POLYWAD INC v. ABLES SPORTING INC

District Court, M.D. Georgia·Decided June 21, 2024·No. 5:23-cv-00512·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE MIDDLE DISTRICT OF GEORGIA MACON DIVISION POLYWAD, INC., Plaintiff, CIVIL ACTION NO. v. 5:23-cv-00512-TES ABLE’S SPORTING, INC., et al., Defendants. ORDER GRANTING GAMEMASTERS’S MOTION TO DISMISS FOR LACK OF PERSONAL JURISDICTION Plaintiff Polywad, Inc. (“Polywad”) filed suit, alleging trademark infringement, unfair competition, and false designation of origin against 20 Defendants.1 Now, before the Court is Defendant GameMasters, Inc.’s Motion to Dismiss for lack of personal jurisdiction. [Doc. 87]. Several other Defendants (“Group

2 Defendants”) moved to dismiss for lack of personal jurisdiction by way of a separate motion. [Doc. 86]. However, because the Court has determined that the facts supporting GameMasters’s motion differ from those supporting Group 2’s motion,

the Court will rule on GameMasters’s motion separately. For the foregoing reasons, the Court GRANTS GameMasters’s Motion to Dismiss [Doc. 87] and DISMISSES

1 Plaintiff filed its Original Complaint [Doc. 1] on December 22, 2023, but on April 5, 2024, Plaintiff filed an Amended Complaint [Doc. 78], the operative pleading for purposes of this Order. See [Doc. 81]. without prejudice the claims against it pursuant to Federal Rule of Civil Procedure 12(b)(2).

BACKGROUND Plaintiff Polywad is a Georgia corporation that designs ammunition and consults with ammunition manufacturing companies. [Doc. 1, ¶¶ 4, 52]. Run by its

sole employee, Jay Menefee, Polywad has sold and marketed products bearing its federally registered trademark, “Quik-Shok,” since 1997.2 [Id. at ¶¶ 52–54]. Beginning in 2001, Plaintiff entered into an agreement (“CCI Agreement”) with Cascade

Cartridge, Inc. (“CCI”), allowing CCI to sell a product using Plaintiff’s mark (“CCI Product” or the “Product”). [Doc. 78-2, p. 2]. Plaintiff and CCI, however, terminated their agreement in 2007—thus leaving CCI with no contractual right to use the “Quik- Shok” mark. [Id.].

Unbeknownst to Plaintiff, the Defendants, including GameMasters—who were in the business of selling hunting and/or shooting supplies—continued offering the CCI Product for sale on their websites using a picture of the Product with the old

packaging containing the “Quik-Shok” mark.3 See [Doc. 78, ¶¶ 60–81]. Polywad

2 Polywad received its trademark registration in 1999. [Doc. 78, ¶ 54]. Since 1997, Polywad alleges that it has invested significant time and money into promoting its brand and building consumer goodwill. [Id. at ¶¶ 56–57].

3 Plaintiff does not allege that any Defendant actually sold any physical CCI Product bearing the mark. Instead, Plaintiff alleges that they displayed the old packaging on their website where they offered the CCI Product for sale. See [id. at ¶¶ 62–81]. alleges that Menefee was diligent in protecting the mark and would, for example, “regularly check retail shops which sold ammunition for any infringing products.”

[Id. at ¶ 82]. Yet, for 16 years, Plaintiff had no idea about GameMasters’s or any Defendant’s allegedly infringing use. See [id. at ¶¶ 82–83]. This is because, Plaintiff alleges, its sole owner, Menefee, is in his seventies and “is not particularly ‘computer-

savvy.’” [Id. at ¶ 83]. Not until early June 2023 did Plaintiff search the internet for the “Quik-Shok” mark and discover Defendants’ use. [Id.]. Shortly after the discovery, Plaintiff sent cease-and-desist letters to each Defendant. [Id. at ¶ 84]; [Doc. 78-2].

Although GameMasters is based in Missouri, Plaintiff asserts that this Court has personal jurisdiction over it because of its ties with Georgia. See [Doc. 78, ¶¶ 16, 49–50]. For example, without specifying which products (or distinguishing between Defendants), Plaintiff alleges that “Defendants have and continue to supply their

products and services to partners in Georgia.” [Id. at ¶ 50 (emphasis added)]. Alongside their Motion to Dismiss, GameMasters submitted an affidavit from the company’s vice president, Trevor J. Beck, attempting to disprove Plaintiff’s claim

and establish that GameMasters has no ties to Georgia. [Doc. 87-2]. Specifically, according to Beck, GameMasters has never sold any of the CCI Products at issue to anyone, anywhere, including to residents or businesses located in the state of Georgia. [Id. at ¶¶ 4–5]. And in fact, GameMasters has never made any sale of any

product to a Georgia consumer. [Id. at ¶ 3]. Indeed, GameMasters makes an intentional effort to keep its business within Illinois, Iowa, and Missouri—restricting sales of all ammunition online to residents of those three states by requiring in-store

pickup in Illinois only and requiring identification. See [id. at ¶ 9]. It has no property, offices, or employees in Georgia, and is not registered to do business here. [Id. at ¶ 8]. In Response to GameMasters’s Motion,4 Plaintiff attaches numerous exhibits

(obtained as public information) showing that GameMasters buys and sells products for several firearm and ammunitions companies that are allegedly based in Georgia. See [Doc. 89, ¶ 6],5 in connection with [Doc. 89-12].

LEGAL STANDARD “A plaintiff seeking the exercise of personal jurisdiction over a nonresident defendant bears the initial burden of alleging in the complaint sufficient facts to make out a prima facie case of jurisdiction.” United Techs. Corp. v. Mazer, 556 F.3d 1260, 1274

(11th Cir. 2009). To establish a prima facie case, the plaintiff must “plead sufficient material facts” supporting jurisdictions—not mere legal conclusions. Prentice v. Prentice Colour, Inc., 779 F. Supp. 578, 583 (M.D. Fla. 1991); see United Techs. Corp., 556

F.3d at 1274. If the plaintiff pleads sufficient material facts, the Court must, at first, accept

4 Plaintiff responded to both 12(b)(2) motions to dismiss in a single Response, lumping GameMasters in with the others. See generally [Doc. 89].

5 In Table 2 in its Response, Plaintiff provides an overview of its exhibits, listing which Defendants contract with which Georgia-based companies. [Id. at ¶ 6]. those allegations as true. See Consol. Dev. Corp. v. Sherritt, Inc., 216 F.3d 1286, 1291 (11th Cir. 2000). But if the defendant refutes personal jurisdiction by—as here—

submitting affidavit evidence in support of its position, the burden shifts back to the plaintiff to substantiate its jurisdictional allegations through affidavits, testimony, or other evidence of its own. Future Tech. Today, Inc. v. OSF Healthcare Sys., 218 F.3d 1247,

1249 (11th Cir. 2000). “Where the plaintiff’s complaint and supporting evidence conflict with the defendant’s affidavits, the court must construe all reasonable inferences in favor of the plaintiff.” Meier ex rel. Meier v. Sun Int’l Hotels, Ltd., 288 F.3d

1264, 1269 (11th Cir. 2002). To determine whether personal jurisdiction exists over an out-of-state defendant, courts undertake a two-step analysis. United Techs. Corp., 556 F.3d at 1274. First, a court must determine whether the exercise of jurisdiction is appropriate under

the state long-arm statute. Future Tech. Today, 218 F.3d at 1249; see also Stubbs v. Wyndham Nassau Resort & Crystal Palace Casino, 447 F.3d 1357, 1361 (11th Cir. 2006). Georgia’s long-arm statute, O.C.G.A. § 9-10-91, provides six avenues for courts to

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

POLYWAD INC v. ABLES SPORTING INC, (M.D. Ga. 2024).

POLYWAD INC v. ABLES SPORTING INC (POLYWAD INC v. ABLES SPORTING INC) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Consolidated Development Corp. v. Sherritt, Inc.
216 F.3d 1286 (Eleventh Circuit, 2000)
Meier Ex Rel. Meier v. Sun International Hotels, Ltd.
288 F.3d 1264 (Eleventh Circuit, 2002)
Stubbs v. Wyndham Nassau Resort & Crystal Palace Casino
447 F.3d 1357 (Eleventh Circuit, 2006)
Katie Lowery v. Honeywell International, Inc.
483 F.3d 1184 (Eleventh Circuit, 2007)
Licciardello v. Lovelady
544 F.3d 1280 (Eleventh Circuit, 2008)
United Technologies Corp. v. Mazer
556 F.3d 1260 (Eleventh Circuit, 2009)
International Shoe Co. v. Washington
326 U.S. 310 (Supreme Court, 1945)
Keeton v. Hustler Magazine, Inc.
465 U.S. 770 (Supreme Court, 1984)
Calder v. Jones
465 U.S. 783 (Supreme Court, 1984)
Juan Melgarejo v. Pycsa Panama, S.A.
537 F. App'x 852 (Eleventh Circuit, 2013)
Robertson v. CRI, INC.
601 S.E.2d 163 (Court of Appeals of Georgia, 2004)
Gee v. Reingold
578 S.E.2d 575 (Court of Appeals of Georgia, 2003)
Prentice v. PRENTICE COLOUR, INC.
779 F. Supp. 578 (M.D. Florida, 1991)
Jordan Outdoor Enterprises, Ltd. v. That 70's Store, LLC
819 F. Supp. 2d 1338 (M.D. Georgia, 2011)