Cong v. Zhao

District Court, W.D. Washington·Decided March 6, 2025·No. 2:21-cv-01703·Unknown

Opinion

UNITED STATES DISTRICT COURT WESTERN DISTRICT OF WASHINGTON FANG CONG and LIN JIANG, CASE NO. 2:21-cv-01703-TL Plaintiffs, ORDER ON MOTION FOR v. RECONSIDERATION XUE ZHAO; “Conveyor Belt Sushi”; and Defendants.

This matter is before the Court on Plaintiffs Fang Cong and Lin Jiang’s Motion for Reconsideration. Dkt. No. 70. Having reviewed Defendant Valve Corporation’s response (Dkt. No. 72) and the relevant record, the Court DENIES the motion. The Court assumes familiarity with the facts of the case. Relevant here, on August 5, 2024, Defendant Valve filed a motion to dismiss, primarily arguing that the statute of limitations had run on Plaintiffs’ copyright claim against it. See Dkt. No. 54 at 5–8. Plaintiffs opposed the motion, arguing that their addition of Valve as a defendant in November 2023 was timely because the statute of limitations did not start running until January 2022, when Defendant Valve reinstated the subject copyrighted material—the video game Things As They Are (“TATA”)—to Steam, its video-game sales platform. See Dkt. No. 57 at 6–8. Plaintiffs argued that the statute of limitations “should be calculated from the time Plaintiffs actually discovered Defendant

Valve[’s] infringing acts.” Id. at 6. On November 15, 2024, the Court granted the motion, finding that the statute of limitations started running on June 18, 2019, when Defendant Zhao published TATA on Steam—an act that Plaintiffs were aware of by at least August 2019. See Dkt. No. 63 at 5–8. Plaintiffs now bring the instant motion to reconsider that Order. Dkt. No. 70. Plaintiffs argue that “there were serious errors of fact and law in the Court’s prior ruling.” Id. at 1. Specifically, Plaintiffs allege the Court did not properly account for the Separate Accrual Rule in considering the statute of limitations issue. Id. Plaintiffs also assert that they “found new evidence” that support their arguments. Id. at 2. Federal Rule of Civil Procedure 59(e) permits a court to “alter or amend” a judgment.

“Rule 59(e) amendments are appropriate if the district court (1) is presented with newly discovered evidence, (2) committed clear error or the initial decision was manifestly unjust, or (3) if there is an intervening change in controlling law.” In re Syncor ERISA Litig., 516 F.3d 1095, 1100 (9th Cir. 2008). “Although Rule 59(e) permits a district court to reconsider and amend a previous order, the rule offers an ‘extraordinary remedy, to be used sparingly in the interests of finality and conservation of judicial resources.’” Kona Enters., Inc. v. Est. of Bishop, 229 F.3d 877, 890 (9th Cir. 2000) (quoting 12 James Wm. Moore et al., Moore’s Fed. Prac. § 59.30[4] (3d ed. 2000)). “A Rule 59(e) motion may not be used to raise arguments or present evidence for the first time when they could reasonably have been raised earlier in the litigation.”

Id. (emphasis in original). Such motion “must be filed no later than 28 days after the entry of judgment.” Fed. R. Civ. P. 59(e). Federal Rule of Civil Procedure 60(b) permits a party to “relieve a party or its legal representative from a final judgment, order, or proceeding” for certain enumerated reasons.

Among those reasons are “mistake,” Fed. R. Civ. P. 60(b)(1), including judicial errors of law, see Kemp v. United States, 596 U.S. 528, 539 (2022), and “newly discovered evidence that, with reasonable diligence, could not have been discovered in time to move for a new trial under Rule 59(b),” Fed. R. Civ. P. 60(b)(2). A Rule 60(b) motion “must be made within a reasonable time.” Fed. R. Civ. P. 60(c)(1); see Bynoe v. Baca, 966 F.3d 972, 980 (9th Cir. 2020) (“To evaluate whether a party’s delay in filing a Rule 60(b) motion was reasonable, we consider the party’s ability to learn earlier of the grounds relied upon, the reason for the delay, the parties’ interests in the finality of the judgment, and any prejudice caused to parties by the delay.” (citing Ashford v. Steuart, 657 F.2d 1053, 1055 (9th Cir. 1981))). Local Civil Rule 7(h)(1) instructs that “[m]otions for reconsideration are disfavored.”

Such motions must be denied absent a showing of “manifest error in the prior ruling or . . . new facts or legal authority which could not have been brought to [the Court’s] attention earlier with reasonable diligence.” Id. Motions for reconsideration should be granted only in “highly unusual circumstances.” Marlyn Nutraceuticals, Inc. v. Mucos Pharma GmbH & Co., 571 F.3d 873, 880 (9th Cir. 2009) (quoting 389 Orange St. Partners v. Arnold, 179 F.3d 656, 665 (9th Cir. 1999)); see also Inventist, Inc. v. Ninebot Inc., 664 F. Supp. 3d 1211, 1215 (W.D. Wash. 2023) (noting reconsideration is an “extraordinary remedy,” and the moving party bears a “heavy burden”). “A motion for reconsideration ‘may not be used to raise arguments or present evidence for the first time when they could reasonably have been raised earlier in the litigation.’” Maryln

Nutraceuticals, 750 F.3d at 880 (quoting Kona Enters., 229 F.3d at 890). “Whether or not to grant reconsideration is committed to the sound discretion of the court.” Navajo Nation v. Confederated Tribes & Bands of the Yakama Indian Nation, 331 F.3d 1041, 1046 (9th Cir. 2003). Finally, a motion for reconsideration “shall be filed within fourteen days after the order to which it relates is filed.” LCR 7(h)(2). Failure to comply with this deadline and other requirements “may be

grounds for denial of the motion.” Id. Plaintiffs purport to bring this motion under Rules 59 and 60, even as they title the motion a “Motion for Reconsideration.” See Dkt. No. 70 at 2. Defendant argues that the motion is governed instead by Local Civil Rule 7(h). See Dkt. No. 72 at 2. Regardless of which Rule is applied, Plaintiffs’ motion must be denied. See, e.g., Klineburger v. Constantine, No. C23-958, 2023 WL 8480765, at *2 (W.D. Wash. Nov. 15, 2023) (denying motion under Rules 59 and 60 as well as LCR 7(h)); Wallace v. Live Nation Worldwide, Inc., No. C20-799, 2021 WL 4033771, at *2 (W.D. Wash. Sept. 3, 2021) (same). Defendant Valve aptly summarizes the problem: Plaintiffs “seek leave to re-argue a statute of limitations issue already addressed in the Motion to

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