Online Sellers Sued | Atari Trademark Infringement Action
The well-established, groundbreaking American video game company Atari has filed a lawsuit claiming trademark infringement! Atari has filed this suit due to what they state has been large-scale sales of counterfeit products. The Plaintiff alleges that a group of e-commerce sellers, listed on the lawsuit’s Schedule A, worked in connection with each other. That is to say, Atari’s allegations, in part, say that the sellers have communicated so as to streamline their counterfeit aims.
Even if you only know the most basic inkling about video games, you probably have heard the brand name Atari. The famous reputation that Atari has gained from the 20th Century into the 21st means that goods branded with the name are valuable. Consumers are attracted to products branded with Atari. It’s the value of the trademark itself that the Plaintiff is suing sellers over. Atari alleges that the actions of the collective Defendants have hurt their brand’s reputation. And, to put a stop to what the Plaintiff believes has been an erosion of their intellectual property, they’ve gone forward with the lawsuit.
How to Act Once You Find Out Atari is Suing You
How should the Defendants act once they’ve been made aware of the Atari lawsuit? One of the most strategic actions a seller can take after receiving notice they’re getting sued? Consult with an intellectual property attorney!
Now, where does one get to fully assess Atari’s allegations of trademark infringement? In the legal complaint, which you may download at the bottom of this page. To know the whole alleged story, you can read through the complaint. The named sellers should consider everything that Atari claims they did, as seen in the notice.
Atari’s Allegations of Trademark Infringement
We’ll share below a few of the legal allegations:
E-commerce stores operating under the Seller Aliases often include content and images that make it very difficult for consumers to distinguish such stores from an authorized retailer. Plaintiff has not licensed or authorized Defendants to use any of the ATARI Trademarks and none of the Defendants are authorized retailers of Atari(R) Brand Products.
[Online sellers] like Defendants commonly engage in fraudulent conduct when registering the Seller Aliases by providing false, misleading, and/or incomplete information to e-commerce platforms to prevent discovery of their true identities and the scope of their e-commerce operation.
Counterfeit Products for sale by the Seller Aliases bear similar irregularities and indicia of being counterfeit to one another, suggesting that the Counterfeit Products were manufactured by and come from a common source and that Defendants are interrelated… Defendants, without any authorization or license from Plaintiff, have knowingly and willfully used and continue to use the ATARI Trademarks in connection with the advertisement, distribution, offering for sale, and sale of Counterfeit Products into the United States and Illinois over the Internet.
Atari Will Institute a Temporary Restraining Order
What comes after the notice of the lawsuit? Atari will use the allegations to convince the court to approve of a temporary restraining order! This injunction will essentially freeze all of the Defendants’ seller accounts. The purpose of this maneuver by the Plaintiff is to impose a stop-order, so to speak. Atari doesn’t want to see any further sales of counterfeit versions of their products. They claim that the amount of unauthorized sales thus far has severely damaged the brand and its reputation.
Some e-commerce operators wonder what their options are, especially those who aren’t convinced retaining an attorney is sensible. We can say that the average seller affected by a trademark lawsuit gets 60% of their frozen money when they try to directly settle. That approximate percentage is connected to the earnings sellers made off selling Atari goods. This could be hundreds of dollars, thousands, or hundreds of thousands! It all depends on the online seller in question. If walking away from the lawsuit with just about half of your funds doesn’t sound appealing, contact us at Stockman & Poropat, PLLC!
Consult With an Attorney at Stockman & Poropat, PLLC | Atari Trademark Infringement Action
A Schedule A trademark infringement lawsuit filed in federal court is a very serious matter. Understandably, this situation can cause sellers a great deal of frustration. The expense that comes in the shape of the temporary restraining order is enough to push a seller to their limit. But, the lawsuit isn’t going to resolve itself on its own! Just as Atari took action, so should you. By working with our lawyers at Stockman & Poropat, PLLC, you’ll be able to lower your stress level. We’ve helped e-commerce sellers all around the world to save in the way of both time and money. Whether you’re eligible to clear your business of wrongdoing, need to negotiate, or reach a settlement, Stockman & Poropat, PLLC is ready to get to work!
What sellers really need to know, too, regarding the lawsuit is that a response is necessary. Receiving the notice and ignoring the existence of the suit will not benefit any of the Defendants. Not responding could actually cost sellers even more! If the court doesn’t get a response, they’re more likely to issue a Default Judgment. This is an outcome you’ll probably want to avoid, which you can do just by responding.
Contact our team at Stockman & Poropat, PLLC today for a free initial consultation!
Download the legal complaint below:
