ETS Express v. Kaiser Group - Complaint

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    COMPLAINT FOR DECLARATORY JUDGMENT RE PATENT, TRADEMARK AND TRADE DRESS

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    Marvin H. Kleinberg (State Bar No. 24,953)

    [email protected]

    Michael Hurey (State Bar No. 139,550)

    Email: [email protected]

    Bradford E. Mattes (State Bar No. 159,004)

    [email protected]

    KLEINBERG & LERNER, LLP

    1875 Century Park East, Suite 1150

    Los Angeles, California 90067-2501

    Telephone: 310- 557-1511

    Facsimile: 310- 557-1540

    Attorneys for Plaintiff, ETS EXPRESS, INC.

    UNITED STATES DISTRICT COURTCENTRAL DISTRICT OF CALIFORNIA-WESTERN DIVISION

    COMES NOW the Plaintiff, ETS EXPRESS, INC. ("ETS") and for its Complaint

    against the Defendant states as follows:

    Nature of the Complaint

    1. This is an action at law and in equity for a declaratory judgment holding thatplaintiff has not infringed U.S. Design Patent Number D693,176 S. (" '176 patent")

    assigned to Defendant KAISER GROUP INCORPORATED ("KAISER") and has not

    ETS EXPRESS, INC., a California

    corporation

    Plaintiff,

    v.

    KAISER GROUP INCORPORATED, a

    Minnesota corporation

    Defendant

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    Case No.:

    COMPLAINT FOR DECLARATORY

    JUDGMENT RE PATENT, TRADEMARK

    AND TRADE DRESS

    DEMAND FOR JURY TRIAL

    Case 2:14-cv-00398 Document 1 Filed 01/17/14 Page 1 of 8 Page ID #:1

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    COMPLAINT FOR DECLARATORY JUDGMENT RE PATENT, TRADEMARK AND TRADE DRESS

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    infringed KAISER'S VINO2GO trade mark, Reg; No.4,299,343 nor KAISER'S

    VINO2GO trade dress or, in the alternative that the '176 patent is invalid and that Reg.

    No. 4,299,343 should be cancelled under the provisions of 15 U.S.C. 1064 (Lanham Act

    14.

    Parties, Jurisdiction, and Venue

    2. Plaintiff ETS Express, Inc. is a California Corporation having a principal

    place of business at 420 South Lombard Street, Oxnard, California 93030.

    3. Upon information and belief, Defendant KAISER GROUP INCORPORATED. is

    a Minnesota Corporation with an address of 5021 Vernon Avenue, #243, Edina, MN

    55436.

    4. Pursuant to 28 U.S.C. 2201 and 2202, this Court may declare the rights

    and other legal relationships of the parties and may order such other relief as may be

    necessary. This Court has subject matter jurisdiction of the design patent declaratory

    relief claims under 28 U.S.C. 1331 and under 28 U.S.C. 1338, in that, this case arises

    under the Patent Laws of the United States, 35 U.S.C. l et seq.

    5. This Court also has subject matter jurisdiction of the trade mark and trade

    dress declaratory relief actions under 28 U.S.C. 1331 and under 28 U.S.C. 1338, in

    that, this case also arises under the Trademark Laws of the United States 15 U.S.C.

    1121(a).

    6. Antonio Papageorgiou, counsel for Defendant KAISER, sent a letter dated

    January 8, 2013 to Plaintiff's president alleging infringement of Design Patent No.

    D693,176 S, trade mark VINO2GO, Reg. No. 4,299,343 and of Defendant's alleged

    VINO2GO trade dress as a violation of Defendant's rights under Lanham Act 32 (15

    U.S.C. 1114). That letter demanded, among other things, that "ETS ... cease and desistfrom offering for sale or selling all unauthorized versions of tumblers featuring a wine

    glass within a clear container (hereinafter "Unauthorized Tumblers"), including without

    limitation the Infringing Products;" The letter further demanded that ETS recall all

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    COMPLAINT FOR DECLARATORY JUDGMENT RE PATENT, TRADEMARK AND TRADE DRESS

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    Unauthorized Tumblers and Infringing Products "without waiver or prejudice of Kaiser

    Group rights, claims and remedies...". A copy of that letter is attached as Exhibit 1.

    7. When a reply was sent to the January 8 letter, Defendant's lawyer's response

    included the statement: "...we consider all offers to sell the accused tumbler at the

    tradeshow acts of willful infringement."

    8. An actual case and controversy exists between ETS and Defendant KAISER

    as a result of Defendant's accusations of patent, trade mark and trade dress infringement.

    9. Defendant KAISER is subject to the personal jurisdiction of this Court

    because KAISER has offered products for sale and/or sold products in the Central

    District of California. This court also has personal jurisdiction over Defendant by virtue

    of the fact that, upon information and belief, Defendant regularly solicits business and/or

    derives substantial revenue from goods used or consumed in this state.

    10. Upon information and belief, venue is proper under 28 U.S.C. 1391(b)

    because acts giving rise to the claims asserted herein occurred in the Central District of

    California.

    Facts

    11. Plaintiff markets and sells a line of double-wall drinkware under the

    "VINI" mark. Plaintiff's VINI drinkware is offered and sold to the promotional

    products market rather than the general consumer market. The interior shape of

    Plaintiff's VINI drinkware is distinctive in that it has the overall shape of a pointed

    bullet. This differs from the interior shape of Defendant's asserted patent and trade dress

    that has the appearance of a wine glass and has round, curved walls. The interior shape

    of Plaintiff's VINI drinkware also lacks any stem and instead has a substantial open

    space between the apex of the pointed bullet and the base of the exterior container. Theasserted '176 patent has an integral stem that extends almost to the base of the exterior

    container to simulate the long stem of a traditional glass wine glass. Moreover, the

    exterior shape of Plaintiff's VINI drinkware has a distinctive slightly curved cylindrical

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    shape with a substantially planar base while the exterior shape of the asserted '176 patent

    is frusto-conical and has a base with a slight dome shape.

    12. Plaintiff has adopted and has been using since 2004 a family of marks in

    which "2GO" is an integral element. These marks include "H2GO", "T2GO",

    "CUP2GO", "H2GO OMEGA" and "h2go bfree". Because of the prior use of its

    family of "2GO" marks, Plaintiff believes that the continued registration of the

    "VINO2GO" mark is likely to cause confusion, deception and mistake in the

    marketplace.

    13. A recent search on the internet has revealed that the term "VINO2GO" is

    being used extensively to advertise and sell drinkware substantially in accordance with

    the '176 patent from various sources, none of them being the Defendant. To the extent

    that the term is used to identify the product, it has become generic.

    14. Moreover, at least two organizations, "Thermo Steel" and "The Product

    Farm", claim to manufacture "VINO2GO". As a result there is confusion as to the

    source of the "VINO2GO wine sippy cup".

    FIRST CLAIM FOR RELIEF

    [Declaratory Judgment, under 28 U.S.C. 2201 and 2202

    of No Patent Infringement Against Defendant]

    15. The preceding paragraphs are incorporated herein by reference.

    16. A copy of the '176 patent is attached hereto as Exhibit 2.

    17. A picture of Plaintiffs accused VINI" wine tumbler is attached hereto as

    Exhibit 3.

    18. As is plainly evident, Plaintiff's VINI wine tumbler does not, in any way,

    infringe the design of the KAISER '176 patent. Defendant, however, has alleged thatPlaintiffs VINI wine tumbler does infringe the 176 patent. Accordingly, a justiciable

    controversy exists between the parties.

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    SECOND CLAIM FOR RELIEF

    [Declaratory Judgment under 28 U.S.C. 2201 and 2202

    of Invalidity and Unenforceability of Asserted Trade Mark Against Defendant]

    19. The preceding paragraphs are incorporated herein by reference.

    20. A copy of Defendant's trademark registration is attached as Exhibit 4.

    21. A search of the internet reveals that at amazon.com, alone, at least 10

    different merchants are offering a "Vino2Go ...insulated wine tumbler set". There are at

    least thirteen other offerings of "Vino2Go" "insulated wine tumblers", each with a

    plurality of vendors. In addition, several web sites offer the "Vino2Go wine sippy cup"

    including "www.thevino2go.com", "www.silkletter.com/Vino2Go",

    "www.funslurp.com", "www.giftedgrape.com", "www.givesimple.com/WineSippy Cup",

    "www.store.theproductfarm,com/Vino2Go" and "kegworks.com/Vino2Go".

    22. Because of the widespread offering by many sources of a product identified

    as the "Vino2Go wine sippy cup", the term has become the generic identifier of the

    product and therefore the registration of "VINO2GO" is cancellable at any time under

    15 U.S.C. 1064 (3) which provides:

    "A petition to cancel a registration of a mark ...may...be filed...

    (3) At any time if the registered mark becomes the generic name for the goods... for

    which it is registered, ... or if the registered mark is used by or with the permission of the

    registrant so as to misrepresent the source of the goods....on or in connection with which

    the mark is used...."

    23. Alternatively, because of the plethora of sources advertising "Vino2Go wine

    sippy cups", the source of the goods is being actively misrepresented to the confusion of

    the public.THIRD CLAIM FOR RELIEF

    [Declaratory Judgment under 28 U.S.C. 2201 and 2202

    of No Infringement of Asserted Trade Dress Against Defendant]

    24. The preceding paragraphs are incorporated herein by reference.

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    25. A picture of a VINO2GO wine sippy cup, which, it is presumed, embodies

    the KAISER TRADE DRESS, is attached as Exhibit 5.

    26. Plaintiff's VINI" wine tumbler does not, in any way infringe any rights

    that Defendant KAISER may have in its so-called "VINO2GO TRADE DRESS" which

    has only been in use since May of 2012, a period much too short for KAISER to have

    acquired any enforceable trade dress rights. The VINO2GO TRADE DRESS is not

    inherently distinctive.

    27 Defendant KAISER cannot claim any trade dress rights to the frusto-conical

    shape of the VINO2GO wine sippy cup exterior or the wine glass shape of the interior as

    they are functional.

    28. The "double-wall" feature of the claimed trade dress is functional and, as

    such, cannot be appropriated by KAISER either under the Patent Laws or the Trade Mark

    Laws of the United States.

    29. The frusto-conical shape of the VINO2GO wine sippy cup exterior is a

    common geometric shape and cannot be appropriated by KAISER under either the Patent

    Laws or the Trade Mark Laws of the United States.

    PRAYER FOR RELIEF

    WHEREFORE, PLAINTIFF ETS EXPRESS PRAYS for judgment against

    Defendant KAISER as follows:

    1. A declaration that ETS EXPRESS has not in any manner infringed, and isnot currently infringing, Defendant KAISER's '176 patent;

    2. A declaration that ETS EXPRESS has not in any manner infringed, and isnot currently infringing, Trademark Reg. No. 4,299,343.

    3. A declaration that ETS EXPRESS has not in any manner infringed, and isnot currently infringing any alleged Trade Dress of Defendant KAISER, including, but

    not limited to, the alleged KAISER VINO2GO Trade Dress.;

    4. Cancellation of Reg. No. 4,299,343 pursuant to 15 U.S.C. 1054.

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    EXHIBIT 1

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    10/22Exhibit 1

    Page 9

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    11/22Exhibit 1

    Page 10

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    EXHIBIT 2

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    14/22Exhibit 2Page 12

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    15/22Exhibit 2Page 13

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    16/22Exhibit 2Page 14

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    EXHIBIT 3

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    Exhibit 3Page 15

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    EXHIBIT 4

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    20/22Exhibit 4Page 16

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    EXHIBIT 5

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