MATTEL, INC. v. UNICORN ELEMENT

CourtDistrict Court, S.D. New York
DecidedJune 4, 2021
Docket1:21-cv-02333
StatusUnknown

This text of MATTEL, INC. v. UNICORN ELEMENT (MATTEL, INC. v. UNICORN ELEMENT) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MATTEL, INC. v. UNICORN ELEMENT, (S.D.N.Y. 2021).

Opinion

AY ene Sa DOCUMENT UNITED STATES DISTRICT COURT ELECTRONICALLY FILED SOUTHERN DISTRICT OF NEW YORK DOC #: TTT Te eK DATE FILED: 6/4/21 MATTEL, INC., : Plaintiff, : : 21 Civ. 2333 (VM) -against- : ORDER THE ENTITIES DOING BUSINESS AS : UNICORN ELEMENT AT THE URL : UNICORNELEMENT.NET, et al., : Defendants. : -------- XxX VICTOR MARRERO, U.S.D.J.: Plaintiff Mattel, Inc. (“Mattel”) brings this action against (a) the entities doing business as Unicorn Element at the URL www.unicornelement.net (“Unicorn Element”); (b) the entities doing business as the PayPal, Ince. (“PayPal”) merchant TR (the “PayPal Merchant”); (c) the entities doing

business using the email address Chris Wong601@yahoo.com (“Chris Wongo0l@yahoo.com”); (d) the entities doing business on amazon.com under the brand name Zita Element, under the store name Zita Element, and/or under the business name Yang Liuhui (collectively, “Zita Element”); (e) the entities doing business on amazon.com under the brand name Ecore Fun, under the store name EC2Toy, and/or under the business name Huang Qiong (collectively, “Ecore Fun”); (f) EMMS Trading GmbH (“EMMS”); (g) Zhijian Li (“Li”); (h) Yang Liuhui (“Liuhui”); and (i) Huang Qiong (“Qiong”) (collectively, “Defendants”)

alleging that Defendants infringed Mattel’s registered trademarks and copyrighted works related to Barbie dolls. (See “Complaint,” Dkt. No. 9.) On April 17, 2021, Mattel filed an Amended Complaint. (See “Amended Complaint,” Dkt. No. 33.) Mattel brings trademark claims against Defendants

Unicorn Element, the PayPal Merchant, Chris_Wong601@yahoo.com, Ecore Fun, Li, and Qiong, (collectively, the “Trademark Defendants”). (Id. ¶ 28.) Mattel brings copyright claims against Unicorn Element, the PayPal Merchant, Chris_Wong601@yahoo.com, Zita Element, EMMS, Li, Liuhui, and Qiong (collectively, the “Copyright Defendants”). (Id. ¶ 31.) Now before the Court is Mattel’s Motion for Attachment. (See “Motion,” Dkt. No. 22.) For the reasons set forth below, the Motion is GRANTED. I. BACKGROUND A. FACTUAL BACKGROUND1 Mattel manufactures consumer products including toys,

games, and other playthings. As relevant to this Motion, Mattel manufactures and sells dolls, doll clothes, and doll accessories, which it advertises and distributes under the mark “BARBIE” (the “Barbie Mark”). Defendants are various

1 Except as otherwise noted, the factual background derives from the Amended Complaint and the facts pleaded therein. Except when specifically quoted, no further citation will be made to the Amended Complaint or the documents referred to therein. persons and/or companies engaged in the sale and distribution of doll clothes and accessories. The Barbie Mark is registered on the Principal Register of the U.S. Patent & Trademark Office as No. 3,287,023 (the (“Barbie Registration”). Mattel has used the Barbie Mark in

connection with the sale of doll clothing and accessories since at least 1960. Mattel alleges that the Barbie Mark is inherently distinctive and intrinsic to the goods Mattel sells. Similarly, Mattel alleges that the Barbie Mark is famous throughout the United States, it signals that Mattel is the source of the products, and the general public associates the Barbie Mark with high-quality products. Mattel uses collections of illustrations in connection with the marketing and sale of certain of its Barbie products. As relevant to this action, one such collection, “Barbie A Fashion Fairytale Fall 2010 Entertainment Style Guide” (the “Style Guide”) contains a unique illustration of a Barbie

doll (the “Barbie Illustration”). Mattel registered the copyright in the Style Guide, including the Barbie Illustration, under Copyright Registration Number VA 1-843- 492. Mattel alleges that Defendants, without license or permission, have used both the Barbie Mark and Barbie Illustration in connection with the advertising and sale of products. Mattel further alleges that this infringement was either intentional or reckless. On March 17, 2021, Mattel filed under seal (1) the Complaint alleging Trademark Infringement, Trademark Counterfeiting, False Designation of Origin, Trademark

Dilution, and Copyright Infringement; (2) a proposed Temporary Restraining Order (“TRO”) restraining Defendants from removing funds from certain accounts at Amazon and PayPal; and (3) the present Motion for prejudgment attachment. That same day, the Court entered the TRO. (See Dkt. No. 15.) After the temporary order of attachment was effectuated and service on Defendants was made, the Court unsealed this matter.2 (See Dkt. No. 4.) On April 29, 2021, Defendants filed an opposition to the present Motion. (See “Opposition,” Dkt. No. 30.) On May 12, 2021, Mattel filed a reply brief in support of the Motion. (See “Reply,” Dkt. No. 31.)

B. THE PARTIES’ ARGUMENTS Mattel argues that it has satisfied all the statutory prerequisites for prejudgment attachment and that the Court should exercise its discretion to impose such remedy. Mattel argues it has demonstrated a likelihood of success on its

2 The Court is aware that Defendants may at some further point contest whether proper service was made and reserves judgment on such arguments until they are properly before the Court. trademark claims because the Trademark Defendants have used Mattel’s validly held trademark -- the Barbie Mark -- in the promotion and sale of the Trademark Defendants’ doll clothing and accessories. Similarly, Mattel argues that it has demonstrated a likelihood of success on its copyright claims

because the Copyright Defendants have used Mattel’s validly held copyrighted work -- the Barbie Illustration -- in the promotion and sale of the Coyright Defendants’ products. Defendants respond that Mattel has not demonstrated a likelihood of success on the merits because for both claims Defendants have demonstrated “fair use” of the protected intellectual property. As to trademark, the Trademark Defendants argue that they have used the potentially infringing term other than as a trademark, in a descriptive way, and in good faith. As to copyright, the Copyright Defendants argue that they have transformed the copyrighted work and have so minimally copied it such that they have not

inhibited the market for reproduction. II. LEGAL STANDARD Under Rule 64 of the Federal Rules of Civil Procedure, “every remedy is available that, under the law of the state where the court is located, provides for seizing a person or property to secure satisfaction of the potential judgment.” Fed. R. Civ. P. 64(a). Under New York law, “[a]n order of attachment may be granted in any action . . . where the plaintiff has demanded and would be entitled . . . to a money judgment against one or more defendants, when . . . the defendant is a nondomiciliary residing without the state, or is a foreign corporation not qualified to do business in the

state.” N.Y. C.P.L.R. § 6201 (“Section 6201”). To prevail on a motion for attachment, the plaintiff must also “show by affidavit and such other written evidence as may be submitted, that there is a cause of action, that it is probable that the plaintiff will succeed on the merits . . . and that the amount demanded from the defendants exceeds all counter-claims known to the plaintiff.” Id. § 6212 (“Section 6212”). If the plaintiff can meet the requirements under New York law, a court is permitted, but not required, to issue an order of attachment.

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Bluebook (online)
MATTEL, INC. v. UNICORN ELEMENT, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mattel-inc-v-unicorn-element-nysd-2021.