2023-cv-13948

COMPLAINT (Redacted) filed by XYZ Corporation; Filing fee $ 402, receipt number AILNDC-21118386.

Exhibit 1 (Redacted)

(Exhibit 2 - Schedule A (Redacted))

CIVIL Cover Sheet

ATTORNEY Appearance for Plaintiff XYZ Corporation by Alison K Carter

ATTORNEY Appearance for Plaintiff XYZ Corporation by Ann Marie Sullivan (Sullivan, Ann Marie)

MOTION by Plaintiff XYZ Corporation for leave to file Certain Documents under Seal and to Temporarily Proceed under a Pseudonym

MEMORANDUM by XYZ Corporation in support of motion for leave to file 5 Certain Documents under Seal and to Temporarily Proceed under a Pseudonym

Declaration of Ann Marie Sullivan

Declaration of Sandy Zhuang

Exhibit 1

Exhibit 2

(Exhibit 3)

SEALED DOCUMENT by Plaintiff XYZ Corporation Complaint

Exhibit 1

(Exhibit 2 - Schedule A)

SEALED DOCUMENT by Plaintiff XYZ Corporation Notification of Affiliates

CASE ASSIGNED to the Honorable Martha M. Pacold. Designated as Magistrate Judge the Honorable Heather K. McShain. Case assignment: Random assignment.

CLERK'S NOTICE: Pursuant to Local Rule 73.1(b), a United States Magistrate Judge of this court is available to conduct all proceedings in this civil action. If all parties consent to have the currently assigned United States Magistrate Judge conduct all proceedings in this case, including trial, the entry of final judgment, and all post-trial proceedings, all parties must sign their names on the attached Consent To form. This consent form is eligible for filing only if executed by all parties. The parties can also express their consent to jurisdiction by a magistrate judge in any joint filing, including the Joint Initial Status Report or proposed Case Management Order.

SEALED MOTION by Plaintiff XYZ Corporation for Temporary Restraining Order

MOTION by Plaintiff XYZ Corporation for Electronic Service of Process

MINUTE entry before the Honorable Martha M. Pacold: The court has reviewed plaintiff's motion to file certain documents under seal and to temporarily proceed under a pseudonym 5, as well as the accompanying memorandum 6. The motion to file certain documents under seal and to temporarily proceed under a pseudonym 5 is granted in part and denied in part. Plaintiff's submissions establish that, were defendants to learn of these proceedings before the execution of plaintiff's requested temporary restraining order, there is a significant risk that defendants could destroy relevant documentary evidence and hide or transfer assets beyond the reach of the court. Conversely, there are no exceptional circumstances that would justify allowing plaintiff to conceal its own identity. Given these protections for plaintiff's legitimate interests, the countervailing strong public interest in knowing who is seeking recourse in the federal courts compels the court to deny plaintiff's request to conceal its own identity, even initially. As the Seventh Circuit has explained, "We have repeatedly voiced our disfavor of parties proceeding anonymously, as anonymous litigation runs contrary to the rights of the public to have open judicial proceedings and to know who is using court facilities and procedures funded by public taxes. To proceed anonymously, a party must demonstrate exceptional circumstances that outweigh both the public policy in favor of identified parties and the prejudice to the opposing party that would result from anonymity." Doe v. Village of Deerfield, 819 F.3d 372, 376-77 (7th Cir. 2016). Accordingly, plaintiff must file an amended complaint disclosing its name and asserted copyrights by 10/10/2023.

AMENDED complaint by XYZ Corporation against The Partnerships and Unincorporated Associations Identified on Schedule A

(Exhibit 1)

MINUTE entry before the Honorable Martha M. Pacold: For the reasons set forth in the motions 9, 11 filed by plaintiff, the supporting memoranda 10, 12 and the temporary restraining order, plaintiff's motions for electronic service of process 11, and for a temporary restraining order, including a temporary injunction, a temporary asset restraint, and expedited discovery 9 are granted. Plaintiff's filings support proceeding (for the time being) on an ex parte basis. Specifically, were defendants to be informed of this proceeding before a TRO could issue, it is likely assets and websites would be redirected, thus defeating plaintiff's interests in identifying defendants, stopping defendants' infringing conduct, and obtaining an accounting. In addition, the evidence submitted by plaintiff shows a substantial likelihood of success on the merits (including evidence of active infringement and sales into Illinois), the harm to plaintiff is irreparable, and an injunction is in the public interest. Electronic service of process does not violate any treaty and is consistent with due process because it effectively communicates the pendency of this action to defendants. As other judges in this district have noted, there may be reason to question both the propriety of the joinder of all defendants in this one action and whether plaintiff genuinely intends to pursue an accounting, but at this preliminary stage, plaintiff has provided sufficient evidence of coordinated activity and the prospect of an accounting to justify the requested relief as to all defendants. Expedited discovery is warranted to identify defendants and to implement the asset freeze. If any defendant appears and objects, the court will revisit the asset freeze and joinder. Plaintiff shall deposit with the Clerk of Court ten thousand dollars ($10,000.00), either cash or surety bond, as security.

SEALED TEMPORARY RESTRAINING ORDER Signed by the Honorable Martha M. Pacold on 10/16/2023:

SUMMONS Issued as to Defendant The Partnerships and Unincorporated Associations Identified on Schedule A

SURETY BOND in the amount of $ 10,000 posted by XYZ Corporation. (Document not imaged)

MOTION by Plaintiff XYZ Corporation for extension of time of the Temporary Restraining Order

Supplement Memorandum in Support of Motion

(Declaration of Alison K. Carter)

MINUTE entry before the Honorable Martha M. Pacold: Plaintiff's ex parte motion to extend the TRO 19 is granted. Under Rule 65(b)(2), the court finds good cause to extend the TRO for 14 days to prevent defendants from transferring assets from their U.S. based financial accounts, modifying the names of their internet stores, or removing their internet stores from their current platforms. The court's TRO 17 entered on 10/16/2023 is extended until 11/13/2023.

MOTION by Plaintiff XYZ Corporation for preliminary injunction

MEMORANDUM by XYZ Corporation in support of motion for preliminary injunction 21

(Declaration of Ann Marie Sullivan)

SUMMONS Returned Executed by XYZ Corporation as to The Partnerships and Unincorporated Associations Identified on Schedule A on 11/8/2023, answer due 11/29/2023.

(Declaration of Service)

MINUTE entry before the Honorable Martha M. Pacold: The court has taken the motion for preliminary injunction 21 under advisement and will consider the motion unopposed if no defendant appears and objects by 11/20/2023. Plaintiff shall serve defendants with this notice. For the reasons stated in the Court's orders entering and extending the TRO, as well as in Plaintiff's motion for preliminary injunction 21, the TRO is further extended to and including the date on which the Court adjudicates the motion for a preliminary injunction. See H-D Mich., LLC v. Hellenic Duty Free Shops S.A., 694 F.3d 827, 843-45 (7th Cir. 2012). Because this extension exceeds the maximum duration for a TRO under FRCP 65(b), this extension "becomes in effect a preliminary injunction that is appealable, but the order remains effective." Id. at 844.

CERTIFICATE of Service of Minute Entry 24 by Alison K Carter on behalf of XYZ Corporation

ANNUAL REMINDER: Pursuant to Local Rule 3.2 (Notification of Affiliates), any nongovernmental party, other than an individual or sole proprietorship, must file a statement identifying all its affiliates known to the party after diligent review or, if the party has identified no affiliates, then a statement reflecting that fact must be filed. An affiliate is defined as follows: any entity or individual owning, directly or indirectly (through ownership of one or more other entities), 5% or more of a party. The statement is to be electronically filed as a PDF in conjunction with entering the affiliates in CM/ECF as prompted. As a reminder to counsel, parties must supplement their statements of affiliates within thirty (30) days of any change in the information previously reported. This minute order is being issued to all counsel of record to remind counsel of their obligation to provide updated information as to additional affiliates if such updating is necessary. If counsel has any questions regarding this process, this LINK will provide additional information. Signed by the Executive Committee on 12/28/2023: Mailed notice.

MINUTE entry before the Honorable Martha M. Pacold: By 2/27/2024, plaintiff should file a status report regarding how plaintiff seeks to proceed with this case.

STATUS Report by XYZ Corporation (Sullivan, Ann Marie)

NOTICE of Voluntary Dismissal by XYZ Corporation with prejudice as to a certain Defendant

MOTION by Plaintiff XYZ Corporation for entry of default as to all remaining Defendants, MOTION by Plaintiff XYZ Corporation for default judgment as to all remaining Defendants

MEMORANDUM by XYZ Corporation in support of motion for entry of default, motion for default judgment 33 as to all remaining Defendants

Exhibit 1 - Amended Schedule A

(Declaration of Alison K. Carter)

MINUTE entry before the Honorable Martha M. Pacold: The court has received plaintiff's notice of voluntary dismissal 32, which seeks to voluntarily dismiss defendant No. 38 wu han shi hong shan qu si xi bai huo dian under Rule 41(a)(1). But Rule 41(a) is not the proper vehicle for dismissing some, but not all, parties to an action. Taylor v. Brown, 787 F.3d 851, 857 (7th Cir. 2015) ("Rule 41(a) should be limited to dismissal of an entire action."). The court therefore construes plaintiff's notice of voluntary dismissal as a request for leave to amend the pleadings under Rule 15(a)(2) by removing defendant No. 38 wu han shi hong shan qu si xi bai huo dian from the Schedule A form, see Taylor, 787 F.3d at 857-58, and the court grants plaintiff leave to amend the pleadings. By 4/12/24, plaintiff should file the amended Schedule A form on the docket.

AMENDED Schedule A

MINUTE entry before the Honorable Martha M. Pacold: The court will take plaintiff's motion for entry of default and default judgment 33 under advisement and will consider it unopposed if defendants do not appear and object by 4/17/2024. Plaintiff shall promptly serve defendants with this notice.

ORDER: No defendant has responded to plaintiff's motion for entry of default and default judgment 33. The motion is granted. Based on the evidence submitted in support of the temporary restraining order and the motion for entry of default and default judgment, and the admission of liability by virtue of the default, plaintiff has established that the infringement was willful, that damages should be awarded in the amount of $100,000 per defendant, and that a permanent injunction should be entered. Plaintiff has shown that the infringement of plaintiff's copyrights causes plaintiff irreparable harm in the form of diminished goodwill and brand confidence, damage to plaintiff's reputation, loss of exclusivity, and loss of future sales; that monetary damages are inadequate to address these harms; and that the public interest would not be disserved by a permanent injunction. No defendant has appeared to argue otherwise, thus, the court also finds that the balance of the hardships favors an injunction. The ten-thousand-dollar ($10,000) surety bond posted by plaintiff is hereby released to plaintiff's counsel. The Clerk of Court is directed to return the surety bond previously deposited with the Clerk of the Court to plaintiff's counsel Sullivan & Carter LLP, 2743 Ridgeway Ave., Chicago, Illinois, 60647, via certified mail. Enter Default Final Judgment Order. Terminate civil case. Signed by the Honorable Martha M. Pacold on 4/19/2024. Mailed notice

DEFAULT FINAL JUDGMENT ORDER Signed by the Honorable Martha M. Pacold on 4/19/2024. Mailed notice

MAILED SURETY BOND in the amount of $ 10,000 posted by XYZ Corporation 18 to Ann Marie Sullivan via certified mail 7022 3330 0001 8848 9468.