In a recently issued precedential decision, the U.S. Court of Appeals for the Third Circuit, followed suit with the Second and Ninth circuit courts of appeal and held that Trademark Trial and Appeal Board (TTAB) decisions issued in cancellation proceedings of registered marks do not have claim preclusive effects against subsequent trademark infringement lawsuits brought in federal district court.

The suit involves members of a ’70s soul group from Camden, New Jersey, called “The Ebonys.” The appellant, David Beasley, founded the group in 1969. The group disbanded in 1976 but, after Beasley re-formed it in 1997, it continued to perform as “The Ebonys.” Beasley obtained a New Jersey state trademark registration for The Ebonys that same year. The appellee, William Howard, joined the group in the mid 1990s, but after parting ways with Beasley, the two entered into a dispute over ownership of The Ebonys name.

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