#iplitigation

[ipconsultinggroup-1]

🎯 Chicago judges are starting to push back against 'SAD' scheme in IP cases

Over the past decade, Chicago's federal court has been a focal point for a unique type of intellectual property (IP) litigation. This approach, described by legal scholars such as Eric Goldman of Santa Clara University and Sarah Burstein of Chicago-Kent College of Law, involves filing lawsuits against numerous alleged infringers or counterfeiters in a single case. The plaintiffs claim these defendants are acting collectively and seek immediate orders to shut down their online storefronts.

A notable aspect of these lawsuits is their secrecy. Defendants—often foreign online sellers on platforms like Amazon, eBay, and Etsy—are listed under seal, earning these cases the nickname "Schedule A defendant" (SAD) lawsuits. Many defendants remain unaware of the litigation until courts have issued temporary restraining orders freezing their assets and closing their storefronts. By then, settling out of court becomes their primary option.

Hundreds of such cases are filed annually in Chicago, leading U.S. District Judge Steven Seeger to describe the system as an "assembly line" for issuing restraining orders. Scholars like Burstein argue that these cases exploit judges’ disdain for counterfeiters and represent a significant but under-scrutinized trend in IP litigation.

However, there has been recent judicial resistance. In early November, Judge John Blakey dismissed a copyright case for improperly linking unrelated defendants. Similarly, Judge Sunil Harjani denied a restraining order request, citing insufficient evidence of collaboration among defendants. On Nov. 20, Judge Jeremy Daniel rejected a Toyota lawsuit involving 103 defendants, finding no proof of coordinated actions among them.

Daniel’s ruling stands out because he allowed Toyota’s lawyers to address his concerns before issuing his decision. Toyota argued that the defendants, as a "swarm" of counterfeiters, collectively harmed the company, referencing a 2020 ruling by Judge Thomas Durkin in a similar case. However, Daniel dismissed the analogy, likening the defendants to independent street vendors selling similar goods without any cooperation.

This pushback is part of a broader trend. Judges like Joan Gottschall and Steven Seeger have also challenged the validity of joining unrelated defendants in these cases. According to Burstein, the growing judicial scrutiny marks a significant shift, as these lawsuits were previously settled in secrecy. She believes this newfound resistance signals a critical moment for addressing the potential misuse of procedural rules in IP litigation.

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[patexia]

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[informedinnovationinc]

In case you thought it was just a simple murder / bigamy / NSFW story... There's also a big trademark dispute behind the Tiger King

www.informedinnovationinc.com

[klemchukllp]

Ed Sheeran may regret Photograph that led to $20m copyright case

Ed Sheeran settles copyright infringement case for his song Photograph

 #musicNews #copyright #copyrightInfringement #IP #litigation #IPlitigation #IPattorney #copyrightAttorney #music #law

https://www.theguardian.com/music/2017/apr/11/ed-sheeran-20m-dollar-copyright-claim-matt-cardle-x-factor

[klemchukllp]

Is adidas Taking Its Three Stripes Trademark Too Far?

Fashion trademarks: Adidas overprotective of the Three Stripes trademark, Forever 21 sues

 #trademark #fashion #IP #trademarkProtection #IPlitigation #Adidas #Forever21

https://hypebeast.com/2017/3/adidas-sued-forever-21-stripes