SPY OPTIC INC. v. The Individuals, Business Entities, and Unincorporated Associations Identified on Schedule "A"

CourtDistrict Court, S.D. Florida
DecidedMarch 22, 2022
Docket0:21-cv-62472
StatusUnknown

This text of SPY OPTIC INC. v. The Individuals, Business Entities, and Unincorporated Associations Identified on Schedule "A" (SPY OPTIC INC. v. The Individuals, Business Entities, and Unincorporated Associations Identified on Schedule "A") is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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SPY OPTIC INC. v. The Individuals, Business Entities, and Unincorporated Associations Identified on Schedule "A", (S.D. Fla. 2022).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF FLORIDA

CASE NO. 21-CV-62472-RAR

SPY OPTIC INC.,

Plaintiff, v.

THE INDIVIDUALS, BUSINESS ENTITIES, AND UNINCORPORATED ASSOCIATIONS IDENTIFIED ON SCHEDULE “A,”

Defendants. /

ORDER GRANTING PLAINTIFF’S MOTION FOR FINAL DEFAULT JUDGMENT

THIS CAUSE comes before the Court upon Plaintiff’s Motion for Entry of Final Default Judgment [ECF No. 35] (“Motion”). Plaintiff Spy Optic, Inc. seeks entry of a default final judgment against Defendants, the Individuals, Business Entities, and Unincorporated Associations identified on Schedule “A” that operate commercial Internet websites and/or e- commerce stores that infringe Plaintiff’s trademarks and promote and sell counterfeit goods bearing and/or using Plaintiff’s trademarks. See generally Mot. [ECF No. 35]. Plaintiff requests the Court: (1) enjoin Defendants from producing or selling goods that infringe on its trademarks; (2) disable, or at Plaintiff’s election, transfer the domain names at issue to Plaintiff; (3) assign all rights, title, and interest, to the domain names to Plaintiff and permanently delist or deindex the domain names from any Internet search engines; (4) remove the listings and associated images of goods bearing and/or using counterfeits and infringements of Plaintiff’s trademarks at issue, and the goods of each Defendant bearing one or more of Plaintiff’s trademarks held by the Internet marketplaces be surrendered to Plaintiff; and (5) award statutory damages. See generally id. A Clerk’s Default [ECF No. 31] was entered against Defendants on March 10, 2022, after Defendants failed to respond to the Amended Complaint [ECF No. 19], despite having been served. See Proof of Service [ECF No. 29]. The Court having considered the record and noting no opposition to Plaintiff's Motion, it is hereby ORDERED AND ADJUDGED that Plaintiff's Motion [ECF No. 35] is GRANTED for the reasons stated herein. Pursuant to Rule 58 of the Federal Rules of Civil Procedure, a default final judgment will be entered by separate order. BACKGROUND! A. Factual Background Plaintiff is the owner of the following trademarks, which are valid and registered on the Principal Register of the United States Patent and Trademark Office (“Spy Optic Marks”):

Trademark Registration Registration Class / Goods Number Date

1,981,513 June 18,1996 |IC 009. Glasses and sunglasses.

SCOOP 2,146,655 March 24, 1998 |IC 009. Sunglasses. oO! 2,157,268 March 12, 1998 |IC 009. Sunglasses.

LOGAN 3,489,694 August 19, 2008 |IC 009. Sunglasses. IC 035. Retail store services and on- SPY 3,750,166 February 16, _ | line retail store services featuring 2010 sunglasses, sports goggles, and wearing apparel.

' The factual background is taken from Plaintiff's Amended Complaint, Motion, and supporting Declarations submitted by Plaintiff.

Page 2 of 24

TRON 3,981,518 June 21,2011 |IC 009. Sunglasses.

HAPPY LENS 4,463,426 January 7, 2014 |1© 00%: Lens used in glasses, sunglasses, and goggles.

MCCOY 4,538,368 May 27, 2014 |IC 009. Sunglasses.

September 1, SPY GLASSES 4,805,274 015 IC 009. Sunglasses.

September 1, SPY LOGAN 4,805,275 015 IC 009. Sunglasses.

September 1, SPY DOOM 4,805,277 015 IC 009. Sunglasses.

September 1, SPY HELM 4,805,292 015 IC 009. Sunglasses.

September 1, SPY TOURING 4,805,293 015 IC 009. Sunglasses.

September 1, SPY FLYNN 4,805,294 015 IC 009. Sunglasses.

November 24, IC 009. Sunglasses; protective 4,859,917 015 goggles for use in motorcycling, skiing, snowboarding, and biking. SPY DISCORD 4,914,603 March 8, 2016 |IC 009. Sunglasses.

DISCORD 4,919,079 March 15, 2016 |IC 009. Sunglasses.

See Decl. of Damon Cook (“Cook Decl.”) [ECF No. 6-2] 9.5. The Spy Optic Marks are used in connection with the development, manufacture, and distribution of high-quality goods in the categories identified above. See id. 9 4—5.

Page 3 of 24

Plaintiff’s representative reviewed and visually inspected the detailed web page captures and photographs reflecting various products bearing Plaintiff’s trademarks offered for sale through the commercial Internet websites and/or e-commerce stores operating under Defendants’ domain names and seller identification names identified on Schedule “A” (“Subject Domain

Names and Seller IDs”) and determined the products were non-genuine, unauthorized versions of Plaintiff’s products. See id. ¶¶ 14–15. Based on its investigation, Plaintiff alleges Defendants have advertised, promoted, offered for sale, or sold goods bearing and/or using what Plaintiff has determined to be counterfeits, infringements, reproductions, or colorable imitations of the Spy Optic Marks. See id.; Am. Compl. ¶¶ 8–14, 24. Defendants are not now, nor have they ever been, authorized or licensed to use, reproduce, or make counterfeits, reproductions, or colorable imitations of the Spy Optic Marks. See Cook Decl. ¶¶ 11, 14–15. B. Procedural Background On December 8, 2021, Plaintiff filed its Complaint and on January 3, 2022, filed its Amended Complaint against Defendants. On December 9, 2021, Plaintiff filed its Ex Parte

Motion for Order Authorizing Alternate Service of Process [ECF No. 7] (“Motion for Alternate Service”). The Court entered an Order Granting the Motion for Alternate Service on December 10, 2021 [ECF No. 10]. In accordance with the December 10, 2021, Order, Plaintiff served each Defendant with a Summons and a copy of the Amended Complaint via electronic mail and website posting on January 4, 2022. See Decl. of Virgilio Gigante (“Gigante Decl.”) [ECF No. 35-5] ¶ 7; Proof of Service [ECF No. 29]. Defendants failed to file an answer or other response, and the time allowed for Defendants to respond to the Amended Complaint has since expired. See Gigante Decl. ¶¶ 8–9. To Plaintiff’s knowledge, Defendants are not infants or incompetent persons, and the Servicemembers Civil Relief Act does not apply. See id. ¶ 10. On March 10, 2022, the Clerk entered default against Defendants [ECF No. 31] for failure to plead or otherwise defend pursuant to Rule 55(a) of the Federal Rules of Civil Procedure. Plaintiff now moves the Court for default final judgment against Defendants.

LEGAL STANDARD A party may apply to the court for a default judgment when the defendant fails to timely respond to a pleading. FED. R. CIV. P. 55(b)(2). “A defendant, by his default, admits the plaintiff’s well-pleaded allegations of fact, is concluded on those facts by the judgment, and is barred from contesting on appeal the facts thus established.” Eagle Hosp. Physicians, LLC v. SRG Consulting, Inc., 561 F.3d 1298, 1307 (11th Cir. 2009) (internal quotations omitted) (quoting Nishimatsu Constr. Co. v. Houston Nat’l Bank, 515 F.2d 1200, 1205 (5th Cir. 1975)). However, conclusions of law are to be determined by the court. Mierzwicki v. CAB Asset Mgmt. LLC, No. 14-61998, 2014 WL 12488533, at *1 (S.D. Fla. Dec. 30, 2014). Therefore, a court may enter a default judgment only if there is a “sufficient basis to state a claim.” Id.

Once a plaintiff has established a sufficient basis for liability, the Court must conduct an inquiry to determine the appropriate damages. PetMed Express, Inc. v. MedPets.Com, Inc.,

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