A Win for Equal Pay: The Third Circuit Court of Appeals Upholds A Law Designed to Address Wage Gap

JOANNA L. GROSSMAN

SMU Dedman School of Law professor Joanna L. Grossman comments on a recent decision by the U.S. Court of Appeals for the Third Circuit upholding a local law designed to address the wage gap. Grossman describes the landscape of equal pay law and the efforts some states and localities have made to address the inequity.

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Curry v. Revolution Laboratories, LLC

Docket: 17-2900

Opinion Date: February 10, 2020

Judge: Kenneth Francis Ripple

Areas of Law: Civil Procedure, Intellectual Property, Internet Law, Trademark

Curry, the founder of “Get Diesel Nutrition,” has paid for advertising for his products, including "Diesel Test," in national fitness magazines since 2002. In 2016, the defendants began selling a sports nutritional supplement, "Diesel Test Red Series." Like Curry’s product, the defendants’ product comes in red and white packaging with right-slanted all-caps typeface bearing the words “Diesel Test.” Curry alleges that he received messages indicating that customers were confused. The defendants concocted a fake ESPN webpage touting their product and conducted all their marketing online. In about seven months, they received more than $1.6 million in gross sales. At least 767 sales were to consumers in Illinois. After Curry demanded that the defendants cease and desist, both parties filed trademark applications for "Diesel Test." The Patent Office suspended both applications. Curry filed suit, alleging violation of the Illinois Consumer Fraud and Deceptive Practices Act, violations of the Lanham Act, 15 U.S.C. 1125, violation of the Anti-Cybersquatting Consumer Protection Act, filing a fraudulent trademark application, and violation of common law trademark protections. The district court dismissed for lack of personal jurisdiction. The Seventh Circuit reversed. Revolution’s activity can be characterized as purposefully directed at Illinois, the forum state, and related to Curry's claims. Physical presence is not necessary for a defendant to have sufficient minimum contacts with a forum state. Illinois has a strong interest in providing a forum for its residents to seek redress for harms suffered within the state by an out-of-state actor.

United States v. Guzman-Ramirez

Docket: 19-1960

Opinion Date: February 10, 2020

Judge: Per Curiam

Areas of Law: Criminal Law

A supplier hired Guzman-Ramirez and Gonzalez to import cocaine into Wisconsin. Gonzalez was to haul the cocaine to Chicago. Guzman-Ramirez would help remove the cocaine from a hidden compartment and, with assistance, bring half of the cocaine to Milwaukee and store it at Guzman-Ramirez’s house or auto-body shop. The supplier asked another associate (a DEA informant) to assist. During the Chicago meeting, Guzman-Ramirez expressed familiarity with the amount of cocaine and how the secret compartment worked. Because of complications, Guzman-Ramirez returned to Milwaukee without the drugs. The next day, officers searched the semi-trailer and removed 50.12 kilograms of cocaine. Guzman-Ramirez pled guilty to conspiracy to possess with intent to distribute five kilograms or more of cocaine, 21 U.S.C. 841(a)(1), 846. Gonzalez also pled guilty. A probation officer concluded that Guzman-Ramirez did not have an aggravating role in the conspiracy but that his role was significant. Guzman-Ramirez unsuccessfully sought a two-level reduction because he agreed only to transport and store the drugs and had no decision-making authority. Applying the safety-valve provisions (18 U.S.C. 3553(f)) resulted in a guidelines range of 87-108 months’ imprisonment; the court imposed a sentence of 72 months. A different judge sentenced Gonzalez to 48 months. The Seventh Circuit affirmed, rejecting arguments that the court should have applied a minor-role adjustment and that, compared to his coconspirator’s sentence, Guzman-Ramirez’s sentence was unreasonable. The court was not required to consider a sentence that had not yet been imposed.