iD Auto, LLC v. ID Parts LLC

CourtDistrict Court, D. Massachusetts
DecidedJuly 1, 2024
Docket1:20-cv-11253
StatusUnknown

This text of iD Auto, LLC v. ID Parts LLC (iD Auto, LLC v. ID Parts LLC) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
iD Auto, LLC v. ID Parts LLC, (D. Mass. 2024).

Opinion

UNITED STATES DISTRICT COURT DISTRICT OF MASSACHUSETTS

ID AUTO, LLC, * * Plaintiff, * * v. * * *

* IDPARTS LLC, *

* Defendant. * ___________________________________ * * Civil Action No. 20-cv-11253-ADB IDPARTS LLC, * * Counterclaim Plaintiff, * * v. * * * ID AUTO, LLC and ID AUTO, INC., * * * Counterclaim Defendants. *

MEMORANDUM AND ORDER

BURROUGHS, D.J.

Plaintiff and Counterclaim Defendants ID Auto, LLC and ID Auto, Inc. (“Plaintiff”) and Defendant and Counterclaim Plaintiff IDParts LLC (“Defendant”) sell parts for automobiles online. See, e.g., [ECF No. 203 at 81:9–15; ECF No. 205 at 126:23–25]. Both parties alleged, among other things, that the other infringed its trademarks. See [ECF No. 202 (“Verdict”)]. Between November 14 and 20, 2023, the case was tried to a jury. [ECF Nos. 203–207].1 On November 20, 2023, the jury returned a verdict in favor of Defendant on one of its trademark claims and found that the infringement was willful. [Verdict at 5–6]. The jury found that all other infringement claims asserted by both parties were not proven. [Id. at 2–5]. Now pending

before the Court is Plaintiff’s renewed motion for judgment as a matter of law (“JMOL”) under Federal Rule of Civil Procedure 50(b). [ECF No. 219]. For the reasons set forth below, Plaintiff’s motion is DENIED. I. STANDARD OF REVIEW “A party seeking to overturn a jury verdict faces an uphill battle.” Marcano Rivera v. Turabo Med. Ctr. P’ship, 415 F.3d 162, 167 (1st Cir. 2005). “Courts may only grant a judgment contravening a jury’s determination when the evidence points so strongly and overwhelmingly in favor of the moving party that no reasonable jury could have returned a verdict adverse to that party.” Id. (quoting Rivera Castillo v. Autokirey, Inc., 379 F.3d 4, 9 (1st Cir. 2004)). In evaluating a motion for judgment as a matter of law, the Court must consider “the evidence

presented to the jury, and all reasonable inferences that may be drawn from such evidence, in the light most favorable to the jury verdict.” Osorio v. One World Techs. Inc., 659 F.3d 81, 84 (1st Cir. 2011) (quoting Granfield v. CSX Transp., Inc., 597 F.3d 474, 482 (1st Cir. 2010)).

1 The trial transcript appears at ECF Nos. 203–207, and the Court will refer to the transcript as follows: ECF No. 203 (“Day 2”); ECF No. 204 (“Day 3”); ECF No. 205 (“Day 4”); ECF No. 206 (“Day 5”); ECF No. 207 (“Day 6”). 2 II. BACKGROUND A. Evidence at Trial The Court provides a brief summary of the facts that the jury could have found in support of its verdict here, and supplements the facts in the analysis below as necessary.

1. The Parties Plaintiff runs “CARiD[,] . . . an online automotive parts and accessories store.” [Day 2 at 81:9–15]. It launched as a website in March 2009, [id. at 91:24–25], and sells “over 17 million unique products” for many types of vehicles and vehicle brands, including diesel vehicles, [id. at 146:25–147:23]. Plaintiff was originally run by an operating company called Onyx. See [Day 2 at 121:18– 23]. In 2020, Onyx changed its name to PARTS iD. [Id. at 122:16–22]. Antonio Ciappina, Plaintiff’s former CEO, [id. at 78:17–22], testified that they chose “PARTS iD” because it “aligned with the ID brand that we already have,” [id. at 122:24–25]. He also testified that the name was selected after the inception of this lawsuit and that he and the company were “aware

that the company IDParts existed when [they] selected the name PARTS iD.” [Id. at 123:23–25, 163:6–164:1].2 In Ciappina’s view, use of that name was permissible because they “were the first to use the ID mark back in 2009[, they] had a variety of intellectual property registrations with the Trademark Office[,]” and “[f]or all intents and purposes, [they] owned the mark ‘ID.’” [Id. at 123:23–124:7].

2 The original complaint in this action was filed on June 30, 2020, by Onyx. [ECF No. 1]. On December 30, 2020, Plaintiff (then Onyx) filed an amended corporate disclosure statement stating that it had “merged into Parts iD, LLC, a Delaware limited liability company.” [ECF No. 24]. Accordingly, Defendant counterclaimed that the PARTS iD mark infringed its IDPARTS mark, claiming that Plaintiff had been using the infringing mark since November 2020. [ECF No. 31 at 55]. 3 Though PARTSiD.com is a “corporate information website” and not a website where consumers buy anything, [Day 2 at 79:17—24], the company was “representing [it]self as PARTS iD to [its] suppliers and vendors,” [id. at 166:1-—3]. Defendant IDParts, which specializes in “selling repair parts for diesel-powered vehicles,” is owned by Peter Noble and Corey Evans. [Day 4 at 126:20-25]. It operates the website IDParts.com. [Id. at 127:13-15]. Defendant was originally called TD]Parts, [Day 4 at 133:19-21], but changed its name to IDParts in 2009 when it received a letter from Volkswagen complaining that “TDI” was part of the brand name for one of its vehicles, [id. at 135:9-136:3]. At the time, they had not heard of CARiD or Onyx, and “CARiD’s name or marks play[ed] . . . [a]bsolutely zero” role in the decision to select IDParts as its name. [Id. at 137:4-10]. 2. The Parties’ Claimed Trademarks As relevant here, Plaintiff has two registered trademarks for different versions of “CARID.” The first, Registration No. 3,711,746, was registered on November 17, 2009, and is the following:

CARID

[Ex. 1]; see also [Verdict at 2]. The second, Registration No. 6,100,524, was registered on July 14, 2020, and is the following:

[Ex. 18]; see also [Verdict at 2].

Plaintiff also claimed that it owns a common law trademark for “CARID.” See [Verdict at 2].2 As early as 2009, Plaintiff used the following versions of the CARiD mark: nRID

[Exs. 23, 24, 27]. As the images show, “1D” or “ID” was typically a different size, color, and font than the word “car.” See [Exs. 23, 24, 27; Day 2 at 131:14 (“the company [was] putting emphasis on ID”); Day 3 at 38:14-17]. Plaintiff claimed at trial that its use of these images as early 2009 entitled it to a trademark in “iD” or “ID” standing alone. See [Verdict at 3]. In addition, as relevant here, Plaintiff has three registered trademarks for different versions of “ID,” standing alone, which are the following:*

5,658,672 5,804,750 6,096,254 January 22,2019 | July 16, 2019 July 07, 2020

3 For ease of reference, the Court refers to these marks collectively as the “CARiD” marks. * TExs. 16 (Reg. No. ’750): 17 (Reg. No ’672); 19 (Reg. No. ’254)]: see also [Verdict at 4].

Ciappina testified Plaintiff was using “ID” as a “favicon,” [Day 2 at 101:19—24],° as early as March 2009, [id. at 103:16-22], but the jury never actually saw any such favicon,° and Plaintiffs registration for ID as a standalone mark stated that it began using it “at least as early as April 1, 2011[,]” [Day 6 at 34:6-7]. Plaintiff's marketing expert, Frank Buscemi, testified that both “car” and “ID” are, or at least can be, generic terms. [Day 3 at 57:21—-59:11]. He also testified, however, that “CARiD” and ID are different marks” and are visually distinct. [Id. at 60:4—6, 61:12—14, 62:14—15].

Defendant claims that it has a common law trademark for its logo, @ which it began using around 2010, [Day 4 at 142:19-143:20, 183:3-10], as well as for IDParts, see [Verdict at 5].

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iD Auto, LLC v. ID Parts LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/id-auto-llc-v-id-parts-llc-mad-2024.