Facts
- San Francisco Arts & Athletics, Inc. (SFAA), a nonprofit corporation, planned a 1982 multi-sport event called the “Gay Olympic Games.”
- SFAA used “Olympic” on promotional materials and merchandise connected to the event.
- The United States Olympic Committee (USOC) is a congressionally chartered corporation under the Amateur Sports Act of 1978.
- Section 110 of that Act granted the USOC an exclusive statutory right to use “Olympic” and to prohibit certain unauthorized commercial and promotional uses.
- After requesting that SFAA stop using “Olympic,” the USOC sued for injunctive relief when SFAA refused.
- The federal district court granted summary judgment to the USOC and entered a permanent injunction.
- The Ninth Circuit affirmed, holding that the USOC’s statutory right was broader than ordinary trademark protection and that the USOC was not a governmental actor.
- The Supreme Court granted certiorari.
Issues
- Whether § 110 granted the USOC only ordinary trademark-like rights (requiring confusion and permitting Lanham Act defenses) or a broader exclusive right.
- Whether enjoining SFAA’s use of “Olympic” for “Gay Olympic Games” violated the First Amendment.
- Whether the USOC’s enforcement decisions constituted governmental action triggering the equal protection component of the Fifth Amendment.
Decision
- The Supreme Court affirmed the injunction for the USOC.
- The Court held that § 110 grants the USOC exclusive control over “Olympic” that is not conditioned on proof of consumer confusion.
- The Court held that § 110’s reference to Lanham Act remedies does not incorporate Lanham Act defenses.
- The Court held that applying § 110 to SFAA’s promotional use of “Olympic” did not violate the First Amendment.
- The Court held that the USOC is not a governmental actor, so constitutional equal protection constraints did not apply to its enforcement choices.
Legal Principles
- Congress may create a statutory exclusive right in a word or symbol that extends beyond conventional trademark rules, including without requiring proof of likely confusion.
- Statutory incorporation of trademark remedies does not necessarily incorporate trademark defenses when the statute’s text and history show a different enforcement scheme.
- A restriction on the use of a specific term in commercial or promotional contexts may be upheld where it serves a legitimate governmental objective and leaves speakers free to convey their message through other wording.
- A federally chartered corporation with special statutory privileges is not, without governmental control or coercion, a governmental actor for constitutional claims.
Conclusion
The Court upheld § 110 as granting the USOC a broad, confusion-independent exclusive right to “Olympic,” found no First Amendment violation from enjoining SFAA’s promotional use of the term, and rejected equal protection arguments because the USOC was not a governmental actor.