Starfall Education Foundation v. Tencent Holdings Limited and Proxima Beta Private Limited

District Court, D. Colorado·Decided August 20, 2026·No. 1:25-cv-00475·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLORADO

Civil Action No. 1:25-cv-00475-PAB-SBP

STARFALL EDUCATION FOUNDATION,

Plaintiff,

v.

TENCENT HOLDINGS LIMITED and PROXIMA BETA PRIVATE LIMITED,

Defendants.

ORDER ON PLAINTIFF’S MOTION FOR LEAVE TO CONDUCT LIMITED JURISDICTIONAL DISCOVERY

Susan Prose, United States Magistrate Judge This matter is before the court on Plaintiff Starfall Education Foundation’s (“Starfall”) Motion for Leave to Conduct Limited Jurisdictional Discovery (ECF No. 43) (“Motion”). Starfall seeks leave to serve fifteen requests for production (“RFPs”) and to take two Federal Rule of Civil Procedure 30(b)(6) depositions on issues bearing on the court’s personal jurisdiction over Defendants Tencent Holdings Limited (“Tencent”) and Proxima Beta Pte. Limited (“Proxima Beta”), who have moved to dismiss for lack of personal jurisdiction under Federal Rule of Civil Procedure 12(b)(2). ECF Nos. 37, 39. Defendants oppose the Motion, arguing that Starfall has not made the requisite threshold showing, that the requested discovery amounts to a fishing expedition, that discovery would not alter the jurisdictional analysis, and that Starfall fails to state a claim. ECF No. 48. Starfall replied. ECF No. 49. The Motion was referred to the undersigned pursuant to 28 U.S.C. § 636(b)(1)(A). See ECF Nos. 11 (order referring case), 44 (motion referral order). Having reviewed the briefing, declarations, exhibits, and applicable law, the court finds that oral argument would not materially assist in resolving the Motion. The court therefore respectfully GRANTS in part and DENIES in part Starfall’s Motion, authorizing narrow, targeted jurisdictional discovery limited to the issues of specific personal jurisdiction arising from Defendants’ alleged operation, control, and monetization of the Delta Force game and the Level Infinite Pass ecosystem, as set forth below. BACKGROUND Starfall is a Colorado nonprofit corporation based in Boulder that alleges it has, for more

than twenty years, provided educational entertainment to children through its website, apps, and related products. ECF No. 32-2 ¶¶ 11, 16-20. Starfall initiated this action on February 12, 2025, asserting trademark infringement and related claims arising from Defendants’ alleged use of the “Starfall” mark in a limited, now-inactive season of the video game Delta Force (the “Starfall Season”). ECF No. 32-2 ¶¶ 7-10, 39-40, 45-51; ECF No. 1. Starfall contends that Defendants used the Starfall mark without authorization in connection with the promotion and operation of that season, causing consumer confusion and injury to Starfall’s trademark rights. ECF No. 32-2 ¶¶ 45-51, 53-64. The operative pleading (ECF No. 32-2) (“Second Amended Complaint” or “SAC”)

names Tencent and Proxima Beta as Defendants. ECF No. 32-2 ¶¶ 12-13. Tencent is a Cayman Islands corporation with its principal place of business in Shenzhen, China, and Proxima Beta is a Singaporean entity with its principal place of business in Singapore. ECF No. 32-2 ¶ 12; ECF No. 39-1 ¶ 2; ECF No. 37-1 ¶ 6. Starfall alleges that Defendants, directly or through agents or related entities, used the Starfall mark to promote and facilitate access to Delta Force through the Level Infinite/Level Infinite Pass ecosystem, including through playdeltaforce.com and related media. ECF No. 32-2 ¶¶ 6-8, 38-43, 45-51; ECF No. 43 at 3-4. On September 2, 2025, Defendants moved to dismiss the Second Amended Complaint, arguing, among other things, that dismissal is warranted under Rule 12(b)(2) because the court lacks personal jurisdiction over them. ECF Nos. 37, 39. In support of their jurisdictional challenge, Defendants submitted declarations averring that Tencent is a holding company that does not operate or market Delta Force and that Proxima Beta, the publisher of the game, maintains no offices, property, or employees in Colorado; does not specifically target marketing

of Delta Force to Colorado; and does not inquire into or track players by U.S. state. ECF No. 39- 1 ¶¶ 3-5; ECF No. 37-1 ¶¶ 7, 10-13. Starfall then filed the present Motion seeking leave to conduct limited jurisdictional discovery before responding substantively to the Rule 12(b)(2) motions. ECF No. 43 at 1-2. Starfall contends that the court may exercise specific personal jurisdiction over both Defendants and that the Rule 12(b)(2) motions raise factual questions that cannot be resolved on the current record without limited discovery. ECF No. 32-2 ¶¶ 14-15; ECF No. 43 at 2, 5-12. Starfall also seeks discovery related to general personal jurisdiction over Tencent, ECF No. 43 at 2, but the Motion seeks discovery principally directed to specific jurisdiction and to attribution of forum

contacts to Tencent and Proxima Beta, ECF No. 43 at 5-12. To support its jurisdictional theories, Starfall submits two declarations from Marc Buchanan, the Publications and Outreach Manager at the Starfall Education Foundation, who attests that he accessed playdeltaforce.com, completed a pre-registration process for Delta Force, received a confirmation email referencing a Level Infinite Pass, used that pass to access games from Colorado, and made purchases through flows branded with identifiers including “Midasbuy” and “Level Infinite.” ECF No. 43-16 ¶¶ 3-7. Mr. Buchanan also asserts that, while purchasing “Delta Coins,” a type of digital token used in the Delta Force game, his address was auto-populated during the checkout process. ECF No. 49-1 ¶¶ 8-13. Starfall also submits two declarations from consultant David Drews,1 who describes public trademark and domain-name records associating Level Infinite, Level Infinite Pass, Arena Breakout, Honor of Kings, Midasbuy, and domains such as levelinfinite.com, arenabreakout.com, proximabeta.com, and playdeltaforce.com with Tencent and/or Proxima Beta or affiliated entities. ECF No. 43-1 ¶¶ 3-

16 & Exs. 1-6, 10-14. Mr. Drews also references various corporate financial records that he asserts reveal some level of ownership and/or control by Tencent over the Delta Force game. ECF No. 49-4 ¶¶ 4-12. Starfall argues that Defendants’ corporate structure and allocation of responsibilities among related entities is intended to obscure which entity or entities controlled the conduct at issue, making limited jurisdictional discovery necessary. ECF No. 43 at 8-14; ECF No. 43-1 ¶¶ 4-9, 13-17. Defendants oppose jurisdictional discovery, arguing that Starfall has not carried its burden to demonstrate a sufficient factual predicate or prejudice and that the requested discovery is overbroad and amounts to a fishing expedition. ECF No. 48 at 2-4, 7-8, 12. Defendants rely on

their declarations to assert that they lack traditional indicia of presence in Colorado and that

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