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INFRINGEMENT
14 GREEN LIGHT DISTRICT 2. INDUCED PATENT
MANAGEMENT, LLC, a Nevada
15 limited liability company; GREEN INFRINGEMENT
LIGHT DISTRICT HOLDINGS, INC., 3. FEDERAL TRADE DRESS
16 a Delaware corporation, and DOES 1 INFRINGEMENT
through 20, inclusive,
17 4. COMMON LAW TRADEMARK
Defendants. INFRINGEMENT AND UNFAIR
18 COMPETITION
19 5. INTENTIONAL
INTERFERENCE WITH
20 PROSPECTIVE ECONOMIC
RELATIONS
21 6. UNJUST ENRICHMENT
22 7. STATUTORY UNFAIR
COMPETITION
23 8. COMMON LAW UNFAIR
24 COMPETITION
Jury Trial Demanded
25
26
27
28
4387722.2 25858-101
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 2 of 26 Page ID #:2
1 For its Complaint, Plaintiff A&A Global Imports, Inc. alleges as follows:
2 NATURE OF THE CASE
3 1. This is an action against Defendants for patent infringement under 35
4 U.S.C. § 271, trade dress infringement under 15 U.S.C. § 1125(a), violation of
5 California statutory law under California Business & Professions Code § 17200,
6 et seq., and violation of the common law.
7 JURISDICTION AND VENUE
8 2. This Court has subject matter jurisdiction over this action under the
9 Patent Act, 35 U.S.C. § 1 et seq., the Lanham Act, 15 U.S.C. § 1121(a), and 28
10 U.S.C. § 1331 and § 1338(a). This Court has supplemental jurisdiction over
11 Plaintiff’s state law claims under 28 U.S.C. §§ 1338(b) and 1367(a).
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
12 3. Venue is proper in this district under 28 U.S.C. §§ 1391(b) and (c) and
13 § 1400.
(310) 255-6100
14 4. The Court has personal jurisdiction over defendant Green Light District
15 Management, LLC because its principal place of business is in Irvine, California
16 and, on information and belief, it has sold the alleged infringing goods in this
17 Judicial District and otherwise knowingly directed its infringing activities to
18 California where Plaintiff resides.
19 5. The Court has personal jurisdiction over defendant Green Light District
20 Holdings, Inc. because its principal place of business is in Santa Ana, California
21 and, on information and belief, it has sold the alleged infringing goods in this
22 Judicial District and otherwise knowingly directed its infringing activities to
23 California where Plaintiff resides.
24 THE PARTIES
25 6. Plaintiff A&A Global Imports, Inc. (“Plaintiff” or “A&A”) is a
26 California corporation with its principal place of business in Vernon, California.
27 7. Defendant Green Light District Holdings, Inc. (“Green Light
28 Holdings”) is a Delaware corporation. On information and belief, its principal place
4387722.2 25858-101
2
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 3 of 26 Page ID #:3
1 dispensaries) do business. Plaintiff does not now nor has it ever manufactured, sold,
2 or distributed a cannabis or marijuana product listed as a Schedule 1 drug under the
3 Drug Enforcement Administration’s Drug Schedules.
4 13. Plaintiff owns Patent No. US D766,076 S (the “‘076 Patent”) issued by
5 the United States Patent and Trademark Office. The ‘076 Patent grants Plaintiff the
6 right to exclude others from importing, making, using, offering to sell or selling a
7 plastic bag package bearing the design claimed in the ‘076 Patent. A true and
8 correct copy of the ‘076 Patent is attached hereto as Exhibit “A” and incorporated
9 by reference herein.
10 14. In addition to design patent rights, Plaintiff owns trade dress rights in
11 the design of its exit bags sold under the trademark PINCH N SLIDE (the “Pinch N
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
12 Slide Bags”). Plaintiff has marketed and sold, directly and through its licensees,
13 more than 5,600,000 units of Pinch N Slide Bags bearing its distinctive aesthetic
(310) 255-6100
14 design elements for more than four years to more than 1500 stores and dispensaries
15 nationwide. Plaintiff undertakes extensive advertising and promotional activities for
16 these exit bags by, among other things: (1) showcasing the exit bags at numerous
17 annual industry trade shows; (2) promoting the exit bags through numerous yearly
18 email campaigns to Plaintiff’s over 78,000 subscribers; (3) promoting the exit bags
19 on Plaintiff’s website located at <marijuanapackaging.com>, including by
20 showcasing them in Front Page Banners on the home page of the website; (4)
21 featuring the exit bags in Plaintiff’s catalogs published semiannually and sent to
22 approximately 13,000 customer addresses; (5) showcasing the exit bags on
23 dedicated mailers mailed to nearly every dispensary in the United States, in excess
24 of 7,500; (6) featuring the exit bags in frequent direct business-to-business calls
25 made on behalf of Plaintiff to dispensaries throughout the United States; and (7)
26 promoting the exit bags on numerous social media channels, including, Instagram
27 for which Plaintiff has nearly 5000 followers.
28 / / /
4387722.2 25858-101
4
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 5 of 26 Page ID #:5
1 15. Plaintiff’s Pinch N Slide Bags featuring its iconic trade dress, and
2 whose overall look, feel and image—and in particular but without limitation its
3 shapes, features and graphics—serves as a distinctive source identifier to the
4 consuming public. Though not easily reduced to writing, Plaintiff’s trade dress in
5 its Pinch N Slide Bags includes the following features: (1) a resealable rectangular
6 bag; (2) a substantially rectangular shaped graphic circumscribing a facsimile of a
7 thumbprint, disposed towards the top of the bag; and (3) re-sealable plastic zipper
8 disposed substantially at the top of the bag. These features, and the resulting overall
9 look and feel of the bags bearing them, are more fully depicted, without limitation,
10 in Exhibit “B” hereto (collectively, together with Exhibit “B,” “Plaintiff’s Trade
11 Dress”). In many instances, Plaintiff’s exit bags bearing Plaintiff’s Trade Dress also
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
14 Dress, numerous third parties have entered into licenses with Plaintiff for the right to
15 produce bags embodying Plaintiff’s Trade Dress.
16 17. Plaintiff’s Trade Dress has acquired secondary meaning in the
17 marketplace through, among other things, extensive sales in dollars and volume,
18 extensive advertising and marketing, and creation of an established position in the
19 marketplace. Plaintiff’s Trade Dress is not functional, but rather serves a source
20 identifying function. There is no utility patent for Plaintiff’s exit bags. Plaintiff’s
21 advertising does not tout the utilitarian advantages of Plaintiff’s Trade Dress.
22 Alternative designs of exit bags are available. Finally, the Trade Dress is not
23 essential to the use or purpose of the product and does not affect the cost or quality
24 of the product.
25 Defendants’ Unlawful Conduct
26 18. Plaintiff is informed and believes, and thereupon alleges, that Green
27 Light Holdings owns, and Green Light Management operates, cannabis dispensaries
28 in Las Vegas Nevada and Long Beach California under the trade name ShowGrow,
4387722.2 25858-101
5
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 6 of 26 Page ID #:6
12
13 20. Upon information and belief, Defendants sell their “Pinch Style Exit
(310) 255-6100
14 with their distribution of their Infringing Bags. Defendants have used, caused to be
15 produced, distributed, advertised, marketed, offered for sale, sold within the United
16 States, and/or have imported into the United States exit bags that infringe the ‘076
17 Patent.
18 28. Although Plaintiff has provided Defendants with actual notice of their
19 infringing conduct, Defendants continue to engage in activities that infringe
20 Plaintiff’s patent rights.
21 29. As a direct and proximate result of the Defendants’ conduct as
22 described above, Plaintiff has suffered irreparable injury and damages in an amount
23 to be determined at trial.
24 30. Plaintiff is entitled to injunctive relief prohibiting Defendants from
25 infringing the ‘076 Patent and to recover damages adequate to compensate for the
26 infringement, including Defendants’ profits under 35 U.S.C. § 289. Plaintiff is also
27 entitled to recover any other damages as appropriate pursuant to 35 U.S.C. § 284
28 because Defendants’ infringement is willful and deliberate. Plaintiff is also entitled
4387722.2 25858-101
7
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 8 of 26 Page ID #:8
1 to a complete accounting of all revenue and profits derived by Defendants’ from the
2 unlawful conduct alleged herein. Additionally, the conduct alleged herein qualifies
3 this action as an exceptional case supporting an award of reasonable attorney’s fees
4 pursuant to 35 U.S.C. § 285.
5 CLAIM II
6 INDUCED PATENT INFRINGEMENT
7 (Against all Defendants)
8 31. Plaintiff incorporates by reference the allegations in the preceding
9 paragraphs as if fully set forth herein.
10 32. Upon information and belief, Defendants have induced others to make,
11 use, sell, and offer for sale in the United States, including Nevada and California,
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
12 the Infringing Bags. Such third parties include other cannabis retailers, customers,
13 and distributors who use, sell, offer for sale, or distribute the Infringing Bags.
(310) 255-6100
14 33. Upon information and belief, Defendants knew of the ’076 Patent as
15 described above, and knew that third parties’ actions constitute infringement of the
16 ’076 Patent. Despite this, Defendants induced, or were willfully blind to the
17 possibility that its acts would induce, these third parties to infringe the ‘076 Patent
18 by providing the Infringing Bags to them, and encouraging them to use, sell, offer
19 for sale and distribute the Infringing Bags in their businesses, in contravention of
20 Plaintiff’s rights.
21 34. Upon information and belief, the actions of Defendants described
22 above have at all times relevant to this action been willful.
23 35. Accordingly, the acts of Defendants as described above constitute
24 inducing infringement of the ‘076 patent in violation of Section 271(b) of Title 35,
25 United States Code.
26 / / /
27 / / /
28 / / /
4387722.2 25858-101
8
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 9 of 26 Page ID #:9
1 CLAIM III
2 FEDERAL TRADE DRESS INFRINGEMENT
3 (Against all Defendants)
4 36. Plaintiff incorporates by reference the allegations in the preceding
5 paragraphs as if fully set forth herein.
6 37. Plaintiff’s Trade Dress incorporates non-functional ornamental designs
7 that are unique and distinctive and constitute protectable trade dress under the
8 Lanham Act. Such unique and distinctive trade dress distinguishes Plaintiff’s
9 products from those of others.
10 38. Plaintiff’s Trade Dress serves a source-identifying function because
11 such features are inherently distinctive and have acquired secondary meaning.
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
12 Indeed, consumers have come to associate the unique and distinctive non-functional
13 ornamental designs embodied in Plaintiff’s Trade Dress with a single source.
(310) 255-6100
14 39. The Infringing Bags incorporate designs that are virtually identical
15 copies of Plaintiff’s Trade Dress in terms of shape, style, size and placement of
16 ornamental features, i.e., the substantially rectangular shaped graphic circumscribing
17 a facsimile of a thumbprint, disposed towards the top of the bag. As such,
18 Defendants’ sale of these products is likely to cause confusion, or to cause mistake,
19 or to deceive consumers as to whether an affiliation, connection, or association
20 exists between Defendants and Plaintiff, or as to the origin, sponsorship, or approval
21 of Defendants’ plastic bag products or commercial activities by Plaintiff.
22 40. Defendants’ use and further threatened uses of Plaintiff’s Trade Dress
23 thus constitutes trade dress infringement, false designation of origin and unfair
24 competition in violation of 15 U.S.C. § 1125(a).
25 41. Although Plaintiff has provided Defendants with actual notice of their
26 infringing conduct, Defendants continue to engage in activities that infringe
27 Plaintiff’s Trade Dress.
28 / / /
4387722.2 25858-101
9
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 10 of 26 Page ID #:10
1 CLAIM VI
2 UNJUST ENRICHMENT
3 (Against all Defendants)
4 56. Plaintiff incorporates by reference the allegations in the preceding
5 paragraphs as if fully set forth herein.
6 57. As alleged herein, the Defendants have profited by reason of their acts
7 of intellectual property infringement, unfair competition, and other unlawful,
8 tortious acts as alleged herein.
9 58. Under the circumstances, it would be inequitable for the Defendants to
10 retain the benefits of their ill-gotten gains. Plaintiff is therefore entitled to full
11 restitution and/or disgorgement by the Defendants of all revenues, earnings, profits
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
14 CLAIM VII
15 STATUTORY UNFAIR COMPETITION
16 (Against all Defendants)
17 59. Plaintiff incorporates by reference the allegations in the preceding
18 paragraphs as if fully set forth herein.
19 60. California Business and Professions Code Section 17200, et seq.,
20 proscribes any act amounting to unfair competition, including “any unlawful, unfair
21 or fraudulent business act or practice and unfair, deceptive, untrue or misleading
22 advertising.”
23 61. In advertising, marketing, promoting, offering for sale, selling,
24 distributing, and making false and misleading assertions of fact regarding
25 Defendants’ Exit Bags, Defendants’ acts described above constitute unfair
26 competition in violation of California Business and Professions Code Section
27 17200, et seq.
28 / / /
4387722.2 25858-101
12
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 13 of 26 Page ID #:13
12 participating with them, and each of them, will continue to engage in unfair
13 competition and unlawful conduct. Therefore, Plaintiff seeks injunctive relief as
(310) 255-6100
14 damage to the rights of Plaintiff in Plaintiff’s Trade Dress and to its business
15 reputation and good will.
16 72. Upon information and belief, Defendants have engaged in their
17 unlawful conduct alleged herein intentionally, maliciously, fraudulently and
18 oppressively entitling Plaintiff to punitive damages in an amount to be determined at
19 trial.
20 PRAYER FOR RELIEF
21 WHEREFORE, Plaintiff prays for judgment against all defendants, and each
22 of them, as follows:
23 1. For damages in an amount to be proven at trial;
24 2. For restitution;
25 3. For punitive and exemplary damages;
26 4. For treble damages;
27 5. For a temporary restraining order, and preliminary and permanent
28 injunctive relief:
4387722.2 25858-101
14
COMPLAINT
Case 2:20-cv-00184 Document 1 Filed 01/07/20 Page 15 of 26 Page ID #:15
1 (A) restraining and enjoining all Defendants, and anyone acting in concert
2 with or participating with them from engaging in, committing or performing,
3 either directly or indirectly the following acts:
4 1) Infringing on Plaintiff’s patent and trade dress rights;
5 2) Promoting, importing, marketing, advertising, offering for sale, selling,
6 or distributing any of the Infringing Bags, or similar products, or
7 otherwise causing any third party to promote, import, market,
8 advertise, offer for sale, sell, or distribute any of the Infringing Bags,
9 or similar products;
10 3) Using any false designation of origin, or representing or suggesting
11 directly or by implication that Defendants, or any brands or other
LLP
1888 CENTURY PARK EAST, SUITE 1500
LOS ANGELES, CALIFORNIA 90067
FREEMAN, FREEMAN & SMILEY,
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(310) 255-6100
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4387722.2 25858-101
17
COMPLAINT
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EXHIBIT A
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EXHIBIT B
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EXHIBIT C
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