William Keeton Enterprises, Inc. v. A All American Strip-O-Rama, Inc.

This is an appeal from an order entered July 21, 1994, enjoining defendants from using or doing business as “A All American Strip-O-Rama” and/or “Strip-O-Rama/A All American”; ordering them to disconnect and terminate use of all telephone numbers listed under those names and imposing sanctions of $500 per day for violation of the order; and imposing attorneys’ fees on defendants as sanctions for their breach of “the ... settlement agreement and Stipulated Judgment and Permanent Injunction.”

The district court had subject matter jurisdiction under 15 U.S.C. § 1121 and 28 U.S.C. § 1338 (a). We have jurisdiction under 28 U.S.C. § 1292 of this appeal from an order granting an injunction.

We vacate and remand because the district court lacked jurisdiction under Kokkonen v. Guardian Life Ins. Co., — U.S. -, 114 S.Ct. 1673 , 128 L.Ed.2d 391 (1994), to enforce the settlement agreement that ostensibly provided the basis for its order. Further, even if the district court’s order had satisfied Kokkonen , the record indicates that the parties never reached an enforceable settlement agreement. Finally, even assuming that the parties had reached agreement on the terms of a settlement…