Facts

Kalologie Franchising LLC and Kalologie LLC sued Kalologie Skincare Medical Group of California, David D. Hopp, M.D., and David D. Hopp, APC, in connection with defendants' spa business.

PLAINTIFF'S CONTENTIONS:
Kalologie Franchising claimed that it was a national franchiser of day spas that offered spa services and related products. It sublicensed the right to use the "Kalologie" word to various franchises under a license from Kalologie LLC, which owned the Kalologie word mark.

Plaintiffs claimed that defendants entered into separate franchise agreements with plaintiffs. Defendants then decided to consolidate their businesses. Next, defendants defaulted on their franchise agreements due to certain misconducts engaged in by Hopp. As a result, plaintiffs decided to terminate the franchise agreements with defendants. However, defendants continued to operate their business using the Kalologie mark.

Result

The parties entered into a stipulated judgment, wherein defendants agreed to pay plaintiffs $78,257. Defendants also agreed to a permanent injunction, enjoining them from using the disputed trademark. Additionally, the parties agreed to dismiss David D. Hopp APC without prejudice.