As we reported previously [AF 11/16], U.S. District Court Judge Terry J.
Hatter Jr. had ordered Disney to stop using its Go Network logo until after
a trial on the matter next year, agreeing with the plaintiff GoTo.com that
Disney's logo was confusingly similar to its own. Now however, it looks as
if the green and yellow traffic light logo of Disney's Go.com has gotten a
stay of sentence at least until December 19, 1999. Soon after the initial
ruling, a three-judge panel of the United States Court of Appeals for the
Ninth Circuit stayed the preliminary injunction issued by Hatter. The stay
suspends the initial order until an expedited appeal of the order is held
in December. That means Disney can use the old Go.com logo if it wishes.
However, Disney may give up on the logo considering the company has said it
will be hit with damages ranging from $2 million to $40 million if it loses
the logo in subsequent hearings. "The decision today is a procedural one
and not a ruling on the merits of the case," said attorney Pierce
O'Donnell, who is representing GoTo.com. "We are confident that when the
Ninth Circuit reviews the facts of the case, they will affirm Judge
Hatter's preliminary injunction order. We are pleased that the court has
agreed to the expedited schedule for hearing the facts of the case, as both
parties have recommended."