GHAC-CITYWALK

ORDER GRANTING PLAINTIFF’S MOTION FOR PRELIMINARY INJUNCTION

Plaintiffs Motion for Preliminary Injunction came before the Court on September 9, 1996. After reviewing and considering the materials submitted by the parties and hearing oral argument, the Court grants Plaintiffs Motion for Preliminary Injunction.

I. BACKGROUND

Plaintiff Hollywood Athletic Club Licensing Corporation (“Hollywood”) owns several federally registered trademarks (collectively, the “Marks”) that primarily relate to the right to use the name “Hollywood Athletic Club.” Hollywood is in the business of licensing the right to use the Marks. Hollywood also uses the Marks in connection with its own business, a restaurant in Hollywood, California, known as the “Hollywood Athletic Club.”

Defendant GHAC-CityWalk (“GHAC”) is a California limited partnership that licensed the right to use the Marks under an agreement (“Agreement”) with Hollywood. Defendant Andrew Galef is the president of GKH Corporation, the general partner of GHAC.

The Agreement, executed on May 23,1993, granted GHAC a license to use the Marks in connection with the operation of a billiard parlor, restaurant, and drinking establishment located at…