The NBA is Suing Online Sellers!
The NBA is suing online sellers! E-commerce operators have been accused of selling counterfeit NBA products on the marketplace. The platforms where these goods were sold include Amazon, Etsy, Temu, Walmart, DHgate, Wish.com, and others. The NBA trademark infringement lawsuit will affect all of the named Defendants.
How will the online sellers be affected? By the temporary restraining order (TRO) that’s been approved by the court. With the TRO, the sellers who allegedly sold infringing products are barred from accessing their seller accounts. The money in the accounts – same thing! Can’t touch it. That’s a huge problem! For some, that could mean teetering on the edge of bankruptcy. For others, a detrimental blow to cash flow. Either way, online sellers need their money to continue operating! How’re the Defendants supposed to move forward given that the TRO is impacting their business! Retaining an experienced intellectual attorney is the first step.
Worried about the cost of hiring an attorney? Put it this way… The upfront cost of getting a lawyer to help you through this infringement lawsuit is nothing compared to what it can cost if you don’t have a lawyer later on. It’s worth the investment!
Schedule A NBA Trademark Infringement Lawsuit
The NBA trademark infringement lawsuit we’re discussing here is a Schedule A lawsuit. That means, the Plaintiff has named a group of online sellers in the suit. By suing multiple alleged counterfeiters at once, the NBA can go after what they believe is the money they deserve. According to the NBA, their brand has been damaged by the unlawful actions of the Defendants. To get their money back, so to speak, they’re going to try and settle with as many of the named sellers as they can.
The settlements in Schedule A cases are not usually favorable to the affected online sellers. Reportedly, brands like the NBA are likely to negotiate settlements that leave sellers with about 60% of the money in their frozen account(s). Are you willing to just give up nearly half of the money you’ve earned simply because of allegations of counterfeit? That’s not your sole option! You can rely on your intellectual property attorney to negotiate a better, more practical settlement and/or clear your business of the claims of counterfeit. It’s a better route overall!
Lots of sellers receive notice of the lawsuit and are stumped as to what they should do. Before anything, take the lawsuit at face value – it’s real, it’s affecting your business, and it’s got to be addressed. You’ll need to respond to the lawsuit. Any seller who doesn’t know what the response should look like can consult with a lawyer! Don’t choose to ignore the suit – that will only create more issues and cost more money.
Why Sellers Are Being Sued by the NBA…
The Defendants may also be asking why the heck they were named in this lawsuit at all! Well, that’s something you’ll need to figure out by responding and corresponding with the Plaintiff. Your business may or may not actually be guilty of selling trademark infringing goods. That’s why settlements are so popular in cases like this. The NBA wants to fix what they perceive to be damage to the value of their brand. Your lawyer can work with you to figure out whatever the exact reason is for why you’ve been named in the lawsuit!
Allegations of Counterfeit Made by the NBA
Here is a selection of the infringement allegations made against the online sellers in this case:
This is a trademark infringement action against Defendants based on their unauthorized use in commerce of counterfeit or infringing imitations of one or more NBA Trademarks in connection with the sale, offering for sale, distribution, and/or advertising of infringing goods.
Defendants have sold, offered to sell, marketed, distributed and advertised, and are still selling, offering to sell, marketing, distributing and advertising products using counterfeit or infringing reproductions of one or more NBA Trademarks without Plaintiff’s permission or consent.
Plaintiff is the owner and/or the exclusive licensee of the NBA Trademarks. The U.S. Registrations for NBA Trademarks (Exhibit 1) are in full force and effect. On information and belief, Defendants have knowledge of Plaintiff’s rights in the NBA Trademarks, and are willfully infringing and intentionally using counterfeits or infringements of one or more NBA Trademarks. Defendants’ willful, intentional and unauthorized use of one or more NBA Trademarks is likely to cause and is causing confusion, mistake, and deception as to the origin and quality of the counterfeit or infringing goods among the general public.
Plaintiff has no adequate remedy at law, and if Defendants’ actions are not enjoined, Plaintiff will continue to suffer irreparable harm to its reputation and the goodwill of its well- known NBA Trademarks.
The injuries and damages sustained by Plaintiff have been directly and/or approximately caused by Defendants’ wrongful reproduction, use, advertisement, promotion, offering to sell, and/or sale of the Counterfeit NBA Products.
Stockman & Poropat, PLLC Can Help Your Business!
Are you one of the online sellers getting sued by the NBA for alleged trademark infringement? Contact our team at Stockman & Poropat, PLLC today! We offer a free consultation. Our attorneys can help your business overcome this lawsuit and get back on track!
Download the legal complaint below:
Up next we will be discussing the latest Christian Dior Infringement Lawsuit.
