LBLA Beauty, LLC v. 11177753 Canada Corporation

CourtDistrict Court, E.D. Virginia
DecidedFebruary 12, 2024
Docket1:23-cv-00665
StatusUnknown

This text of LBLA Beauty, LLC v. 11177753 Canada Corporation (LBLA Beauty, LLC v. 11177753 Canada Corporation) is published on Counsel Stack Legal Research, covering District Court, E.D. Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
LBLA Beauty, LLC v. 11177753 Canada Corporation, (E.D. Va. 2024).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF VIRGINIA Alexandria Division

LBLA BEAUTY, LLC, ) ) Plaintiff, ) ) v. ) Civil Action No. 1:23-cv-665 (RDA/LRV) ) 11177753 CANADA CORPORATION, ) d/b/a LLBA PROFESSIONAL ) ) Defendant. )

MEMORANDUM OPINION AND ORDER This matter comes before the Court on Defendant 11177753 Canada Corporation d/b/a LLBA Professional’s (“Defendant”) Motion to Dismiss (“Motion”). Dkt. 8. This Court has dispensed with oral argument as it would not aid in the decisional process. See Fed. R. Civ. P. 78(b); Local Civil Rule 7(J). This matter has been fully briefed and is now ripe for disposition. Considering the Motion together with Defendant’s Memorandum in Support (Dkt. 9), Plaintiff LBLA Beauty, LLC’s (“Plaintiff”) Opposition (Dkt. 15), and Defendant’s Reply (Dkt. 16), the Court GRANTS-IN-PART and DENIES-IN-PART Defendant’s Motion for the reasons that follow. I. BACKGROUND A. Factual Background1 Plaintiff LBLA Beauty, LLC brings seven counts against Defendant Canada Corporation 11177753, LLBA Professional, including: (1) federal trademark infringement; (2) federal unfair

1 This Court accepts all facts alleged within the Complaint as true, as it must at the motion- to-dismiss stage. Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009); Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555 (2007). competition; (3) federal trademark dilution; (4) Virginia statutory trademark infringement; (5) common law trademark infringement; (6) common law unfair competition; and (7) violation of the Virginia Consumer Protection Act. Dkt. 1 ¶¶ 50-88. Plaintiff is a California limited liability company with its principal place of business in

Torrance, California. Id. ¶ 1. Plaintiff markets and sells eyelash extensions, supplies, and beauty products throughout the United States, including in the Commonwealth of Virginia. Id. ¶ 2. Defendant is also an eyelash extension supply brand that specializes in eyelash extension tools and kits. Id. ¶¶ 3-5. Defendant markets and provides its goods throughout Canada, Europe, and the United States, including the Commonwealth of Virginia. Id. Plaintiff is the purported current owner2 of U.S. Trademark Registration No. 5591441 (the “‘441 Registration”) and U.S. Trademark Registration No. 5964570 (the “‘570 Registration”), both issued by the United States Patent and Trademark Office (“USPTO”). Id. ¶¶ 11-12. USPTO assignment records show that the former corporation, LBLA Beauty, Inc., executed purported nunc pro tunc assignments to Plaintiff LBLA Beauty, LLC, for both the ‘441 Registration and the ‘570 Registration on May 22, 2023, and recorded the assignments on July 12, 2023.3 Dkt. 9 at 4-5. The two trademarks,

collectively the “LBLA Mark” include: (1) the LBLA mark for cosmetic preparations for eyelashes, false lashes, adhesives for affixing false eyelashes, tweezers and hair-removing

2 Defendant contends that Plaintiff is not the current owner for both the ‘441 Registration and the ‘570 Registration because the assignments are invalid and the prior owner entity, LBLA Beauty, Inc., had ceased to legally exist before proper transfer of ownership. Dkt. 9 at 8.

3 This Court takes judicial notice of the USPTO records as they are matters of public record “generally known within [this Court’s] territorial jurisdiction” and “can be accurately and easily determined from sources whose accuracy cannot be reasonably questioned.” Fed. R. Evid. 201; see ZAO Odessky Konjatschnyi Zawod v. SIA Baltmark Inv., No. 1:12CV515 JCC/IDD, 2013 WL 5945677, at *3 (E.D. Va. Nov. 6, 2013) (“The Court may also take judicial notice of matters of public record”). tweezers, and eyelash extension services; (2) the L LBLA mark together with the associated black and white logo for false eyelashes, adhesives for affixing false eyelashes, cosmetic preparations for eyelashes, eyelash cleanser foam, liquid make-up remover, and tweezers. Dkt. 1 ¶¶ 11-12. Plaintiff’s allegations arise from Defendant’s use of the name LLBA in its U.S. advertising

and marketing of its products and services and Defendant’s sale of its eyelash extension products and services to the general public. Id. ¶¶ 17-18, 21. Plaintiff claims that it has been using the LBLA Mark and brand name since May 2018 after obtaining incontestable federal trademark registrations, and that Defendant knew about Plaintiff’s registrations and long-term use of the LBLA Mark prior to operating business under the name LLBA. Id. ¶¶ 21, 38. Further, Defendant owns and operates the websites https://www.llbaprofessional.com and https://llbaprofessional.us (the “Defendant Websites”) where it displays the “LLBA Professional Mark” and name. Id. ¶¶ 22-23. Plaintiff alleges that the marks used on the Defendant Websites are confusingly similar to the LBLA Mark and that Defendant intentionally and purposefully uses them to emphasize and draw attention to the LLBA Professional name for the consuming public. Id. ¶ 24. Moreover,

Plaintiff claims that Defendant’s use of the LLBA Professional Mark causes confusion among both of the parties’ customers, which is demonstrated by the multiple customer complaints that Plaintiff has received regarding Defendant’s products. Id. ¶ 26. Plaintiff alleges that it has spent time and funds to establish recognition of the LBLA Mark through web, email, and app notifications while also promoting the LBLA Mark through digital advertising on social media platforms such as Instagram, Pinterest, Google Ads, YouTube, TikTok, and Facebook. Id. ¶ 38. Furthermore, Plaintiff alleges that it has displayed the LBLA Mark on all of its product packaging and other public materials. Id. ¶¶ 38-39. Plaintiff also claims to have spent nearly $95,000 in advertising for its items and $980,000 in advertising subcontractor expenses, including an additional $139,000 in 2023 alone. Id. ¶ 40. Plaintiff alleges that due to its marketing efforts, it has been nationally recognized, it has generated over $45 million in sales revenue in five years, and it has been featured on podcasts such as the Joanna Lee Podcast and LashFest Podcast, as well as on trade shows such as LASHCONference, Love Lash Congress

Miami, International Beauty Show Las Vegas, BeautyCon LA, LashBash Conference, Good Day LA, and FOXNews Los Angeles. Id. ¶¶ 41-42. Plaintiff further alleges that Defendant did not license, obtain any rights, or get Plaintiff’s permission to use the LBLA Mark in connection with advertising or promotion of its goods and services. Id. ¶ 46. Therefore, according to Plaintiff, it had no control over the quality of Defendant’s eyelash extension goods and services. Id. ¶ 49. On October 5, 2021, Plaintiff sent Defendant a letter via email regarding the use of the LLBA Professional Mark and alleging that the use of that was a violation of Plaintiff’s trademark rights for the LBLA Mark and that it would likely dilute Plaintiff’s brand name. Id. ¶ 27. Defendant sent two letters in reply via email addressing Plaintiff’s allegations and stating that it believed that there would not be a likelihood of confusion given the brands in the marketplace. Id.

¶ 28. Consequently, Plaintiff alleges that Defendant refused to stop its use of the LLBA Professional Mark and filed an application with the USPTO to register it (U.S. Serial No. 97414931). Id. ¶ 30. In response, Plaintiff sent another warning letter and filed a Letter of Protest (“LOP”) to the USPTO with respect to Defendant’s filing based on likelihood of confusion. Id. ¶¶ 31-32.

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Bluebook (online)
LBLA Beauty, LLC v. 11177753 Canada Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lbla-beauty-llc-v-11177753-canada-corporation-vaed-2024.