Cite as 2013 Ark. 232
Office challenged its rights to exclusive use; and that litigation would likely ensue if the court did not make a declaration regarding ownership and usage of the rights in the trademarks.
The Commission filed its answer in which it generally denied the allegations. Furthermore, it asserted under the heading "Affirmative Defenses" that Alpha "is legally ineligible" to use the trademarks because registration of the marks "is contrary to law, and the registrations should be canceled." The Commission requested that the court deny Alpha relief and "enter a declaratory judgment canceling Alpha Marketing's registration of the trademarks . . . and for all other just and proper relief."
Alpha filed an amended complaint in which it repleaded the factual allegations and its request for declaratory judgment. Alpha also added a claim for trademark infringement alleging that the Commission continually marketed its goods and services under the names "My Arkansas Lottery" and "Arkansas Scholarship Lottery," during which time Alpha held its registered trademarks. Its claim for trademark infringement asserted that the Commission had used, without the consent of Alpha, colorable imitations of the marks registered by Alpha in connection with the sale, distribution, offering for sale, and advertising of the Commission's goods and services; that such use is likely to cause confusion or mistake or to deceive as to the source of origin of such goods or services; and that the Commission has colorably imitated the marks registered by Alpha and applied the colorable imitations to signs, prints, and advertisements intended to be used on or in connection with the sale of other distribution in this state of its goods or services. Alpha requested that the court enjoin the Commission from using the marks and award it lost-profit damages caused by such wrongful use.
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