Kangol LLC v. Hangzhou Chuanyue Silk Import & Export Co., Ltd.

Court of Appeals for the Seventh Circuit·Decided May 29, 2026·No. 25-2205·Published·Kirsch

Opinion

In the

United States Court of Appeals For the Seventh Circuit

No. 25-2205 KANGOL LLC, Plaintiff-Appellee,

v.

HANGZHOU CHUANYUE SILK IMPORT & EXPORT CO., LTD., Defendant-Appellant.

Appeal from the United States District Court for the Northern District of Illinois, Eastern Division. 24-cv-01636 — Sharon Johnson Coleman, Judge.

ARGUED FEBRUARY 25, 2026 — DECIDED MAY 29, 2026

Before KIRSCH, JACKSON-AKIWUMI, and PRYOR, Circuit Judges.

KIRSCH, Circuit Judge. Kangol LLC brought a trademark infringement and counterfeiting action against dozens of e- commerce vendors. According to Kangol, most of the defendants reside in China, including Hangzhou Chuanyue Silk Import & Export Co., Ltd. A recurring question in these types of lawsuits, often referred to as Schedule A cases, is whether the Convention on the Service Abroad of Judicial and 2 No. 25-2205

Extrajudicial Documents in Civil or Commercial Matters (the Hague Service Convention) permits plaintiffs to serve defendants in China by email. Believing that it does, the district court allowed Kangol to serve Hangzhou by email. After default judgment was entered, Hangzhou eventually appeared and moved to vacate the judgment for lack of proper service. The court denied Hangzhou’s motion, reasoning that the Hague Service Convention permits service by email in China. We conclude the opposite; the Convention prohibits email service in China. However, the district court must decide whether the Convention applies at all. We therefore reverse and remand for further proceedings consistent with this opinion.

I

Kangol LLC is a clothing company known for hats depicting its kangaroo logo. In February 2024, Kangol sued 25 defendants , including Hangzhou Chuanyue Silk Import & Export Co., Ltd., for trademark infringement, counterfeiting, unfair competition, false designation of origin, and trademark dilution in violation of the Lanham Act. See 15 U.S.C. § 1114(1) (trademark infringement and counterfeiting); id. § 1125(a) (unfair competition and false designation of origin); id. § 1125(c) (trademark dilution). According to Kangol’s complaint , the defendants are all e-commerce vendors selling products on platforms like Alibaba, and most of them are based in China. Suits of this nature are known as Schedule A cases, because—as here—the defendants are identified in a Schedule A document filed with the complaint. See Eicher Motors Ltd. v. P’ships and Unincorporated Assn’s Identified on Schedule “A”, 794 F. Supp. 3d 543, 546 (N.D. Ill. 2025) (discussing Schedule A cases).

No. 25-2205 3

As is common in Schedule A cases, Kangol moved for a temporary restraining order and for permission to effect service by email. In support of the request for email service, Kangol represented that it was “very difficult” to ascertain the true identities and locations of the defendants “given that [they] are primarily Chinese entities that sell counterfeit goods on online sales platforms and typically do not disclose reliable information about their identities and locations in connection with their online storefronts[.]” The district court approved Kangol’s request for service by email and entered a temporary restraining order.

Shortly thereafter, in April 2024, Kangol sent Hangzhou an email containing a link to the complaint, temporary restraining order, summons, and other documents. The same day, Hangzhou reached out to Kangol to begin settlement negotiations . And over the next several months, until February 2025, several attorneys representing Hangzhou attempted to negotiate with Kangol.

Despite this awareness of the lawsuit, Hangzhou never appeared before the district court. So, in May 2024, the court entered default judgment in favor of Kangol. The final judgment order directed third parties holding funds for the defaulting defendants to release those funds to Kangol as partial payment in fulfillment of the judgment. At some point between January and February 2025—the record doesn’t identify precisely when—Kangol successfully collected a portion of the judgment from Hangzhou’s Amazon account.

In February 2025, Hangzhou appeared and filed a motion to vacate the default judgment. Hangzhou’s primary argument was that the judgment was void under Federal Rule of Civil Procedure 60(b)(4) because service by email in China 4 No. 25-2205

was prohibited by the Hague Service Convention, Nov. 15, 1965, 20 U.S.T. 361, T.I.A.S. No. 6638, to which the United States and China are both parties. Hangzhou also argued that the default judgment itself violated the Hague Service Convention and that the district court’s order violated Illinois procedure for post-judgment collection. The district court denied the motion to vacate, concluding that the Hague Service Convention permits service by email in China and rejecting Hangzhou ’s other arguments.

II

We start by addressing Kangol’s waiver and timeliness arguments , neither of which we find compelling. Kangol argues , for the first time on appeal, that Hangzhou waived its service objection by waiting ten months after the entry of default judgment to raise the issue. Because Kangol didn’t present this argument below, it is waived. See Pable v. Chi. Transit Auth., 145 F.4th 712, 724–25 (7th Cir. 2025) (noting that a waiver argument can be waived). Though Hangzhou didn’t argue waiver by Kangol in its reply brief, “the waiver doctrine is designed for our own protection as much as that of an opposing party, and therefore need not be asserted by a party for us to invoke it.” United States v. Hassebrock, 663 F.3d 906, 914 (7th Cir. 2011) (citation modified).

Even if we were to consider Kangol’s argument, we would not find waiver by Hangzhou. A defendant waives an objection to improper service if he “gives a plaintiff a reasonable expectation that he will defend the suit on the merits or where he causes the court to go to some effort that would be wasted if personal jurisdiction is subsequently found lacking.” Hedeen Int’l, LLC v. Zing Toys, Inc., 811 F.3d 904, 906 (7th Cir. 2016). We’ve declined to find such waiver when the parties

No. 25-2205 5

have only engaged in preliminary pretrial litigation activities, such as settlement discussions. See Am. Patriot Ins. Agency, Inc. v. Mut. Risk Mgmt., Ltd., 364 F.3d 884, 888 (7th Cir. 2004). And that’s all that happened during the ten-month period here; Hangzhou tried, and failed, to settle the matter with Kangol. See id. at 887–88 (rejecting the suggestion that a ninemonth delay constitutes waiver). Moreover, Kangol doesn’t identify any inconvenience it has suffered or any wasted action by the district court. See id. at 888.

Kangol also argues that Hangzhou’s motion to vacate is untimely under Federal Rule of Civil Procedure 60(c)(1), relying on the Supreme Court’s recent decision in Coney Island Auto Parts Unlimited, Inc. v. Burton Trustee for Vista-Pro Automotive , LLC, 607 U.S. 155 (2026). Rule 60(c)(1) requires motions under Rule 60(b) to be made within a reasonable time. Coney Island clarifies that this timeliness requirement applies to motions asserting that a judgment is void under Rule 60(b)(4). 607 U.S. at 157. As relevant here, the Court acknowledged that the reasonable-time requirement doesn’t impose a fixed time limit. Id. at 160. And it indicated that, “in the context of a default judgment, it might be reasonable for a defendant not to seek relief before learning about a plaintiff’s attempted enforcement .” Id.

That’s what happened here. After months of failed settlement negotiations, Kangol enforced the judgment by collecting partial payment from Hangzhou’s Amazon account. Though the precise date of enforcement isn’t clear, Hangzhou filed its motion to vacate the judgment no more than two months later. It thus appears that Hangzhou sought relief shortly after learning about Kangol’s first attempted—and successful—enforcement of the default judgment. And 6 No. 25-2205

Free access — add to your briefcase to read the full text and ask questions with AI

Kangol LLC v. Hangzhou Chuanyue Silk Import & Export Co., Ltd., (7th Cir. 2026).

Kangol LLC v. Hangzhou Chuanyue Silk Import & Export Co., Ltd. (Kangol LLC v. Hangzhou Chuanyue Silk Import & Export Co., Ltd.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Volkswagenwerk Aktiengesellschaft v. Schlunk
486 U.S. 694 (Supreme Court, 1988)
TRW Inc. v. Andrews
534 U.S. 19 (Supreme Court, 2001)
Philos Technologies, Inc. v. Philos & D, Inc.
645 F.3d 851 (Seventh Circuit, 2011)
United States v. Hassebrock
663 F.3d 906 (Seventh Circuit, 2011)
Anouar Darif v. Eric Holder, Jr.
739 F.3d 329 (Seventh Circuit, 2014)
Philos Technologies, Inc. v. Philos & D, Inc.
802 F.3d 905 (Seventh Circuit, 2015)
Hedeen International, LLC v. Zing Toys, Inc.
811 F.3d 904 (Seventh Circuit, 2016)
Water Splash, Inc. v. Menon
581 U.S. 271 (Supreme Court, 2017)
Hall v. Berryhill
906 F.3d 640 (Seventh Circuit, 2018)