In addition, he selected land adjacent to the Pacific Ocean for a golf course, which he named Pebble Beach Golf Links. One of Pebble Beach's former principals, Samuel Morse, dedicated a large portion of the Del Monte Forest to a trust to preserve its natural state. Pebble Beach Company also controls commercial activities within the Del Monte Forest area. That area remains unincorporated within what is still referred to by the State of California as "Rancho El Pescadero." Pebble Beach Company controls access into this area by several security gates and charges a fee for admission. Pebble Beach originated in 1881 when Pebble Beach Company's predecessor-in-interest, the Pacific Improvement Company, purchased approximately 5,300 acres within the Del Monte Forest near Carmel Bay in California, in an area named "Rancho El Pescadero." The Pacific Improvement Company named an unincorporated portion of this area "Pebble Beach" in 1909. Additionally, Tour 18 replicated Harbour Town Hole 18 for its Flower Mound, Texas course. For its Humble, Texas course Tour 18 replicated three holes from plaintiffs' golf courses: Pebble Beach Hole 14, Pinehurst No. Tour 18's golf courses consist of golf holes that are copies of golf holes from famous golf courses around the United States. Tour 18 owns and operates a golf course in Humble, Texas (near Houston) and a golf course in Flower Mound, Texas (near Dallas). The partnership has merged into Tour 18, Inc., a Texas corporation. Tour 18 is a Texas limited partnership with its principal place of business in Humble, Texas. Sea Pines owns and operates Harbour Town Golf Links as part of its golf and tennis resort on Hilton Head Island. Sea Pines is a South Carolina corporation with its principal place of business on Hilton Head Island, South Carolina. Resorts is owned by Club Corporation of America, a company which owns and manages golf courses and clubs nationwide. Resorts owns and operates a golf resort in North Carolina that includes seven golf courses, numbered 1 through 7. Resorts is a North Carolina corporation with its principal place of business in Pinehurst, North Carolina. Pebble Beach *1527 owns and operates a golf and vacation resort in northern California, which includes five golf courses: (1) Pebble Beach Golf Links (2) The Links at Spanish Bay (3) Spyglass Hill (4) Peter Hay Golf Course (5) Old Del Monte Golf Course. Pebble Beach is a California general partnership with its principal place of business in Pebble Beach, California. After reviewing the evidence, the submissions of the parties, and the applicable law, the Court enters the following findings of fact and conclusions of law. This case was tried to the Court beginning on October 31, 1995, with final post-trial submissions filed by the parties on January 11, 1996. Specifically, Tour 18 claims that this lawsuit is frivolous and intended only to put Tour 18 out of business. All of Tour 18's counterclaims arise out of plaintiffs' actions in prosecuting this lawsuit. Pebble Beach asserts a claim for copyright infringement.ĭefendant Tour 18 asserts counterclaims against plaintiffs under Texas common law for unfair competition, interference with existing and prospective business relations, and civil conspiracy. Plaintiffs also allege claims under Texas law for common law unfair competition, conversion, civil conspiracy, and service mark and trade dress dilution under the Texas anti-dilution statute, Tex. seq., for service mark and trade dress infringement, unfair competition, and false advertising. Plaintiffs filed their complaint asserting causes of action under the Lanham Act, 15 U.S.C. ("Tour 18"), which operates a public golf course in Humble, Texas named "Tour 18." Plaintiffs allege that Tour 18's replication of their golf hole designs and use of their service marks in advertisements, promotional materials, and on its golf course signs, violate various provisions of federal and state law. ("Sea Pines"), brought suit against Tour 18 I, Ltd. Plaintiffs Pebble Beach Company ("Pebble Beach"), Resorts of Pinehurst, Inc. Cain, Arnold White & Durkee, Houston, TX, for Defendant Tour 18 I, Ltd. Knull, III, Mayer, Brown & Platt, Houston, TX, for Plaintiffs. Gambrell, Akin, Gump, Strauss, Hauer & Feld, Austin, TX, William H. Lucas, Lewis & Trattner, Washington, DC, James B. Texas, Houston Division.Īmended Order and Final Judgment November 6, 1996. PEBBLE BEACH COMPANY, Resorts of Pinehurst, Inc., and Sea Pines Company, Inc., Plaintiffs,
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