Neil Bros. Ltd. v. World Wide Lines, Inc.

425 F. Supp. 2d 325, 2006 U.S. Dist. LEXIS 16874, 2006 WL 861336
CourtDistrict Court, E.D. New York
DecidedApril 4, 2006
Docket05-CV-1198 (ADS)(ATK)
StatusPublished
Cited by86 cases

This text of 425 F. Supp. 2d 325 (Neil Bros. Ltd. v. World Wide Lines, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Neil Bros. Ltd. v. World Wide Lines, Inc., 425 F. Supp. 2d 325, 2006 U.S. Dist. LEXIS 16874, 2006 WL 861336 (E.D.N.Y. 2006).

Opinion

MEMORANDUM OF DECISION AND ORDER

SPATT, District Judge.

This case involves a patent dispute that arose between Neil Brothers Limited (“Neil Brothers” or the “plaintiff’), World Wide Lines, Inc. (“World Wide” or the “defendant”), and APS Promotional Solutions, Inc. (“APS”) regarding the manufacture and sale of novelty drinking mugs that change in appearance when a hot liquid is poured into them. On January 21, 2006, the Court entered a default judgment against APS and referred the matter to United States Magistrate Judge James Orenstein to determine the amount of damages, including reasonable attorney’s fees and costs.

Presently there are three motions before the Court: (1) the plaintiffs motion pursuant to Rule 15(a) of the Federal Rules of Civil Procedure (“Fed. R. Civ.P.”) for leave to amend the amended complaint to add Photo USA Corp. as an additional plaintiff; (2) World Wide’s motion pursuant to 28 U.S.C. § 1404(a) for an Order transferring this action to the Western District of Tennessee; and (3) World Wide’s motion pursuant to Fed.R.Civ.P. 15(a) for leave to amend its answer to add an affirmative defense of inequitable con *327 duct and a counterclaim for breach of contract.

I. BACKGROUND

This action was commenced on March 3, 2005. The facts of this case are fully set forth in the Court’s prior Memorandum of Decision and Order which determined World Wide’s motion pursuant to Fed. R.Civ.P. 12(b)(1) to dismiss for lack of subject matter jurisdiction. See Neil Bros. Ltd. v. World Wide Lines, Inc., 396 F.Supp.2d 340 (E.D.N.Y.2005). Familiarity with the allegations, facts, and defenses as set forth in that Memorandum of Decision and Order is presumed.

In sum, the plaintiff is the owner of two United States Patents. These are Patent No. 6,759,099 B2 (the “'099 patent”), which is entitled “Decoration Method Using Thermochromic Ink,” and was issued by the United States Patent and Trademark Office (“USPTO”) on July 6, 2004. Also there is Patent No. 6,902,775 (the “'775 patent”) entitled “Decoration Method,” which was issued by the USPTO on June 7, 2005. World Wide is the owner of United States Patent No. 6,281,165 (the “'165 patent”) entitled “Thermochromatic Ink Covered Article Having Image Disposed Thereon and Method of Making the Same.” The '165 patent was issued on August 28, 2001. Each of these patents describes a method for manufacturing a product that changes its appearance when heated.

The plaintiff alleges that the defendants are infringing the '099 and '775 patents by manufacturing and selling “color change mugs.” In additional to seeking damages for the infringement of their patents, the plaintiff seeks a declaration that World Wide’s '165 patent is invalid.

II. DISCUSSION

A. World Wide’s Motion for a Change of Venue

A district court may transfer venue, in the interest of justice, “for the convenience of parties and witnesses.” 28 U.S.C. § 1404(a). The movant bears the burden of establishing the propriety of transfer by clear and convincing evidence. Excelsior Designs, Inc. v. Sheres, 291 F.Supp.2d 181, 185 (E.D.N.Y.2003) (citing Ford Motor Co. v. Ryan, 182 F.2d 329, 330 (2d Cir.1950)); see also Hernandez v. Blackbird Holdings, Inc., No. 01 Civ. 4561, 2002 WL 265130, at *1 (S.D.N.Y. Feb.25, 2002). Furthermore, the movant must support its motion with a detailed factual affidavit. See Kiss My Face Corp. v. Bunting, No. 02 Civ. 2645, 2003 WL 22244587, *1 (S.D.N.Y. Sept. 30, 2003); Student Advantage, Inc. v. Int’l Student Exch. Cards, Inc., No. 00 Civ.1971, 2000 WL 1290585, *6 (S.D.N.Y. Sept.13, 2000).

In considering whether to grant a venue transfer, courts engage in a two-part test. The first question is whether the action “might have been brought” in the proposed transferee forum. Second, the Court must determine whether the transfer promotes convenience and justice. See Schertenleib v. Traum, 589 F.2d 1156, 1161 (2d Cir.1978); Invivo Research, Inc. v. Magnetic Resonance Equip. Corp., 119 F.Supp.2d 433, 436 (S.D.N.Y.2000). The parties do not dispute that this action could have been brought in the Western District of Tennessee. Thus, the sole inquiry before the Court with respect to this motion is whether convenience and the interests of justice support the transfer.

In making this determination, the Court is to consider the following factors: (1) convenience of the parties; (2) convenience of witness; (3) relative means of the parties; (4) locus of operative facts and *328 relative ease of access to sources of proof; (5) attendance of witnesses; (6) the weight accorded the plaintiffs choice of forum; (7) calendar congestion; (8) the desirability of having the case tried by the forum familiar with the substantive law to be applied; (9) practical difficulties; and (10) how best to serve the interest of justice, based on an assessment of the totality of material circumstances. See, e.g., Kroll v. Lieberman, 244 F.Supp.2d 100, 102 (E.D.N.Y.2003); [¶] Brous & Co., Inc. v. Synthesys Secure Techs., Inc., 229 F.Supp.2d 191, 198 (E.D.N.Y.2002); Wine Markets Int’l Inc. v. Bass, 939 F.Supp. 178, 181 (E.D.N.Y. 1996); Modern Computer Corp. v. Ma, 862 F.Supp. 938, 948 (E.D.N.Y.1994). The Court has broad discretion in balancing these factors. See In re Cuyahoga Equip. Corp., 980 F.2d 110, 117 (2d Cir.1992); Filmline (Cross-Country) Prods., Inc. v. United Artists Corp., 865 F.2d 513, 520-21 (2d Cir.1989).

The Court gives little weight to the alleged forum selection clause appearing in a patent license agreement signed by the parties in 1998, indicating that Tennessee courts are the “convenient venue.” The defendants cite the following language from the license agreement in support of their argument that the case should be transferred to the Western District of Tennessee:

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
425 F. Supp. 2d 325, 2006 U.S. Dist. LEXIS 16874, 2006 WL 861336, Counsel Stack Legal Research, https://law.counselstack.com/opinion/neil-bros-ltd-v-world-wide-lines-inc-nyed-2006.