This document is a complaint filed by Chanel, Inc. in the United States District Court for the Southern District of Florida against Dara L. Krovetz, Gold Coast Reporting, Inc., and unnamed defendants. Chanel alleges that the defendants are promoting, selling, and distributing counterfeit goods bearing Chanel's registered trademarks without authorization. Chanel asserts claims for trademark infringement and unfair competition and seeks damages and injunctive relief.
This document is a complaint filed by Chanel, Inc. in the United States District Court for the Southern District of Florida against Dara L. Krovetz, Gold Coast Reporting, Inc., and unnamed defendants. Chanel alleges that the defendants are promoting, selling, and distributing counterfeit goods bearing Chanel's registered trademarks without authorization. Chanel asserts claims for trademark infringement and unfair competition and seeks damages and injunctive relief.
This document is a complaint filed by Chanel, Inc. in the United States District Court for the Southern District of Florida against Dara L. Krovetz, Gold Coast Reporting, Inc., and unnamed defendants. Chanel alleges that the defendants are promoting, selling, and distributing counterfeit goods bearing Chanel's registered trademarks without authorization. Chanel asserts claims for trademark infringement and unfair competition and seeks damages and injunctive relief.
This document is a complaint filed by Chanel, Inc. in the United States District Court for the Southern District of Florida against Dara L. Krovetz, Gold Coast Reporting, Inc., and unnamed defendants. Chanel alleges that the defendants are promoting, selling, and distributing counterfeit goods bearing Chanel's registered trademarks without authorization. Chanel asserts claims for trademark infringement and unfair competition and seeks damages and injunctive relief.
CHANEL, INC., a New York corporation, Plaintiff, v. DARA L. KROVETZ, an individual, and GOLD COAST REPORTING, INC., a Florida corporation, individually and jointly, d/b/a jewelryandbabyblingbydara.com d/b/a jewelry and baby bling by dara, and DOES 1-10, Defendants. ) ) ) ) ) ) ) ) ) ) ) ) ) )
Case No. ________________
COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF Plaintiff, CHANEL, INC., a New York corporation ("Chanel") hereby sues Defendants, DARA L. KROVETZ, an individual, and GOLD COAST REPORTING, INC., a Florida corporation, individually and jointly, d/b/a jewelryandbabyblingbydara.com d/b/a jewelry and baby bling by dara (collectively, the Gold Coast Defendants) and DOES 1-10 (collectively Defendants). Defendants are promoting, selling, offering for sale and distributing goods bearing counterfeits and confusingly similar imitations of Plaintiffs trademarks within this district using at least the website operating under the domain name jewelryandbabyblingbydara.com (the Subject Domain Name). In support of its claims, Plaintiff alleges as follows: JURISDICTION AND VENUE 1. This is an action pursuant to (i) 15 U.S.C. 1114, 1116, 1121 and 1125(a). Accordingly, this Court has jurisdiction under 28 U.S.C. 1331, 1332 and 1338. Venue is Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 1 of 13
- 2 - proper in this Court pursuant 28 U.S.C. 1391 since the named Defendants reside and conduct business in this District. THE PARTIES 2. Chanel is a corporation duly organized under the laws of the State of New York with its principal place of business in the United States located at Nine West 57th Street, New York, New York 10019. Chanel is, in part, engaged in the business of manufacturing and distributing throughout the world, including within this J udicial District, high quality clothing products, including shoes, and mobile device covers under Federally registered trademarks, including but not limited to , and . Chanel is the owner of all registered and common law rights associated with the above-referenced marks as used in connection with the promotion, advertisement and distribution of goods in the United States. 3. Gold Coast Reporting, Inc. is a corporation organized under the laws of the State of Florida with its principal place of business located within this District at 5011 SW 114 th Way, Ft. Lauderdale, Florida 33301. Gold Coast is subject to personal jurisdiction in this Court. 4. Dara Krovetz is an individual, who resides and conducts business within this District at 5011 SW 114 th Way, Ft. Lauderdale, Florida 33301. Dara Krovetz is subject to personal jurisdiction in this Court. 4. Upon information and belief, Gold Coast Reporting, Inc. and Dara Krovetz are directly engaging in the sale of counterfeit and infringing products at least within this District as alleged herein, and use the aliases jewelryandbabyblingbydara.com, and jewelry and baby bling by dara in connection with the operation of their counterfeiting business. 5. Defendant Does 1-5 are, upon information and belief, individuals who reside Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 2 of 13
- 3 - and/or conduct substantial business within this District. Further, Does 1-5 are directly and personally contributing to, inducing and engaging in the sale of counterfeit products as alleged herein as partners or suppliers to the named Defendant. Chanel is presently unaware of the true names of Does 1-5. Chanel will amend this Complaint upon discovery of the identities of such fictitious Defendants. 6. Defendants Does 6-10 are business entities which, upon information and belief, reside and\or conduct business within this District. Moreover, Does 6-10 are, upon information and belief, directly engaging in the sale of counterfeit products as alleged herein as partners or suppliers to the named Defendant. Chanel is presently unaware of the true names of Does 6-10. Chanel will amend this Complaint upon discovery of the identities of such fictitious Defendants. COMMON FACTUAL ALLEGATIONS 7. Chanel is the owner of all rights, including common law rights, in and to the following trademarks protected by United States Federal Trademark Registrations: Trademark Registration Number Registration Date Class(es)/Goods
4,074,269 December 20, 2011 (Int'l Class: 9) Protective covers for portable electronic devices, handheld digital devices, personal computers and cell phones
which are registered in International Classes 9 and 25, and are used in connection with the Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 3 of 13
- 4 - manufacture and distribution of, among other things, clothing products, including shoes, and mobile device covers. Additionally, Chanel is the owner of all common law rights in and to the and Marks as associated with clothing products, including shoes, mobile devices and baby products, including pacifiers (the above-identified common law and registered marks shall collectively be referred to herein as the Chanel Marks). 8. The Chanel Marks have been used in interstate commerce to identify and distinguish Chanel's high quality clothing products, including shoes, mobile device covers, baby products, including pacifiers, and other goods for an extended period of time. 9. The Chanel Marks have never been assigned or licensed to any of the Defendants in this matter. 10. The Chanel Marks are symbols of Chanel's quality, reputation, and goodwill and have never been abandoned. 11. Further, Chanel has expended substantial time, money and other resources developing, advertising, and otherwise promoting the Chanel Marks. The Chanel Marks qualify as famous marks as that term is used in 15 U.S.C. 1125(c)(1). 12. Chanel has extensively used, advertised and promoted the Chanel Marks in the United States in association with the sale of high quality products and has carefully monitored and policed the use of the Chanel Marks. 13. As a result of Chanels efforts, members of the consuming public readily identify merchandise bearing the Chanel Marks, as being high quality merchandise sponsored and approved by Chanel. Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 4 of 13
- 5 - 14. Accordingly, the Chanel Marks have achieved secondary meaning as identifiers of high quality clothing products. 15. Upon information and belief, at all times relevant hereto, the Defendants in this action had full knowledge of Chanel's ownership of the Chanel Marks, including its exclusive right to use and license such intellectual property and the goodwill associated therewith. 16. Chanel has discovered the Defendants are promoting and otherwise advertising, distributing, selling and/or offering for sale counterfeit and/or infringing products, including at least , bearing trademarks that are exact copies of the Chanel Marks (the Infringing Goods). Specifically, the Defendants are using the Chanel Marks in the same stylized fashion, for different quality goods. 17. The Defendants Infringing Goods are of a quality substantially different than that of Chanels genuine goods. Despite the nature of their Infringing Goods and the knowledge they are without authority to do so, the Defendants, upon information and belief, are actively using, promoting and otherwise advertising, distributing, selling and/or offering for sale substantial quantities of their Infringing Goods with the knowledge that such goods will be mistaken for the genuine high quality products offered for sale by Chanel. The net effect of the Defendants actions will be to result in the confusion of consumers who will believe the Defendants Infringing Goods are genuine goods originating from and approved by Chanel. 18. The Defendants advertise their Infringing Goods for sale to the consuming public. In so advertising these products, the Defendants use the Chanel Marks. Indeed, the Defendants herein misappropriated Chanels advertising ideas and entire style of doing business with regard to the advertisement and sale of Chanels genuine products. Upon information and belief, the Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 5 of 13
- 6 - misappropriation of Chanels advertising ideas in the form of the Chanel Marks has occurred, in part, in the course of Defendants advertising activities and has been the proximate cause of damage to Chanel. 19. Upon information and belief, the Defendants are conducting their counterfeiting and infringing activities at least within this District and elsewhere throughout the United States. As a result, the Defendants are defrauding Chanel and the consuming public for the Defendants own benefit. Defendants infringement and disparagement of Chanel does not simply amount to the wrong description of their goods or the failure of the goods to conform to the advertised quality or performance. 20. The Defendants use of the Chanel Marks, including the promotion and advertising, reproduction, distribution, sale and offering for sale of their Infringing Goods, is without Chanels consent or authorization. 21. Further, the Defendants are engaging in the above-described illegal counterfeiting and infringing activities knowing and intentionally or with reckless disregard or willful blindness to Chanels rights for the purpose of trading on the goodwill and reputation of Chanel. If the Defendants intentional counterfeiting and infringing activities are not permanently enjoined by this Court, Chanel and the consuming public will continue to be damaged. 22. The Defendants above-identified infringing activities are likely to cause confusion, deception, and mistake in the minds of consumers, the public, and the trade. Moreover, the Defendants wrongful conduct is likely to create a false impression and deceive customers, the public, and the trade into believing there is a connection or association between Chanels genuine goods and the Defendants Infringing Goods. Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 6 of 13
- 7 - 23. Chanel has no adequate remedy at law. 24. Chanel is suffering irreparable injury and has suffered substantial damages as a result of the Defendants counterfeiting and infringing activities. 25. The injuries and damages sustained by Chanel have been directly and proximately caused by the Defendants wrongful reproduction, use, advertisement, promotion, offering to sell, and sale of their Infringing Goods. 26. Chanel has retained the undersigned counsel to represent it in this matter and is obligated to pay said counsel a reasonable fee for such representation. COUNT I - FEDERAL TRADEMARK INFRINGEMENT PURSUANT TO 32 OF THE LANHAM ACT
27. Chanel hereby adopts and re-alleges the allegations set forth in Paragraphs 1 through 26 above. 28. This is an action for trademark infringement against the Defendants based on their promotion, advertisement, distribution, sale and/or offering for sale of clothing products, including shoes and mobile device covers using marks which are substantially similar and, in some instances, virtually identical to one or more of the Chanel Marks. 29. Specifically, Defendants are promoting and otherwise advertising, selling, offering for sale and distributing clothing products, including shoes and mobile device covers bearing colorable imitations of the Chanel Marks. In so doing, the Defendants are continuously infringing and inducing others to infringe the Chanel Marks by using them to advertise, promote, and sell clothing products, including shoes and mobile device covers products bearing the Chanel Marks. Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 7 of 13
- 8 - 30. Defendants infringing activities are likely to cause and may actually be causing confusion, mistake, and deception among members of the trade and the general consuming public as to the origin and quality of Defendants goods. 31. The Defendants unlawful actions have caused and are continuing to cause unquantifiable damages to Chanel. 32. Defendants above-described actions constitute infringement of the Chanel Marks in violation of Chanel's rights under 32 of the Lanham Act, 15 U.S.C. 1114. 33. Chanel has suffered and will continue to suffer irreparable injury due to the above described activities of the Defendants if the Defendants are not enjoined. COUNT II - FEDERAL TRADEMARK COUNTERFEITING PURSUANT TO 32 OF THE LANHAM ACT
34. Chanel hereby adopts and re-alleges the allegations set forth in Paragraphs 1 through 33 above. 35. This is an action for trademark counterfeiting against the Defendants based on their promotion, advertisement, distribution, sale and/or offering for sale of clothing products, including shoes and mobile device covers bearing counterfeits of one or more of the Chanel Marks. 36. Specifically, Defendants are promoting and otherwise advertising, selling, offering for sale and distributing at least clothing products, including shoes and mobile device covers bearing counterfeits of the Chanel Marks. The Defendants are continuously infringing and inducing others to infringe the Chanel Marks. 37. Defendants counterfeiting activities are likely to cause and actually are causing Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 8 of 13
- 9 - confusion, mistake, and deception among members of the trade and the general consuming public as to the origin and quality of Defendants goods. 38. The Defendants unlawful actions have caused and are continuing to cause unquantifiable damages to Chanel. 39. Defendants above-described illegal actions constitute counterfeiting of the Chanel Marks in violation of Chanel's rights under 32 of the Lanham Act, 15 U.S.C. 1114. 40. Chanel has suffered and will continue to suffer irreparable injury due to the above described activities of the Defendants if the Defendants are not enjoined.
COUNT III - FALSE DESIGNATION OF ORIGIN PURSUANT TO 43(a) OF THE LANHAM ACT 41. Chanel hereby adopts and re-alleges the allegations set forth in Paragraphs 1 through 40 above. 42. The Defendants Infringing Goods bearing and sold under the Chanel Marks have been widely advertised and distributed throughout the United States. 43. The Defendants Infringing Goods bearing and sold under the Chanel Marks are different and likely inferior in quality from genuine Chanel goods. Accordingly, the Defendants activities are likely to cause confusion in the trade and among the general public as to at least the origin or sponsorship of the Infringing Goods. 44. The Defendants have used in connection with their sale of Infringing Goods, false designations of origins and false descriptions and representations, including words or other symbols and trade dress which tend to falsely describe or represent such goods and have caused Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 9 of 13
- 10 - such goods to enter into commerce with full knowledge of the falsity of such designations of origin and such descriptions and representations, all to the detriment of Chanel. 45. Specifically, the Defendants have authorized an infringing use of the Chanel Marks, in the Defendants advertisement and promotion of their shoes, cell phone covers, and baby pacifiers. The Defendants have misrepresented to members of the consuming public that the Infringing Goods being advertised and sold by them are genuine, non-infringing products. 46. The Defendants above-described actions are in violation of Section 43(a) of the Lanham Act, 15 U.S.C. 1125(a). 47. Chanel has sustained injury and damage caused by Defendants conduct, and absent an entry of an injunction by this Court, Chanel will continue to suffer irreparable injury to its goodwill and business reputation as well as monetary damages. COUNT IV - COMMON LAW TRADEMARK INFRINGEMENT
48. Chanel hereby adopts and re-alleges the allegations set forth in Paragraphs 1 through 47 above. 49. This is an action for common law trademark infringement against the Defendants based on their promotion, advertisement, offering for sale, and sale of the Infringing Goods. Chanel is the owner of all common law rights in and to the Chanel Marks. 50. Specifically, the Defendants are promoting and otherwise advertising, offering for sale, selling and distributing infringing products bearing the Chanel Marks. 51. Defendants infringing activities are likely to cause and actually are causing confusion, mistake and deception among members of the trade and the general consuming public Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 10 of 13
- 11 - as to the origin and quality of Defendants' products. Chanel has no adequate remedy at law and is suffering damages and irreparable injury as a result of Defendants' actions. 52. Plaintiff has sustained injury and damage caused by the Defendants conduct, and absent an entry of an injunction by this Court, Plaintiff will continue to suffer irreparable injury to its goodwill and business reputation as well as monetary damages. PRAYER FOR RELIEF 59. WHEREFORE, Chanel demands judgment, jointly and severally, against the Defendants as follows: a. Entry of a permanent injunction enjoining Defendants, their agents, representatives, servants, employees, and all those acting in concert or participation therewith, from manufacturing or causing to be manufactured, importing, advertising or promoting, distributing, selling or offering to sell their Infringing Goods; from infringing, counterfeiting, or diluting the Chanel Marks; from using the Chanel Marks, or any mark or trade dress similar thereto, in connection with the sale of any unauthorized goods; from using any logo, trade name or trademark or trade dress which may be calculated to falsely advertise the services or products of the Defendants as being sponsored by, authorized by, endorsed by, or in any way associated with Chanel; from falsely representing themselves as being connected with Chanel, through sponsorship or association, or engaging in any act which is likely to falsely cause members of the trade and/or of the purchasing public to believe any goods or services of the Defendants, or in any way endorsed by, approved by, and/or associated with Chanel; from using any reproduction, counterfeit, copy, or colorable imitation of the Chanel Marks in connection with the publicity, promotion, sale, or advertising of any goods sold by the Defendants, including, without Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 11 of 13
- 12 - limitation, clothing products, including shoes, mobile devices, and baby products, including pacifiers, and other goods; from affixing, applying, annexing or using in connection with the sale of any goods, a false description or representation, including words or other symbols tending to falsely describe or represent Defendants goods as being those of Chanel, or in any way endorsed by Chanel and from offering such goods in commerce; and from otherwise unfairly competing with Chanel. b. Entry of an Order requiring Defendants to account to and pay Chanel for all profits and damages resulting from Defendants trademark infringement and counterfeiting activities, and that the award to Chanel be trebled, as provided for under 15 U.S.C. 1117, or, at Chanels election with respect to Count I, that Chanel be awarded statutory damages from each Defendant in this matter in the amount of two million dollars ($2,000,000.00) per each counterfeit trademark used and product sold, as provided by 15 U.S.C. 1117(c)(2) of the Lanham Act. c. Entry of an Order awarding Chanel damages, trebled pursuant to 15 U.S.C. 1117(a), arising out of Defendants acts of willful trademark infringement and counterfeiting, and dilution of the Chanel Marks. d. Entry of an award of Chanels costs and reasonable attorneys fees and investigative fees associated with bringing this action. e. Entry of an award of pre-judgment interest on the judgment amount. Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 12 of 13
- 13 - f. Entry of an Order for any further relief as the Court may deem just and proper. DATED: October 28, 2014. Respectfully submitted, STEPHEN M. GAFFIGAN, P.A.
By:______s:/Stephen M. Gaffigan_________ Stephen M. Gaffigan (Fla. Bar No. 025844) 401 East Las Olas Blvd., Suite 130-453 Ft. Lauderdale, Florida 33301 Telephone: (954) 767-4819 Facsimile: (954) 767-4821 E-mail: [email protected]
Attorneys for Plaintiff, Chanel, Inc.
Case 0:14-cv-62453-RNS Document 1 Entered on FLSD Docket 10/28/2014 Page 13 of 13