Edge Systems LLC v. Aguila

186 F. Supp. 3d 1330, 2016 U.S. Dist. LEXIS 61033, 2016 WL 2643482
CourtDistrict Court, S.D. Florida
DecidedMay 9, 2016
DocketCase No: 1:14-cv-24517-KMM
StatusPublished
Cited by5 cases

This text of 186 F. Supp. 3d 1330 (Edge Systems LLC v. Aguila) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Edge Systems LLC v. Aguila, 186 F. Supp. 3d 1330, 2016 U.S. Dist. LEXIS 61033, 2016 WL 2643482 (S.D. Fla. 2016).

Opinion

ORDER GRANTING PLAINTIFFS’ MOTION FOR SUMMARY JUDGMENT

K. MICHAEL MOORE, CHIEF UNITED STATES DISTRICT JUDGE

THIS CAUSE came before the Court upon Plaintiffs’ Motion for Summary Judgment (ECF No. 176) and related responses and replies. The motion is now ripe for review. For the reasons that follow, Plaintiffs’ Motion for Summary Judgment is GRANTED.

I. BACKGROUND1

Bootleg. Clone. Copycat. Imitation. Knock-off. Palm-Off. However one labels a peddled product that conspicuously capitalizes on another’s intellectual property rights, this case presents the quintessential example.

Plaintiffs Edge Systems LLC (“Edge”) and Axia Medsciences, LLC (“Axia”)2 brought this action against Defendant Rafael Newton Aguila (“Aguila”) seeking damages and injunctive relief for, inter alia, patent, trademark, and trade dress infringement. See generally Compl. (ECF No. 1).

Roger Ignon and William Cohen founded Edge—a California corporation—in 1997. Edge designs and sells skin health devices, including spa and skin treatment products and hydradermabrasion systems. Edge’s premier and bestselling product is its HydraFacial MD® hydradermabrasion system (the “Edge Machine”) pictured below.

[1338]*1338[[Image here]]

The Edge Machine utilizes a “wet system” that exfoliates a patient’s facial skin tissue by using an abrasive tip in combination with the application of serums, followed by a vacuum source to extract dead skin cells from the patient.

The average sales price for the Edge Machinéis $24,000. Sales of the Edge Machine account for over half of Edge’s total sales and revenue from sales of the Edge Machine has totaled over $48 million in the past five years. The machine is well-known in the aesthetic industry and has been recognized with numerous awards. Edge extensively advertises the Edge Machine and related products in consumer and trade magazines, at trade shows, seminars, and on the Internet. In the past five years, Edge has spent over .$5.6 million in advertisement of its products. In addition to Edge’s advertising, several national media outlets have featured profiles of Edge and its various products.

A. Plaintiffs’ Intellectual Property

Edge’s, machine incorporates technology—for exfoliating and moisturizing skin— that is claimed in six U.S. patents3, owned by Plaintiff Axia and exclusively licensed to Edge. On December 30, 1999, the application for the ’620 Patent was filed with the United States Patent and Trademark Office (“USPTO”). On October 9, 2001, the ’620 Patent, entitled “Instruments and Techniques for Inducing Neocollagenesis in Skin Treatments,” was issued by the [1339]*1339USPTO. Claim 1 of the ’620< Patent reads as follows: .

A system for treating surface layers of a patient’s skin, comprising: an instrument body with a distal working end for engaging a skin surface; a skin interface portion of the working end comprising an abrasive fragment composition secured thereto; at least one inflow aperture in said skin interface in fluid communication with a fluid reservoir; and at least one outflow aperture in said skin interface in communication with a negative pressurization source.

ECF No. 1-4.

The ’591 Patent, entitled “Instruments and Techniques for Controlled Removal of Epidermal Layers,” was issued on November 4, 2003. Claim 1 of the ’591 Patent reads:

A system for treating the skin surface of a patient, comprising: an instrument body with a distal working end that defines a skin' interface portion for contacting the skin; a first aperture arrangement in said skin interface consisting of at least one port in communication with a treatment media source; a second aperture arrange in said skin interface consisting of at least one port in communication with a vacuum source for removing treatment media and removed tissue from the skin interface; and wherein the skin interface comprises an abrading structure with substantially sharp edges for abrading tissue.

ECF No. 1-5.

As early as 2005, Edge began to use the names ACTIV-4, ANTIOX-6 and BETA-HD to identify serums used with the Edge Machine. In 2010, Edge began to offer serums under the names DERMABUILDER and GLYSAL, and has continuously used all of the serum marks in interstate commerce since their initial use in connection with the advertisement and sale of Edge’s products. Edge expanded its selection of serums by offering VORTEX-FUSION®, a mark it registered with the USPTO on March 20, 2012.4 In 2014, Edge first offered a serum named ANTIOX+ and has since continuously used this mark in interstate commerce to advertise and sell that product.

In addition to the Edge Machine and related serums, Edge offers a skin resurfacing product named HYDROPEEL®. Edge registered the HYDROPEEL® mark with the USPTO in September 2008, and has continuously used this mark in interstate commerce to advertise and sell that product as well. The HYDROPEEL® mark is associated with goods described as “medical apparatus and instruments for resurfacing and nourishing tissue” and has attained “incontestable” status.5

Additionally, Edge owns the registered trademark The EDGE SYSTEM®, which was registered in September 2005, and has also attained “incontestable” status. According to the registration, the mark is associated with “medical apparatus, namely, systems comprised primarily of a vacuum source and hand piece used for medical body treatments, microdermabrasion and massage therapy.”

Since its founding in 1997, Edge has continuously operated under the trade name “Edge Systems,” and used the com[1340]*1340mon law mark Edge Systems in connection with the sale and promotion of its products. Since 1999, Edge has used variations of its Chevron “E” logo formed by three triangles as shown below:

[[Image here]]

B. Aguila’s Allegedly Infringing Conduct

In October 2014, Edge was surprised to learn that one of its main competitors, Lumenis, was apparently offering a copycat version of the Edge Machine (the “Accused Product”) on the website www. hydradermabrasion.com (“Aguila’s Lumen-is Website”). When Edge contacted Lu-menis, Edge learned that Lumenis was equally surprised at the presence of Agui-la’s Lumenis Website. After further evaluation, Edge and Lumenis discovered that the website was registered to Aguila, who was using the site, Lumenis’ trade name, and Lumenis’ trademarks to advertise a knock-off version of the Edge Machine for his business Hydradermabrasion Systems. The Accused Product was advertised, interchangeably, as the HydraDerm, the Hy-draDermMD, the Hydradermabrasion, and the Hydradermabrasion MD.

[1341]*1341[[Image here]]

DEFENDANT'S ACCUSED PRODUCT

On October 27, 2014, Edge sent Aguila a cease and desist letter and asked that he stop infringing on Edge’s asserted patents.6 See (EOF Nos. 13-04 ¶20, 13-06). Lumenis also separately asked Aguila to cease using its trade name and trademarks. See (EOF No. 13-04, ¶21).

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Cite This Page — Counsel Stack

Bluebook (online)
186 F. Supp. 3d 1330, 2016 U.S. Dist. LEXIS 61033, 2016 WL 2643482, Counsel Stack Legal Research, https://law.counselstack.com/opinion/edge-systems-llc-v-aguila-flsd-2016.