbubbleâs role in operating its online marketplace meets the statutory
definition of using a trademark in commerce without owner approval.
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 6
Parties may also be vicariously liable under the Lanham Act even if they do not directly
âuseâ the trademark to sell or advertise a product. âThis Circuit allows plaintiffs to hold
defendants vicariously liable for trademark infringement under the Lanham Act when the
defendant and the infringer have an actual or apparent partnership, have authority to bind one
another in transactions, or exercise joint ownership or control over the infringing product.â
Grubbs v. Sheakley Grp., Inc., 807 F.3d 785, 793 (6th Cir. 2015). So OSU also claims that
Redbubble meets the Grubbs test for vicarious liability because the vendors operating on its site
act as Redbubbleâs agents.1
Independent of these federal trademark violations, Ohioâs right-of-publicity statute
provides a cause of action for using an âaspect of an individualâs persona for a commercial
purpose.â OHIO REV. CODE § 2741.02(A). The statute defines commercial purpose as:
[T]he use of or reference to an aspect of an individualâs persona in any of the
following manners:
(1) On or in connection with a place, product, merchandise, goods, services, or
other commercial activities not expressly exempted under this chapter;
(2) For advertising or soliciting the purchase of products, merchandise, goods,
services, or other commercial activities not expressly exempted under this
chapter;
(3) For the purpose of promoting travel to a place;
(4) For the purpose of fundraising.
Id. § 2741.01(B). Citing the statute, OSU alleges that Redbubble unlawfully sold products
bearing the image of Urban Meyer, OSUâs former head football coach. And because Urban
Meyer had assigned his publicity right to the school,2 OSU claims that Redbubble infringed on
1OSU fails to mention that there are two types of secondary liability under the Lanham Act: vicarious
trademark infringement and contributory trademark infringement. The Supreme Court described contributory
infringement, stating, âif a manufacturer or distributor intentionally induces another to infringe a trademark, or if it
continues to supply its product to one whom it knows or has reason to know is engaging in trademark infringement,
the manufacturer or distributor is contributorially responsible for any harm done as a result of the deceit.â Inwood
Labs., Inc. v. Ives Labs., Inc., 456 U.S. 844, 854 (1982). This differs from the agency-law-based vicarious Lanham
Act liability test that this Circuit adopted in Grubbs. But both have elements that differ from direct Lanham Act
liability. Because OSU does not raise a contributory infringement argument, we decline to consider the merits of a
potential claim under that framework. (See Appellant Br. at 51â52 (âIt is true that Ohio State did not allege
contributory infringement . . . .â).)
2Publicity rights are assignable under Ohio Revised Code section 2741.04.
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 7
OSUâs rights in violation of Ohioâs right-of-publicity statute by permitting the commercial sale
of goods displaying Urban Meyerâs likeness on Redbubbleâs platform. In sum, OSU argues that
the district court wrongly entered summary judgment for Redbubble on both claims.
IV.
Before addressing the merits of OSUâs arguments, we first address Redbubbleâs
argument that OSU did not preserve its theory that Redbubble could be vicariously liable under
the Lanham Act. Asserting that neither OSUâs motion for summary judgment nor its complaint
mentioned vicarious Lanham Act liability, Redbubble argues that OSU may not rely on that
theory for the first time on appeal. And we agree.
âThis court does not ordinarily address new arguments raised for the first time on
appeal.â Mich. Bell Tel. Co. v. Strand, 305 F.3d 580, 590 (6th Cir. 2002). When barred, those
claims are either forfeited or waivedâthe former is a partyâs âfailure to make the timely
assertion of a rightâ while the latter âis the intentional relinquishment or abandonment of a
known right.â United States v. Petlechkov, 922 F.3d 762, 767 (6th Cir. 2019) (quoting United
States v. Olano, 507 U.S. 725, 733 (1993)). Sometimes the difference between waiver and
forfeiture matters. For instance, forfeiture âdoes not extinguish an âerrorâ under [Federal Rule of
Civil Procedure] 52(b).â Olano, 507 U.S. at 733. Redbubble doesnât specify whether OSU
waived or forfeited its vicarious-liability argument, and its briefing implicates both doctrines.
First, Redbubble emphasizes the lack of vicarious-liability argumentation belowâa
forfeiture argument. Redbubble asserts that OSU failed to allege or even discuss vicarious or
agent liability before the district court, and it argues that OSUâs citations to support vicarious
liability appeared for the first time on appeal. And it insists that OSU is foreclosed from arguing
vicarious trademark liability given OSUâs decision to focus on Redbubbleâs actions (as opposed
to the actions of the third-party vendors using Redbubbleâs marketplace) and OSUâs failure to
mention agency, partnership, or the Grubbs test before appealing.
And because a âplaintiffâs complaint . . . âmust contain either direct or inferential
allegations with respect to all material elements necessary to sustain a recovery under some
viable legal theory,ââ Bickerstaff v. Lucarelli, 830 F.3d 388, 396 (6th Cir. 2016)
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 8
(quoting Weisbarth v. Geauga Park Dist., 499 F.3d 538, 541 (6th Cir. 2007)), the fact that
neither OSUâs complaint nor its motion for summary judgment discussed vicarious liability
strongly supports Redbubbleâs position. OSU simply did not argue that Redbubble should be
vicariously liable under the Lanham Act under the principles of âbasic agency lawâ and the
Grubbs test that govern such claims. (Appellant Br. at 38.) And because direct trademark
infringement and vicarious trademark infringement require proving different elements, OSU
cannot now argue that it preserved its vicarious-liability arguments in sections of its complaint
that discuss direct Lanham Act liability. See Bickerstaff, 830 F.3d at 396.
On top of this negative evidence, Redbubble offers affirmative statements from OSU
showing that OSU purposefully opted not to pursue vicarious trademark-infringement claims
below. This looks more like a waiver argument. And we agree with Redbubble that the record
shows that OSU (1) knew the difference between direct and vicarious trademark infringement
liability and (2) actively chose to pursue only a direct infringement claim. For instance, OSUâs
motion for summary judgment relies on the distinction between âcontributory trademark
infringementâ and âdirect trademark infringementâ to distinguish its claim from contributory
trademark claims, which suggests OSU recognized an available legal argument and decided not
to pursue itâa classic example of waiver. (R. 17, Mot. Summ. J., PageID 107.)
Although OSU concedes that it did not use the term vicarious liability below, it contends
that it preserved its vicarious-liability claims because (1) the vicarious-liability argument is âa
new facet of [its] consistent claim,â (2) its summary judgment motion touched on a vicarious-
liability theory without using those âmagic words,â (3) its complaint and motion for summary
judgment informed Redbubble about the claimâs factual basis, and (4) failure to make an
argument below is not always fatal to raising it on appeal. (Appellant Reply Br. at 23â24.)
We address OSUâs responses in turn.
To start, OSU paints its vicarious Lanham Act theory as âa new facet of [its] consistent
claim.â (Id. at 23.) And it claims that the fact that its complaint only alleged that Redbubble
alone âwas responsible for the advertising, manufacture, and sale of infringing productsâ was an
excusable mistake because it didnât know about Redbubbleâs relationship with third-party
vendors. (Id. (emphasis omitted).) Yet nothing stopped OSU from asserting vicarious-liability
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 9
claims in the complaint or attempting to amend its complaint once it learned more about
Redbubbleâs marketplace. Grubbs and other cases describing vicarious Lanham Act liability
existed before this litigation, and Redbubbleâs business plan was easily ascertainable.
Furthermore, OSU admits that vicarious Lanham Act liability has different elements than direct
Lanham Act liability, so OSUâs vicarious liability theory is plainly not an offshoot of the direct
Lanham Act claim it raised below.
Next, OSU argues that it touched on vicarious-liability arguments below enough to avoid
forfeiture. (Appellant Br. at 52 (âBut Ohio State did argue for vicarious liability . . . .â).) And it
offers pages 601â03 and 610â11 in its summary judgment reply as evidence. But OSU only
discussed Redbubbleâs dealings with third-party vendorsâit never articulated a legal claim for
vicarious liability. (See generally R. 39, Plâs. Memo. Opp. Summ. J, PageID 594â605 (focusing
on Redbubbleâs use of OSUâs trademarks and not its partner-agent relationship with vendors
using Redbubbleâs online marketplace).) So the record belies OSUâs argument.
OSU next asserts that failure to invoke the magic words of âvicarious liabilityâ neither
waives nor forfeits the argument because Redbubble was ââinformedâ of the âfactual basis for the
claimââ given the facts in OSUâs complaint and its Lanham Act argument. (Appellant Reply Br.
at 24 (quoting Johnson v. City of Shelby, 574 U.S. 10, 12 (2014)). In Johnson, the Supreme
Court clarified that cases should not be dismissed because of an âimperfect statement of the legal
theory supporting the claim asserted.â 574 U.S. at 11. But Johnson involved pleadings at the
motion to dismiss stage. See Alexander v. Carter for Byrd, 733 F. Appâx 256, 265 (6th Cir.
2018). And this Circuit has refused to apply Johnson to summary judgment cases. Id. Even so,
OSU argues that this panel should reach the merits of its vicarious-liability Lanham Act claim
because âparties are not limited to the precise arguments they made below.â Yee v. City of
Escondido, 503 U.S. 519, 534 (1992). And itâs true that this Circuit has discretion to review
claims and arguments made for the first time on appeal. But we exercise our âdiscretion to
entertain issues not raised before the district court â[o]nly in exceptional casesâ or when
application of the rule would produce a âplain miscarriage of justice[.]ââ Thomas M. Cooley Law
Sch. v. Kurzon Strauss, LLP, 759 F.3d 522, 528 (6th Cir. 2014) (alterations in original) (quoting
Rice v. Jefferson Pilot Fin. Ins. Co., 578 F.3d 450, 454 (6th Cir. 2009)). And issues of âfirst
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 10
impressionâ are not necessarily âexceptional case[s]â justifying consideration of an âunpreserved
. . . issue.â Id. at 528â29. Even though OSU might have a strong argument for vicarious
liability, we find no injustice in barring OSU from pursuing a claim it chose not to pursue below.
Thus, we decline to exercise our discretion to excuse a partyâs forfeiture or waiver.
All said, Redbubble rightly stresses the absence of vicarious-liability argumentation in
the record below. And OSUâs reasons for excusing that omission fall short. So we decline to
address the merits of OSUâs vicarious Lanham Act liability theory because OSU failed to
preserve that claim.
V.
Aside from its vicarious-liability claim, OSU argues that Redbubbleâs actions directly
violated the Lanham Act, so at a minimum the district court should not have entered summary
judgment for Redbubble. To begin, OSU claims that the district court misunderstood the
Lanham Actâs scope. That statute recognizes a civil cause of action for trademark infringement
against parties who âuse in commerce any reproduction, counterfeit, copy, or colorable imitation
of a registered mark in connection with the sale, offering for sale, distribution, or advertising of
any goods or services.â 15 U.S.C. §§ 1114(a), 1125(a). And OSU argues that Redbubbleââthe
quintessential infringer and counterfeiterââviolated the Act when it âusedâ OSUâs trademarks
by âmarketing and selling trademark-infringing productsâ on the Redbubble platform.
(Appellant Br. at 24.)
In support of that argument, OSU contends that the Lanham Act applies to a wide array
of parties and commercial activities and the district court erred by improperly narrowing the
Lanham Actâs scope. It points to the statutory phrase âin connection withâ as evidence of âa
broad interpretationâ for actions covered by the Lanham Act. (Appellant Br. at 27 (quoting Mont
v. United States, 139 S. Ct. 1826, 1832â33 (2019)).) OSU claims thatâs why the Supreme Court
found that â[t]he Lanham Act creates a cause of action for . . . misleading advertising or
labeling.â POM Wonderful LLC v. Coca-Cola Co., 573 U.S. 102, 107 (2014). But the district
court applied a narrower interpretation of the Act. It found Redbubbleâs participation in the
creation, manufacturing, and sale of the offending goods too indirect for Lanham Act liability
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 11
because Redbubble acted more like Amazon or an auction house than a company that designs,
manufactures, and sells its own goods. For instance, it ruled that Redbubble was not liable for
trademark-infringing images on its website despite the Lanham Act prohibiting trademarks being
âplaced in any manner on the goods . . . or the displays associated therewithâ because
âindependentâ artists uploaded the images. (R. 48, Op. & Order, PageID 928 (emphasis omitted)
(quoting 15 U.S.C. § 1227).)
Unlike OSU, Redbubble urges us to follow a narrow interpretation of the Lanham Act. It
believes the Act creates liability only for manufacturers, sellers, and those âwho apply infringing
marks to sales displays or other related advertising materials.â (Appellee Br. at 25.) In short,
Redbubble contends that direct liability for trademark infringement ârequires that the plaintiff
prove that the accused infringer placed the infringing mark on goodsâ or affirmatively used the
mark, e.g., by selling a trademark-infringing good directly to a consumer. (Id. at 26.) Because
Redbubble facilitates sales, like Amazon, without creating or handling products, Redbubble
concludes it âcannot directly infringeâ OSUâs trademarks.
Itâs true that online marketplaces, like eBay and Amazon, that facilitate sales for
independent vendors generally escape Lanham Act liability. See, e.g., Tiffany (NJ) Inc. v. eBay
Inc., 600 F.3d 93, 103, 109 (2d. Cir. 2010) (finding eBay could not be liable for direct
infringement for use of a trademark where the use did not imply affiliation or endorsement; also
finding eBay could not be liable for contributory infringement for the sale of counterfeit goods
by vendors on its website). Conversely, parties who design and print trademark-infringing goods
typically violate the Lanham Act. See H-D U.S.A., LLC v. SunFrog, LLC, 311 F. Supp. 3d 1000,
1030 (E.D. Wisc. 2018) (ruling that defendant violated the Lanham Act because it printed
trademark-offending goods). So the parties dispute where courts draw the line for online-vendor
liability.
This Circuit has already found âno reason to restrict [Lanham Act] liability to those who
actually create, manufacture[,] or package the infringing items.â Lorillard Tobacco Co. v.
Amouriâs Grand Foods, Inc., 453 F.3d 377, 381 (6th Cir. 2006). In Lorillard, the court imposed
liability where the defendant acted as a brick-and-mortar store that directly sold
trademark-infringing items to consumers, despite the fact that the defendant didnât design or
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 12
manufacture the offending product. It simply ran a marketplace where consumers could find and
procure the counterfeit cigarettes. Admittedly, Lorillard emphasizes the defendantâs ârole as a
retailerâ when imposing liability. Id. But that decision still suggests broad liability for parties
involved in selling trademark-infringing goods.
Although the district court here correctly presented this question as a spectrum, with
eBay and Amazonâs marketplaces on one end and brick-and-mortar vendors on the other, it
ultimately applied Lanham Act liability too narrowly. The question remains as to when, exactly,
a party avoids liability by acting as a passive facilitator.
Neither party disputes that an entity that is either (i) the creator or manufacturer of the
offending goods, or (ii) a direct seller of the offending goods (e.g., a brick-and-mortar store or
company website) is liable under the Lanham Act. They disagree, however, as to when a party
indirectly involved in the creation/manufacture of a good and/or the sale of a good avoids
liability by acting as a passive facilitator. In other words, what level of involvement and control
must a defendant exercise over the creation, manufacture, or sale of offending goods to be
considered akin to a âsellerâ or âmanufacturerâ to whom Lanham Act liability applies? Aside
from the eBay/Amazon model, some trademark-infringing activity does not create liability. For
instance, a company that auctions trademark-offending website domain names does not âuseâ
those trademarks as the Lanham Act prohibits. Bird v. Parsons, 289 F.3d 865, 877â79 (6th Cir.
2002). Thatâs because domain-name providers only sell âan addressâ used on the internet for
identification purposes, and not products bearing a trademark. Id. at 878. So on the opposite end
of the spectrum from direct sellers and manufacturers, this Circuit places parties like Amazon
and domain-name providers outside the Lanham Actâs ambit.
Returning to the statutory text, OSU argues that the language sweeps broadly. First, it
compares the Lanham Actâs âuse in commerceâ language to the âuseâ of a firearm in Smith v.
United States, 508 U.S. 223 (1993). There, the Supreme Court determined that the definition of
use âsweeps broadly.â Id. at 229. So OSU urges us to follow this natural meaning of âuse.â
And it contends that Redbubble necessarily uses OSUâs trademarks when it places them on
Redbubbleâs stock images and creates Redbubble products. In other words, if Redbubble didnât
use the trademark, then how could its website display or satisfy an order for a hat or shirt bearing
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 13
OSU trademarks that doesnât exist elsewhere? The key distinction between Redbubble and
Amazonâs âuseâ of trademarks would be that Redbubble directs others to make or display
infringing Redbubble products with Redbubble tags and instructions for caring for Redbubble
garments. Because Amazonâs marketplace doesnât operate by offering or producing Amazon
products, under OSUâs theory, Amazon doesnât use the trademark in a creative or generative
process. And thatâs where it wants us to draw the line for liability because companies that print
the offending trademark onto a product are generally liable under the Lanham Act. See SunFrog,
311 F. Supp. 3d at 1000.
Redbubble makes its own textual argument. It contends that only âaffirmative âuseââ
creates direct Lanham Act liabilityâthe âin connection withâ language only operates to permit
indirect or vicarious liability. Yet Redbubble doesnât explain why the statutory text cabins itself
to vicarious liability only. And if the statutory text creates those claims, then it is strange that
courts have found vicarious Lanham Act liability based on the statuteâs common law tort
backdrop rather than the text itself. See, e.g., Rosetta Stone Ltd. v. Google, Inc., 676 F.3d 144,
165 (4th Cir. 2012) (describing vicarious Lanham Act liability as âessentially the same as in the
tort contextâ without relying on the statutory text). This undermines Redbubbleâs position that
the Lanham Actâs language or context narrows the word âuse.â
Looking at this Circuitâs Lanham Act precedent, it seems that one key distinction
between a direct seller who âusesâ a trademark under the Act and a mere facilitator of sales who
does not is the degree to which the party represents itself, rather than a third-party vendor, as the
seller, or somehow identifies the goods as its own. A retailer who sells products directly to a
customer at a brick-and-mortar store is indisputably a seller to whom the Lanham Act applies.
See Lorillard 453 F.3d at 381. An online marketplace like eBay that clearly indicates to
consumers that they are purchasing goods from third-party sellers is not. See Multi Time Mach.,
804 F.3d at 938â41 (finding Amazon not liable for the trademark infringement committed by
parties using its platform because âAmazon clearly labels the source of the products it offers for
saleâ and is not a seller). Here, although the record is sparse, it appears that products ordered on
Redbubbleâs website do not yet exist, come into being only when ordered through Redbubble,
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 14
and are delivered in Redbubble packaging with Redbubble tags. Under those facts, the district
court erred in affirmatively placing Redbubble on the passive end of the liability spectrum.
Although Redbubble utilizes a third-party to manufacture goods sold on its site, the
degree of control and involvement exercised by Redbubble over the manufacturing, quality
control, and delivery of goods to consumers is relevant to an assessment of whether the
offending goods can fairly be tied to Redbubble for the purpose of liability. The record below
lacks sufficient development of the facts to affirmatively decide this issue.
All said, it appears that Redbubble brings trademark-offending products into being by
working with third-party sellers to create new Redbubble products, not to sell the artistsâ
products. So itâs more than just a passive facilitator. And Redbubble classifies its goods as
âRedbubble productsâ and makes clothes identifiable as âRedbubble garments.â (R. 31-1, Shook
Aff., PageID 631.) That differs from Amazonâs marketplace and makes more âuseâ of the
trademark than non-liable facilitators in cases from other circuits. Given that the district court
strayed from this understanding of the Lanham Act, we find that it wrongly entered summary
judgment for Redbubble on the direct Lanham Act liability claim.
VI.
Independent of its federal trademark law claims, OSU asserts that Redbubble violated
Ohio Revised Code section 2741, Ohioâs right-of-publicity statute. âThe right of publicity is a
creature of state common law and statute and originated as part of the common-law right of
privacy.â Landham v. Lewis Galoob Toys, Inc., 227 F.3d 619, 622 (6th Cir. 2000). Because
Urban Meyer, a former OSU employee, assigned his right of publicity to OSU, OSU possesses a
property interest in Urban Meyerâs persona. So the only question is whether Redbubble used
âany aspectâ of Meyerâs persona for a âcommercial purpose.â OHIO REV. CODE § 2741.02(A).
Ohio defines commercial purpose as:
[T]he use of or reference to an aspect of an individualâs persona in any of the
following manners:
(1) On or in connection with a place, product, merchandise, goods, services, or
other commercial activities not expressly exempted under this chapter;
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 15
(2) For advertising or soliciting the purchase of products, merchandise, goods,
services, or other commercial activities not expressly exempted under this
chapter;
(3) For the purpose of promoting travel to a place;
(4) For the purpose of fundraising.
Id. § 2741.01(B). The district court treated this issue in a cursory manner, reasoning that OSU
couldnât succeed on its state-law claim because it didnât win âunder the more lenient federal
definitionâ of using a trademark. (R. 48, Op. & Order, PageID 929.)
OSU points out that a federal court already decided that printing images bearing Urban
Meyerâs likeness violates section 2741. Thatâs trueâa district court entered summary judgment
for OSU against an online print-on-demand business âengaged in offering for sale [items]
bearing Meyerâs name, image, and likeness.â Ohio State Univ. v. Skreened Ltd., 16 F. Supp. 3d
905, 916 (S.D. Ohio 2014). But thatâs only half the story as it pertains to this case. Neither party
here disputes that someone infringed on OSUâs publicity right to Meyerâs persona. The divide is
whether Redbubble is liable for that violation. Rephrased, OSU claims Redbubble âused the
same methods to sell, make, and ship these Urban Meyer goods as its other Ohio State goods.â
(Appellant Br. at 47.) So it follows that actions violating the federal prohibition on illicitly using
trademarked images could violate Ohioâs right of publicity statute.
Redbubble counters that courts only impose liability for right of publicity violations when
defendants âtake affirmative steps to specifically exploit the persona in question.â (Appellee Br.
at 58.) And it claims that it played a passive role in vendors uploading Meyerâs image to its site
and consumers purchasing items bearing Meyerâs likeness through its marketplace. To make
that argument, Redbubble cites cases in which courts decided that technology companies like
Facebook, Google, and Amazon did not violate right-of-publicity statutes for images uploaded to
their websites by third parties.
â[C]ourts typically give attention to the entire available body of case law when deciding
right of publicity cases.â Landham, 227 F.3d at 623. We believe a case involving Amazon is
most illustrative. In Almeida v. Amazon.com, Inc., the Eleventh Circuit declined to hold Amazon
liable for book cover images that users uploaded onto its website. 456 F.3d 1316, 1326 (11th
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 16
Cir. 2006) (âAmazonâs use of book cover images closely simulates a customerâs experience
browsing book covers in a traditional book store. Thus, it is clear that Amazonâs use of book
cover images . . . is merely incidental to . . . internet book sales.â). It did so because âAmazon
[did] not make editorial choices as to the book cover images it displays on its website.â Id.
Instead, a third-party book publisher using Amazonâs marketplace made that decision.
But under the logic in Almeida, Redbubble differs from Amazon in how it creates
products. As mentioned above, Redbubble classifies goods bought on its platform as
âRedbubble productsâ designed by âindependent artists.â (R. 39-1, Shook Aff., PageID 629,
631.) These products are sometimes adorned with Redbubble images and Redbubble marketing
materials. Unlike Amazonâs model described in Almeida, which resembled a conduit between
buyers and booksellers, Redbubble integrates itself in the product. In other words, Redbubble
interweaves its brand with the products it sells. For instance, its user agreement tells vendors
âyou may offer your art for sale as part of the sale of a physical product.â (R. 24-3, User
Agreement, PageID 531 (emphasis added).) And, as explained above, Redbubble acts as more
than a passive facilitator in designing and selling the products displayed on its marketplace.
Redbubbleâs state-law statutory claim cuts to the main theme of the case: Can the goods
sold on Redbubbleâs marketplace be classified as Redbubble products? We agree that, to some
degree, âRedbubble is just like a brick-and-mortar store that sells custom-ordered goods selected
from a catalog of artwork and a catalog of goods, and then uses a third party to fulfill and ship
those orders.â (Univ. Mich., et al. Amicus Brief at 18.) All told, the right-of-publicity claim
turns on how Redbubbleâs business model differs from Amazon, eBay, and other passive virtual
marketplace operators. Even though Redbubble didnât design or upload images of products
bearing Meyerâs likeness, the record shows how Redbubbleâs marketplace allows customers to
buy a âRedbubble productâ or a âRedbubble garment.â (R. 39-1, Shook Aff., PageID 631
(â[Redbubble] put a lot of thought into how Redbubble products are packaged.â (emphasis
added).) And that differs from other companies that our sister circuits have described as passive
facilitators in online marketplaces. So the cases Redbubble cites to avoid right-of-publicity
liability donât apply.
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 17
Independent of cases from other circuits, the text of Ohioâs right-of-publicity statute
prohibits using a persona in connection with a product, advertising a product, or soliciting the
purchase of a product. OHIO REV. CODE §§ 2741.01(B), 2741.02(A). That broad language
expands liability beyond directly selling trademark-infringing goods. Redbubble operates its
online marketplace; at a minimum, such operation advertises the products made by vendors and
directs consumers to purchase those products. And Redbubble admits that it markets those
products to consumers. Even granting Redbubbleâs position that it passively gives independent
third parties a platform to sell goods and then connects them to manufacturers and shippers, its
website still markets the offending goods, brings those novel trademark-infringing products into
being, and then sells those products. Under Ohio law, a court ââdo[es] not have the authorityâ to
dig deeper than the plain meaning of an unambiguous statute âunder the guise of either statutory
interpretation or liberal construction.ââ State ex rel. Clay v. Cuyahoga Cty Med. Examârs Off.,
94 N.E.3d 498, 502 (Ohio 2017) (quoting Jackson v. Kaforey, 75 N.E.3d 203, 206 (Ohio 2016)).
And so we reverse the district courtâs entry of summary judgment for Redbubble on its Ohio
right-of-publicity claim under the plain text of that statute.
VII.
Even though OSU rightly argues that the district court incorrectly interpreted the Lanham
Act and Ohioâs right-of-publicity law, we still must ask if OSU presented enough undisputed
facts to prevail under the correct interpretations of those statutes. To obtain summary judgment,
OSU would need to show that Redbubble asserted no disputed, material facts showing that its
business model abides by the Lanham Act. See Miles, 946 F.3d at 887. When âthe record . . .
provides inadequate evidenceâ over whether a defendant violated the Lanham Act, remanding to
the district court for further proceedings including additional factfinding is proper. See Allard
Enters., Inc. v. Adv. Programming Res., Inc., 146 F.3d 350, 361 (6th Cir. 1998). We conclude
thatâs the case here, given the limited evidence about Redbubbleâs relationship with the
trademark-infringing products.
Itâs true that Redbubble facilitates the creation of goods bearing OSUâs marks that would
not have existed but for Redbubble. And thatâs why we disagree with the district courtâs ruling
that Redbubble could not be liable because of its similarity to Amazon, eBay, and other passive
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 18
online marketplaces. But even though we hold the district court erred by applying an overly
narrow reading of the Lanham Act and giving too cursory of a treatment to OSUâs state-law
claims, we are not certain that OSU, based on the record established below, can establish that no
issue of material fact exists over Redbubbleâs liability under a more expansive understanding of
the Lanham Act.
Although the record shows that Redbubble sells âRedbubble productsâ and âRedbubble
garmentsâ on its marketplace, unlike Amazon and other companies that are not directly liable
under the Lanham Act, itâs unclear what those labels mean. To start, Redbubbleâs User
Agreement states that Redbubble never takes title to those products. And third-party vendors
upload the designs for products sold on Redbubbleâs marketplace. Given the murkiness about
Redbubbleâs relationship to the trademark-infringing products, we conclude the record below
does not permit an informed ruling about whether Redbubble âusedâ OSUâs marks under the
Lanham Act. The factual gaps on this issue include: âfacts regarding the precise nature of
Redbubbleâs contractual relationships with third-party manufacturers and shippersâ; âthe precise
degree to which Redbubble is involved inâ selecting and imprinting trademark-infringing designs
upon its products; âdetails as to Redbubbleâs involvement in the process for returning goodsâ;
âdetail[s] on how Redbubble characterizes its own servicesâ; and facts about âdefenses to
liability[,] such as possible fair use defenses or defenses that confusion is not likely.â (Intâl
Trademark Assân Amicus Br. at 17â23.) So even though the district court applied the Lanham
Act too narrowly, additional factfinding on remand would aid a decision about whether
Redbubble is liable under the standard explained above.
One last point: Redbubble argues that remand is inappropriate because âOSU waivedâ its
right to develop the record by seeking summary judgment. (Appellee Br. at 53â55.) In other
words, Redbubble asserts that OSUâs decision to move for summary judgment below now
precludes a ruling âthat the district courtâs ruling was premature.â (Id.) Yet it relies on Bormuth
v. Cnty. of Jackson, 870 F.3d 494 (6th Cir. 2017) (en banc), for that proposition. And that
case only applies to a party challenging the lower courtâs decision to limit discovery. Id. at 502.
Unlike Bormuth, neither party is challenging a district court ruling relating to discovery.
And this court has the power to remand for further factfinding. See 28 U.S.C. § 2106
No. 19-3388 The Ohio State Univ. v. Redbubble, Inc. Page 19
(â[A]ny . . . court of appellate jurisdiction . . . may remand the cause and direct the entry of such
appropriate judgment, decree, or order, or require such further proceedings to be had as may be
just under the circumstances.â). So we reject Redbubbleâs argument that OSU waived its right to
develop the record below.
VIII.
For the reasons above, we REVERSE the lower courtâs grant of summary judgment in
favor of Redbubble and REMAND for factfinding and for consideration of OSUâs claims under a
standard consistent with this opinion.