Lumetrics, Inc. v. Bristol Instruments, Inc.

101 F. Supp. 3d 264, 2015 U.S. Dist. LEXIS 55964, 2015 WL 1934327
CourtDistrict Court, W.D. New York
DecidedApril 28, 2015
DocketNo. 6:15-CV-6008 EAW
StatusPublished
Cited by4 cases

This text of 101 F. Supp. 3d 264 (Lumetrics, Inc. v. Bristol Instruments, Inc.) is published on Counsel Stack Legal Research, covering District Court, W.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lumetrics, Inc. v. Bristol Instruments, Inc., 101 F. Supp. 3d 264, 2015 U.S. Dist. LEXIS 55964, 2015 WL 1934327 (W.D.N.Y. 2015).

Opinion

DECISION AND ORDER

ELIZABETH A. WOLFORD, District Judge.

INTRODUCTION

Plaintiff Lumetrics, Inc. (“Plaintiff’) brings the instant action against Defendant Bristol Instruments, Inc. (“Defendant”) alleging that Defendant engaged in copyright infringement, misappropriation [267]*267and inducement of misappropriation of trade secrets, and common law unfair competition. (Dkt. 1). Plaintiff filed its complaint on January 6, 2015 (id), and Defendant filed its answer on January 28, 2015 (Dkt. 6). On February 23, 2015, Plaintiff filed a motion pursuant to Fed.R.Civ.P. 12(f) and 9(b) seeking to strike Defendant’s fourth and seventh affirmative defenses and contending that these affirmative defenses alleging fraud and copyright misuse lacked the requisite factual particularity. (Dkt. 15). On March 20, 2015, Defendant responded to Plaintiffs motion to strike and cross-moved to amend its answer. (Dkt. 19). Defendant seeks to amend its answer to provide further factual allegations in support of its fourth and seventh defenses. (Id.).

Because Defendant’s proposed amended answer corrects any deficiencies in the fourth and seventh affirmative defenses, Defendant’s motion to amend its answer is granted, and Plaintiffs motion to strike is denied as moot.

DISCUSSION

I. Plaintiffs Motion to Strike Defendant’s Fourth and Seventh Affirmative Defenses

Fed.R.Civ.P. 12(f) provides that “[t]he court may strike from a pleading an insufficient defense or any redundant, immaterial, impertinent, or scandalous matter.” Fed.R.Civ.P. 12(f). “Motions to strike affirmative defenses are generally disfavored.” Walsh v. City of New York, 585 F.Supp.2d 555, 557 (S.D.N.Y.2008) (quotation omitted). “ ‘[T]o prevail on a motion to strike: (1) there must be no question of fact which might allow the defense to succeed; (2) there may be no substantial question of law, a resolution of which could allow the defense to succeed; and (3) the moving party must show that it is prejudiced by the inclusion of the defense.’ ” Tardif v. City of New York, 302 F.R.D. 31, 32 (S.D.N.Y.2014) (quoting Cognex Corp. v. Microscan Sys., Inc., 990 F.Supp.2d 408, 418 (S.D.N.Y.2013)).

Plaintiff seeks to strike Defendant’s fourth and seventh affirmative defenses under Fed.R.Civ.P. 12(f) and 9(b). (Dkt. 15). Defendant’s fourth affirmative defense alleges: “Plaintiffs claims are barred by the doctrines of unclean hands, fraud on the Copyright Office, and/or estoppel.” (Dkt. 6 at ¶ 103). Defendant’s seventh affirmative defense alleges: “Plaintiffs copyright claims are barred in whole or in part by copyright misuse.” (Id. at ¶ 106).

Plaintiff contends that these affirmative defenses fail to allege fraud with particularity as required by Fed.R.Civ.P. 9(b). (Dkt. 15-1 at 7) (citing Yurman Design, Inc. v. Chaindom Enters., Inc., No. 99 Civ. 9307(JFK), 2002 WL 31358991, at *2 (S.D.N.Y. Sept. 30, 2002)) (“Defendants must plead their affirmative defenses alleging fraud with the particularity required by Fed.R.Civ.P. 9(b).”).

Fed.R.Civ.P. 9(b) requires that a pleading: “ ‘(1) specify the statements that the [party] contends were fraudulent, (2) identify the speaker, (3) state where and when the statements were made, and (4) explain why the statements were fraudulent.’ ” Stevelman v. Alias Research, Inc., 174 F.3d 79, 84 (2d Cir.1999) (quoting Acito v. IMCERA Grp., Inc., 47 F.3d 47, 51 (2d Cir.1995)).

• Plaintiff contends that Defendant’s fourth affirmative defense lacks any facts “setting forth the speaker of the allegedly fraudulent statements, or the time and place the statements were made.” (Dkt. 15-1 at 9) (emphasis in original). Plaintiff farther argues that Defendant “fails to explain why the statements were allegedly fraudulent, much less even detail what statements were made that were allegedly fraudulent.” (Id.) (emphasis in original). As a result, Plaintiff requests that the [268]*268Court strike Defendant’s fourth affirmative defense for failure to satisfy the heightened pleading standard required for a fraud claim. (Id.).

Plaintiff argues that Defendant’s seventh affirmative defense alleging copyright misuse lacks sufficient facts to demonstrate the basis, upon which Defendant could prevail on the claim, and as a result, this defense must be stricken. (Id.) (citing UMG Recordings, Inc. v. Lindor, 531 F.Supp.2d 453, 459 (E.D.N.Y.2007); Ass’n of Am. Med. Colls. v. Princeton Review, Inc., 332 F.Supp.2d 11, 22-25 (D.D.C.2004)). Plaintiff argues that permitting Defendant to proceed with its copyright misuse affirmative defense without pleading any supporting factual allegations would be “onerous and prejudicial” to Plaintiff. (Id. at 10).

Defendant does not contest the assertion that additional facts are required to support its fourth and seventh affirmative defenses, but instead requests that the Court permit Defendant to amend its answer to provide additional factual support. (Dkt. 19). For the reasons set forth below, Plaintiffs motion to strike is denied as moot in light of the Court’s decision to grant Defendant’s motion for leave to amend.

II. Defendant’s Motion for Leave to Amend

Federal Rule of Civil Procedure 15(a) allows a litigant to amend a pleading by leave of court. Under this rule, “leave shall be freely given when justice so requires.” Fed.R.Civ.P. 15(a)(2). “[I]t is within the sound discretion of the district court to grant or deny leave to amend.” McCarthy v. Dun & Bradstreet Corp., 482 F.3d 184, 200 (2d Cir.2007).

Defendant moves to amend its answer to provide supporting factual allegations for its fourth and seventh affirmative defenses of fraud on the Copyright Office and copyright misuse. (Dkt. 19). Plaintiff counters that Defendant’s “proposed amended allegations of fraud and copyright misuse still fail to satisfy Fed.R.Civ.P. 12(b)(6) and 9(b),” and because Defendant’s proposed amendments would be futile, Defendant’s cross-motion to amend should be denied. (Dkt. 23 at 5).

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101 F. Supp. 3d 264, 2015 U.S. Dist. LEXIS 55964, 2015 WL 1934327, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lumetrics-inc-v-bristol-instruments-inc-nywd-2015.