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Churchill Downs seeks contempt order against ticket broker
By BRETT BARROUQUERE
Associated Press Writer
LOUISVILLE, Ky. --Churchill Downs Inc. says an online ticket broker violated its trademarks on the track's name and the Kentucky Derby and has asking a federal judge to hold the broker in contempt.

Churchill Downs said Douglas Dearen illegally used the name of the track and the race, as well as pictures of the famed Twin Spires, to sell tickets to the May 5 race on his Web site, DerbyBox.com. Lawyers for the track are asking U.S. District Judge John Heyburn II order Dearen to stop using the trademarks and to hold him in contempt.

Heyburn did not immediately act on Churchill Downs' request. As of Wednesday, the Web site no longer featured pictures of the track, the name "Churchill Downs" nor the name "Kentucky Derby." Instead, it offered "Derby Tickets" and it showed generic pictures of horse races.

Churchill is seeking to force Dearen to give up all profits from sales made while the trademarked names and images were used, as well as a prohibition on them being used in the future.

Julie Koenig Loignon, a spokeswoman for Churchill Downs, said the company's management watches Web sites and scans the Internet for commercial outlets that advertise or offer Kentucky Derby and Churchill Downs-related items. The goal is to ensure there are no trademark violations, Loignon said.

"Frequently, customers or community members contact us with information - or send us examples of instances where they suspect our registered trademarks have been used without our permission, and we investigate from there," she said.

Dearen, of Jeffersonville, Ind., did not respond to several messages left for him Wednesday.

The legal fight is the second time in the last five years Churchill Downs and Dearen have met in court over the issue. Churchill Downs sued Dearen in federal court in 2002.

Dearen agreed at the time to stop using the names "Churchill Downs" and "Kentucky Derby" and to stop using pictures of the Twin Spires on the Web site.

Lawyers for Churchill Downs said they noticed during an Internet search on April 5 that Dearen was using the name of the track and race, as well as pictures of the Twin Spires, to sell tickets, according to court filings. Churchill Downs Associate Counsel Shawn Bailey sent Dearen letters and multiple e-mails threatening Dearen with legal action if he didn't stop using the trademarked names and pictures.

"Our demands will be met, one way or another," Bailey wrote on April 11. "We have given you every opportunity to take care of this in a relatively painless manner."

Six days later, Churchill Downs went back to court to enforce the 2002 agreement.
Source : http://www.kentucky.com/471/story/46213.html