Cheekwood Botanical Garden and Museum of Art and SB Initiative Inc. are finalizing an agreement to resolve their monthslong legal battle.
According to a document filed in the federal court overseen by U.S. District Judge Eli Richardson, the two parties late Monday submitted a joint notice of settlement, in which they state that they have reached an agreement in principle related to the ownership of the annual Swan Ball event’s trademark.
Relatedly, U.S. Magistrate Judge Barbara Holmes has agreed to cancel a court hearing scheduled for Oct. 18 and related to the case’s preliminary injunction motion. Holmes has given the two parties a Nov. 15 deadline to either file to dismiss the case or to update the court on progress related to the settlement.
Attorneys for both Cheekwood and SBI submitted a joint statement to Richardson on Oct. 14, with the minute entry for proceedings related to the effort referencing a 10.5-hour mediation that resulted in a "settlement in principle." However, the court document referencing that settlement is unclear as to details.
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The move comes after Richardson in September explained his ruling that SBI, which oversees the Swan Ball, had to date “provided sufficient evidence” of its claim to ownership of the annual event’s trademark.
Cheekwood contends it established and has owned the Swan Ball since 1963, when the gala was first held on the nonprofit's Swan Lawn. Relatedly, Cheekwood claims it has owned the Tennessee trademark registration for Swan Ball since July 2004. The event has generated more than $37 million in support of Cheekwood since 1963.
SBI on July 8 sued Cheekwood to take control of the event, alleging that Cheekwood had wrongly attempted to wrest Swan Ball operations from the group. Cheekwood later countersued SBI, claiming the entity does not have ownership of the event or its trademark. The nonprofit has been critical of Swan Ball organizers, contending the event falls short of national charity standards related to healthy financial ratios. SBI has argued that it owns the trademark and that financial ratios should not be considered a legal matter.
Maia Woodhouse, an Adams and Reese attorney representing Cheekwood, could not be reached for comment. Chanelle Acheson, a Waddey Acheson attorney representing SBI, declined comment.
This article was first published via our sister publication, the Nashville Post.
