E-Commerce Sellers Sued For Counterfeiting | NBA Trademark Action
Guess who just filed an intellectual property infringement lawsuit in federal court? The NBA. To gain insight into the lawsuit and the associated allegations, let’s take a glance at the legal complaint. By reviewing the complaint itself, sellers can get a direct understanding of what the NBA is claiming. As a Defendant, you’ll likely benefit from absorbing the information as written in the complaint, because it will be informative. Further, it’ll give sellers the full context of the NBA lawsuit:
The fame of NBA Trademarks and the success of Plaintiff’s athletic brand and affiliated variety of products, including apparel, caps, jewelry, toys, furniture, pennants, and bags, among others (collectively, “Genuine NBA Products”), has resulted in significant counterfeiting of NBA Trademarks.
Defendants facilitate sales of Counterfeit NBA Products by designing the e-commerce stores operating under the Seller Aliases so that they appear to unknowing consumers to be authorized online retailers, outlet stores, or wholesalers, including, in many instances, by copying the layouts, terms of service, legal notices and/or contact information found on the websites of Plaintiff’s authorized online retailers.
On information and belief, Plaintiff has not licensed or authorized Defendants to use any of the NBA Trademarks, and none of the Defendants are authorized retailers of Genuine NBA Products.
Why Stockman & Poropat, PLLC is the Law Firm For You
Before we dive into what the named sellers can expect, we can address what may be a consideration for some Defendants. We’re referring to direct settlements! Indeed, any of the Defendants may pursue a direct settlement with the Plaintiff. Why wouldn’t a seller want to retain an attorney? Some Defendants may be under the impression that they can negotiate with the NBA on their own. That’s certainly possible, but the odds are likely against those who take this route. Sellers in infringement cases don’t typically get a fair outcome when they aim for a direct settlement. Stockman & Poropat, PLLC doesn’t want any seller to lose money when they don’t have to!
A truly important aspect of handling this trademark infringement action responsibly will be the response. All of the Defendants ought to submit a response to the court in a timely fashion. Any seller who doesn’t provide a response could face penalties, namely a Default Judgment. In essence, sellers can avoid a Default Judgment outcome by responding. If and/or when a DJ is issued by the court, they may be compelled to pay even more money and the decision usually can’t be overturned. Our firm would rather you continue achieving great success as an e-commerce seller, so just respond!
A Temporary Restraining Order is Incoming
Arguably, the most difficult part of infringement lawsuits such as this one filed by the NBA, is that they come with a temporary restraining order! The restraining order can’t really be ignored because it will freeze the Defendants’ seller accounts. It’s hard to turn a blind eye to the fact that you’re being blocked from accessing your money. Generally, injunctions in similar infringement actions impact earnings generated from the sale of the Plaintiff’s products. Meaning, the restraining order will likely only affect money earned from selling NBA goods. Sometimes these injunctions extend beyond the Plaintiff’s property, too. All in all, no seller wants to be barred from their funds. As it can place an e-commerce business in a precarious position. If you want to protect your business and your money, reach out to our team at Stockman * Poropat, PLLC!
Why the NBA Believes E-Commerce Sellers Formed a Network
Much like we’ve seen in many other “Schedule A” infringement actions, the NBA lawsuit identifies what they perceive to be a “counterfeit network.” That is to say, the Plaintiff is alleging that the Defendants are known to one another. And, that they share information that allows them to more effectively sell counterfeit products. This major allegation may or may not pertain to the activities of any given Defendant. However, until such clarification is established in a legal context, the court is going to take the Plaintiff’s allegations quite seriously. When you work with Stockman & Poropat, PLLC, we’ll make sure that the details of your business operation are clarified. And thus, help you reach an outcome that’s commensurate with your actual responsibility to the alleged unlawful actions.
Stockman & Poropat, PLLC is a Pre-Eminent Intellectual Property Law Firm
Stockman & Poropat, PLLC is a pre-eminent intellectual property law firm with an unmatched team of attorneys and paralegals who legitimately care about you and your business. Our team knows very well that being named in a trademark infringement action can be incredibly stressful and frustrating. Our goal is to reduce that frustration and stress as much as possible. By maintaining an open line of communication with our clients, we ensure that you can reach our team whenever you need to, with your questions and concerns. We’ve come to the rescue for e-commerce sellers all around the world and know how to put our experience to work for you!
Contact our team at Stockman & Poropat, PLLC today for a free initial consultation!
Download the legal complaint below:
Up next you can read about how The New Yorker Filed a Trademark Infringement Lawsuit Against E-Commerce Sellers, Alleging Sale of Unauthorized Goods.
