CSP Logistics v. K18, Inc.
4:24-cv-09143
| N.D. Cal. | May 6, 2025Background
- CSP Logistics (CSP), a distributor of hair products in France, sued K18, Inc. (K18), a global hair products company, in the U.S. for alleged breach of their distribution agreement.
- Two weeks after filing the U.S. lawsuit, CSP also initiated expedited proceedings against K18 in France via a référé procedure, seeking similar relief.
- The agreement between CSP and K18 contained a forum selection clause requiring disputes to be resolved in San Francisco County, California, or the U.S. District Court for the Northern District of California.
- K18 moved for an anti-suit injunction in the U.S. court to prevent CSP from pursuing the French litigation during the pendency of the U.S. action and from initiating similar actions elsewhere.
- The Court decided the motion without oral argument and focused its analysis on the similarity of issues, effect on forum policy, and impact on international comity.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether issues in the U.S. and French cases are the same | Cases are separate/distinct; remedies differ | All claims arise from the same facts/agreement; same relief sought; forum clause applies | Issues are functionally the same; all subject to forum clause |
| Whether an Unterweser factor justifies anti-suit injunction | French case doesn't frustrate contract or policy | Injunction is needed to enforce the forum selection clause and federal contract policy | Forum selection clause enforcement satisfied Unterweser |
| Impact of injunction on international comity | Impact on comity would be intolerable, French court best placed | Minimal impact; private contractual dispute, no public law issues | Comity concerns are minimal; injunction is warranted |
Key Cases Cited
- Microsoft Corp. v. Motorola, Inc., 696 F.3d 872 (9th Cir. 2012) (sets three-part test for anti-suit injunctions in international disputes)
- E. & J. Gallo Winery v. Andina Licores S.A., 446 F.3d 984 (9th Cir. 2006) (importance of enforcing forum selection clauses in anti-suit analysis)
- Applied Med. Distribution Corp. v. Surgical Co. BV, 587 F.3d 909 (9th Cir. 2009) (domestic action dispositive if all foreign action’s claims fall under forum selection clause; minimal comity concerns in private contract disputes)
- In re Unterweser Reederei GMBH, 428 F.2d 888 (5th Cir. 1970) (set forth factors justifying foreign anti-suit injunction)