Fly on the Wall

It’s Good To Be The King

And owning the rights to his name isn’t half-bad either, particularly when litigation is involved.

Last Thursday, a New Orleans appeals court ruled in favor of Elvis Presley Enterprises in a 4-year-old trademark dispute with a Houston bar known as “The Velvet Elvis.”

The judgment reverses part of a 1996 district court ruling that upheld EPE’s claims of trademark infringement and unfair competition with regard to the bar’s advertising and promotion – which, prior to the case, regularly featured images of Presley along with phrases associated with the King – but, in a rare loss for EPE, not with regard to “The Velvet Elvis” name itself. In that decision, the court ruled that there was no basis for consumer confusion since, once in the bar, it was clear that it was not an officially sanctioned tribute, but was instead a parody.

Thursday’s decision, on the other hand, ruled that parody is not a sufficient defense against claims of trademark infringement and found that the name was sufficient to cause consumer confusion and therefore violate EPE’s trademark.

Indicating how tightly EPE holds the reins on Presley’s name and image, the decision was handed down despite the fact that bar owner Barry Capece has held a service mark registration for his bar’s name since 1993.

Goofus In Gallatin

Late last month, the News-Examiner newspaper in Gallatin, Tennessee, lost a $950,000 libel verdict for an incident last February, reported here, involving a fake quote that a reporter inserted into a story as joke, expecting it would be removed by his editor. It wasn’t. To recall, the fake quote claimed, among other things, that a high-school soccer player engaged in sodomy with donkeys. The quote was attributed to the player’s coach. The player and coach were awarded $800,000 and $150,000. respectively.

So how did the mistake happen, anyway? According to a report in the May2nd issue of Editor & Publisher, a newspaper trade magazine, the sports editor testified that he never saw the quote because he only edited half of the story, because editing the other half would have forced him to miss a deadline. E&P further reports that management felt the editor’s real mistake was “his failure to do a spell-check, which would have flagged the words ‘dicks’ and ‘shit.’”

Verbatim

“There’s plenty of money for me. / Plenty of money for me. / Plenty of money. / Plenty of money. / Plenty of money for me.” – from Offbeat Prayers for the Modern Mystic by local “minister, speaker, writer, metaphysical teacher, rebirther, and counselor” Anne Sermons Gillis, MS. This particular song for “enlightenment and fun” is titled, appropriately enough, “Plenty of Money,” and is meant to be sung to the tune of “Happy Birthday.” For further enlightenment and fun, see page 37.

City Reporter

Activists Act Up

The disability-rights group ADAPT demonstrates in Court Square.

As disability-rights activists filled Court Square Sunday dressed in T-shirts emblazoned with the ADAPT logo – a person in a wheelchair breaking free of the shackles on his wrists – the message to legislators was very clear: Free your minds.

About 500 national ADAPT members chose Memphis for their four-day protest because they claim Tennessee is one of the 10 worst states for providing home- and community-based care options. Traditionally, many states hold an overriding nursing-home mentality and resist paying for the type of long-term care that would allow disabled individuals to remain in their homes.

“If we could just take 25 percent of the money spent on nursing homes and push it toward community-based services, we could be living at home like normal people,” says Dennis Jackson, who traveled to the event from Topeka, Kansas.

More than 42,000 people live in institutions in Tennessee, and many of them could be cared for in their own homes if some of the money was redistributed. ADAPT, which stands for American Disabled for Attendant Programs Today, wants national legislation that would require it.

Sunday’s event was peaceful, full of speeches that were delayed briefly because the electric wheelchairs interfered with the sound system. On Monday, the group carried its protest to Gov. Don Sundquist’s Memphis office, staying inside and outside the state building downtown all night. The building was closed Tuesday. – Jacqueline Marino


Healing Center Breaks Ground

At 10 a.m. on May 18th, the Church Health Center will break ground on its long-awaited Hope and Healing Center. But the term “ground-breaking” is a bit misleading. The building exists already – it’s the former Baptist Healthplex, which Baptist Memorial Hospital is leasing to the nonprofit for $1 a year (the fitness center is moving to Baptist’s College of Health Sciences at 1003 Monroe).

What’s being launched Monday is a complete interior and exterior renovation of the warehouse-style building, including a new front-entry complex. The 76,596-square-foot facility will retain some fitness areas, and will feature a heated indoor pool to provide arthritic patients with therapeutic exercise, but the overall focus is as much on healers as it is on the sick. Part of the center will be devoted to teaching young physicians to write what CHC founder Dr. Scott Morris calls “prescriptions for health” – not to simply command patients to lose weight or quit smoking, but to give them the means to do so. Another area will work with Memphis congregations to develop health-promoting programs within their churches.

Nothing like this has ever been tried before, and no one is sure how it will work. But then, the same was said about the Church Health Center 10 years ago, and it has been phenomenally successful in providing health care to Memphis’ working poor. “Scott Morris had a vision of the Church Health Center,” says CHC spokesperson Helen Norman, “and now he has a vision of this.” – Debbie Gilbert


Nehemiah Changes Plans

Realizing their ambitions were originally too high, the developers of the Nehemiah housing project have scaled back plans to build and sell their low-income homes.

Shelby County Interfaith (SCI) predicted three years ago that it could build a 166-home development at South Third and Fairway streets by the end of 1996. The city provided the project, dubbed Nehemiah, with almost $1 million in public infrastructure improvements.

Organizers are now looking at the project as two stages. First, 81 homes will be built and sold, then – hopefully – the rest.

“We’re just kind of talking about the second phase, so nothing’s solid about it at all,” says Lisa Young, project coordinator of SCI’s subsidiary. “We’re just trying to get this first phase done.”

So far, 42 housing lots remain unsold.

An independent realtor was hired three months ago to sell the rest of the homes for SCI. The agency has nine contracts signed, though construction on those houses hasn’t started.

Young, who has been in her position for two months now, says SCI decided to hire realtors as part of an effort to reorganize its housing project. “I guess [SCI] was just trying to figure out what would be a more professional way to handle the whole process,” she says. “They [the realtors] are very professional. We feel very comfortable that the houses will sell in no time.” – Phil Campbell


Building Homes

A program of the Shelby County Division of Corrections recently attracted the attention of Harvard University’s John F. Kennedy School of Government, which helps administer the Innovations in American Government awards. The Shelby County program may even attract some award money.

Minimum-security inmates involved in the program, Building for the Future, help local community development organizations build low-income housing. Medium-security inmates build panels for the houses without leaving the prison. In five years, inmates have helped build 44 houses.

“They [the inmates] have been very proud of their work. They’ve been signing their names on the panels,” says Julia Desiderio, deputy administrator of inmate services/programs. “Many times the houses they work on will be in their own neighborhoods. They’ll tell their families to drive by and see them.”

The program serves a dual purpose of providing community service and helping inmates gain home-building skills, such as carpentry. In June, the division is scheduled to add a masonry program.

The Division of Corrections was chosen as one of three semifinalists in Tennessee. If it is named as one of the top 10 national finalists in October, it will receive $100,000 from the Ford Foundation. – Jacqueline Marino


Kevin Hunter, Maybe Herenton, Eye Harrah's Casino

by John Branston

Kevin Hunter, former owner of the Memphis Pharaohs arena football team, has made an offer to buy the original Harrah’s casino in Tunica. His prospective ownership group apparently includes Memphis Mayor Willie Herenton.

Both Hunter and Herenton declined to comment about the ownership group because of a confidentiality agreement, but neither denied the mayor’s involvement.

“I cannot comment on this matter at this time because a confidentiality agreement exists that must be honored,” Herenton said through his spokesman Carey Hoffman.

Hunter is chairman of The Governor’s Club Casino Group LLC. Incorporation documents were filed March 5, 1998, in the Mississippi Secretary of State’s Office.

Contacted in Tupelo Monday, Hunter said he is majority shareholder but declined to identify other investors. He did say, however, that Memphis businessman William B. Tanner, previously mentioned as possibly being interested in the original Harrah’s Tunica, is not in the group.

Ralph Berry, spokesman for Harrah’s Entertainment, says Hunter’s group “has expressed interest and we have had discussions.” Harrah’s closed the casino in 1997 shortly after opening a new casino and hotel nearby.

Bobby Leatherman, a Memphis attorney and member of the family which leased the site to Harrah’s, told the Flyer that the Leatherman family has the right of first refusal on any deal. Leatherman declined comment when asked if a letter of intent had been presented to Harrah’s and the Leatherman family.

Hunter, who is originally from Tupelo, moved the Pharaohs to Portland, Oregon, in 1996 after playing two seasons at The Pyramid. Ironically, he was critical of Herenton when attendance and public support for the team flagged in its second season.

Herenton is a former member of the board of directors of Holiday Inns, the parent company of Harrah’s in the 1980s. He is also a former director of Sungold Gaming, a Canadian company seeking to operate casinos in South Korea and on Indian lands in Michigan. Herenton went off Sungold’s board this year.

The mayor was a supporter of failed efforts to get casino approval and a horseracing track and simulcast betting parlor in Memphis. Herenton has also supported public investment in downtown attractions such as the new Memphis Redbirds baseball stadium, the performing-arts center, and a proposed $43 million redesign of the riverfront.

The jury is out on the question of whether Tunica and Memphis can mutually prosper as tourism destinations. Tunica now has more hotel rooms than Memphis, and they are newer and in a more concentrated area. Grand Casino has a new convention center, and other casinos have also shown interest in convention business. Efforts to establish a joint Memphis/Tunica convention and tourism bureau have not been successful.

Harrah’s opened the first Tunica County casino outside of Mhoon Landing, and it was successful at first. Then competitors took away business with bigger, more expensive casinos and hotels closer to Memphis and, thanks to a key Mississippi Tax Commission ruling, farther from the Mississippi River.

Tunica casino business has been strong and is expanding. The most recent Gaming Commission report shows revenues in the Mississippi River counties up 26 percent in the first three months of 1998. Grand Casino Tunica opened a new golf course last month ($125 a round, or $65 for hotel guests), and a second golf course near the new Harrah’s is scheduled to open in about six months. A new road now connects the two pods of casinos known as Casino Strip and Casino Center. Both Harrah’s old and new casinos are in the southern pod.


Vergos Says CVB Ignoring His Tourism Plan

by Phil Campbell

Councilman John Vergos

Memphis City Councilman John Vergos is upset with Memphis Convention and Visitors Bureau head Kevin Kane. The CVB, Vergos says, may be dragging its feet over an international tourism idea he proposed more than a year ago.

Targeted at European tourists and taking advantage of the musical traditions of both cities, the Memphis-Nashville “Great American Music Tour” would be a more comprehensive approach to tourism, Vergos says. It would also mean jointly marketing the two cities.

According to the plan, Northwest’s KLM Amsterdam-Memphis flight would feature movies like Mystery Train and Nashville. Language-assistance centers for the English-impaired and a sophisticated transportation plan for tourists would be established, directing visitors both within Memphis and to Nashville. Multi-language brochures would be designed and distributed, and businesses that stood to gain the most from international tourism (such as Graceland and Opryland) would pitch in money to advertise abroad.

Memphis Mayor Willie Herenton and Nashville Mayor Phil Bredesen were on board for the original plan. State Sen. Steve Cohen successfully pushed in the Tennessee General Assembly for Interstate 40 between Memphis and Nashville to be renamed the “Music Highway,” an idea he had started lobbying the year before.

Vergos has told reporters in the past that the tourism package’s ultimate success would be one of his greatest achievements on the council. (If it did help bring in more visitors, it couldn’t hurt Vergos’ business. He works with his father Charles at the Rendezvous restaurant, a rib joint that gets its share of print in Memphis tour books).

The councilman is still talking about his proposal, but now it’s with frustration. And, with Atlanta, Nashville, and New Orleans planning to organize a tour package targeted to Europeans called “Rhythms of the South: Grits, Guitars, and Gumbo,” it seems that Nashville is pursuing package ideas with other cities.

Vergos blames Kane’s CVB because the bureau is primarily in charge of promoting tourism to Memphis. “I had hoped that the CVB would pick it up and run with it,” he says. “But from the very beginning, it was kind of like [the CVB said], ‘We’ve already got this under control. We’ve been doing things like this.’ ”

Privately, Vergos thinks Kane isn’t doing anything because his pride has been hurt: “I just am concerned that, if it’s not their [CVB’s] idea, it just may not get the interest that it should.”

Kane was surprised to hear Vergos’ comments. “I don’t know where he’s coming from. I’m not trying to water down his enthusiasm,” he says. “We’re not blowing anything off because it wasn’t our idea. That’s crazy.”

Kane says Memphis already does extensive marketing in Europe, and that the Bluff City’s music heritage is greatly stressed to visitors from abroad.

Plus, many of Vergos’ ideas don’t seem feasible, Kane says. A shuttle to take people between Memphis and Nashville is one. “I’m not sure how we get that done. That’d be like you and I deciding we’d like to put a Huey’s [restaurant] in Humboldt, Tennessee,” he says. “The CVB is not going to go out and start a transportation company or a shuttle service. We’re at the will of free trade.”

In addition, Kane called language-assistance centers a “very costly amenity.” He adds that translators are on call through the Tennessee Welcome Center along Riverside Drive.

Vergos plans on meeting with Herenton this week to talk about the tourism idea. He says he may approach the newly formed Music Commission about the idea, perhaps circumventing Kane altogether.


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