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Questions about the Arizona Suits

KjAthena

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to prevent further hijacking of the loudkaraoke.com thread I have started this thread.
01earniemac had posted that the suit against him was dismissed.
I seemed to remember him stating he had settled and asked him to post further details.
He did not reply.
I re-read all of his prior posts from his home page here.
In a number of his posts he states he SETTLED with SC
Kurt even replied to a number of his posts and appeared to talk about there being terms of a settlement.
If he settled it is my opinion that of course the lawsuit against him would be dismissed.

Please discuss
 
Very valid point, if he settled there was no law suit, and i definitely do not appreciate the spreading of mis-information. Ernie, Please explain how you settled already and now had the case dismissed????


KjAthena said:
to prevent further hijacking of the loudkaraoke.com thread I have started this thread.
01earniemac had posted that the suit against him was dismissed.
I seemed to remember him stating he had settled and asked him to post further details.
He did not reply.
I re-read all of his prior posts from his home page here.
In a number of his posts he states he SETTLED with SC
Kurt even replied to a number of his posts and appeared to talk about there being terms of a settlement.
If he settled it is my opinion that of course the lawsuit against him would be dismissed.

Please discuss
 
Good morning,

I was receiving my business mail at a recording studio (renting space from a friend). My friend closed the studio back in November of last year and I never received the court papers. As I stated, I just found out myself about the dismissal 2 days ago. I was contacted by another defendant here in Arizona (Dan Dan the Taxi Man) and he asked the same question, "Why did you enter a settlement after you won?" I had no idea until that moment. Yesterday I attempted a call to their attorney Mr. James Harrington but all I could do was leave a message. I am asking the same questions myself. Mainly, why did Mr. Slep or his attorney not say anything to me concerning this decision of the court to grant my motion to dismiss back on November 17th of last year. It is my understanding that it was done "With Prejudice" and supersedes any further actions between both parties including any settlement which also must be approved by the court. I was wondering why the court was taking so long to approve the settlement and why the plaintiff required payment so soon. I am not an attorney and the legalities are a little fuzzy at the moment. Apparently the court did not receive my new forwarding address and has chosen to ignore the settlement. The case now has only 2 defendants reaming and it has changed hands to a 2nd Federal Judge and then only 4 days later, it was passed on to another Federal Judge. The 1st initial appearance for the remaining 2 defendants is set for the 24th of Feb. I will be there to observe only. Perhaps I could be sued for breach of the agreement but the truth is that I have fallen on hard times financially and I couldn't pay even if I wanted to. I wrote an e-mail response stating this to their attorney last week and I also stated that they could publish it if they choose to. That being said, I met with Mr.Slep last year when he personally gave me the CDG-s that were originally sent to his detective here in Phoenix, I insisted they should be sent to me directly as stated in the settlement agreement. I understand and respect Mr Slep and what he is trying to do. I have always maintained the quality of Sound Choice is great. Over 13 years I have purchased over 7,000 karaoke disks and more than half are Sound Choice. The hard financial times I am dealing with are due mainly because of piracy and unfair competition. I never wanted to become an informant for Mr. Slep but I find myself slowly pointing it out more and more. I did not want Sound Choice endorsements after the way I was treated by them. I do however understand the problem. I simply do not agree on the methods they use and how I was treated.
 
I do not intend to be mean in this post but something does not seem right about this story and
I think everyone here should dig a bit deeper before accepting this at face value. I have read
every post Ernie has made here a few times and bring the following up for discussion

Ernie on 8-29-2010 at 4:04 pm post #506 YOU STATED
"I cannot say much here except to read my earlier posts before I settled (if they are still
available)."
In your most recent post you state "It is my understanding that it was done "With Prejudice"and
supersedes any further actions between both parties including any settlement" The key words here
are "my understanding" and "supersedes any further actions"

If the suit was dismissed on 11/17/2010 and you settled before 8/29/2010 per your statement.I
think you will find your agreed upon settlement would take legal precedence.

Since you admit "the legalities are a little fuzzy at the moment" I will ask a couple of questions

Was your"motion to dismiss" granted or was the suit dismissed for another reason ?

Have you spoken with your/an attorney since getting this secondhand information ?

In a post on 4/19/2010 at 1:09 pm
you list "several reasons" you got in trouble including

1 Ex KJ's that were fired bad mouthing you ....I can buy that.
2 not differentiating between DJ and KJ shows.... I can buy that.
3 I can even strech to understanding not taking down an old website
4 I do have a bit of a bit of a hard time swallowing promoting
sub-contractors that branched off and created their own companies but I'll
even give you a pass on that one too.
5 "a critical error"in using the same books for "diffrent systems" and rotating song/cd's
"towards the venues where they most popular" As a Profesional KJ this does not
ring true to me...how many KJs want to have to tell a singer they do not have songs
listed in their book on a regular basis ?

I doubt many here can swallow the "critical error" story. but I will leave this for everyone to
decide for themselves

BTW...you stated SC thought you had 7 systems and the lawyer 12
how many systems do you admit to having at the time of your being named ?

I do have empathy about the "hard times" you are now having to navigate and understand
you do not care for the "bitter medicine" you are now having to take. This is not intended
to be an attack but to clarify the issues at hand.
Say what you mean and mean what you say.
 
I have to ask, Where was your attorney thru all of this? Surely he/she would have been in constant contact with the legal process as it moved along. Your attorney would have a way to contact you on this legal matter.

For clairification, did you settle with SC then choose to return to court to have the settlement thrown out or why did it continue to the court?

At least it has been now dropped.

And the moral to this story is................................................
 
I have a question. What was the basis for your motion to dismiss\? In other words, What reason did you give the court to ask them to dismiss? Thanks again for posting here!
 
OK, more to come... Meanwhile, after at least two years, SC has still to actually go to and WIN a case in court, and I still don't believe they ever will.

Ernie notes that the court decided to ignore the settlement. THAT is the key. If that's the case, then it IS a court loss for SC, and sets a precedent.

Can any of you non-Luddites find a source for documentation? That would put an end to the speculation...

BTW- My thanks to Ernie either way for being here, because I believe that the iformation from this case is crucial to all of our businesses.

BTW- an answer for Diafel's question MIGHT be this, from another of Ernie's posts:


"Defendant argues the methodology employed by the Plaintiff for sighting Trademark infractions is flawed, bias, and self-serving. No attempt is made to control significant variables as a controlled study. The methods employed in no way demonstrate proper empirical research methods and therefore, any resulting conclusion or claim of trademark infringement is nullified and unsupportive.
Given these facts, this lawsuit is unwarranted and wasteful of the Court’s time and taxpayers’ money."


I also keep in mind that Ernie had the ownership of his 7,000 discs witnessed AND notarized, and that SC refused to audit him, and this may have come up in the case as well, which mayalso be why the settlement was ignored by the court.


More research is definitely required.
 
sorry but we must await clarification from Ernie

Joe state "Ernie notes that the court decided to ignore the settlement. THAT is the key."
but what he said was "Apparently the court did not receive my new forwarding address and has chosen to ignore the settlement." a horse of a diffrent color.

It is my opinion that as stated Ernie received a call from Dan Dan the Taxi Man and came to a bunch of conclutions(sp?) without having spoke to any legal counsel. When I look at what he has posted and apply logic things do not add up,

as you have said "More research is definitely required."
 
I am sorry I could not transfer the original PDF file of the court document. I also tried to convert it to a Word format but I am having difficulty doing this. The Court Document states the following:

Order entered by Judge Mary H. Murguia on 11/17/10. On October26,2010, this Court issued an Order directing Plaintiff to show good cause why it had failed to respond to Defendant Ernest McCullars Motion to Dismiss (Doc. 64). In that Order, the Court stated that the Defendants Motion to Dismiss would be summarily granted pursuant to LRCiv 7.2(i) should Plaintifffail fail to show good cause within 10 days of the Courts Order. The deadline has passed and Plaintiff has not responded in any mannor whatsoever to the Courts Order. Accordingly, IT IS HEREBY ORDERED granting Defendant Ernest McCullars Motion to Dismiss.(Doc. 56)
 
Ernie,

What people want to know is: "did you give SC any money or buy additional discs - irrespective of what happened with the court?" Did SC ultimately get what they wanted without having to press a case in court?

BTW: Summary dismissals for lack of response do not establish any precedent. They are often technical rule violations that often result in the plaintiff's loss of standing with that particular defendant (prejudice).

At best, it simply shows that SC is often not actually prepared to present a case. If a continual pattern of summary dismissals develops as a result of failures to respond or lack of cause, they could eventually be barred from bringing further (nuissance) actions of this kind.
 
01erniemac said:
I am sorry I could not transfer the original PDF file of the court document. I also tried to convert it to a Word format but I am having difficulty doing this. The Court Document states the following:

Order entered by Judge Mary H. Murguia on 11/17/10. On October26,2010, this Court issued an Order directing Plaintiff to show good cause why it had failed to respond to Defendant Ernest McCullars Motion to Dismiss (Doc. 64). In that Order, the Court stated that the Defendants Motion to Dismiss would be summarily granted pursuant to LRCiv 7.2(i) should Plaintifffail fail to show good cause within 10 days of the Courts Order. The deadline has passed and Plaintiff has not responded in any mannor whatsoever to the Courts Order. Accordingly, IT IS HEREBY ORDERED granting Defendant Ernest McCullars Motion to Dismiss.(Doc. 56)



I have a Pacer account and can't seem to locate this. What is the Case/Docket Number?
 
Proformance yes per his own prior posts he settled and made payments on the settlement. Reading all of his posts from his page here gives a very understandable timeline. April first posts and requests input on his defence...july settled....jan 2011 stated he won

Bazza glad I wasnt the only one to not find it,,,,I am very interested in reading it as well
 
I'm interested in what was the reason for his motion to dismiss. WHat argument did he present that SC failed to respond to?
 
Ernest McCullar
5025 S. Ash Suit B-1
Tempe, Arizona 85202
Wiredforsound.1@juno.com
(602) 413-7025
Defendant Pro Se

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF ARIZONA

Slep-Tone Entertainment ) Case No. CV091462 PHX MHM
And )
Sound Choice Studios Inc. )
Plantiff )
)
Vs. )
)
Ernest McCullar dba Wired For Sound, )
Et all )
Defendant )
__________________________________)

Motion to Dismiss


Defendant Ernest McCullar respectfully presents the following facts and statements as a Motion to Dismiss.
For many years, defendant has purchased, advertised, endorsed and prioritized Plaintiffs’ karaoke CDGs. Defendant instructed his host to play Sound Choice as first priority above other manufactures or different versions of the same song unless the singer specifically requested a different manufacture. Today, this is no longer the case as the plaintiff continues to effectively destroy the goodwill they have worked so hard to build on a national level. During the past year, Plaintiff has filed 5 Federal Lawsuits against well over 100 service providers and venues they believe to have deep pockets, with the boosting claim that they are just getting started. Piracy does exist and it is blatantly advertised daily on the Internet, along with e-mails and phone numbers for easy contact. On any given day, at least a dozen can be found on Craig’s List in the Los Angeles area alone. Why then are they not the target of Plaintiffs efforts to “level the playing field”? The reason is money. Why was I selectively chosen and labeled as a pirate with demands to pay $40,000 in settlement, yet Plaintiff has never seen or asked to see any one of my 7,000 karaoke disks? Again, the answer is money! Defendant is willing to present to this Court at any time all karaoke CDs and songbooks for each system. Defendant is willing to do all shows directly from original CDGs, without computers while this case is active. Defendant is willing to do all shows without Sound Choice at all. Defendant would rather sell off all Sound Choice CDGs and purchase karaoke CDGs from Stellar Records with the Courts Permision.



1.) Grounds For Dismissal


Technically, the Plaintiff no longer derives any significant income from manufacturing karaoke disks. They are now primarily in the business of churning out multiple Federal lawsuits and profiteering from threats and intimidation. These profits begin almost immediately after the legal papers are filed. There is no need for conclusion or final settlement. There is no need for this lawsuit to ever come to the light of a courtroom. As long as it is active, this lawsuit is a money machine that keeps generating profits for the Plaintiff. By filing a few papers in 5 Federal lawsuits, paying some small fees and making unproven accusations of trademark infringement over 100 times in less than a year, Plaintiffs have effectively cast a large financial net, “fishing” and creating a money stream through legal threats and intimidation. This is not justice; it is an abuse of our legal system for financial gain.

2.) Circumventing U.S. Copyright Law

Plaintiff opened their Australian website to sell karaoke songs via the Internet. The Sound Choice Library has 4,000 more songs available on this website than on their USA library. They cannot sell these files legally in the United States without violating U.S. copyright laws, however, it isn’t illegal to sell them via the Australian website. Plaintiff has dirty hands because sales of these files cheat the artists and publishers who legally own the copyrights. Plaintiff presents themselves as a manufacture fighting hard against piracy when in reality they are setting up operations in Australia to circumvent U.S. copyright laws; “Calling the kettle black” as the saying goes.





3.) Abuse of Copyrights Are Also An Abuse Of Trademark


How many illegal tracts has Sound Choice distributed to the unknowing public? In the past, Sound Choice would manufacture and distribute karaoke CDs with only assumed or verbal consent, as was the case of the Eagles SCSP8125. Defendant legally purchased this and many other Sound Choice disks in which the rights have expired for the Plaintiff, yet the Eagles CD is and always has been illegal. No rights were ever granted, yet the logo or trademark is displayed on the CD, the jewel box, and every song track contained within that CD. (Sound Choice CDs of Alanis Morissette have also been pulled off the shelves while Defendant was shopping in a karaoke store in Phoenix.) Recently in a public web-site “DJ Talk” Mr . Kurt Slep warned Defendant Ernest McCullar that I had better own 10 of these illegal disks to protect myself in this lawsuit; asserting incorrectly that I had 10 rigs and he had every right to sue me for displaying his trademark on the graphics of each song track. Defendant Ernest McCullar has the right to see the contracts granting Sound Choice the rights to every single tract that they are claiming damages for in this lawsuit. Without a thorough examination of the Defendants’ library beforehand and a cross-comparison to identify specifically which disk is unaccountable for the song associated with accusations of infringement, the Plaintiffs’ claim is strictly a matter of opinion and baseless of any wrongdoing.
Unlike many other industries, karaoke disks require that both the copyrights and trademarks to be co-dependent in a symbiotic relationship. Both are necessary for a karaoke disk to be legally valid as in the case of the Eagles SCSP8125. They cannot function separately.

“It is essential to the existence of a trademark that it be attached or affixed to a vendible commodity; indeed, a trademark does not exist apart from the particular article or goods on which it is used. It must have a practical or operative existence, and in the strict sense of the term it is applicable only to a vendible article on which it is in some manner affixed or represented as a symbol to indicate the origin or ownership on the article on which it is placed.” –74 AM JUR 2d, 711

As illustrated in the example above (SCSP 8125), copyrights act as the actual “content” of a karaoke disk, which is a necessary component to give validity to the trademark. They cannot be separated as with SCSP8125 “The Eagles”. Mr. Slep has no standing to sue me or any other defendant for displaying his logo trademark from the Eagles disk SCSP8125 when they do not own the copyrights and never have. The legal definition of trademark requires it be affixed to the article or content to show the origin of the product and to protect the public from any type of confusion. Without the copyright, the trademark means nothing.
An abuse of the copyrights is also parallel and an abuse of the trademark as well. Defendant is entitled to see original dated agreements by Sting Ray Records allowing Sound Choice use of the copyrights to launch 5 Federal lawsuits to give validity to the trademarks.
Plaintiff sold all but 49 tracks to Sting Ray Records in 2007. As an attorney the legal department of Sting Ray Records Ms. Annie J. Francoeur informed Defendant in October 2009, that no agreements were in place between Sting Ray and Sound Choice allowing any use of the copyrights.
“… I wish to re-confirm that there is no deal in place between Stingray and Sound Choice regarding the possibility for Sound Choice to claim copyrights on the content they sold to us in 2007.”… “Stingray has indeed purchased all music rights from Sound Choice in 2007 and now owns and/or controls all related copyrights. Sound Choice therefore has no right or authority to claim or sue any third party for copyright infringements, and is certainly not acting on Stingray’s behalf in this regard. On 3/02/10 Ms. Francouer changed her position 180 degrees most likely because Vice President of Sting Ray Records is Derek Slep and he most likely reprimanded her for responding to Defendants’ inquiries. Her new response now admits a “deal in place”. The 1st e-mail was straightforward and truthful; no deal of loaning copyrights was in place. Without the copyrights, the Sound Choice trademarks were absent of content rendering the trademarks invalid when Sound Choice conducted their investigations on March 27th of 2009.


4.) Abuse Of Our Legal System


Plaintiff sent Ernest McCullar an e-mail literally bragging how he was going to abuse the legal system by placing an injunction against Ernest McCullar preventing use of computers and the implication of having Plaintiffs’ local contacts take over Defendants’ karaoke shows as a reward for their service as local representatives of Sound Choice, namely Eric Godfrey, owner of Starz Productions, Alan Malarky owner of AAA Entertainment, and Bobby Brooks owner of UR Entertainment. Plaintiff continued to brag how he would then begin churning the attorney of Ernest McCullar with meaningless requests during the disclosure phase of this lawsuit “…so there goes the meter”. At $400 per hour, Defendant cannot afford an IP attorney and financial churning abuse on the part of the Plaintiff.



Methodology


Plaintiff solicited the assistance of 3 the largest karaoke service providers in Arizona to act as informants. All 3 are in direct competition with Defendant. These “informants” were promised an enticing reward for their participation. Defendant would most likely loose one or more karaoke venues under the negative stigma of a Federal lawsuit allowing Plaintiffs’ “informants” to take over the venue as a significant financial reward for their service. As the largest karaoke service providers in Arizona, these “informants” also claim Sound Choice endorsements and association, claiming the rightful cause of putting karaoke pirates out of business. Once the accused Defendant looses his venue, the “informants” can take over the venue offering Mafioso Protection to the bar and restaurant owners that they will no longer be harassed with threatening letters targeting their liquor license. They will no longer be threatened with exorbitant fines (of hundreds of thousands of dollars) from Sound Choice.
Most importantly concerning the issue of methods employed by the Plaintiff, Nation wide, nearly every karaoke show provides a means for singers to bring their (legally purchased) personal karaoke CDs to shows and have the host play them from the karaoke rig. The singer may feel more comfortable using their own CD they have practiced singing at home. Given the circumstances that the Plaintiff and his “informants” have their own personal interest to eliminate or discredit their competition, what would prevents any one of these “informants” or employees of the “informants” from approaching the Defendants’ host unknowingly, and requesting him to play a rare Sound Choice CD or one disk containing songs that are not in the hosts’ songbook. It is therefore impossible for any Defendant to protect himself from accusations of Trademark Infringement given this methodology employed by the Plaintiff.
Defendant argues the methodology employed by the Plaintiff for sighting Trademark infractions is flawed, bias, and self-serving. No attempt is made to control significant variables. The methods employed in no way demonstrate proper empirical research methods and therefore, any resulting conclusion or claim of trademark infringement is nullified and unsupportive.
Given these facts, this lawsuit is unwarranted and wasteful of the Court’s time and taxpayers’ money. Defendant Ernest McCullar respectfully submits this motion for dismissal, 5/17/10.








Copies of this document will be mailed to:
James Harrington, attorney for the Plaintiff.
James Gary Linder
Esteban Escobedo
DanielLouis Leimone
 
Well, I can see why SC never bothered to respond. If they had, a precedent (on several levels) would have surely been set. One which doesn't exactly show the plaintiff in good light.... (goodbye extortion tactics!).
Wish everyone would file a motion like this. Perhaps then SC would go back to the drawing board and do things the RIGHT way.
 
Found it. Case number above is incorrect. Case number is: 2:09-cv-01462-HRH

It could be that SC let it lapse simply because he had already made settlement payments.


Here are the pertinent entries:

05/21/2010 56 MOTION to Dismiss Party Ernest McCullar by Ernest McCullar. (SAT) (Entered: 05/24/2010)

05/21/2010 57 AMENDED DOCUMENT by Ernest McCullar. Amended Answer to 36 Answer to Complaint re 1 Complaint. (SAT) (Entered: 05/24/2010)

07/20/2010 62 ORDER entered by Judge Mary H. Murguia on 7/20/10. The Court is in receipt of Plaintiff Slep-Tone Entertainment Corporations Motion to Dismiss Counterclaim [of Defendant Ernest McCullar] Under Fed.R.Civ.P. 12(b)(6) and Reply to Counterclaim. (Doc. 39). Because Defendant Ernest McCullar has filed an Amended Answer, which does not appear to include counterclaims, IT IS HEREBY ORDERED denying as moot Plaintiffs Motion to Dismiss Counterclaim Under Fed.R.Civ.P. 12(b)(6) and Reply to Counterclaim. (Doc. 39).The Court is also in receipt of Plaintiff Slep-Tone Entertainment Corporations Motion for Leave to Amend Complaint. (Doc. 45). Plaintiff seeks leave to amend to set forth the correct names of four Defendants whose names were stated incorrectly or omitted from the original Complaint. Finding good cause therein and noting that Plaintiffs motion is unopposed, IT IS HEREBY ORDERED granting Plaintiffs Motion for Leave to Amend Complaint. (Doc. 45). [This is a TEXT ENTRY ONLY. There is no.pdf document associated with this entry.] (KSP) (Entered: 07/20/2010)

10/26/2010 64 TEXT ONLY ORDER entered by Judge Mary H. Murguia on 10/26/2010. After a review of the file in this matter, the Court notes that Defendant Ernest McCullar filed a Motion to Dismiss on May 21, 2010. (Doc. 56). Pursuant to LRCiv 7.2(I), if a party does not file a responsive memorandum to a motion, the Court may deem that non-response as consent to the granting of the motion and the Court may dispose of the motion summarily. Plaintiff has not responded to Defendants Motion to Dismiss. Accordingly, IT IS HEREBY ORDERED that Defendants Motion to Dismiss will be summarily granted 10 days from the filing of this order if Plaintiff fails to show good cause before that date for its failure to respond to Defendants Motion. This is a TEXT ENTRY ONLY. There is no PDF document associated with this entry. (BAH) (Entered: 10/26/2010)

11/17/2010 69 ORDER entered by Judge Mary H. Murguia on 11/17/10. On October 26, 2010, this Court issued an Order directing Plaintiff to show good cause why it had failed to respond to Defendant Ernest McCullars Motion to Dismiss (Doc. 64). In that Order, the Court stated that Defendants Motion to Dismiss would be summarily granted pursuant to LRCiv 7.2(i) should Plaintiff fail to show good cause within 10 days of the Courts Order. The deadline has passed and Plaintiff has not responded in any manner whatsoever to the Courts Order. Accordingly, IT IS HEREBY ORDERED granting Defendant Ernest McCullars Motion to Dismiss (Doc. 56). [This is a TEXT ENTRY ONLY. There is no.pdf document associated with this entry.] (KSP) (Entered: 11/17/2010)
 
Thank you both for the black and white of it. to continue the discussion, Ernie made a very solid sounding case against the SC action. i am obviously not a attorney, but to me sounded solid. to the point that it made me wonder, what power is left to go after the pirates? No manu has "clean hands" according to the definition of it, trademark seems to be going farther and farther away from being a viable option, copyright has been pushed aside by the agencies capable of going after it, can't go after the HD sellers, can't punish those buying and using them, whats left? even the luddites, you can buy CDG capable CDR from GC for $0.10 a piece and dupe a whole library for the price of a HD and be disc based and under the same rules, untouchable. we are seeing more and more of what CAN'T be done about it, but any ideas on what CAN be done? where do we go from here?
 
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