U.S. District Court Orders Settlement Talks As Fantasy Balloon Flights Commits To Refrain From Promoting And Advertising The Cathedral City International Hot Air Balloon Festival

Fantasy Balloon Flights Confirms in Court That It Will Cease All Use of the City’s Balloon Festival Trademarks and Logos

Cathedral City, CA – The U.S. District Court has determined that the City of Cathedral City’s requested preliminary injunction is not necessary because Fantasy Balloon Flights and its owners have completely stopped their unauthorized use of Cathedral City’s trademarks and logos and has “disavowed the future use” of the city’s balloon festival name. The Court cautioned that any resumption of the Defendants’ unauthorized use of the City’s balloon festival name, logos, and trademarks would support a renewed motion for injunctive relief.

In a ruling issued September 4, 2025, U.S. District Judge Sunshine S. Sykes found that, following the initiation of the City’s federal lawsuit, Fantasy Balloon Flights abandoned all use of Cathedral City’s “alleged mark” and made binding representations to the court through their attorney as an “officer of the court.”

The lawsuit centered on Fantasy Balloon Flights’ continued use of the “Cathedral City International Hot Air Balloon Festival” name to advertise a competing event after not being selected as the winning bidder in the City’s competitive Request for Proposals (RFP) process. Faced with the City’s legal action, Fantasy Balloon Flights completely ceased these practices.

Key Court Findings:

  • Defendants “stopped their use of Plaintiff’s alleged mark”
  • Defendants “disavowed the future use of the name ‘Cathedral City International Hot Air Balloon Festival’ and related names”
  • Court accepts defense counsel’s representation “that Defendants will not use any allegedly infringing mark in the future”
  • Court finds “no reasonable expectation the wrong will be repeated”

The Court accepted Fantasy Balloon Flights’ binding commitments, finding sufficient assurance that the trademark violations will not recur.

The Court maintained jurisdiction over the matter, stating that “should circumstances change—such that Defendants continue to advertise a competing event using Plaintiff’s alleged mark” the City may immediately return to court for relief.

“Our legal action achieved exactly what we intended—stopping the trademark misuse that was creating confusion for residents, sponsors, and potential visitors,” said Ryan Hunt, Communications & Events Manager. “The federal court confirmed that Fantasy Balloon Flights has completely abandoned these deceptive practices and made binding promises to never resume them.”

Additionally, Fantasy Balloon Flights, through their attorney, confirmed in court that they have not accepted any pilot registrations nor collected deposits from balloon pilots or operators seeking to participate in the Cathedral City International Hot Air Balloon Festival scheduled for November 21–23, 2025. This admission directly addresses the City’s contention that Fantasy Balloon Flights had falsely advertised such registrations on its websites and social media platforms earlier this spring, misleading potential participants into believing it was acting on the City’s behalf.

The Court ordered both parties into mandatory settlement discussions before Magistrate Judge David T. Bristow, with completion required no later than October 31, 2025.

Fantasy Balloon Flights had previously served as the City’s contracted third-party operator for the festival. The City’s lawsuit detailed how Fantasy Balloon Flights continued using trademarked materials after their contract expired in 2024 and after losing a competitive bidding process in 2025. The legal pressure successfully eliminated the trademark misuse and secured court-enforceable commitments against future violations.

The City of Cathedral City remains committed to protecting its residents, sponsors, visitors, and the balloon pilots who have participated in the festival for the past decade from deceptive business practices. The City will continue developing its official Cathedral City International Hot Air Balloon Festival as a premier celebration for the community and the Coachella Valley region.

For more information about the official Cathedral City International Hot Air Balloon Festival, visit cchotairballoonfest.com or follow @cchotairballoonfest on social media.

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Ryan Hunt

View posts by Ryan Hunt
Communications & Events Manager RHunt@cathedralcity.gov 760-770-0396
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