2023-cv-14979

COMPLAINT filed by Hallmark Licensing, LLC ; Filing fee $ 402, receipt number AILNDC-21225968.

Exhibit 1

Exhibit 2

Exhibit 3

Exhibit 4

(Exhibit 5)

EXHIBIT by Plaintiff Hallmark Licensing, LLC Schedule A regarding complaint 1 Modified on 5/1/2024.

MOTION by Plaintiff Hallmark Licensing, LLC for leave to file under Seal

CIVIL Cover Sheet

NOTIFICATION of Affiliates pursuant to Local Rule 3.2 by Hallmark Licensing, LLC

Notice of Claims involving Trademarks by Hallmark Licensing, LLC

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Justin R. Gaudio

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Amy Crout Ziegler

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Marcella Deshonda Slay

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Quinn Bradley Guillermo

CASE ASSIGNED to the Honorable John F. Kness. Designated as Magistrate Judge the Honorable M. David Weisman Case assignment: Random assignment. (Civil Category 2). (jcm) Modified on 10/18/2023. (Text entry; no document attached.)

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. (Text entry; no document attached.)

MAILED Trademark report to Patent Trademark Office, Alexandria VA.

MAILED to plaintiff(s) counsel Lanham Mediation Program materials.

MOTION by Plaintiff Hallmark Licensing, LLC for temporary restraining order including a Temporary Injunction, a Temporary Asset Restraint, and Expedited Discovery

MEMORANDUM by Hallmark Licensing, LLC in support of motion for temporary restraining order 13

DECLARATION of Justin R. Gaudio regarding memorandum in support of motion 14

Exhibit 1

Exhibit 2

Exhibit 3

(Exhibit 4)

DECLARATION of Elizabeth Tassi regarding memorandum in support of motion 14

Exhibit 1

(Exhibit 2)

DECLARATION of Elizabeth Tassi by Plaintiff Hallmark Licensing, LLC Exhibit 3 - Parts 1-7 regarding declaration 16 Modified on 5/1/2024.

Exhibit 3-1

Exhibit 3-2

Exhibit 3-3

Exhibit 3-4

Exhibit 3-5

Exhibit 3-6

(Exhibit 3-7)

MOTION by Plaintiff Hallmark Licensing, LLC for Electronic Service of Process Pursuant to Fed. R. Civ. P. 4(f)(3)

MEMORANDUM by Hallmark Licensing, LLC in support of motion for miscellaneous relief 18

DECLARATION of Justin R. Gaudio regarding memorandum in support of motion 19

Exhibit 1

(Exhibit 2)

MINUTE entry before the Honorable John F. Kness: Plaintiff's motion for leave to file under seal 3, ex parte motion for a temporary restraining order 13, and motion for electronic service of process 18 a]re granted in part. Plaintiff's submissions (e.g., Dkt. 15, 16, and 17) establish that, were Defendants to learn of these proceedings before the execution of Plaintiff's requested preliminary injunctive relief, there is a significant risk that Defendants could destroy relevant documentary evidence and hide or transfer assets beyond the reach of the Court. Accordingly, subject to unsealing at an appropriate time, Plaintiff may for now file under seal the documents identified in the motion to seal and appearing at docket entries 2 and 17. The Temporary Restraining Order being entered along with this minute order shall also be placed under seal. In addition, for the purpose of the motions cited above, Plaintiff's filings support proceeding (for the time being) on an ex parte basis under FRCP 65(b)(1). Specifically, and as noted above, 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 the equitable accounting that, at this point, Plaintiff states that it may pursue. These facts justify, among other relief, the imposition of a prejudgment asset restraint against Defendants in an amount not to exceed $50,000. In addition, the Court finds, at least for now on this limited and one-sided record and without prejudice to revisiting the issue, that it has personal jurisdiction over Defendants because they directly target their business activities toward consumers in the United States, including Illinois. Specifically, Defendants have targeted sales to Illinois residents by setting up and operating e-commerce stores that target United States consumers using one or more Seller Aliases, offer shipping to the United States, including Illinois, accept payment in U.S. dollars, and have sold products using infringing and counterfeit versions of Plaintiff's trademarks to residents of Illinois. The evidence presented to the Court also shows that Plaintiff has demonstrated a likelihood of success on the merits (including evidence of active infringement and sales into Illinois), that the harm to Plaintiff is irreparable, and that an injunction is in the public interest. An injunction serves the public interest because of the consumer confusion caused by counterfeit and infringing goods, and there is no countervailing harm to Defendants from an order directing them to stop infringement. 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 several judges have previously noted, there may be reason to question both the propriety of joining all Defendants in this one action and whether Plaintiff will pursue an accounting (which Plaintiff asserts as justification for an asset freeze), but at this preliminary stage, the Court is persuaded that 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 reconsider the asset freeze and joinder. Enter Sealed Temporary Restraining Order. Mailed notice.

TEMPORARY Restraining Order. Signed by the Honorable John F. Kness on 12/26/2023. Mailed notice. Modified on 5/1/2024.

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.

SURETY BOND in the amount of $ 10,000 posted by Hallmark Licensing, LLC. (Document not Scanned)

SUMMONS Issued as to Defendant The Partnerships and Unincorporated Associations Identified on Schedule A (Text entry; no document attached.)

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Rachel S Miller

MOTION by Plaintiff Hallmark Licensing, LLC for extension of time of Temporary Restraining Order

MEMORANDUM by Hallmark Licensing, LLC in support of extension of time 26

(Declaration of Rachel S. Miller)

MINUTE entry before the Honorable John F. Kness: Plaintiff's Motion to extend TRO 26 is granted. Enter separate order. Mailed notice.

EXTENSION OF TEMPORARY RESTRAINING ORDER Signed by the Honorable John F. Kness on 1/5/2024. Mailed notice.

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

MOTION by Plaintiff Hallmark Licensing, LLC for preliminary injunction

(Exhibit A)

MEMORANDUM by Hallmark Licensing, LLC in support of motion for preliminary injunction 32

Declaration of Rachel S. Miller

(Exhibit 1)

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Berel Yonathan Lakovitsky

SUMMONS Returned Executed by Hallmark Licensing, LLC as to The Partnerships and Unincorporated Associations Identified on Schedule A on 1/18/2024, answer due 2/8/2024.

Declaration of Berel Y. Lakovitsky

(Exhibit A)

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

ATTORNEY Appearance for Defendants onfine Co. Ltd., SZMYYX Co. ltd. by Michael Thomas Stanley

MOTION by Defendants SZMYYX Co. ltd., onfine Co. Ltd. for extension of time to file answer regarding complaint 1 Unopposed Motion for Extension of Time to Answer Complaint

MINUTE entry before the Honorable John F. Kness: Defendants 128 onfine Co. Ltd. and 132 SZMYYX Co. ltd's Motion for extension of time to respond to the complaint 39 is granted. Defendants 128 onfine Co. Ltd. and 132 SZMYYX Co. ltd must answer or otherwise plead to Plaintiff's complaint on or before 3/1/2024. Mailed notice.

ATTORNEY Appearance for Defendant YOUFANER by Christopher Paul Keleher

MOTION by Defendant YOUFANER for extension of time to file answer regarding complaint 1

Briefing Schedule STATEMENT by YOUFANER

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

ATTORNEY Appearance for Plaintiff Hallmark Licensing, LLC by Jennifer Van Nacht

MOTION by Defendants SZMYYX Co. ltd., onfine Co. Ltd. for extension of time to file answer regarding complaint 1 Defendants' Second Opposed Motion for Extension of Time to Respond to the Complaint

Defendants' Statement as to Briefing Schedule STATEMENT by SZMYYX Co. ltd., onfine Co. Ltd.

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

MINUTE entry before the Honorable John F. Kness: Defendant Youfaner's first motion for extension of time 42 is granted. Defendant Youfaner's second motion for extension of time 48, which Plaintiff opposes, is granted in part. Defendant Youfaner must answer or otherwise plead to Plaintiff's complaint on or before 3/15/2024. No further extensions will be granted. There will be no briefing on Defendant Youfaner's second motion. Mailed notice.

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to a Certain Defendant

MOTION by Plaintiff Hallmark Licensing, LLC to approve consent judgment as to a Certain Defendant

(Exhibit A)

MOTION by Plaintiff Hallmark Licensing, LLC for entry of default, MOTION by Plaintiff Hallmark Licensing, LLC for default judgment as to all Defendants with the exception of a certain Defendant

(Exhibit A)

MEMORANDUM by Hallmark Licensing, LLC in support of motion for entry of default, motion for default judgment, 56

(Exhibit 1)

DECLARATION of Justin R. Gaudio regarding memorandum in support of motion 57

(Exhibit 1)

PRO SE Appearance by Defendant Hoang Va Khoi. (Document received via Box.com 4/19/24)

MOTION by Defendant khoishop for extension of time to file answer to complaint. (Received via pro se email on 04/22/2024)

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendants

MINUTE entry before the Honorable John F. Kness: Before the Court is Plaintiff's motion 56 for entry of default and default judgment against all Defendants. All remaining Defendants have failed either to plead timely or to otherwise appear to defend against this action. Accordingly, default is entered under Rule 55(a) of the Federal Rules of Civil Procedure. Defendant khoishop has filed a motion 60 for an extension of time to answer, but the motion is untimely. That said, depending on Plaintiff's position concerning khoishop's request for additional time to respond to the merits of the case, the Court may permit pro se Defendant khoishop the opportunity to explain, under the applicable standard, why this finding of default as to khoishop should be vacated. Defendant khoishop's motion 60 is otherwise entered and continued. Plaintiff must therefore file, on or before 5/3/2024, a statement concerning whether it opposes khoishop's request for additional time. Plaintiff's request 56 for default judgment and for entry of a consent judgment 55 are entered and continued pending resolution of the status of Defendant khoishop. Plaintiff must serve this minute order upon all remaining Defendants within two business days of its entry on the docket and must file proof of service within three business of service being effected. Mailed notice

MINUTE entry before the Honorable John F. Kness: This order applies only to those Defendants who have not otherwise been dismissed. Plaintiff's motion for a preliminary injunction 32 is granted. Enter separate preliminary injunction order. ***To the extent any dismissed Defendant appears inadvertently on Schedule A attached to the preliminary injunction order, the preliminary injunction order does not apply to that dismissed Defendant.*** Plaintiff's filings establish that Plaintiff has acted expeditiously to protect its interests and that there remains a significant risk Defendants will transfer relevant assets beyond the Court's reach. For these reasons, as well as the reasons provided in the whole of Plaintiff's filings and as stated by the Court in connection with entry of the TRO, the Court is persuaded that Plaintiff has satisfied the requirements for a preliminary injunction. In addition, the Court finds that the balance of harms favors Plaintiff and that a preliminary injunction serves the public interest by, among other things, protecting consumers from the marketing of counterfeit goods. Plaintiff has also certified and established 35 that it provided electronic notice to Defendants of the pendency of this case and provided a link to a website containing relevant case documents, but no Defendant has objected to the motion for a preliminary injunction. Plaintiff's counsel is directed to ensure that all Defendants listed on Schedule A are added to the docket within five business days. The Clerk is directed to unseal any and all previously-sealed documents. Mailed notice.

PRELIMINARY INJUNCTION ORDER signed by the Honorable John F. Kness on 4/29/2024. Mailed notice.

NEW PARTIES: Baby-Xuan Store, Hotsellingtoys Store, KENNY Poster & Decor Painting Store, Shop1102337574 Store, Shop1102378531 Store, Shop1103013414 Store, Small Beaver Bundle Bag Store, Sweet and warm decoration shop Store, T-Shirt High QualityC Store, xizai Store, Atac Clematis, AUZOEYTOYK, Beautiyou, BS NOW, CDKZH, CoralSeaSea, Denalor Seris, DUCANHVNA, Enhopty, GloryMU, Greenery-Shop, keopst, Laelia Store, LavernPrint, limeilili, LSYDCARM STORE, Mefuro Kagesi, MH AMZPXL, MimiGifts, MioCloth, Muised, nengshuai1371, Oger Dapemi, PerfectMT, qingxueshangmaoyouxiangongsi, RETEONE DIRECT, Runchuan, Shopbesepro, SJIAHAO, Sumiretatu, TIMIHOR, Tisunfly, xiangchenx, yishengsy, YuanZhezz1bfa, zhengjinwen0208, heng08, jiao08, men08, 7christy, aewoyry, agtyoug, anelysisa, anybsgy, archihy, arthink, auto-pla, beauty_zono, bestseller878, celculaty, cosyourtime, dahere, desame46, dodoge14, does61fo, fangkanshangmao, fedcen, freesee, grouking, haitule, happrty, heycom71, hgftgrf, idiomery, jiangwe-7556, jiekekek, jucai003, kamela, kaoquanyang, ket237phin, keysoat, khoishop, kiooply, kollay, liliyaa-1, macroge, notablery, objietyar, phoenix721feng, poterayi, qungytd, santohy, seeread92, sletwear, upbeauty, vehprotoots, wisdoms-96, xiao69mei, yaoxi379, Artistic Lfie, Creative Designer, Cut a striking figure, family life fishon, Hua Butterfly Clothing Work, JG Attitude, Livi, LuHuMan, Magicseecraft, MGXin, MRSFS, Nanxin preferred, Peachy Jewelry, Peerless Queen, RESHI, StyleLoveLiving, Topsee, xiayimoying, xindi cup, yiwushifanfushiyouxiangongsi, Yoolo, YOUFANER, 101175480, Aloha Toii, CAKVIICA, FALCAM Direct, JPS Blossoms, Nightwill., onfine Co. ltd, PProton, putianshikouruimaoyiyouxiangongsi, Suminiy.US, SZMYYX Co.ltd, Uverbon, 24hzshop, goldstarstar, huilaihuiqu, LOVEMG110.TOGO, PFY Store, pnhvhrus, sunnydoll, tainzhiwen39128 and TutaokengqU added to case caption. (Text entry; no document attached.)

RESPONSE by Plaintiff Hallmark Licensing, LLC to text entry, 62 and in Opposition to Defendant khoishop's Motion for Extension of Time 60

Exhibit 1

(Exhibit A)

CERTIFICATE of Service by Plaintiff Hallmark Licensing, LLC regarding text entry, 62

(Exhibit A)

MINUTE entry before the Honorable John F. Kness: Plaintiff has responded 65 to pro se Defendant khoishop's motion 60 seeking an extension of time. Plaintiff correctly notes that Defendant khoishop has not addressed whether the standard of excusable neglect is met with regard to Defendant khoishop's having missed the answer deadline. Less persuasive, at least at this point, is Plaintiff's contention that Defendant khoishop must be represented by a lawyer. There is no evidence currently of record showing that Defendant khoishop is a corporation, limited liability company, or other form of business organization for which liability is limited by operation of law. Plaintiff has not cited any authority showing that simple online storefronts like Defendant khoishop appears to be must be represented by counsel. Accordingly, absent further persuasive evidence or argument from Plaintiff, the Court will permit Defendant khoishop to file pro se, on or before 5/20/2024, a reply in support of its motion seeking additional time to respond to the complaint. Defendant khoishop must address in that reply whether its failure to act in a timely way is the result of excusable neglect. Defendant khoishop's $189 in assets (see Dkt. 65 at 1) will remain restrained pending resolution of this issue. Plaintiff's motion 55 seeking entry of a consent judgment and separate motion 56 seeking entry of a default judgment will be held in abeyance pending further order. Mailed notice

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to certain defendant

NOTICE of Voluntary Dismissal by Hallmark Licensing, LLC as to a certain Defendant

CONSENT JUDGMENT signed by the Honorable John F. Kness on 6/20/2024. Mailed notice.

ORDER: Motion by Plaintiff 55 to enter a consent judgment is granted. Plaintiff's motion 56 for entry of default judgment is granted. Defendant khoishop's motion for an extension of time 60 is dismissed as moot. Enter separate Final Judgment Order. Civil case terminated. Signed by the Honorable John F. Kness on 6/20/2024. Mailed notice.

FINAL JUDGMENT ORDER signed by the Honorable John F. Kness on 6/20/2024. Mailed notice.

MAILED trademark report to Patent Trademark Office, Alexandria VA

MOTION by Defendant Nanxin preferred to vacate default judgment. (Exhibits) (Received via pro se email on 08/27/2024)

RESPONSE by Hallmark Licensing, LLC in Opposition to MOTION by Defendant Nanxin preferred to vacate 74

DECLARATION of Rachel S. Miller regarding response in opposition to motion 75

Exhibit 1

Exhibit 2

Exhibit 3

Exhibit 4

Exhibit 5

(Exhibit 6)

MINUTE entry before the Honorable John F. Kness: Defendant Nanxin's motion to vacate default judgment 74 is denied. Courts grant relief under Rule 60(b) "only in exceptional circumstances," and to vacate a default judgment, "the movant must demonstrate good cause for the default, quick action to correct it, and a meritorious case." Trade Well Intl. v. United C. Bank, 825 F.3d 854, 860 (7th Cir. 2016). Nanxin fails to show good cause. Nanxin's primary argument (Dkt. 74) is that the Court lacked personal jurisdiction because Nanxin never shipped an infringing product to Illinois. But Plaintiff's submissions 76 demonstrate that Nanxin offered the infringing product for sale in Illinois, that Plaintiff's investigator placed an order for sale to Illinois, and that Nanxin in fact shipped and delivered the product to Illinois. (Id. 24.) Accordingly, the Court is satisfied that personal jurisdiction is proper because Nanxin "unequivocally asserted a willingness to ship goods to Illinois and established the capacity to do so," and when an order was placed, Nanxin "filled the order, intentionally shipping an infringing product to the customer's designated Illinois address." As the Seventh Circuit has explained in a similar context, that is enough to establish personal jurisdiction. NBA Properties, Inc. v. HANWJH, 46 F.4th 614, 624 (7th Cir. 2022). Mailed notice.

FULL SATISFACTION of Judgment regarding order[72] in the amount of $100,000 as to certain defendant