Imapizza, LLC v. At Pizza Limited

965 F.3d 871
CourtCourt of Appeals for the D.C. Circuit
DecidedJuly 17, 2020
Docket18-7168
StatusPublished
Cited by11 cases

This text of 965 F.3d 871 (Imapizza, LLC v. At Pizza Limited) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Imapizza, LLC v. At Pizza Limited, 965 F.3d 871 (D.C. Cir. 2020).

Opinion

United States Court of Appeals FOR THE DISTRICT OF COLUMBIA CIRCUIT

Argued February 19, 2020 Decided July 17, 2020

No. 18-7168

IMAPIZZA, LLC, APPELLANT

v.

AT PIZZA LIMITED, ET AL., APPELLEES

Appeal from the United States District Court for the District of Columbia (No. 1:17-cv-02327)

David Barmak argued the cause for appellant. With him on the briefs was Andrew D. Skale.

Matthew J. Dowd argued the cause and filed the brief for appellees.

Before: ROGERS and TATEL, Circuit Judges, and GINSBURG, Senior Circuit Judge.

Opinion for the Court filed by Senior Circuit Judge Ginsburg.

GINSBURG, Senior Circuit Judge: IMAPizza, which operates the “&pizza” chain of restaurants in the United States, 2 has brought this suit under the Copyright and Lanham Acts as well as D.C. common law against At Pizza, operator of the “@pizza” restaurant in Edinburgh, Scotland. IMAPizza alleges At Pizza’s restaurant is an unauthorized copycat version of its “&pizza” stores. Because At Pizza operates only in the United Kingdom, IMAPizza’s claims test the limits of the extraterritorial application of the Copyright and Lanham Acts. The district court dismissed these and IMAPizza’s other claims. For the reasons below, we affirm the judgment of the district court.

I.

We take the facts as IMAPizza describes them. Its &pizza restaurant chain is “renowned for its creative pies and craft beverages, localized shop design, and its strength, unity and vibe.” There are several &pizza locations along the East Coast of the United States, and the company is pursuing expansion into the U.K. At Pizza, the U.K. corporation operating the @pizza restaurant in Edinburgh, is owned by Rupert Lyle and Bhasker Dhir, both citizens of the U.K. 1 After touring some &pizza restaurants in Washington, D.C., Lyle decided to copy them. Upon returning to the U.K., he incorporated “& Pizza Limited,” and soon thereafter renamed the business At Pizza. At Lyle’s behest, Dhir then visited &pizza locations in the U.S. in order to learn about and copy the restaurants’ appearance and operations. Lyle and Dhir took pictures of &pizza restaurants in the U.S. and downloaded copyrighted pictures of &pizza restaurants from websites operating on U.S. servers. They used the photos and information they had gathered to market and create in Edinburgh a copycat version of the &pizza restaurants they had seen in the U.S.

1 For simplicity we refer to At Pizza throughout, but note that IMAPizza included Dhir and Lyle in all their claims. 3 IMAPizza filed this suit against At Pizza for infringement under the Copyright Act, for trademark infringement and unfair competition under the Lanham Act, and for trespass under the common law of the District of Columbia, along with a claim of “passing off” under U.K. common law.

The defendants moved under Federal Rule of Civil Procedure 12(b)(2) and (6) to dismiss the case for lack of personal jurisdiction and for failure to state a claim upon which relief can be granted. With respect to Rule 12(b)(2), the district court held IMAPizza had just “eked out a prima facie showing of personal jurisdiction,” but noted that, should the case proceed, At Pizza “may ultimately be able to show that jurisdiction is unreasonable.”

As to Rule 12(b)(6), the district court held IMAPizza’s Copyright and Lanham Act claims failed because the pertinent facts arose beyond the territorial reach of those Acts. More specifically, the district court held IMAPizza failed to allege a domestic violation of its copyrights, as required by the Copyright Act, and IMAPizza’s Lanham Act claims fell beyond the extraterritorial limits of that law. Regarding the trespass claim under D.C. law, the district court held IMAPizza failed to allege facts showing that Lyle or Dhir exceeded the consent granted visitors of &pizza restaurants. Because IMAPizza failed to allege sufficient facts to support the court’s diversity jurisdiction (namely the citizenship of the members of the IMAPizza LLC) even after the district court ordered it to submit evidence, the district court dismissed IMAPizza’s passing off claim under U.K. law for lack of subject matter jurisdiction. The court declined to exercise supplemental jurisdiction as “considerations of comity weighed heavily against issuing injunctive relief, based solely on another country’s laws, to restrain business conduct taking place in that country.” Nonetheless, IMAPizza now asks this court, in the 4 event any of its other claims are remanded, to revive its passing off claim under supplemental jurisdiction. For the reasons set out below, we affirm the judgment of the district court dismissing all of IMAPizza’s claims.

II.

The court reviews de novo the dismissal of a complaint for failure to state a claim. Banneker Ventures, LLC v. Graham, 798 F.3d 1119, 1128 (D.C. Cir. 2015). “To survive a motion to dismiss, a complaint must contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007)).

A. Leave to Amend

Before we turn to the substance of IMAPizza’s claims, we address its challenge to what it describes as the district court’s decision not to grant it leave to amend its complaint. Under Rule 15, leave to amend a complaint is to “be freely given when justice so requires.” Firestone v. Firestone, 76 F.3d 1205, 1208 (D.C. Cir. 1996) (quoting FED. R. CIV. P. 15(a)). We review for abuse of discretion a district court’s decision not to grant leave to amend. Belizan v. Hershon, 434 F.3d 579, 582 (D.C. Cir. 2006).

Under Local Rules 7 and 15.1 of the district court, IMAPizza was required to file a motion for leave to amend and provide a copy of its proposed amended complaint. LCvR 7(a), (i), 15.1; Belizan, 434 F.3d at 582. IMAPizza argues that it did so in its Memorandum in Opposition to the Defendants’ Motion to Dismiss, in which IMAPizza stated that “were the Court inclined to grant the Rule 12(b)(6) challenge in any respect, it should be with leave to amend.” As we have held 5 before, such an informal request does not satisfy the requirements of Local Rules 7 or 15. Belizan, 434 F.3d at 582– 83. Though made in writing, IMAPizza’s request was not a motion, and a copy of the proposed amended complaint was not attached to it. LCvR 7(a), (i), 15.1. There was no abuse of discretion since the plaintiff’s failure to follow the rules denied the district court a proper opportunity to exercise its discretion.

In its reply brief in this court, IMAPizza attempts to elide its failure to request leave to amend by arguing the district court should not have dismissed its complaint with prejudice. IMAPizza forfeited this argument by failing to make it in its opening brief. See In re Asemani, 455 F.3d 296, 300 (D.C. Cir. 2006). Therefore, we take IMAPizza’s complaint as it was filed and considered by the district court.

B. Copyright Act

IMAPizza claims At Pizza infringed its “exclusive rights” to its photographs and its architectural and interior design plans by making unauthorized copies of three copyrighted pictures of &pizza restaurants and taking pictures of &pizza restaurants. 17 U.S.C.

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