Alfa Corp. v. Alfagres, S.A.

385 F. Supp. 2d 1230, 2005 U.S. Dist. LEXIS 19115, 2005 WL 2108123
CourtDistrict Court, M.D. Alabama
DecidedAugust 30, 2005
DocketCiv.A. 205CV110TWO
StatusPublished
Cited by6 cases

This text of 385 F. Supp. 2d 1230 (Alfa Corp. v. Alfagres, S.A.) is published on Counsel Stack Legal Research, covering District Court, M.D. Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alfa Corp. v. Alfagres, S.A., 385 F. Supp. 2d 1230, 2005 U.S. Dist. LEXIS 19115, 2005 WL 2108123 (M.D. Ala. 2005).

Opinion

ORDER

MYRON H. THOMPSON, District Judge.

Plaintiff Alfa Corporation, a Delaware corporation with its principal place of business in Montgomery, Alabama, brings this lawsuit against defendant Alfagres, S.A., a Colombian business, asserting violations of the U.S. Trademark Act of 1946 (the “Lan-ham Act”), 15 U.S.C.A. § 114(1), known as the “Lanham Act.” Now before the court is Alfagres’s motion to quash service of process and alternative motion to dismiss for lack of personal jurisdiction and insufficient service of process. For the reasons that follow, the motions will be denied.

I. Background

According to its complaint, Alfa is a financial services conglomerate that operates through a number of wholly owned subsidiaries, divisions, and related companies; it provides realty and construction services through Alfa Realty, Inc., Alfa Propei-ties, Inc., and Alfa Builders, Inc.; and it is publicly traded on the NASDAQ stock exchange under the symbol “ALFA.” 1 In its complaint, Alfa alleges that it has acquired common-law trademark rights to the name “Alfa” throughout the United States, including within the States of Alabama and Florida. 2 In addi *1233 tion, Alfa holds a number of federally registered trademarks incorporating the word “Alfa,” such as “Alfa Builders” and “Alfa Realty.” 3

Alfagres is a Colombian tile manufacturer that markets and sells its products worldwide, including in the United States. Its brochures and website indicate that “Alfagres handles all the orders for North America, The Caribean [sic], Europe, Asia and the Pacific from their office in Miami, USA.” 4 In these materials, the address for Alfagres’s Miami “office” is listed as 7122 N.W. 50th Street, Miami, Florida, 33166.

Alfa also contends that Alfagres maintains a sales office at this Miami location. An investigator for Alfa visited the Miami address listed on Alfagres’s website and was provided marketing and promotional materials, product samples, and other information about Alfagres. In addition, he was greeted by several personnel who identified themselves as employees of Al-fagres. 5 Photographs taken by the investigator indicate that the name “Alfagres” is displayed outside the Miami office building. 6

Despite this evidence, including the fact that its brochures and promotional materials list the Miami address as its American office, Alfagres now contends that it does not actually maintain a business office in the United States, and that the Miami address is in fact the location of OPA International Corporation, the American distributor of Alfagres products. It states that mail sent to this Miami address is forwarded to Alfagres’s headquarters in Colombia, and is thus in reality only a “mail drop.” Alfagres states that it “sells produces] to this distributor, and the distributor resells the product in the United States.” Alfagres admits that it allows the distributor to use the name “Alfagres” at its location, and also allows it to distribute Alfagres marketing information. However, it contends that the distributor is “a separate legal corporation, and is not authorized to receive service of process for Alfagres.” 7

Though the function of this Miami address is hotly contested, the parties do not dispute that Alfagres does not own or lease any real estate in the State of Alabama, has no employees in Alabama, does not pay Alabama taxes, and does not contract or conduct business with any entity or customer located in Alabama. 8 Al-fagres does not actively advertise or solicit business in Alabama. Its website, www.al-fagres.com, can be accessed by computers anywhere in the world, including from computers in Alabama, although no orders can be placed through the website. 9

Alfa alleges that Alfagres uses the name and mark “Alfa” in connection with offering building and construction services and products in a way that is confusing to customers and detrimental to Alfa. It fur *1234 ther states that, when Alfagres sought to register the designation “Alfa” with the United States Patent and Trademark Office, it sent Alfagres a letter demanding that it withdraw its trademark applications and cease and desist from all use of the name “Alfa” in connection with its services and products, but that Alfagres refused to respond and continued to use the “Alfa” trademark. 10 The Patent and Trademark Office subsequently denied Alfagres’s trademark applications based on Alfa’s senior registered marks. 11

Alfa filed this suit in the Middle District of Alabama in February 2005, alleging various trademark infringement claims. Upon the filing of the complaint, a summons and complaint were sent by the clerk of the court, via certified mail, to the above-referenced Miami address. An individual named Alba Montallana signed for the return receipt, which was then filed with the court. 12 Several weeks later, Al-fagres filed the motions now before the court, contending that Montallana was neither an employee nor an agent authorized to receive service of process on behalf of Alfagres and that, therefore, service had not been executed pursuant to Fed. R.Civ.P. 4(h) & (f); in the alternative, A-fagres asks that this lawsuit be dismissed for lack of personal jurisdiction and insufficient service of process. 13

II. Fed.R.Civ.P. 12(b)(2)

Motion to Dismiss

Before addressing the issue of service of process, the court will first address the threshold issue of whether it has personal jurisdiction over Afagres. See Fed. R.Civ.P. 12(b)(2) (“jurisdiction over the person”).

Afa presents two alternative arguments in support of its contention that this court has personal jurisdiction over Afagres. First, it argues that this court has specific jurisdiction over Afagres pursuant to the “effects” test established in Calder v. Jones, 465 U.S. 783, 104 S.Ct. 1482, 79 L.Ed.2d 804 (1984), because Afagres intentionally committed trademark infringement against Apha, knowing that the effect of these actions would primarily be felt in Aabama. Second and in the alternative, Afa argues that this court has personal jurisdiction over Afagres pursuant to the Fed.R.Civ.P. 4

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385 F. Supp. 2d 1230, 2005 U.S. Dist. LEXIS 19115, 2005 WL 2108123, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alfa-corp-v-alfagres-sa-almd-2005.