Opulent Treasures, Inc. v. Ya Ya Creations, Inc.

CourtDistrict Court, E.D. Texas
DecidedMarch 30, 2022
Docket2:21-cv-00313
StatusUnknown

This text of Opulent Treasures, Inc. v. Ya Ya Creations, Inc. (Opulent Treasures, Inc. v. Ya Ya Creations, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Opulent Treasures, Inc. v. Ya Ya Creations, Inc., (E.D. Tex. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF TEXAS MARSHALL DIVISION

OPULENT TREASURES, INC., § §

§ Plaintiff, §

§ v. § CIVIL ACTION NO. 2:21-CV-00313-JRG

§ YA YA CREATIONS, INC., § § Defendant. §

ORDER Before the Court is Defendant Ya Ya Creations, Inc.’s (“YYC” or “Defendant”) Motion to Transfer Venue Pursuant to 28 U.S.C. § 1404(a) (the “Motion”). (Dkt. No. 24). In the Motion, Defendant requests that the Court transfer the above-captioned case from this District (“EDTX”) to the Central District of California (“CDCA”) pursuant to 28 U.S.C. § 1404(a). Having considered the Motion, the relevant briefing, and the applicable law, the Court finds that the Motion should be and hereby is GRANTED. I. BACKGROUND

Plaintiff Opulent Treasures, Inc. (“Opulent” or “Plaintiff”) filed its complaint against YYC on August 17, 2021, alleging that YYC’s marking, distribution, and sale of certain home décor items (the “Accused Products”) infringe, dilute, and misappropriate Opulent’s registered and unregistered trademark and trade dress rights under the Lanham Act, the Texas Business and Commerce Code, and common law. (Dkt. No. 1 at ¶¶ 41, 52, 61, 68, 74, 80, 86, 92, 99, and 105). Opulent filed an amended complaint against YYC on December 23, 2021, expanding the number of Accused Products and trade dress at issue. (See Dkt. No. 19 at ¶ 41). YYC filed the instant Motion one month later on January 20, 2022, requesting that the Court transfer this case to the CDCA. (Dkt. No. 24). Plaintiff Opulent is a California corporation maintaining its principal place of business at 129 Lomita Street, El Segundo, California 90245 in the CDCA. (Dkt. No. 19 at ¶ 3; Dkt. No. 24-3).

Defendant YYC is a California corporation headquartered and with its principal place of business at 13155 Railroad Avenue, City of Industry, California 91746 also in the CDCA. (Dkt. No. 19 at ¶ 4). II. LEGAL STANDARD

In evaluating a motion to transfer pursuant to § 1404(a), the Court considers the Fifth Circuit’s non-exhaustive list of private and public interest factors. In re Volkswagen AG, 371 F.3d 201, 203 (5th Cir. 2004) (“Volkswagen І”). The private interest factors include: (1) “the relative ease of access to sources of proof;” (2) “the availability of compulsory process to secure the attendance of witnesses;” (3) “the cost of attendance for willing witnesses;” and (4) “all other practical problems that make trial of a case easy, expeditious and inexpensive.” Id. The public interest factors include: (1) “the administrative difficulties flowing from court congestion;” (2) “the local interest in having localized interests decided at home;” (3) “the familiarity of the forum with the law that will govern the case;” and (4) “the avoidance of unnecessary problems of conflict of laws.” Id. To support a claim for transfer under § 1404(a), a movant must demonstrate that the transferee venue is “clearly more convenient” than the current District. In re Volkswagen of Am., Inc., 545 F.3d 304, 315 (5th Cir. 2008) (“Volkswagen II”). The elevated burden to show that the transferee forum is “clearly more convenient” reflects the respect owed to the Plaintiff’s choice of forum. In re Vistaprint Ltd., 628 F.3d 1342, 1344 (Fed. Cir. 2010). III. DISCUSSION

As a preliminary matter, YYC asserts—and Opulent does not contest—that this case could have originally been filed in the CDCA because YYC is incorporated and headquartered in the CDCA and a trademark owner may file an infringement action in “a judicial district in which any defendant resides, if all defendants are residents of the State in which the district is located.” 28 U.S.C. § 1391(b). Accordingly, the Court analyzes the private and public interest factors to determine whether YYC has met its burden of showing that the CDCA is clearly more convenient than the EDTX in this case. A. The Relative Ease of Access to Sources of Proof

YYC argues that this factor weighs strongly in favor of transfer because both YYC and Opulent are California corporations with their principal places of business in the CDCA. (Dkt. No. 24 at 8; Dkt. No. 24-1 at ¶¶ 4–12; Dkt. No. 24-3). Accordingly, YYC asserts that all relevant physical evidence is located in the CDCA where the employees who designed, developed, and marketed the Accused Products work and where its documents are maintained. (Dkt. No. 24 at 8). YYC’s CEO Michtell Su identifies “sample products as well as product labels and marketing materials for YYC [which] are located in the City of Industry” in the CDCA. (Dkt. 24-1 at ¶ 12). Specifically, the sample products include 20 different models of large physical cake stands and dessert platters, which YYC claims would be cumbersome to transport to Texas. (Dkt. No. 34 at 1–2; see also Dkt. No. 19 at 11–14). YYC further argues that Opulent’s documents are also located in the CDCA and notes that Opulent has failed to identify specific documents or sources of proof in the EDTX. (Dkt. No. 24 at 8). Opulent argues that this factor weighs against transfer because YYC fails to specify with particularity the identity, volume, and format (electronic or paper) of its documents or how the documents would be used at trial. (Dkt. No. 32 at 3). Opulent notes that YYC has already produced sales figures and invoices, and thus transporting such documents to Marshall would not result in additional inconvenience. (Id. at 4 citing Dkt. No. 32-1). Further, Opulent argues that YYC admitted that it sells products to customers in this District, and therefore customers in the EDTX

possess documents that are relevant sources of proof. (Id. at 4). Finally, Opulent argues that transporting large cake platters for trial in the EDTX will not be inconvenient because YYC ships its products to customers in Texas during the ordinary course of its business. (Dkt. No. 36 at 2). The Court finds that YYC’s arguments regarding the relative ease of access to sources of proof are more persuasive. The Court notes that both Plaintiff and Defendant have offices only in the CDCA and therefore have no documents at places of business in Texas or within the EDTX. While YYC only categorically identified documents located in the CDCA and has already produced some marketing data, Opulent fails to rebut YYC’s showing that relevant documents are primarily in the CDCA. Even if such documents were electronic and could be easily accessed in the EDTX, the physical Accused Products—large decorative cake platters and tangible home décor

items—are located in the CDCA and not in the EDTX. Further, Plaintiff has failed to identify any specific documents held by unnamed customers in this District and merely speculates that such exist. Accordingly, this factor weighs in favor of transfer. B. The Availability of Compulsory Process to Secure the Attendance of Witnesses

YYC argues that this factor favors transfer by identifying several non-party witnesses subject to absolute subpoena power in the CDCA. (Dkt. No. 24 at 5). First, YYC identifies Tal Grinblat—the attorney who filed and prosecuted Opulent’s U.S. Trademark Registration Nos. 5,912,235 on the Primary Register, and Nos. 4,729,341; 4,733,374; and 4,729,340 on the supplemental register—as a non-party witness who lives and works in the CDCA. (Dkt. No. 24 at 5; Dkt. No. 24-2 at ¶¶ 4, 5).

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Related

In Re Acer America Corp.
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In Re Vistaprint Limited
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In Re Genentech, Inc.
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In Re Volkswagen Ag Volkswagen of America, Inc.
371 F.3d 201 (Fifth Circuit, 2004)
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In re Volkswagen of America, Inc.
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Bluebook (online)
Opulent Treasures, Inc. v. Ya Ya Creations, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/opulent-treasures-inc-v-ya-ya-creations-inc-txed-2022.