Crypton Future Media, Inc., a Japanese media and musical technology company, has filed a lawsuit to tackle the rampant online trademark infringement and counterfeiting of its products. On September 23, 2024, Crypton Future Media lodged a complaint in the United States District Court for the Northern District of Illinois against various partnerships and unincorporated associations that are allegedly selling counterfeit goods under its brand name.
The case revolves around Crypton's efforts to protect its trademarks, including U.S. Registration Nos. 4163035, 4879127, among others. The plaintiff claims that these defendants have been using fully interactive e-commerce stores to sell unauthorized products bearing counterfeit versions of Crypton's trademarks. These actions have reportedly caused consumer confusion and diluted the brand's value. "Defendants attempt to avoid and mitigate liability by operating under one or more Seller Aliases," states the complaint, emphasizing the difficulty in tracking down these counterfeiters due to their use of aliases and sophisticated online storefronts.
Crypton alleges that these unauthorized sellers are primarily based in jurisdictions with lax intellectual property enforcement systems, such as China. They are accused of creating e-commerce stores that mimic authorized retailers, thereby deceiving consumers into purchasing fake products at significantly lower prices than genuine ones. This not only harms Crypton's reputation but also affects its network of authorized sellers who adhere to strict quality standards.
The lawsuit seeks several forms of relief from the court. Crypton is asking for an injunction to prevent further sales of counterfeit goods and for the destruction of all infringing items. Additionally, they seek monetary damages amounting to three times the actual damages suffered or statutory damages up to $2 million per infringement under U.S.C § 1117(c)(2). The plaintiff also requests attorney fees and costs associated with this legal action.
Representing Crypton Future Media in this case are attorneys Sofia Quezada Hastings and Matthew De Preter from Aronberg Goldgehn Davis & Garmisa law firm. The case is presided over by judges at the United States District Court for the Northern District of Illinois under Case No. 1:24-cv-08758.