Central District of California federal judge David O. Carter dismissed MGA Entertainment Inc.’s claims that Mattel Inc. attempted to sabotage its Bratz doll line, ruling that MGA’s lawsuit against Mattel relied on the same factual allegations that were raised during a 2010 trial resolving an intellectual property dispute over the Bratz doll line. The new claim was therefore barred by the doctrine of res judicata.
MGA may appeal because its Bratz doll has been unable to gain a foothold in the fashion doll market, where Mattel maintains a monopoly with the Barbie doll. MGA claims Mattel employed a so-called “Kill Bratz” strategy, including using false identification to access MGA showrooms and get an advance look at the latest Bratz products before they were available in stores; imitating Bratz television commercials; tampering with Bratz window displays at Wal-Mart and Toys R Us stores; and illegally undercutting rival MGA products.
MGA and Mattel have been feuding over trade secret and copyright infringement claims concerning the Bratz doll, which Mattel claims was originated by its toy designer Carter Bryant who left Mattel for MGA. Those claims have been tried to a $100 million jury verdict, which was vacated by the Ninth Circuit, and a $311 million award by Judge Carter, which is currently under appeal. In dismissing the later antitrust lawsuit, Judge Carter ruled that claims about Mattel’s alleged attempts to drive Bratz dolls out of the market and undermine MGA during the litigation should have been brought in the earlier lawsuit.