May 15, 2009
VOLUME 26 NO.05

THE MAGAZINE FOR MUSICAL INSTRUMENT AND SOUND PRODUCT MERCHANDISERS

 
 

   
 

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-Table of Contents
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FEATURES
America the Beautiful 2010 has been a good year for American patriotism. And we don’t just mean annual rituals such as the Fourth of July.
Not Doubting Thomas
Mendello Retires, Thomas Named Fender CEO
Former Guitar Center CEO Larry Thomas has a new gig: CEO at Fender Musical Instruments Corporation.
The ‘Spin’ on the DJ Market Whether your store carries a full line of DJ products, just a few or none at all, it’s hard to dispute that these products have carved a major indentation in the MI marketplace.
Music City Mystery Summer NAMM had many highlights, but attendance dropped 4 percent compared to last year. The future of the show is a topic on many minds.
The Canadians’ Club Changes galore took place at this year’s installment of the MIAC show in Toronto. The date changed to May. The location changed. Why were the adjustments made? Did the alterations work?
Floyd Rose Sued Geoffrey McCabe, an inventor and guitarist, has sued Floyd Rose Guitars and distributor Davitt & Hanser Music for patent infringement.
Pay It Forward! You’ve heard enough bad news. We take a look at the fantastic things happening in MI today.
-‘MIM is the Word The Musical Instrument Museum opened in Phoenix to a lot of fanfare. Rebecca Apodaca, an expert on antique instruments, gives you a rundown of the latest thing to hit MI.
-‘Loud and Clear Pro audio products continue to sell. We get the scoop from four top manufacturers.
-‘Open Door’ Policy NAMM makes a big change by allowing member-invited guests on the last day of Summer NAMM.
-Musikmesse A-107K! Attendance at Musikmesse and Pro Light + Sound dipped slightly, but optimism was up.
-It’s in the Cards ! You need to have PCI DSS-compliant terminals to handle credit card transactions by July 1. What are we talking about? Don’t worry, we’ll explain.
-Unplugged Acoustic guitar sales grew dramatically in 2009 and the beginning of 2010. Is this the beginning of a new trend?
-Head of the Class! We shine the spotlight on many of the new companies that launched at NAMM.
-Musicorp Mourns Mike Murphy We honor the sale rep’s life that ended way too soon.
-Is a New Healthcare Plan Just Snake Oil? We take a thorough look at how a new public healthcare plan can affect you and your employees. ?
-Bonanza! Behringer Buys Bosch Brands Behringer’s parent company added the Midas and Klark Teknik brands to its stable.
-The Stars Will Come Out…This Weekend We highlight a few of the celebrity appearances at NAMM.
-What A Long Strange Trip It’s Been!!! We reminisce as we close out the first decade of the new millennium. It was a tough 10 years for many. How about for the music industry though? What’s ahead?
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It’s Voting Time! Here are your nominees for the 24th annual Music & Sound Awards.
-Here We Come to Save the Day!!We provide a plethora of accessories that manufacturers assure you will provide excellent margins.
-For Those Who Make Lesser Publicized Instruments, We Salute You!!For the first time, we pay tribute to instruments and products that get little press coverage. We provide a well-deserved spotlight for these products!

-The Latest, Industry, Dealers, People and Product Buzz and Showcases.

COLUMNS
-The Music & Sound Independent Retailer: We bring back our popular Independent Retailer Round-table. Providing four pages worth of answers are Gordy Wilcher & Lisa Kirkwood.
-Five Minutes With: We lend our ears to Marty Garcia, Founder and CEO of Future Sonics.
-MI Spy: Spy makes a visit to New York City to check out stores in both downtown and midtown. Service has to be good to win over discerning New Yorkers, right? We’ll find out.
-Dan the Man: Dan Ferrisi, with the help of occasional strategically placed SAT vocabulary words, discusses the prospect that the industry may have lost luster since a promising and upbeat January NAMM show.
-Birth of a Product Two former PRS veterans combined forces to found Knaggs Guitars. The story behind the Maryland- based company, which debuted a line of products at Musikmesse.
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Sales Guru: Sales persistence pays off. Just ask Gene Fresco
-Veddatorial: Dan Vedda provides a can’t-be-missed Summer NAMM synopsis.


FORMIDABLE FEMALES

-Kathy How:Now here’s a story you don’t hear connected to MI every day. A woman who grew up in Cape Town, South Africa, studied medicine and later moved to England.
-Sarah Heil:We’ve all heard the stories about people beginning in the mailroom and later becoming the CEO of a major corporation. Those people are rare, but it does happen.
-Sue Avant is a trailblazer. She’s also someone who
has varied interests. And she is, indeed, formidable.

-Mary Ann Giorgio It sure sounds like a great job to cover soap operas like Days of our Lives and speak to celebrities on a daily basis. But MXL’s Mary Ann Giorgio was never comfortable in that industry. She sure is comfortable at MXL Microphones though.
-Fusion Bags For the first time, we feature multiple people in this column. We look at the genesis and growth of the all-women founded business, Fusion Bags.
-Linda Arink is one of the very few female executives at a DJ company. Learn how she became involved and why she hopes we won’t even need to have a column about top industry females in the future.
-Debbe Stephenson stumbled upon MI shortly after college, but is sure glad she did. She’s now president and COO of Pro Co Sound.
-• Mary Peavey
-• Jennifer Tabor
-• Tarina Dunwoodie
-• Stacey Montgomery-Clark.
-• Cathy Duncan
-• Bee Bantug
-• Dale Krevens
-• Melanie Ripley
-• Susan Grund
-• Toby Nady
-• Shawna von Behren.
-• Berenice Chauvet
-• Sue Kincade
-• Tish Ciravolo
-• Vikki Hayward
-• Roxana Ramirez
-• Susan Lipp


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Peavey, 16 Others Win Landmark Trademark Case Vs. Fender
[May 2009 - Page 1]

Peavey Electronics Corp.—as well as 16 other companies, including Stuart Spector, U.S. Music, Tradition Guitars, Schecter Guitar Research, ESP, and Saga—has won a landmark body shape case that could affect trademarks in our industry for decades to come.

The United States Patent and Trademark Office’s Trial and Trademark Appellate Board (TTAB) on March 25 rejected Fender’s belief that its Strat, Tele, and P Bass guitar body shapes should be trademarked. The TTAB said the body shape configurations are “generic,” meaning they are free for any other company to use. The TTAB added in a written statement: “[T]here is no evidence of record that from the first production of the guitars incorporating these shapes in the early 1950s until 2003, that [the] applicant or its predecessors in interest ever treated the outlines of the body shapes as trademarks. In fact, we may infer from the evidence of record that [the] applicant and its predecessors themselves did not view them as trademarks. [Fender] never policed the body shape, only the words marks and headstock profiles. In addition, [Fender] never claimed trademark rights in the body outlines publicly through, for example, the catalogs, until 2004.”

“It’s a substantial victory for the opposers specifically, and for the guitar industry as a whole,” said Ron Bienstock, attorney with Bienstock & Michael P.C., who represented the companies against Fender. “It’s a complete unequivocal victory.”

Fender had argued before the TTAB that its body shapes had reached iconic status and the body shapes were recognized by consumers as coming from a single source. However, the TTAB rejected that claim, saying, “After an exhaustive review of the record, we conclude it does not support a finding of acquired distinctiveness.”

Fender surveyed many customers visiting music instrument stores in an attempt to prove the body shapes are of iconic status however. But, according to the TTAB, the survey was flawed for several reasons, and in its ruling said, “[A]t most, this survey may indicate that a certain percentage of the respondents associate these shapes historically with [Fender] or [Fender] is the most well-known manufacturer, but not that the shapes connote a single source.”

Said Peavey Electronics founder Hartley Peavey: “My opinion is you cannot change history with threats and bluster.”

Fender issued the following statement: “Fender Musical Instruments Corporation (FMIC) is disappointed with the recent decision by the Trademark Trial and Appeal Board of the USPTO that refused registration of the two-dimensional outlines of three FMIC guitar and bass body designs. FMIC continues to believe that the extensive evidence it submitted during the course of this lengthy case was more than sufficient to establish that consumers associate FMIC being the source of these designs and thus are entitled to registration.  FMIC is reviewing the decision and is evaluating its alternatives, including, but not limited to appealing the decision. FMIC will also continue to actively monitor and protect all of its trademarks and other intellectual property, in the U.S. and internationally, and will take appropriate actions, as necessary.”   

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