The store once appearing at this domain name was selling replica handbags, wallets, scarves, sunglasses, shoes, boots, belts, watches and jewelry including necklaces, pendants, bracelets, rings and earrings. After Chanel, along with Louis Vuitton and Tiffany, took legal action against the site, a judge ordered the store closed and its operator to pay over $1,600,000.00 in damages. Further, to prevent the domain name from being used for the same illegal purpose again, the judge ordered the domain transferred to Chanel’s control.
THE UNITED STATES DISTRICT COURT
CHANEL, INC., LOUIS VUITTON MALLETIER, S.A., and TIFFANY (NJ), LLC,
ZHANG HONG and DOES 1-10,
Case No. 2:10-cv-02244-BBD-tmp
FINAL DEFAULT JUDGMENT AND PERMANENT INJUNCTION
THIS MATTER having come before the Court upon motion by Plaintiffs Chanel, Inc., (“Chanel”), Louis Vuitton Malletier, S.A. (“Louis Vuitton”) and Tiffany (NJ), LLC. (“Tiffany”) (collectively “Plaintiffs”) for entry of a final default judgment of its claims against Defendant Zhang Hong (“Defendant”) pursuant to Rule 55(b)(2) of the Federal Rules of Civil Procedure; and the Court having considered the moving papers and there being no opposition thereto;
IT IS HEREBY ORDERED that Plaintiffs’ Motion for Entry of Final Default Judgment is GRANTED, and judgment is hereby entered in favor of Plaintiffs, Chanel, Inc., a New York corporation, with its principal place of business in the United States located at Nine West 57th Street, New York, New York 10019, Louis Vuitton Malletier, S.A., a foreign business entity, with its principal place of business in France located at 2 rue du Pont-Neuf, Paris, France 75001, and Tiffany (NJ), LLC., a Delaware limited liability company, with its principal place of business in the United States located at 15 Sylvan Way, Parsippany, NJ 07054, and against Defendant Zhang Hong on all Counts of the First Amended Complaint as follows:
(1) Permanent Injunctive Relief:
Defendant and his respective officers, agents, servants, employees, and attorneys, and all persons acting in concert and participation with Defendant are hereby permanently restrained and enjoined from:
(a) manufacturing or causing to be manufactured, importing, advertising, or promoting, distributing, selling or offering to sell counterfeit and infringing goods using the Chanel Marks, Louis Vuitton Marks and/or Tiffany Marks identified in paragraphs 11, 12 and 13 of the First Amended Complaint;
(b) using the Chanel Marks, Louis Vuitton Marks and/or Tiffany Marks in connection with the sale of any unauthorized goods;
(c) using any logo, and/or layout which may be calculated to falsely advertise the services or products of Defendant offered for sale or sold via the domain names identified on Schedules “A” and “B” hereto (the “Subject Domain Names”) and/or any other website or business, as being sponsored by, authorized by, endorsed by, or in any way associated with Plaintiffs;
(d) falsely representing himself as being connected with Plaintiffs, through sponsorship or association;
(e) 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 Defendant offered for sale or sold via the Subject Domain Names and/or any other website or business are in any way endorsed by, approved by, and/or associated with Plaintiffs;
(f) using any reproduction, counterfeit, copy, or colorable imitation of the Chanel Marks, Louis Vuitton Marks and/or Tiffany Marks in connection with the publicity, promotion, sale, or advertising of any goods sold by Defendant via the Subject Domain Names and/or any other website or business, including, without limitation, handbags, wallets, briefcases, luggage, scarves, sunglasses, shoes, boots, belts, watches, cuff links, money clips, key rings and jewelry including necklaces, pendants, bracelets, rings and earrings;
(g) 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 goods offered for sale or sold by Defendant via the Subject Domain Names and/or any other website or business, as being those of Plaintiffs or in any way endorsed by Plaintiffs;
(h) otherwise unfairly competing with Plaintiffs; and
(i) effecting assignments or transfers, forming new entities or associations or utilizing any other device for the purpose of circumventing or otherwise avoiding the prohibitions set forth above.
(2) Additional Equitable Relief:
(a) In order to give practical effect to the Permanent Injunction, the Subject Domain Names are hereby ordered to be immediately transferred by Defendant, his assignees and/or successors in interest or title, and the Registrars to Plaintiffs’ control. To the extent the current Registrars do not facilitate the transfer of the domain names to Plaintiffs’ control within ten (10) days of receipt of this judgment, the United States based Registry shall, within thirty (30) days, transfer the Subject Domain Names to a United States based Registrar of Plaintiffs’ choosing, and that Registrar shall transfer the Subject Domain Names to Plaintiffs;
(b) Upon Plaintiffs’ request, the top level domain (TLD) Registry for each of the Subject Domain Names, within thirty (30) days of receipt of this Order, shall place the Subject Domain Names on Registry Hold status for the life of the current registration, thus removing them from the TLD zone files maintained by the Registry which link the Subject Domain Names to the IP addresses where the associated websites are hosted; and
(c) Upon Plaintiffs’ request, the Internet Corporation for Assigned Names and Numbers (“ICANN”) shall take all actions necessary to ensure that the top level domain Registries responsible for the Subject Domain Names transfer and/or disable the Subject Domain Names.
(3) Statutory damages:
(a) Award Chanel $594,000.00 in statutory damages against Defendant, pursuant to 15 U.S.C. § 1117(c);
(b) Award Louis Vuitton $432,000.00 in statutory damages against Defendant, pursuant to 15 U.S.C. § 1117(c);
(c) Award Tiffany $288,000.00 in statutory damages against the Defendant pursuant to 15 U.S.C. § 1117(c);
(d) Award Chanel $20,000.00 in statutory damages against Defendant, pursuant to 15 U.S.C. § 1117(d);
(e) Award Louis Vuitton $190,000.00 in statutory damages against Defendant, pursuant to 15 U.S.C. § 1117(d);
(f) Award Tiffany $140,000.00 in Statutory Damages pursuant to 15 U.S.C. § 1117(d).
(4)Costs of Suit: award Plaintiffs $700.00 pursuant to 15 U.S.C. § 1117(a).
(5)Interest from the date this action was filed shall accrue at the legal rate.
IT IS SO ORDERED.