TracFone Wireless, Inc. v. Technopark Co.

281 F.R.D. 683, 2012 WL 1229454, 2012 U.S. Dist. LEXIS 58449
CourtDistrict Court, S.D. Florida
DecidedApril 9, 2012
DocketNo. 1:12-cv-20013-UU
StatusPublished

This text of 281 F.R.D. 683 (TracFone Wireless, Inc. v. Technopark Co.) 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.

Bluebook
TracFone Wireless, Inc. v. Technopark Co., 281 F.R.D. 683, 2012 WL 1229454, 2012 U.S. Dist. LEXIS 58449 (S.D. Fla. 2012).

Opinion

ORDER GRANTING PARTIAL FINAL JUDGMENT AND PERMANENT INJUNCTION AGAINST DEFENDANT TECHNOPARK AND RESERVING AND ALLOWING DISCOVERY ON FINAL DAMAGES

URSULA UNGARO, District Judge.

Plaintiff TracFone Wireless, Inc. (“TracFone”) brought the above-captioned lawsuit against Defendant Technopark Co. LTD. (“Technopark”) and others asserting claims for federal contributory trademark infringement, 15 U.S.C. § 1114; contributory copyright infringement, 17 U.S.C. § 106; circumvention of copyrighted software protection system, 17 U.S.C. § 1201; trafficking in circumvention technology; tortious interference with a contractual right in violation of Florida common law; conspiracy to induce breach of contract; civil conspiracy; unjust enrichment and violations of FDUTPA (Fla. Stat. § 501.211).

I. Plaintiff TracFone Wireless, Inc.’s Business

TracFone’s Complaint states that TracFone is the largest provider of prepaid wireless telephone service in the United States, and markets its service under the TracFone, NetlO, and Straight Talk brands (hereinafter referred to as “TracFone Prepaid Phones” or “Phones”). [DE 1 at ¶ 30]. TracFone’s Complaint further states that TracFone’s customers prepay for wireless service by purchasing TracFone airtime cards and wireless Phones specially manufactured for TracFone. Id. TracFone states that it takes several steps to protect in its Phones to make sure that the Phones can only be used on TracFone’s wireless network. Id. at ¶ 33.

TracFone states in connection with advertising and selling its Phones, TracFone has used, and continues to use, several trademarks (the “Marks”) in commerce including the marks TracFone, NET10, Straight Talk and spiracle logo, which it states constitute [686]*686the lawful, valued, subsisting and exclusive property of TracFone and that TracFone and its authorized, affiliated agents are permitted to use the Marks. Id. at ¶34. TracFone states that its Marks are well known and established to customers and the trade as symbols identifying and distinguishing TracFone’s products and services and provide actual notice that TracFone’s Phones are intended for use solely within TracFone’s network. Id. at ¶ 35.

TracFone states that Technopark and/or its co-conspirators are selling hardware and software that enable them and others to circumvent TraeFone’s copyrighted and proprietary software and reflash and unlock the TracFone Prepaid Phones. Once a TracFone Prepaid Phone has been unlocked or reflashed, TracFone states it is no longer operable on TracFone’s prepaid wireless virtual network, and is operable on other cellular networks. Furthermore, after a TracFone Prepaid Phone is unlocked or re-flashed, TracFone states it no longer has a revenue source to recoup the invested subsidy on that phone.

II. Technopark’s Business

According to TracFone, Technopark is engaged in, and knowingly facilitates and encourages others to engage in, unlawful business practices involving the unauthorized and unlawful computer unlocking or reflashing of TracFone Prepaid Phones and alteration and copying of TracFone’s copyrighted and proprietary software computer code installed in the Phones (the “Unlocking Scheme”). See [DE 1 at ¶ 24], As alleged in the Complaint, documents in TracFone’s possession demonstrate that Technopark sold certain unlocking devices (known as an “Octopus Boxes”) in furtherance of the Unlocking Scheme. See [DE 1 at ¶ 55]. Teehnopark’s participation in the Unlocking Scheme has caused damage and substantial and irreparable harm to TracFone. See id. at ¶ 69.

III. The Present Litigation

As a result of Technopark’s business activities, TracFone asserted claims against Technopark for federal contributory trademark infringement, 15 U.S.C. § 1114; contributory copyright infringement, 17 U.S.C. § 106; circumvention of copyrighted software protection system, 17 U.S.C. § 1201; trafficking in circumvention technology; tortious interference with a contractual right in violation of Florida common law; conspiracy to induce breach of contract; civil conspiracy; unjust enrichment and violations of FDUTPA.

The Court finds that all of the allegations in the complaint are well pled, and they are deemed admitted by virtue of Technopark’s default. See Eagle Hosp. Physicians, LLC v. SRG Consulting, Inc., 561 F.3d 1298, 1307 (11th Cir.2009). TracFone has therefore succeeded in proving its claims and Technopark is hereby permanently enjoined and liable to TracFone for the damages set forth herein.

JURISDICTION AND VENUE

This Court has subject matter jurisdiction over this matter pursuant to 28 U.S.C. § 1331, 1338, and 17 U.S.C. § 1203 because TracFone’s claims arise under federal law, specifically, the United States Copyright Act, Title 17 of the United States Code, and United States Trademark Act, Title 15 of the United States Code. This Court has supplemental jurisdiction pursuant to 28 U.S.C. § 1367 over TracFone’s state law claims because those claims are so related to the federal claims that they form part of the same case or controversy.

This Court has personal jurisdiction over Technopark because Technopark had continuous and substantial business connections to the State of Florida, including conducting business with companies located in Florida. Technopark is further subject to the personal jurisdiction of this Court pursuant to: Fla. Stat. § 48.193(l)(a) because Technopark has conducted, engaged in and carried out business ventures within the State of Florida; § 48.193(l)(b) because Technopark has committed tortious acts within the State of Florida; and § 48.193(l)(g) by failing to perform acts required by a contract to be performed in the State of Florida. Venue is proper in this Court pursuant to 28 U.S.C. § 1391(a) and (b), and 28 U.S.C. § 1400, because a substantial part of the events or omissions giving rise to the claim occurred in this district, the impact of Technopark’s misconduct [687]*687occurred in this District, and Technopark is subject to personal jurisdiction in this district.

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

Related

Montgomery v. Noga
168 F.3d 1282 (Eleventh Circuit, 1999)
Eagle Hospital Physicians, LLC v. SRG Consulting, Inc.
561 F.3d 1298 (Eleventh Circuit, 2009)
NGL Travel Assoc. v. Celebrity Cruises, Inc.
764 So. 2d 672 (District Court of Appeal of Florida, 2000)
Morris v. ADT Security Services
580 F. Supp. 2d 1305 (S.D. Florida, 2008)
Fla. Fern Growers Ass'n v. Concerned Citizens
616 So. 2d 562 (District Court of Appeal of Florida, 1993)
Conax Florida Corp. v. Astrium Ltd.
499 F. Supp. 2d 1287 (M.D. Florida, 2007)
Sony Computer Entertainment America, Inc. v. Filipiak
406 F. Supp. 2d 1068 (N.D. California, 2005)
Sony Computer Entertainment America, Inc. v. Divineo, Inc.
457 F. Supp. 2d 957 (N.D. California, 2006)
Carl v. Republic Security Bank
282 F. Supp. 2d 1358 (S.D. Florida, 2003)
TracFone Wireless, Inc. v. Bequator Corp., Ltd.
717 F. Supp. 2d 1307 (S.D. Florida, 2010)
Laboratorios Roldan, C. Por A. v. Tex International, Inc.
902 F. Supp. 1555 (S.D. Florida, 1995)
Bateman v. Mnemonics, Inc.
79 F.3d 1532 (Eleventh Circuit, 1996)

Cite This Page — Counsel Stack

Bluebook (online)
281 F.R.D. 683, 2012 WL 1229454, 2012 U.S. Dist. LEXIS 58449, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tracfone-wireless-inc-v-technopark-co-flsd-2012.