Dairy Queen, Inc. v. Wood

Brief Fact Summary.

Plaintiff sought two injunctions and an accounting against Defendant for breach in the license agreement for the Dairy Queen trademark. Defendant sought a jury trial.

Synopsis of Rule of Law.

An issue involving legal relief, framed by the complaint as equitable relief, nevertheless establishes an entitlement to a jury trial.

Facts.

The owner of the Dairy Queen trademark (Plaintiff) brought suit against Dairy Queen (Defendant) for failure to pay royalties on the trademark license. In the suit, the Plaintiff requested an injunction to prevent Defendant’s continued use of the trademark, an injunction to prevent Defendant’s continued collection of money from the stores, and an accounting to determine the amount of money Defendant owed Plaintiff. Defendant requested a jury trial.

Issue.

Does an issue involving legal relief, brought in conjunction with claims for equitable relief, establish an entitlement to a jury trial?

Held.

Yes, the Defendant was entitled to a jury trial on the accounting claim.

Discussion.

The Court determined that the request for accounting under a claim for breach in the licensing agreement and trademark infringement was traditionally an issue involving legal relief. The language of the complaint, which frames the relief in terms of accounting, does not change the underlying nature of the action.