Tangle, Inc. v. Buffalo Games, LLC

CourtDistrict Court, W.D. New York
DecidedSeptember 1, 2023
Docket1:23-cv-00924
StatusUnknown

This text of Tangle, Inc. v. Buffalo Games, LLC (Tangle, Inc. v. Buffalo Games, LLC) is published on Counsel Stack Legal Research, covering District Court, W.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tangle, Inc. v. Buffalo Games, LLC, (W.D.N.Y. 2023).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 TANGLE, INC., Case No. 22-cv-07024-JSC

8 Plaintiff, ORDER GRANTING DEFENDANT’S 9 v. MOTION TO DISMISS FOR LACK OF PERSONAL JURISDICTION AND TO 10 BUFFALO GAMES, LLC, TRANSFER TO WESTERN DISTRICT OF NEW YORK Defendant. 11 REDACTED

13 Tangle, Inc. (“Plaintiff”) sues Buffalo Games, LLC (“Defendant”) for (1) trademark 14 infringement under 15 U.S.C. § 1114; (2) false designation of origin under 15 U.S.C. § 1125(a); 15 (3) copyright infringement under 17 U.S.C. § 501(a); and (4) unfair competition under California 16 Business & Professions Code § 17200. (Dkt. No. 43.)1 Plaintiff filed an amended complaint 17 (“FAC”) after jurisdictional discovery to address the Court’s previous dismissal for lack of 18 personal jurisdiction. (Id.) Defendant moves to dismiss Plaintiff’s FAC for lack of personal 19 jurisdiction. (Dkt. No. 47-1.) After carefully considering the parties’ submissions, and having the 20 benefit of oral argument on August 31, 2023, the Court GRANTS the motion to dismiss for lack of 21 personal jurisdiction and TRANSFERS the case to the Western District of New York. 22 BACKGROUND 23 A. Amended Complaint Allegations 24 Plaintiff is a California toy manufacturer and distributor headquartered in the Northern 25 District of California. (Dkt. No. 43 ¶ 6.) Plaintiff owns a trademark for its “TANGLE” products 26 27 1 covered by United States Trademark Registration No. 1,779,055, which has been substantially and 2 continuously promoted since 1993. (Dkt. No. 43 at ¶ 1.) Plaintiff also owns all exclusive rights in 3 various copyrights for TANGLE products. (Id.) Defendant is a New York limited liability 4 corporation that produces games and puzzles with its principal place of business in Buffalo, New 5 York. (Dkt. No. 43 at ¶ 11.) 6 As in the original complaint, Plaintiff alleges Defendant sells its “Chuckle & Roar Sensory 7 Fidget Box 10-pack,”—which includes a “Twist & Tangle” toy (the “Infringing Toy”)—at 8 Target’s brick-and-mortar locations in California. (Dkt. No. 43 at ¶¶ 21, 29.) Plaintiff asserts 9 Defendant also offers the Infringing Toy to California consumers online through www.target.com. 10 (Id. at ¶ 12.) Plaintiff states the Infringing Toy appears identical to its TANGLE toys but is 11 constructed with “substandard, stiff material, . . . making [it] much less flexible.” (Id. at ¶ 2.) 12 Plaintiff sent a cease-and-desist letter, demanding Defendant stop sales of the Infringing Toy, 13 recall all such products, and cancel any outstanding orders. (Dkt. No. 20-1 at 59-60.) Plaintiff 14 submits screenshots indicating—at time of filing—the Infringing Toy was available online at 15 www.target.com and in several brick-and-mortar Target retailers throughout this district. (Dkt. 16 No. 4 at 7.) 17 Plaintiff’s FAC adds allegations related to Defendant’s shipment of product to Long 18 Beach, California, alleging:

19 Defendant advertises, markets, and sells the Infringing Products at Target retail stores in California, throughout the United States of 20 America (the “United States”), and online at www.target.com under Defendant’s “Chuckle & Roar” brand name. In addition to the 21 foregoing, Defendant has engaged Target to import Defendant’s Infringing Products into the United States from the People’s Republic 22 of China through primarily the Port of Long Beach, a foreign trade zone having significant benefits for international businesses bringing 23 goods into the United States. The Port of Long Beach is located in Long Beach, California. Although Defendant directs some shipments 24 of its Infringing Products to Defendant in New York, for years, Defendant has engaged only Target to import the majority of its 25 Infringing Products, and sometimes all of its then manufactured Infringing Products, into the United States through the Port of Long 26 Beach. Further, Defendant uses the Port of Long Beach in Southern California as the hub from which all of its Infringing Products are then 27 sold in any one of Target’s about 273 stores the State of California, the state or other states, or sent to other Target distribution centers 1 throughout the United States.

2 (Dkt. No. 43 ¶ 12.) The FAC also alleges “Defendant directed Target to remove units of the 3 Infringing Product from Target’s shelves and website in September 2022. Target complied with 4 this instruction, even though there remained unsold inventory of the Infringing Product in Target’s 5 warehouses.” (Id. ¶ 15.) “Furthermore, at all times material hereto, Defendant had the right and 6 authority to control Target’s pricing of the Infringing Products as they were sold in Targets’ 7 8 stores.” (Id. ¶ 16.) 9 B. Procedural History 10 After Plaintiff brought the initial action, Defendant moved to dismiss for lack of personal 11 jurisdiction or, alternatively, to transfer the case to the Western District of New York. (Dkt. No. 12 18.) This Court denied the request to transfer and granted the motion to dismiss for lack of 13 personal jurisdiction with leave to amend. (Dkt. No. 30.) The Court granted jurisdictional 14 15 discovery. (Id.) Now, Plaintiff has filed the FAC and Defendant brings a renewed motion to 16 dismiss for lack of personal jurisdiction. (Dkt. Nos. 43, 47.) 17 DISCUSSION 18 A. Legal Standard 19 Plaintiff “bears the burden” of establishing personal jurisdiction exists. In re Boon Global 20 Ltd., 923 F.3d 643, 650 (9th Cir. 2019). “Where, as here, the defendant’s motion is based on 21 written materials rather than an evidentiary hearing, ‘the plaintiff need only make a prima facie 22 showing of jurisdictional facts to withstand the motion to dismiss.’” Ranza v. Nike, Inc., 793 F.3d 23 1059, 1068 (9th Cir. 2015) (quoting CollegeSource, Inc. v. AcademyOne, Inc., 653 F.3d 1066, 24 1073 (9th Cir. 2011)). The Court may consider declarations and other evidence outside the 25 pleadings to determine whether it has personal jurisdiction. See Boon Global, 923 F.3d at 650. 26 “[U]ncontroverted allegations in plaintiff’s complaint must be taken as true,” but courts “may not 27 assume the truth of allegations in a pleading which are controverted by affidavit.” Mavrix Photo, 1 Inc. v. Brand Techs., Inc., 647 F.3d 1218, 1223 (9th Cir. 2011) (cleaned up). Any “factual 2 disputes” must be “resolve[d] . . . in the plaintiff’s favor.” Id. 3 When there is no applicable federal statute governing personal jurisdiction, as is the case 4 here, the law of the forum state determines personal jurisdiction. Schwarzenegger v. Fred Martin 5 Motor Co., 374 F.3d 797, 800 (9th Cir. 2004). California’s long arm statute is co-extensive with 6 federal due process requirements, and therefore the jurisdictional analyses under California law 7 and federal due process are the same. See Cal. Civ. Proc. Code § 410.10; Mavrix, 647 F.3d at 8 1223. 9 Courts recognize two forms of personal jurisdiction, general and specific. Bristol-Myers 10 Squibb Co. v. Super. Court of Cal., S.F. Cty., 582 U.S. 255, 262 (2017) (citing Goodyear Dunlop 11 Tires Operations, S.A. v. Brown, 564 U.S. 915, 918 (2011)).

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Bluebook (online)
Tangle, Inc. v. Buffalo Games, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tangle-inc-v-buffalo-games-llc-nywd-2023.