Case 2:20-cv-04872 Document 1 Filed 06/01/20 Page 1 of 12 Page ID #:1

1 Douglas H. Morseburg (SBN 126205)

[email protected]
2
Esther J. Choe (SBN 321667)
3 [email protected]
LEECH TISHMAN FUSCALDO & LAMPL
4
200 South Los Robles Avenue, Suite 210
5 Pasadena, California 91101
Telephone: (626) 796-4000
6
Facsimile: (626) 795-6321
7
Attorneys for Plaintiff RGE Motor Direct, Inc.
8
9
10 UNITED STATES DISTRICT COURT

11 CENTRAL DISTRICT OF CALIFORNIA

12 WESTERN DIVISION

13
14 RGE MOTOR DIRECT, INC., a Case No. 2:20-cv-04872
California corporation,
15 COMPLAINT FOR
16 Plaintiff, DECLARATORY JUDGMENT

17 v. AND
18
WALKER EDISON FURNITURE REQUEST FOR JURY TRIAL
19 COMPANY LLC, a Utah limited
20 liability company,
21 Defendant.
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 For its claim against Walker Edison Furniture Company LLC (“WE”),
2 Plaintiff RGE Motor Direct, Inc. (“RGE”) alleges as follows:
3
4 PARTIES
5 1. RGE is a California corporation having a principal place of business
6 at 19301 E. Walnut Dr. N in the City of Industry, California in the County of Los
7 Angeles.
8 2. RGE is informed, and it believes, that WE is a Utah limited liability
9 company having a principal place of business at 4350 West 2100 South, Suite A
10 in Salt Lake City, Utah 84120.
11
12 FACTS COMMON TO ALL CLAIMS
13 3. RGE manufactures and sells, among other things, a line of furniture,
14 including tables, chairs, bar stools, consoles, cabinets, ottomans, and recliners
15 under the trademark BELLEZE. RGE’s products are sold primarily online
16 through sites such as eBay, Amazon.com, Walmart.com, Overstock.com, Houzz
17 and Wayfair.
18 4. RGE is informed, and it believes, that WE manufactures and
19 distributes a line of contemporary, ready-to-assemble furniture, including TV
20 stands, entertainment centers, coffee tables, desks, chairs, dining tables and bunk
21 beds. RGE is informed, and it believes, that WE sells its products directly to
22 consumers through a website at www.walkeredisonshop.com and through
23 Amazon.com. RGE is further informed, and it believes, that WE’s products are
24 sold to consumers through mass retailers such as Wal-Mart, Home Depot and
25 Target and through the online sites Overstock.com and Wayfair.
26 5. RGE’s BELLEZE line includes four products designated as:
27 a. BELLEZE Hilo 58 Inch Barn Door TV Stand Console (Item
28 No. 41002) (“the Hilo Stand”);
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 b. BELLEZE Modern Farmhouse 58” Sliding Barn Door TV

2 Stand (Item no. 41000) (the “Modern Farmhouse Stand”);
3 c. BELLEZE Parker 52” TV Stand Sliding Barn Door Console
4 (Item No. 41001) (the “Parker Console”); and
5 d. BELLEZE 50 Inch Kenton Wood Fireplace Heater TV Stand
6 Console (Item No. 41800) (“the Kenton Stand”).
7 6. On information and belief, on May 13, 2020, WE caused a letter to be
8 sent to RGE (the “May 13 Letter”). A true and correct copy of the May 13 Letter
9 (minus exhibits) is attached as Exhibit A. The May 13 Letter claimed, in pertinent
10 part, that WE owns certain intellectual property rights, including:
11 a. U.S. design patent no. D817,038, entitled “Console” issued by
12 the U.S. Patent and Trademark Office (“PTO”) on May 8,
13 2018 (the “’038 Patent”);
14 b. U.S. design patent no. D767,752, entitled “Fireplace Console”
15 issued by the PTO on September 27, 2016 (the “’752 Patent”);
16 c. U.S. design patent no. D791,302, entitled “Fireplace Console”
17 issued by the PTO on July 4, 2017 (the “’302 Patent”);
18 d. A pending U.S. design patent application entitled “Console”,
19 whose assigned number and filing date in the PTO are
20 unknown (the “Pending Application”); and
21 e. Some unspecified and unregistered trade dress rights in the
22 design of a console, the details and description of which are
23 currently unknown but which, RGE is informed and it
24 believes, is identical or substantially similar to the console
25 design that is claimed in the Pending Application (the “Alleged
26 Trade Dress”).
27 7. The May 13 Letter further claimed:
28
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 a. That the design of the Hilo Stand infringed WE’s rights in and
2 to the ‘038 Patent;
3 b. That the design of the Modern Farmhouse Stand infringed
4 WE’s rights in and to the Alleged Trade Dress;
5 c. That the Parker Console infringed WE’s rights in and to the
6 Alleged Trade Dress; and
7 d. That the Kenton Stand infringed WE’s rights in and to the ‘752
8 and ‘302 Patents. (From this point forward, the Hilo Stand, the
9 Modern Farmhouse Stand, the Parker Console and the Kenton
10 Stand shall be referred to collectively as the “Accused
11 Models”).
12 8. In the May 13 Letter, WE demanded, among other things, that RGE
13 (i) cease making, using, offering to sell, selling or importing into the U.S. products
14 that infringe WE’s intellectual property rights, (ii) provide an accounting of all
15 RGE products that were or are substantially similar to WE’s products, and
16 (iii) explain the genesis of each RGE product that was substantially similar to any
17 WE product. Finally, the May 13 Letter demanded written assurances that RGE
18 would comply with WE’s demands by May 22, 2020 and also advised RGE that
19 WE’s counsel had drafted a complaint against RGE for patent and trademark
20 infringement.
21 9. On or about May 22, 2020, counsel for RGE spoke via telephone with
22 counsel for WE. During that conversation, counsel for RGE requested that WE
23 provide RGE with certain information regarding the Pending Application and the
24 Alleged Trade Dress to enable RGE to evaluate WE’s position and its rights and
25 to formulate RGE’s response to the May 13 Letter. Counsel for WE responded,
26 among other things, that RGE should provide WE with all the information
27 demanded in the May 13 Letter.
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 10. On or about May 28, 2020, counsel for WE wrote to counsel for RGE
2 and stated, among other things, that WE would not provide any information to
3 RGE and that, if RGE did not, by June 1, 2020, advise WE that RGE would
4 (i) stop selling the Accused Models, (ii) provide financial information regarding
5 the Kenton and Hilo Stands, and (iii) explain the genesis of the Accused Models,
6 WE would “not hesitate to vindicate its rights.”
7
8 JURISDICTION AND VENUE
9 11. On information and belief, this Court has personal jurisdiction over
10 WE by virtue of the fact that it advertises and sells products, including products it
11 contends fall within the claims of the ‘038, ‘752 and ‘302 Patents and the Alleged
12 Trade Dress to residents of the State of California. This Court also has personal
13 jurisdiction over WE by virtue of the fact that WE puts products it contends fall
14 within the claims of the ‘038, ‘752 and ‘302 Patents and the Alleged Trade Dress
15 into the stream of commerce and, on information and belief, those products are
16 sold to residents of this judicial district. Finally, this Court has personal
17 jurisdiction over WE because WE has purposefully directed patent enforcement
18 activities at this judicial district by threatening to file suit against RGE in this
19 district for patent and trade dress infringement and this action arises directly out of
20 those enforcement activities. RGE has its principal place of business in this
21 judicial district and RGE has voluntarily ceased selling certain of the Accused
22 Models pending a determination of the parties’ respective rights. Thus, RGE is
23 sustaining damages as a result of WE’s actionable conduct within this judicial
24 district.
25 12. Venue is proper in this district pursuant to 28 U.S.C § 1391(b)(2) in
26 that this action arises out of threats made against RGE by WE, a substantial part of
27 which occurred in this judicial district. Venue is also proper in this district
28
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 pursuant to 28 U.S.C § 1391(d) because WE is a limited liability company subject

2 to personal jurisdiction in this judicial district.
3 13. In connection with this action, WE has contended that it is the owner
4 of the ‘038, ‘752 and ‘302 Patents and the Alleged Trade Dress and that RGE is
5 infringing WE’s rights in and to the ‘038, ‘752 and ‘302 Patents and the Alleged
6 Trade Dress by manufacturing, using, offering to sell, selling and importing to the
7 U.S. the Accused Models. Accordingly, a real and justiciable controversy exists
8 between RGE and WE regarding infringement of the ‘038, ‘752 and ‘302 Patents
9 and the Alleged Trade Dress.
10 14. Pursuant to the Federal Declaratory Judgment Act, 28 U.S.C. §§ 2201
11 and 2202, RGE is entitled to a judicial declaration regarding the parties’
12 respective rights and obligations vis-à-vis the ‘038, ‘752 and ‘302 Patents and the
13 Alleged Trade Dress and RGE’s rights to manufacture, use, offer to sell, sell
14 and/or import to the U.S. the Accused Models.. Thus, this Court has subject
15 matter jurisdiction over RGE’s claims pursuant to 28 U.S.C. §§ 1331, 1338(a),
16 2201 and 2202.
17
18 First Count
19 (For a Judicial Declaration of Non-Infringement of the ‘038 Patent)
20 15. RGE incorporates by reference the allegations set forth in paragraphs
21 1-14, above.
22 16. In the May 13 Letter, WE has asserted a claim of infringement of the
23 ‘038 Patent against RGE based on RGE’s alleged sale, offer for sale and
24 importation into the U.S. of the Hilo Console.
25 17. RGE alleges that it has not engaged in any conduct constituting
26 infringement of the ‘038 Patent under any theory, including literal infringement or
27 infringement under the doctrine of equivalents and it requests a judicial
28
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 declaration that RGE has not infringed and does not infringe any valid claim of
2 the ‘038 Patent.
3
4 Second Count
5 (For Judicial Declaration of Invalidity of the ‘038 Patent)
6 18. RGE incorporates by reference the allegations set forth in paragraphs
7 1-14 and 16, above.
8 19. On information and belief, the ‘038 Patent is invalid under the
9 provisions of Section 102 and/or 103 of Title 35 of the United States Code.
10 Accordingly, RGE requests a judicial declaration that the ‘038 Patent is invalid.
11
12 Third Count
13 (For a Judicial Declaration of Non-Infringement of the ‘752 Patent)
14 20. RGE incorporates by reference the allegations set forth in paragraphs
15 1-14, above.
16 21. In the May 13 Letter, WE has asserted a claim of infringement of the
17 ‘752 Patent against RGE based on RGE’s alleged sale, offer for sale and
18 importation into the U.S. of the Kenton Stand.
19 22. RGE alleges that it has not engaged in any conduct constituting
20 infringement of the ‘752 Patent under any theory, including literal infringement or
21 infringement under the doctrine of equivalents and it requests a judicial
22 declaration that RGE has not infringed and does not infringe any valid claim of
23 the ‘752 Patent.
24
25 Fourth Count
26 (For Judicial Declaration of Invalidity of the ‘752 Patent)
27 23. RGE incorporates by reference the allegations set forth in paragraphs
28 1-14 and 21, above.
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 24. On information and belief, the ‘752 Patent is invalid under the
2 provisions of Section 102 and/or 103 of Title 35 of the United States Code.
3 Accordingly, RGE requests a judicial declaration that the ‘752 Patent is invalid.
4
5 Fifth Count
6 (For a Judicial Declaration of Non-Infringement of the ‘302 Patent)
7 25. RGE incorporates by reference the allegations set forth in paragraphs
8 1-14, above.
9 26. In the May 13 Letter, WE has asserted a claim of infringement of the
10 ‘302 Patent against RGE based on RGE’s alleged sale, offer for sale and
11 importation into the U.S. of the Kenton Stand.
12 27. RGE alleges that it has not engaged in any conduct constituting
13 infringement of the ‘302 Patent under any theory, including literal infringement or
14 infringement under the doctrine of equivalents and it requests a judicial
15 declaration that RGE has not infringed and does not infringe any valid claim of
16 the ‘302 Patent.
17
18 Sixth Count
19 (For Judicial Declaration of Invalidity of the ‘302 Patent)
20 28. RGE incorporates by reference the allegations set forth in paragraphs
21 1-14 and 26, above.
22 29. On information and belief, the ‘302 Patent is invalid under the
23 provisions of Section 102 and/or 103 of Title 35 of the United States Code.
24 Accordingly, RGE requests a judicial declaration that the ‘302 Patent is invalid.
25 //
26 //
27 //
28 //
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 Seventh Count
2 (For a Judicial Declaration of Non-Infringement of the Alleged Trade Dress)
3 30. RGE incorporates by reference the allegations set forth in paragraphs
4 1-14, above.
5 31. In the May 13 Letter, WE has asserted a claim of infringement of the
6 unspecified and unregistered Alleged Trade Dress against RGE under Section
7 43(a) of the Lanham Act, 15 U.S.C. § 1125(a), based on RGE’s alleged
8 manufacture, sale, offer for sale and/or importation into the U.S. of the Modern
9 Farmhouse Console and the Parker Console.
10 32. On information and belief, the manufacture, importation, sale and/or
11 offer for sale of the Modern Farmhouse Console is not likely to cause confusion,
12 mistake or deception as to affiliation, connection or association of any person with
13 any other person, including WE, or as to the origin, sponsorship or approval of
14 any person’s goods, services or commercial activities by any other person,
15 including WE, and RGE requests a judicial declaration that it has not infringed
16 and does not infringe any valid trademark rights WE claims in the unspecified and
17 unregistered Alleged Trade Dress.
18
19 Eighth Count
20 (For Judicial Declaration of Invalidity of the Alleged Trade Dress)
21 33. RGE incorporates by reference the allegations set forth in paragraphs
22 1-14 and 31, above.
23 34. On information and belief, the unspecified and unregistered Alleged
24 Trade Dress is invalid because, among other things, it does not indicate the source
25 of a good or service, it is generic, it is functional, it is descriptive and/or it lacks
26 secondary meaning. Accordingly, RGE requests a judicial declaration that the
27 unspecified and unregistered Alleged Trade Dress is invalid.
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 PRAYER FOR RELIEF

2 WHEREFORE, Plaintiff RGE prays:
3 A. For a judicial declaration in favor of RGE and against WE on RGE’s
4 claims against WE stating:
5 1. That RGE has not, and does not, infringe literally or under the
6 doctrine of equivalents, any valid and enforceable claim of the ‘038 Patent;
7 2. That RGE has not, and does not, infringe literally or under the
8 doctrine of equivalents, any valid and enforceable claim of the ‘752 Patent;
9 3. That RGE has not, and does not, infringe literally or under the
10 doctrine of equivalents, any valid and enforceable claim of the ‘302 Patent;
11 4. That RGE has not, and does not, infringe literally or under the
12 doctrine of equivalents, any valid and enforceable trademark rights WE
13 claims in the unspecified and unregistered Alleged Trade Dress;
14 5. That the ‘038 Patent is invalid for failure to comply with one or
15 more of the requirements of 35 U.S.C. §§ 102 and/or 103;
16 6. That the ‘752 Patent is invalid for failure to comply with one or
17 more of the requirements of 35 U.S.C. §§ 102 and/or 103;
18 7. That the ‘302 Patent is invalid for failure to comply with one or
19 more of the requirements of 35 U.S.C. §§ 102 and/or 103;
20 8. That the unspecified and unregistered Alleged Trade Dress is
21 invalid because it does not indicate the source of a good or service, it is
22 generic, it is functional, it is descriptive and/or it lacks secondary meaning;
23 B. For a judgment enjoining WE, its parents, affiliates and/or
24 subsidiaries, and its agents, representatives, attorneys and those persons in active
25 concert or participation with them who receive actual notice thereof, from
26 threatening or initiating infringement litigation against RGE or any of its
27 customers, dealers or suppliers, or any prospective or present sellers, dealers,
28 distributors or customers of RGE, or charging any of them either orally or in
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COMPLAINT AND REQUEST FOR JURY TRIAL
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1 writing with infringement of the ‘038, ‘752 and/or ‘302 Patents as a consequence
2 of the manufacture, sale, offer for sale or importation to the U.S. of the Hilo Stand
3 and/or the Kenton Stand during the period of enforcement of that/those patent(s);
4 C. For a judgment enjoining WE, its parents, affiliates and/or
5 subsidiaries, and its agents, representatives, attorneys and those persons in active
6 concert or participation with them who receive actual notice thereof, from
7 threatening or initiating infringement litigation against RGE or any of its
8 customers, dealers or suppliers, or any prospective or present sellers, dealers,
9 distributors or customers of RGE, or charging any of them either orally or in
10 writing with infringement of unspecified and unregistered Alleged Trade Dress as
11 a consequence of the manufacture, sale, offer for sale or importation to the U.S. of
12 the Modern Farmhouse Stand and/or the Parker Console;
13 D. For a finding that this action is an exceptional case within the meaning
14 of 35 U.S.C. § 285 and that RGE is entitled to recover its reasonable attorneys’
15 fees upon prevailing in this action;
16 E. For a finding that this action is an exceptional case within the meaning
17 of 15 U.S.C. § 1117 and that RGE is entitled to recover its reasonable attorneys’
18 fees upon prevailing in this action
19 F. For an award of costs and other relief, both legal and equitable, to
20 which RGE may be justly entitled; and
21 G. For such other and further relief as the Court deems just and proper.

22
23 Dated: June 1, 2020 Respectfully submitted,

24 LEECH TISHMAN FUSCALDO & LAMPL

25
By: s/Douglas H. Morseburg
26
Douglas H. Morseburg
27 Esther J. Choe
28 Attorneys for RGE Motor Direct, Inc.
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1 REQUEST FOR JURY TRIAL

2
3 RGE Motor Direct, Inc. requests a trial by jury of all issues so triable.
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Dated: June 1, 2020 Respectfully submitted,
6
LEECH TISHMAN FUSCALDO & LAMPL
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By: s/Douglas H. Morseburg
9 Douglas H. Morseburg
Esther J. Choe
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11 Attorneys for Plaintiff RGE Motor Direct, Inc.
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COMPLAINT AND REQUEST FOR JURY TRIAL
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EXHIBIT A
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EXHIBIT A, Page 1 of 3
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EXHIBIT A, Page 2 of 3
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EXHIBIT A, Page 3 of 3