Kemin Foods, L.C. v. OmniActive Health Technologies, Inc.

654 F. Supp. 2d 1328, 2009 U.S. Dist. LEXIS 69447, 2009 WL 2365850
CourtDistrict Court, M.D. Florida
DecidedJuly 30, 2009
Docket6:07-cv-01308
StatusPublished
Cited by1 cases

This text of 654 F. Supp. 2d 1328 (Kemin Foods, L.C. v. OmniActive Health Technologies, Inc.) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kemin Foods, L.C. v. OmniActive Health Technologies, Inc., 654 F. Supp. 2d 1328, 2009 U.S. Dist. LEXIS 69447, 2009 WL 2365850 (M.D. Fla. 2009).

Opinion

ORDER

VIRGINIA M. HERNANDEZ COVINGTON, District Judge.

This matter is before the Court pursuant to Defendant OmniAetive Health Technologies Private Limited’s Motion to Dismiss (the “Motion to Dismiss” Doc. # 115), filed on October 15, 2008. On October 28, 2008, Plaintiffs filed their Memorandum of Law in Opposition to the Motion to Dismiss. (Doc. # 138). Upon due consideration, the Court will deny the Motion to Dismiss.

I. Introduction

Plaintiff Kemin Foods, L.C., (hereafter “Kemin”) is an Iowa limited liability company that develops purified lutein for human consumption. (Doc. #83 at ¶ 10). Lutein is an antioxidant and “has been found to decrease the incidence of age-related macular degeneration, which is one of the leading causes of blindness in the elderly.” (Id.) Kemin’s purified lutein is made using a patented process. Specifically, on January 17, 1995, United States Patent No. 5,382,714 (the “714 Patent”), titled “Process for Isolation, Purification and Recrystallization of Lutein from Saponified Marigold Oleoresin and Uses Thereof’ was legally issued to inventor Frederick Khachik. (Id. at ¶ 14). Plaintiff Catholic University of America (hereafter the “CUA”) is the owner, through assignment, of the 714 Patent, and Plaintiff Kemin is the exclusive licensee of the 714 Patent. (Id. at ¶ 15).

OmniAetive Health Technologies Private, Ltd. (hereafter “OmniAetive India”) and OmniAetive Health Technologies, Inc. (hereafter “OmniAetive USA”) are the maker and distributor, respectively, of “Lutemax” and “Lutemax Free Lutein,” lutein products that compete with Plaintiffs’ lutein products. Plaintiffs sue Defendants for patent infringement, mismarking, false advertizing, as well as related claims. Defendants argue that this Court lacks personal jurisdiction over OmniActive India. 1 This Court will address this finite jurisdictional issue before reaching the merits of Plaintiffs’ claims against Defendants.

II. Legal Standard

A court is obligated to dismiss an action against a defendant over which it has no personal jurisdiction. Posner v. Essex Ins. Co., 178 F.3d 1209, 1214 n. 6 (11th Cir.1999). On a motion to dismiss for lack of personal jurisdiction, such as the present one, the plaintiff bears the burden of establishing, by a preponderance of the evidence, that the court has jurisdiction over the defendant. Avocent Huntsville Corp. v. Aten Int’l, Co., 552 F.3d 1324, 1328 (Fed.Cir.2008).

The determination of whether the court has personal jurisdiction over a defendant is governed by a two-part analysis. First, the court must determine whether the plaintiff has alleged facts sufficient to subject the defendant to Florida’s long-arm statute. Future Tech. Today, Inc. v. OSF Healthcare Sys., 218 F.3d 1247, 1249 (11th Cir.2000) (citing Sculptchair, Inc. v. *1331 Century Arts, Ltd., 94 F.3d 623, 626 (11th Cir.1996)).

Second, once it has determined that the long-arm statute is satisfied, the court must determine whether plaintiffs assertion of jurisdiction comports with the Constitution’s requirements of due process and traditional notions of fair play and substantial justice. Sculptchair, Inc., 94 F.3d at 626 (quoting Int’l Shoe Co. v. Wash., 326 U.S. 310, 316, 66 S.Ct. 154, 90 L.Ed. 95 (1945)). This case involves patent law, and therefore, the Court has evaluated the law of the Federal Circuit, when required. See 3D Sys. v. Aarotech Labs., 160 F.3d 1373, 1377 (Fed.Cir.1998) (“While we defer to the interpretation of a state’s long-arm statute given by that state’s highest court, ... when analyzing personal jurisdiction for purposes of compliance with federal due process, Federal Circuit law, rather than regional circuit law, applies.”) Despite this requirement, the same basic test utilized in the Eleventh Circuit for determining personal jurisdiction applies in the Federal Circuit. See Akro v. Luker, 45 F.3d 1541, 1543 (Fed.Cir.1995); Beverly Hills Fan Co. v. Royal Sovereign Corp., 21 F.3d 1558, 1565 (Fed.Cir.1994); Robinson v. Giarmarco & Bill, P.C., 74 F.3d 253, 256 (11th Cir.1996).

The Court must conduct a two-part inquiry to determine whether personal jurisdiction exists under Florida’s long-arm statute and the Due Process Clause of the United States Constitution. The Court will conduct this analysis in detail after a complete discussion of the factual background.

III. Factual Background

A. OmniActive USA and OmniActive India: two sides to the same coin

OmniActive India is the foreign parent corporation of its wholly owned subsidiary OmniActive USA. (Doshi Dep. at 18:20-25; 19:1). OmniActive USA, organized under the law of Delaware, has its headquarters in New Jersey. (Doc. # 83 at ¶ 7). OmniActive India, organized under the law of India, has its principal place of business in Maharashtra, India. (Id. at ¶ 8). OmniActive India owns the U.S. registered trademarks for “Lutemax Free Lutein” and “Lutemax Lutein Esters.” (Id.) OmniActive India engages in the research, development, design, manufacturing, and processing of lutein products. (Bhattacharya Decl. ¶¶ 4 — 5; Deshpande Dep. at 52:17-20; 53:1-25; 54:1-25; 55:1-25; 56:1-25).

OmniActive, USA, on the other hand, exclusively promotes, distributes, and sells lutein products made by OmniActive India in the United States. (Doshi Decl. ¶¶ 2-6). OmniActive India’s lutein products routinely arrive by air from India at either New York’s JFK airport or New Jersey’s Newark airport. (Doshi Dep. at 42:15-25; 43:1-9). OmniActive USA takes title to the lutein products after such products clear customs. (Id. at 55:8-22). However, there is no contract between OmniActive USA and OmniActive India regarding the transfer of title. (Id. at 55:19-20).

In the United States, all sales of OmniActive India-manufactured lutein products are distributed by OmniActive USA from its New Jersey location. (Bhattacharya Decl. ¶¶ 5, 8; Doshi Decl. ¶¶ 2, 6; Hayes Decl. Ex. 5 at 57, 152). OmniActive India does not use any other distributor in the United States. (Bhattacharya Decl. ¶¶ 5, 8; Doshi Decl. ¶¶ 2, 6; Hayes Decl. Ex. 1 at 5-8; Response to Interrog. # 2).

OmniActive USA has only one employee, its president, Hiren Doshi. (Doshi Dep. at 18:12-13).

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654 F. Supp. 2d 1328, 2009 U.S. Dist. LEXIS 69447, 2009 WL 2365850, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kemin-foods-lc-v-omniactive-health-technologies-inc-flmd-2009.