Stockman & Poropat, PLLC Want You to Have the Tools You Need to Protect Your Business!

With the COSRX lawsuit set in motion, e-commerce operators are going to have to decide on the best course of action. As an alternative to working with one of our attorneys, sellers might want to try negotiating with the Plaintiff on their own. For sure, any of the Defendants are welcome to try this route. But, we want to forewarn affected sellers that this may not prove to yield the result you’re seeking! Why’s that? Because on average direct settlements result in sellers getting to keep just 60% of their money. Our firm doesn’t love the sound of that sort of agreement! Stockman & Poropat, PLLC is committed to getting our clients the most robust, sensible resolution available.

Along similar lines, our firm also upholds the perspective that affected sellers shouldn’t be blindsided by allegations that don’t pertain to their business practices. Which means, due to the various allegations put forward by COSRX, not all named sellers will be accountable for every claim. The Plaintiff has issued a sort of blanket of allegations regarding trademark infringement and counterfeiting. Therefore, it’s up to each Defendant to determine to the court what, if any,  allegations apply to them specifically. This is where having an intellectual property attorney can truly be a benefit! Our firm can offer you the strongest protection when it comes to infringement lawsuits. We’re astute at developing unique legal strategies to achieve desired outcomes, saving you both time and money!

COSRX Alleges E-Commerce Sellers Offered Counterfeit Goods to Consumers

We’ve mentioned thus far that COSRX has detailed myriad counterfeit allegations in this case. The details of these allegations may be found within the legal complaint (downloadable at the bottom of this page). It’s arguable that the allegation the Defendants should be most concerned about is the one regarding a “counterfeit network.” The Plaintiff has taken certain legal steps to ensure the court is recognizing the infringement as a collective action. This speaks to why the lawsuit has so many Defendants. COSRX claims that the named e-commerce sellers have an interrelated operation. One in which the sellers communicate with one another to better sell counterfeit products. This allegation is one among many, but essentially is the reason why the lawsuit targets multiple sellers.

Are the sellers indeed part of or active participants in a network of counterfeiting? We certainly can’t assume so just because that’s what COSRX wants the court to believe. It’s up to the Defendants to take action of their own, so they may clear themselves and their e-commerce operation of any potential wrongdoing! Stockman & Poropat, PLLC is pleased to assist you with such clarification. Establishing the amount of responsibility for the allegations is what we’ll do, in addition to planning out a roadmap for the foreseeable future insofar as the lawsuit is concerned.

COSRX Trademark Lawsuit Will Disrupt Your Operation

COSRX’s trademark infringement allegations are certainly going to be disruptive to the Defendant’s daily operations. But before diving into just how sellers will be disrupted, we want to note that a response to the lawsuit is most definitely required. If the court doesn’t receive a response from a Defendant in a timely fashion, they may move forward with a Default Judgment. A DJ is an outcome that’s mostly avoidable and sellers will likely want to avoid it. That’s because it comes with further financial strain and/or penalties, plus the decision is rarely able to be overturned. Stockman & Poropat, PLLC wants you to know that responding is important! If you require assistance in this regard, just let us know, we can help.

And now, onto the subject of disruption and impact. The Defendants can expect that COSRX will get a temporary restraining order approved by the court. The breadth and severity of the allegations are typically enough for the court to sign off on a TRO. As far as impact and disruption are concerned, the restraining order will freeze the Defendant’s online seller accounts. Thus, any funds that are in those accounts will not be accessible.

This is quite the serious matter! E-commerce businesses require access to capital to not only survive and function, but also to thrive on the marketplace. The injunction in some instances can have devastating effects. Stockman & Poropat, PLLC doesn’t want any seller to feel powerless or as if they’re doomed to file for bankruptcy. The COSRX is not the absolute end of the road for any named seller. Our firm can get your business back to where it needs to be!

Defendants Must Address the COSRX Lawsuit

The COSRX trademark infringement lawsuit must be addressed and navigated in the appropriate manner so that sellers can avoid taking a dramatic loss. Stockman & Poropat, PLLC is dedicated to offering our clients exceptional legal services, especially with regard to intellectual property concerns! No affected seller should just accept that they’re going to be pummeled by COSRX’s allegations. As a seller, you have power, too! That power is inherent in your legal team and strategy. So contact Stockman & Poropat, PLLC today! Contact our team for a free initial consultation!

See the following excerpts from the legal complaint, which you can download below:

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. On information and belief, Plaintiff has not licensed or authorized Defendants to use any of the COSRX Trademarks and none of the Defendants are authorized retailers of COSRX Products. 

Many Defendants also deceive unknowing consumers by using the COSRX Trademarks without authorization within the content, text, and/or meta tags of their e-commerce stores to attract various search engines crawling the Internet looking for websites relevant to consumer searches for COSRX Products. 

Other e-commerce stores operating under the Seller Aliases omit using COSRX Trademarks in the item title to evade enforcement efforts, while using strategic item titles and descriptions that will trigger their listings when consumers are searching for COSRX Products.

Download the legal complaint below:

Want to learn more about recent trademark infringement lawsuits? Dior Just Sued E-Commerce Sellers, Claiming They Caused Collective Damage Due to Counterfeit Sales