Swissdigital USA Co., LTD v. Samsonite International S.A.

CourtDistrict Court, W.D. Texas
DecidedMay 14, 2024
Docket6:23-cv-00196
StatusUnknown

This text of Swissdigital USA Co., LTD v. Samsonite International S.A. (Swissdigital USA Co., LTD v. Samsonite International S.A.) is published on Counsel Stack Legal Research, covering District Court, W.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Swissdigital USA Co., LTD v. Samsonite International S.A., (W.D. Tex. 2024).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TEXAS WACO DIVISION

SWISSDIGITAL USA CO., LTD, § Plaintiff, § § v. § 6:23-cv-00196-ADA-DTG § SAMSONITE INTERNATIONAL S.A., § Defendant. §

REPORT AND RECOMMENDATION TO GRANT DEFENDANT’S MOTION TO DISMISS (ECF NO. 19)

TO: THE HONORABLE ALAN D ALBRIGHT, UNITED STATES DISTRICT JUDGE

This Report and Recommendation is submitted to the Court pursuant to 28 U.S.C. § 636(b)(1)(C), Fed. R. Civ. P. 72(b), and Rules 1(f) and 4(b) of Appendix C of the Local Rules of the United States District Court for the Western District of Texas, Local Rules for the Assignment of Duties to United States Magistrate Judges. Defendant filed a Motion to Dismiss seeking to either dismiss or transfer this case on June 20, 2023. ECF No. 19. Defendant’s Motion sought dismissal under Federal Rules of Civil Procedure 12(b)(2) and 12(b)(6) for lack of personal jurisdiction and in the alternative sought to transfer this suit to the District of Massachusetts for convenience under 28 U.S.C § 1404. ECF No. 19. Plaintiff filed its opposition on July 18, 2023, seeking in the alternative leave to conduct jurisdictional discovery. ECF No. 24. Defendant filed a reply in support of its motion on July 25, 2023. ECF No. 25. After careful consideration of the briefs and the applicable law, the Court RECOMMENDS that the Court GRANT the Motion to Dismiss (ECF No. 19) and DISMISS WITHOUT PREJUDICE the above-captioned action. The undersigned further RECOMMENDS that the Court DENY Plaintiff’s request for jurisdictional discovery (ECF No. 24). I. FACTUAL BACKGROUND A. The Complaint and Asserted Patents

This suit was filed on March 14, 2023, by Plaintiff Swissdigital USA Co., LTD, alleging patent infringement against Defendant Samsonite International S.A.1 ECF No. 1 (Complaint). Plaintiff filed its Amended Complaint on March 30, 2023. ECF No. 13. In the Amended Complaint, Plaintiff alleges infringement of four U.S. Patents.2 Id. ¶ 4. The inventor of the patents-in-suit is located in China. ECF No. 19 at 16; ECF No. 24 at 16. The only named defendant in Plaintiff’s Amended Complaint is Samsonite International S.A. identified in the Amended Complaint as a Luxembourg limited liability company with a principal place of business in Hong Kong. ECF No. 13 ¶ 3. B. The Alleged Infringement Plaintiff alleges infringement by bag and luggage products, including the line of

Quadrion bags products that include a sheath for a USB charger for convenient charging of personal devices. ECF No. 13 ¶¶ 18, 30, 48, 67, 84; see also ECF No. 19 at 2 (referring to the accused instrumentalities in Defendant’s Motion to Dismiss). According to Defendant, the Quadrion line is designed by Samsonite LLC, and manufactured by a supplier located in Asia using USB components supplied by a second supplier also in Asia. ECF No. 19 at 3. Plaintiff’s Amended Complaint also accuses other product lines of infringement. See ECF No. 13 ¶¶ 32, 50,

1 The term “Defendant” here exclusively refers to the named defendant, Samsonite International S.A., as opposed to any subsidiaries or affiliates of Samsonite International S.A. 2 U.S. Patent Nos. 10,574,071 (“the ’071 Patent”), 10,931,137 (“the ’137 Patent”), 10,931,138 (“the ’138 Patent”), and 11,601,009 (“the ’009 Patent”). 69, 86 (infringement allegations related to the High Sierra and ebags lines); ECF No. 24 at 4 (same, also listing twelve other backpack, bags, and luggage lines). C. The Parties and Relevant Non-Party Subsidiaries Defendant Samsonite International S.A. contradicts Plaintiff’s jurisdictional allegations

by asserting that it “is a group head holding company.” ECF No. 19 at 2. Defendant alleges it (Samsonite International S.A.) has “joint headquarters in two locations”—Luxembourg and Mansfield, Massachusetts. Id. at 1. Defendant claims it (Samsonite International S.A.) has never supplied any products related to anything in the Amended Complaint directly or indirectly to the State of Texas. Defendant claims it has no employees who reside in the United States. Id. at 2–3. While Defendant admits its directors are based in the United States, it asserts none are in Texas. Id. at 3. Plaintiff alleges Defendant is subject to personal jurisdiction in this Court. Plaintiff alleges Defendant’s principal place of business is in Hong Kong, but argues that Defendant has done business in Texas or is alternatively subject to personal jurisdiction under Federal Rule of

Civil Procedure 4(k)(2) consistent with due process. ECF No. 13 ¶¶ 3, 27–28. In its opposition briefing, Plaintiff argues that Defendant presents no evidence that the District of Massachusetts has jurisdiction or venue. ECF No. 24 at 7. The evidence Plaintiff offers or cites that allegedly describes Defendant’s degree of control over its subsidiaries are: • Defendant’s CEO Kyle Francis Gendreau’s biography page from the Samsonite investor relations website describing the CEO’s role in the organization (ECF No. 24-11 (Ex. J)); • the declaration supporting Defendant’s motion by John B. Livingston, Samsonite’s Executive Vice President, General Counsel and Joint Company Secretary employed by Samsonite LLC (ECF No. 19-6 (Livingston Decl.)); • Defendant’s 2022 Annual Report (ECF No. 24-2 (Ex. A)); • Defendant’s corporate website listing annual and interim reports from 2011 to 2022 (ECF No. 24-3 (Ex. B)); and • Samsonite International S.A.’s Q1 2023 Earnings Call Transcript (ECF No. 24-12

(Ex. K)). The briefing discusses several additional Samsonite entities. Defendant asserts that the “main operating entities for the Samsonite Group in the United States” are Tumi Inc. and Samsonite LLC. ECF No. 19 at 2, 8. Tumi Inc. is a New Jersey Corporation with its principal place of business in New Jersey. Id. at 2. Defendant says Samsonite LLC designed the accused Quadrion bags. Id. at 3 (citing ECF No. 19-6 (Livingston Decl.) ¶ 7). Samsonite LLC’s Principal Place of Business is in Mansfield, Massachusetts. Samsonite LLC and its two affiliates— Samsonite Company Stores, LLC and Direct Marketing Ventures, LLC (“DMV”)—are responsible for selling the accused Quadrion bags in the United States. ECF No. 19-6

(Livingston Decl.) ¶ 10. Samsonite Company Stores, LLC is an Indiana corporation with its principal place of business in Massachusetts, and DMV is a Colorado corporation with its principal place of business also in Massachusetts. ECF No. 19 at 2, 8. Defendant asserts that DMV operates the Samsonite.com website. Id. at 9, 12. The final Samsonite entity worth mentioning is Samsonite IP Holdings S.A.R.L., which Defendant contends is a different Samsonite subsidiary that is identified as the copyright owner on Samsonite’s website. Id. at 9.3

3 Defendant cites the Livingston Decl. ¶ 16 for support of this statement, but that paragraph is discussing DMV and the terms and conditions of the website shop.samsonite.com. D. Jurisdictional Discovery As an initial matter, the Court addresses Plaintiff’s request for jurisdictional discovery. Plaintiff filed its opposition on July 18, 2023. ECF No. 24. In the opposition brief, Plaintiff requested jurisdictional discovery consistent with the “Court’s Order Governing Proceedings in

Patent Cases.” Id. at 11.

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

Related

Freudensprung v. Offshore Technical Services, Inc.
379 F.3d 327 (Fifth Circuit, 2004)
International Shoe Co. v. Washington
326 U.S. 310 (Supreme Court, 1945)
Burger King Corp. v. Rudzewicz
471 U.S. 462 (Supreme Court, 1985)
Thomas v. Arn
474 U.S. 140 (Supreme Court, 1986)
Autogenomics, Inc. v. Oxford Gene Technology Ltd.
566 F.3d 1012 (Federal Circuit, 2009)
Avocent Huntsville Corp. v. Aten Intern. Co., Ltd.
552 F.3d 1324 (Federal Circuit, 2008)
Bobby Battle v. U.S. Parole Commission
834 F.2d 419 (Fifth Circuit, 1987)
Administrators of Tulane Educational Fund v. Ipsen, S.A.
450 F. App'x 326 (Fifth Circuit, 2011)
Aftg-Tg, LLC v. Nuvoton Technology Corp.
689 F.3d 1358 (Federal Circuit, 2012)
Daimler AG v. Bauman
134 S. Ct. 746 (Supreme Court, 2014)
Nexlearn, LLC v. Allen Interactions, Inc.
859 F.3d 1371 (Federal Circuit, 2017)
M-I Drilling Fluids Uk Ltd. v. Dynamic Air Ltda.
890 F.3d 995 (Federal Circuit, 2018)
Hargrave v. Fibreboard Corp.
710 F.2d 1154 (Fifth Circuit, 1983)

Cite This Page — Counsel Stack

Bluebook (online)
Swissdigital USA Co., LTD v. Samsonite International S.A., Counsel Stack Legal Research, https://law.counselstack.com/opinion/swissdigital-usa-co-ltd-v-samsonite-international-sa-txwd-2024.