Federal Pleading
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Case 2:20-cv-07068 Document 1 Filed 08/06/20 Page 1 of 15 Page ID #:1 1 Brent H. Blakely (SBN 157292) [email protected] 2 Mark S. Zhai (SBN 287988) [email protected] 3 Colby A. Meagle (SBN 328594) [email protected] 4 BLAKELY LAW GROUP 1334 Parkview Avenue, Suite 280 5 Manhattan Beach, California 90266 Telephone: (310) 546-7400 6 Facsimile: (310) 546-7401 7 Attorneys for Plaintiff Chrome Hearts LLC 8 9 UNITED STATES DISTRICT COURT 10 CENTRAL DISTRICT OF CALIFORNIA 11 12 CHROME HEARTS LLC, a Delaware ) CASE NO.: 13 Limited Liability Company, ) ) COMPLAINT FOR DAMAGES AND 14 ) EQUITABLE RELIEF Plaintiff, ) 15 ) 1. TRADEMARK INFRINGEMENT ) 16 vs. ) 2. FALSE DESIGNATION OF ) ORIGIN AND FALSE 17 ) DESCRIPTIONS FASHION NOVA, INC. a California ) 18 Corporation; and DOES 1-10, inclusive, ) 3. UNFAIR COMPETITION IN ) VIOLATION OF CAL. BUS. & 19 ) PROF. CODE, § 17200, et seq. Defendants. ) 20 ) 4. COMMON LAW TRADEMARK ) INFRINGEMENT AND UNFAIR 21 ) COMPETITION ) 22 ) ) JURY TRIAL DEMANDED 23 ) 24 25 Plaintiff Chrome Hearts LLC (“Chrome Hearts” or “Plaintiff”) for its Complaint 26 against Defendant Fashion Nova, Inc. (“Fashion Nova”) and DOES 1-10 (collectively, 27 “Defendants”) alleges as follows: 28 1 COMPLAINT FOR DAMAGES AND EQUITABLE RELIEF Case 2:20-cv-07068 Document 1 Filed 08/06/20 Page 2 of 15 Page ID #:2 1 JURISDICTION AND VENUE 2 1. Plaintiff files this action against Defendants for trademark infringement 3 and false designation of origin under the Lanham Trademark Act of 1946, 15 U.S.C. § 4 1051 et seq. (the “Lanham Act”), and related claims of trademark infringement and 5 unfair competition under the statutory and common law of the State of California. This 6 Court has subject matter jurisdiction over Plaintiff’s Lanham Act claims under 15 7 U.S.C. § 1121(a) and 28 U.S.C. §§ 1331 and 1338(a). 8 2. This Court has supplemental jurisdiction over Plaintiff’s state and 9 common law claims pursuant to 28 U.S.C. § 1367(a), because those claims are so related 10 to Plaintiff’s federal claims that they form part of the same case or controversy and 11 derive from a common nucleus of operative facts. 12 3. This Court has personal jurisdiction over Defendants because Defendants 13 reside in California, are engaged in interstate commerce within the state of California, 14 and committed tortious acts of infringement complained of in California, including, on 15 information and belief, the sale of apparel products bearing unauthorized and infringing 16 copies of Plaintiff’s federally registered trademarks to residents of California, and as a 17 result, caused Plaintiff substantial injury in the State of California. 18 4. Venue is proper in this district pursuant to 28 U.S.C. § 1391 because 19 Defendants reside in this Judicial District and a substantial part of the events giving rise 20 to Plaintiff’s claims herein occurred in this Judicial District. 21 THE PARTIES 22 5. Plaintiff Chrome Hearts LLC (“Chrome Hearts”) is a limited liability 23 company organized and existing under the laws of the state of Delaware, with an office 24 and principal place of business located at 915 North Mansfield Avenue, Los Angeles, 25 California 90038. 26 6. Defendant Fashion Nova, Inc. (“Fashion Nova”) is a corporation 27 organized and existing under the laws of the state of California, with an office and 28 principal place of business located at 2801 East 46th Street, Vernon, California 90058. 2 COMPLAINT FOR DAMAGES AND EQUITABLE RELIEF Case 2:20-cv-07068 Document 1 Filed 08/06/20 Page 3 of 15 Page ID #:3 1 7. Chrome Hearts is unaware of the names and true capacities of Defendants, 2 whether individuals, corporate and/or partnership entities, named herein as DOES 1 3 through 10, inclusive, and therefore sues them by their fictitious names. Chrome Hearts 4 will seek leave to amend this complaint when their true names and capacities are 5 ascertained. Upon information and belief, each one of Defendants Fashion Nova and 6 DOES 1 through 10, inclusive, caused or are in some manner responsible for causing 7 the wrongful acts alleged herein, and that at all relevant times each one was the agent, 8 servant, and/or employee of the other Defendants acting within the course and scope of 9 said agency, service, and employment. 10 8. Upon information and belief, at all relevant times herein, each one of 11 Defendants Fashion Nova and DOES 1 through 10, inclusive, knew or reasonably 12 should have known of the wrongful acts and behavior alleged herein and the damages 13 caused thereby, ratified and encouraged such acts and behavior, and/or had a non- 14 delegable duty to prevent such acts and behavior but failed or refused to do so. 15 ALLEGATIONS COMMON TO ALL CAUSES OF ACTION 16 A. The Chrome Hearts Brand and Trademarks 17 9. Chrome Hearts has been designing, manufacturing, and selling artistically 18 styled leather goods, apparel, jewelry, and accessories since 1988. 19 10. Chrome Hearts sells a wide variety of quality artistic products, including 20 leather pants, leather jackets, leather vests, sterling silver jewelry, including necklaces, 21 bracelets, rings and wallet chains, belt buckles, fabric apparel, bags and a wide 22 collection of other products, including furniture, eyewear, and crystal ware. 23 11. Chrome Hearts products are sold in the exclusive CHROME HEARTS 24 stores throughout the world and in select specialty stores, such as Selfridges in London, 25 Bergdorf Goodman in New York and the United Arrows and Dover Street Market Ginza 26 boutiques in Japan. 27 12. Chrome Hearts is known for combining the look of rugged apparel with 28 fashion attire to make fashion apparel and accessories. All of Chrome Hearts’ leather 3 COMPLAINT FOR DAMAGES AND EQUITABLE RELIEF Case 2:20-cv-07068 Document 1 Filed 08/06/20 Page 4 of 15 Page ID #:4 1 products are adorned with sterling silver hardware, including all of the buttons and 2 ornamental pieces. Chrome Hearts is also known for using suede inlay designs in 3 connection with leather clothing. 4 13. Entertainers, such as Madonna, Arnold Schwarzenegger, Rihanna, Cher, 5 Kate Hudson, Tom Brady, David Beckham, and Lenny Kravitz can all be seen in 6 Chrome Hearts’ fashions. 7 14. In 1993, the Council of Fashion Designers of America (“CFDA”) 8 presented Chrome Hearts with an unsolicited award as designer of the year for its 9 innovative accessories and jewelry designs. 10 15. Virtually all Chrome Hearts® products, including clothing, denim, and 11 jewelry, are handmade in Los Angeles by Chrome Hearts’ craftsmen. The level of 12 expert workmanship exercised by these individuals is superior and conforms with the 13 strict standards established by Chrome Hearts. 14 16. Chrome Hearts® products have been praised and recognized in numerous 15 articles appearing in both trade publications and publications directed to the general 16 public around the world, including articles in the United States, Germany, Japan and 17 France. These articles have acclaimed the high artistry, fashion and style of Chrome 18 Hearts’ designs and the uniqueness of the designs. 19 17. Among Chrome Hearts’ most important assets is the intellectual property 20 associated with the Chrome Hearts brand. Among other intellectual property, Chrome 21 Hearts is the owner of the CHROME HEARTS word mark, as well as various design 22 only marks and composite trademarks comprising the CHROME HEARTS word mark 23 and design components (hereinafter collectively the “Chrome Hearts Marks”). 24 18. Chrome Hearts’ most iconic and well recognized trademarks include, but 25 are not limited to, the following U.S. trademark registrations: 26 27 28 4 COMPLAINT FOR DAMAGES AND EQUITABLE RELIEF Case 2:20-cv-07068 Document 1 Filed 08/06/20 Page 5 of 15 Page ID #:5 1 Mark Reg. No. Relevant Goods Clothing; namely, tee shirts, 2 2,216,575 shirts, tank tops, pants, 3 chaps, jeans, sweaters and 4 jackets. 5 6 7 8 Chrome Hearts Plus Horseshoe Design Composite Mark 9 Clothing, namely, tee shirts, 10 3,542,742 shirts, tank tops, sweat 11 shirts, sweat pants, jeans, 12 pants, sweaters, skirts, dresses, jackets, coats, 13 undergarments, hats, socks 14 and footwear. 15 16 Horseshoe with Plus Mark Men's and women's 17 2,408,082 clothing; namely, jeans, 18 leather pants, skirts, jackets, 19 chaps, sweaters, vests, tee- shirts and shirts. 20 21 22 23 Chrome Hearts plus Horseshoe Design 24 25 19. Chrome Hearts has always devoted substantial time, effort, and money to 26 designing, developing, advertising, promoting, and marketing its products, and spends 27 on average over $1 million per year on advertising, promoting, and marketing the 28 5 COMPLAINT FOR DAMAGES AND EQUITABLE RELIEF Case 2:20-cv-07068 Document 1 Filed 08/06/20 Page 6 of 15 Page ID #:6 1 CHROME HEARTS® brand. As a result of its efforts, Chrome Hearts has sold over a 2 billion dollars’ worth of goods, including apparel products, all bearing one or more of 3 the Chrome Hearts Marks. 4 20. Registrations for many of the Chrome Hearts Marks, including the specific 5 registrations identified above, are valid, subsisting and are incontestable. Through 6 longstanding use, advertising, and registration, the Chrome Hearts Marks have achieved 7 a high degree of consumer recognition and constitute famous marks. 8 21. Chrome Hearts has continuously used the Chrome Hearts Marks in 9 interstate commerce in connection with the sale, distribution, promotion, and 10 advertising of its goods since their respective dates for first use. 11 22. The Chrome Hearts Marks have come to identify, in the United States and 12 throughout the world, high quality leather fashions, jewelry, apparel and accessories 13 designed and manufactured by Chrome Hearts.