Exact Marketing v. Unique Sports Products
2:18-cv-00193
D. UtahJul 23, 2018Background
- Plaintiff Exact Marketing, Inc. d.b.a. Lizard Skins is a Utah corporation that manufactures and sells trademarked baseball bat grip tape and alleges Hot Glove copied its designs and trade dress.
- Defendant Unique Sports Products, Inc. (Hot Glove) is a Georgia company that sells Mega Wrap bat grip tape through nationwide online retailers (Amazon, Walmart, TennisExpress, etc.) and operates two promotional websites.
- Lizard Skins sued Hot Glove in the District of Utah for trademark infringement, trade dress infringement, unfair competition, and deceptive trade practices.
- Hot Glove moved to dismiss for lack of personal jurisdiction in Utah (or alternatively to transfer venue to Georgia), arguing minimal contacts with Utah, no Utah office/registration, de minimis sales in Utah, and that its websites are merely informational/advertising.
- Lizard Skins responded that Hot Glove purposefully directed products to Utah through nationwide retail partnerships, shipped products to Utah, and promoted products via websites accessible to Utah consumers.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Utah has specific personal jurisdiction over Hot Glove | Hot Glove purposefully directed activities to Utah via national retailers, shipping to Utah, and website promotion; injuries arose from those activities | Hot Glove lacks sufficient Utah contacts: no registration, office, employees, or significant Utah sales; websites are passive advertising | Court: Prima facie showing of specific jurisdiction satisfied; minimum contacts exist and jurisdiction is reasonable |
| Whether asserting jurisdiction would offend due process / be reasonable | Utah has an interest; plaintiff and witnesses in Utah; burden on defendant is not dispositive | Defending in Utah is burdensome for out-of-state defendant | Court: Exercise of jurisdiction is reasonable under fair play and substantial justice factors |
| Whether venue should be transferred to Georgia under 28 U.S.C. § 1404(a) | Forum is proper; plaintiff’s choice of forum merits deference; many witnesses and evidence in Utah | Georgia is more convenient; defendant’s home forum | Court: Defendant failed to carry burden to show existing forum is inconvenient; denies transfer |
| Standard of proof at preliminary stage for jurisdiction | Plaintiff need only make prima facie showing; factual disputes resolved for plaintiff | N/A (defense contested facts) | Court applied prima facie standard and resolved factual disputes in plaintiff’s favor |
Key Cases Cited
- World-Wide Volkswagen Corp. v. Woodson, 444 U.S. 286 (minimum-contacts/stream-of-commerce principle)
- International Shoe Co. v. Washington, 326 U.S. 310 (due process/minimum contacts standard)
- Burger King Corp. v. Rudzewicz, 471 U.S. 462 (purposeful availment and relatedness for specific jurisdiction)
- Asahi Metal Indus. Co. v. Superior Court, 480 U.S. 102 (reasonableness/fair play and substantial justice factors)
- Wenz v. Mem. Crystal Ball, 55 F.3d 1503 (10th Cir. prima facie showing at jurisdictional stage)
- Soma Med. Int'l v. Standard Chartered Bank, 196 F.3d 1292 (two-part test: state law and due process for jurisdiction)
