Natural Alternatives International, Inc. v. Allmax Nutrition, Inc.

258 F. Supp. 3d 1170
CourtDistrict Court, S.D. California
DecidedJune 26, 2017
DocketCase No.: 16-cv-01764-H-AGS
StatusPublished
Cited by3 cases

This text of 258 F. Supp. 3d 1170 (Natural Alternatives International, Inc. v. Allmax Nutrition, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Natural Alternatives International, Inc. v. Allmax Nutrition, Inc., 258 F. Supp. 3d 1170 (S.D. Cal. 2017).

Opinion

ORDER:

(1) GRANTING DEFENDANT ALL-MAX’S MOTION FOR JUDGMENT ON THE PLEADINGS AND DEFENDANT HBS’S MOTION TO DISMISS WITH PARTIAL LEAVE TO AMEND; AND

(2) DENYING PLAINTIFF’S MOTION FOR JUDGMENT ON THE PLEADINGS

MARILYN L. HUFF, District Judge

On April 25, 2017, Defendant Allmax Nutrition, Inc. filed a motion for judgment on the pleadings pursuant to Federal Rule of Civil Procedure 12(c), and Defendant HBS International Corp. filed a motion to dismiss Plaintiff Natural Alternatives International, Inc.’s first amended complaint pursuant to Federal Rule of Civil Procedure 12(b)(6). (Doc. Nos. 43, 44.) On May 19, 2017,' Plaintiff filed an opposition to Defendants’ motions. (Doc. No. 56.) On June 2, 2017, Defendants filed a reply. (Doc. No. 59.)

On May 22, 2017, Plaintiff NAI filed a motion for judgment on the pleadings pursuant to Federal Rule of Civil Procedure 12(c). (Doc. No. 57.) On June 12, 2017, Defendants filed an opposition to Plaintiffs motion. (Doc. No. 61.) On June 19, 2017, Plaintiff filed its reply. (Doc. No. 62.)

The Court held a hearing on the matters on June 26, 2017. Richard J. Oparil, William J. McKeague, and Frederick W. Kos-mo appeared for Plaintiff NAI. Ragesh K. Tangri appeared for Defendants Allmax and HBS. For the reasons below, the Court denies Plaintiffs Rule 12(c) motion, and the Court grants Defendants’ Rule 12 motions with partial leave to amend.

Background

The following facts are taken from the allegations in Plaintiffs first amended complaint. Plaintiff NAI is a formulator, manufacturer, marketer, and supplier of nutritional supplements. (Doc. No. 11, FAC ¶ 11.) Plaintiff sells its branded Car-noSyn® beta-alanine product to customers throughout the United States and in other countries. (Id. ¶ 1.) Plaintiff alleges that its CarnoSyn® product is covered by a robust portfolio of trademark, copyright, and patent rights. (Id.)

Plaintiff alleges that Defendants Allmax •and HBS International Corp. offer to sell and sell dietary supplements containing beta-alanine in the United States, including through retailers located in California. (Id. ¶¶ 1, 8-9, 27-31.) Plaintiff further alleges that Defendants’ website utilizes Plaintiffs trademarks and copyrights in the marketing of Defendants’ beta-alanine products. (Id. ¶¶ 31-55.) Plaintiff alleges that these acts constitute trademark, copyright, and patent infringement. (Id. ¶¶ 77-95.)

On July 8, 2016, Plaintiff filed a complaint against Defendant Allmax, alleging claims for: (1) violation of the Lanham Act § 32; (2) copyright infringement; and (3) patent infringement. (Doc. No 1.) On October 13, 2016, Defendant Allmax filed a motion to dismiss Plaintiffs complaint for lack of personal jurisdiction. (Doc. No. 9.) In response to Allmax’s motion to dismiss, [1175]*1175on October 19, 2016, Plaintiff filed a first amended complaint adding HBS as an additional defendant and alleging the same causes of action as in the original complaint and adding a claim for civil conspiracy. (Doc. No. 11.) In light of Plaintiffs first amended complaint, on October 20, 2016, the Court denied Defendant Allmax’s motion to dismiss Plaintiffs original complaint as moot. (Doc. No. 13.)

On November 16, 2017, Defendant All-max filed a motion to dismiss Plaintiffs first amended complaint for lack of personal jurisdiction. (Doc. No. 18.) On February 21, 2017, the Court denied Allmax’s motion to dismiss for lack of personal jurisdiction. (Doc. No. 32.) On March 14, 2017, Defendant Allmax filed counterclaims and an answer to1 Plaintiffs first amended complaint. (Doc. No. 33.). ■

By the present motions, Defendant All-max moves for judgment on the pleadings pursuant to Federal Rule of Civil Procedure 12(c) and Defendant HBS moves for dismissal pursuant to Federal Rule of Civil Procedure 12(b)(6) as to Plaintiff’s claims for violation of Lanham Act § 32; patent infringement, and civil conspiracy.1 (Doc; Nos. 43-1 at 1, 44-1 at 1.) In addition, Plaintiff moves for judgment on the pleadings pursuant to Federal Rule of Civil Procedure 12(c) as to Defendant Allmax’s fourth affirmative defense and second counterclaim raising invalidity of the patents-in-suit. (Doc. No. 57-1 at 2.)

Discussion

I. Legal Standards for a Rule 12(b)(6) Motion to Dismiss and a Rule 12(c) Motion for Judgment on the Pleadings

In patent cases, a motion to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(6) and a motion-for judgment on the pleadings pursuant to Federal Rule of Civil Procedure 12(c) are both governed by the applicable law of the regional circuit. K-Teeh Telecommunications, Inc. v. Time Warner Cable, Inc., 714 F.3d 1277, 1282 (Fed. Cir. 2013); Amdocs (Israel) Ltd. v. Openet Telecom, Inc., 841 F.3d 1288, 1293 (Fed. Cir. 2016). Federal Rule of Civil Procedure 8(a)(2) requires that a pleading stating a claim for relief containing “a short and plain statement of the claim showing that the pleader is entitled to relief.” The function of this pleading requirement is to “give the defendant fair notice of what the .... claim is and the grounds upon which it rests.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). A motion to dismiss under Federal Rule of Civil Procedure 12(b)(6) tests the legal sufficiency of the pleadings and allows a court to dismiss a. complaint if the plaintiff has failed to state a claim upon which relief can be granted. See Conservation Force v. Salazar, 646 F.3d 1240, 1241 (9th Cir. 2011).

Federal Rule of Civil Procedure 12(c) provides“[a]fter the pleadings are closed— but early enough not to delay trial — a party may move for judgment on the pleadings.” The Ninth Circuit has explained that the standard for deciding a Rule 12(c) motion “is ‘functionally identical’” to the standard for deciding a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6). Cafasso, U.S. ex rel. v. Gen. Dynamics C4 Sys., Inc., 637 F.3d 1047, 1055 n.4 (9th Cir. 2011) (quoting Dworkin v.

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Bluebook (online)
258 F. Supp. 3d 1170, Counsel Stack Legal Research, https://law.counselstack.com/opinion/natural-alternatives-international-inc-v-allmax-nutrition-inc-casd-2017.