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Roor International BV v. Rahim Ali
2:19-cv-00062
M.D. Fla.
Jul 8, 2019
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Background

  • Plaintiffs Roor International BV (mark owner) and Sream, Inc. (exclusive U.S. licensee) sued Lotus Smoke Shop and its operators for selling counterfeit RooR-branded glass water pipes.
  • Plaintiffs allege Roor owns three USPTO registrations for the RooR mark; Sream is the exclusive U.S. licensee.
  • Defendants Lotus and co-defendant Virani were dismissed; Rahim Ali remained as the sole defendant.
  • Complaint alleges Ali "owned, managed, and/or operated" Lotus, selected and purchased products for resale, knowingly used the RooR marks, and acted as a "moving, active, and conscious force" behind the infringement.
  • Ali moved to dismiss under Rule 12(b)(6), arguing the complaint contains only threadbare, conclusory allegations that fail to distinguish his actions from Virani’s.
  • The Court reviewed the complaint under the Iqbal/Twombly plausibility standard and denied the motion, finding the factual allegations sufficient to hold Ali personally liable.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Personal liability for corporate trademark infringement Ali, as alleged owner/operator, actively caused Lotus’s infringement and can be held personally liable Allegations are threadbare/conclusory and fail to distinguish acts by Ali from co-defendant Virani; insufficient to plead personal liability Denied — allegations that Ali owned/managed/operated the shop, selected products, and acted as a conscious, active force are plausible and sufficient at pleading stage

Key Cases Cited

  • Chandler v. Secretary, Florida Department of Transportation, 695 F.3d 1194 (11th Cir. 2012) (pleading facts taken as true on motion to dismiss)
  • Ashcroft v. Iqbal, 556 U.S. 662 (2009) (plausibility standard for pleading)
  • Bell Atlantic Corp. v. Twombly, 550 U.S. 544 (2007) (pleading must state a plausible claim for relief)
  • ADT LLC v. Alarm Protection Technology Florida, LLC, [citation="646 F. App'x 781"] (11th Cir. 2016) (individual liable for corporate infringement if a moving, conscious force)
  • Weiland v. Palm Beach County Sheriff's Office, 792 F.3d 1313 (11th Cir. 2015) (shotgun pleading guidance)
  • Abbasi v. Bhalodwala, 149 F. Supp. 3d 1372 (M.D. Ga. 2015) (distinguishing permissive joint pleading from improper shotgun pleading)
Read the full case

Case Details

Case Name: Roor International BV v. Rahim Ali
Court Name: District Court, M.D. Florida
Date Published: Jul 8, 2019
Docket Number: 2:19-cv-00062
Court Abbreviation: M.D. Fla.