Supreme Court refuses appeal in TM $36M Sanction Case

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TM $36M Sanction Case

The U.S. Supreme Court has declined to hear the appeal of Gary Topolewski, who contested a $36 million sanction imposed on him and several associated companies in a high-stakes trademark dispute. The justices announced their decision on Monday, leaving intact the Ninth Circuit’s ruling.

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TM $36M Sanction Case : Topolewski’s Argument

Topolewski challenged the Ninth Circuit’s reliance on the district court’s “inherent authority” to issue sanctions for discovery violations. In his March certiorari petition, Topolewski pointed to Supreme Court precedent, arguing that district courts must adhere strictly to Federal Rule of Civil Procedure 37, which provides specific protections against sanctions.

Underlying Case and Sanctions

The original lawsuit was filed by URS Holdings Inc. against Topolewski, four other individuals, and several corporations. URS Holdings, a Fortune 500 company formerly known as AECOM, claimed the defendants attempted to acquire the trademark for Morrison Knudsen, a defunct civil engineering company URS had purchased.