District Court Reversed For Penalizing When Statute Says No Penalty.

Defendants were sued for false advertising, trademark infringement and cybersquatting under The Lanham Act [15 U.S.C. §1051 et seq.].  The statute states the sum awarded “shall constitute compensation and not a penalty.”  The trial judge doubled the amount of actual damages and the Ninth Circuit reversed, stating the district court apparently had an intent to punish.  Skydive Arizona, Inc. v. Cary Quattrocchi et al. (Ninth Cir., March 12, 2012) 673 F.3d 1105, [102 U.S.P.Q.2D (BNA) 1046; 2012-1 Trade Cas. (CCH) P77, 826].