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Case 3:15-cv-00171-BR

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Stephen J. Joncus, OSB No. 013072


Email: stephen.joncus@klarquist.com
Xavier A. Clark, OSB No. 133287
Email: xavier.clark@klarquist.com
KLARQUIST SPARKMAN, LLP
121 S.W. Salmon Street, Suite 1600
Portland, Oregon 97204
Telephone: 503-595-5300
Attorneys for Plaintiffs
TRAILERS INTL LLC and VINCENT L. WEBB

IN THE UNITED STATES DISTRICT COURT


FOR THE DISTRICT OF OREGON
PORTLAND DIVISION
TRAILERS INTL LLC, a Nevada
Corporation, and VINCENT L. WEBB, an
individual,

Civil No. ________________

Plaintiffs,
v.
MASTERCRAFT TOOLS FLORIDA, INC.,
d/b/a ALTOCRAFT USA, INC., a Florida
corporation, BUILD.COM, INC., a California
corporation, GLOBAL EQUIPMENT
COMPANY, INC., a New York corporation,
HOME DEPOT USA, INC., a Delaware
corporation, K-MART CORPORATION, a
Michigan corporation, LUNMAR, INC., d/b/a
TRAILER WORLD, a Washington
corporation, ORRIN LUNDY, an individual,
POWER EQUIPMENT DIRECT INC., a
Delaware corporation, SEARS, ROEBUCK
AND COMPANY, a New York corporation,
SKY DISTRIBUTORS OF AMERICA,
INC., a Florida corporation, STEVEN F.
RESCH, an individual, XUEFENG ZHANG,
an individual, and ZHUHAI SHARP-GROUP
ENTERPRISE CO., LTD., a foreign
corporation,
Defendants.

COMPLAINT FOR COPYRIGHT


INFRINGEMENT, TRADEMARK
INFRINGEMENT, TRADEMARK
COUNTERFEITING, UNFAIR
COMPETITION, FALSE
DESIGNATION OF ORIGIN, COMMON
LAW FRAUD, COMMON LAW
COMMERCIAL DISPARAGEMENT,
BREACH OF CONTRACT,
CONVERSION, and TRADE SECRET
MISAPPROPRIATION
Jury Trial Demanded

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Plaintiffs Trailers Intl LLC (Trailers Intl) and Vincent L. Webb (Webb), by their
attorneys, for their Complaint against Defendants, allege as follows:
1.

This is an action for copyright infringement, trademark infringement, trademark

counterfeiting, unfair competition, false designation of origin, common law fraud, common law
commercial disparagement, breach of contract, conversion, and trade secret misappropriation.
By this action, Webb and Trailers Intl seek (a) damages arising from Defendants past and
present infringement of Webbs trademark rights and copyrights, and related activities, (b)
injunctive relief against Defendants continued importation and or sale of infringing trailers, and
(c) reimbursement of Webbs and Trailers Intls attorney fees and costs incurred in connection
with their efforts to protect their intellectual property rights.
2.

This action arises out of the manufacture, importation, offer for sale, sale, and

distribution in the United States of counterfeits of Webbs and Trailers Intls UtilityMate and
UtilitySport trailers illegally manufactured by Zhuhai Sharp-Group Enterprise CO. LTD. a/k/a
Jumbo Tools & Equipment (Jumbo).
3.

Jumbo is a Chinese trading company that was, at one time, authorized to

manufacture trailers for Webbs Company, Trailers Intl (formerly UtilityMate LLC).
4.

Jumbo manufactures counterfeit trailers using Webbs designs, drawings, tooling,

molds and intellectual property. Jumbo supplies the counterfeit trailers to distributors for
distribution across the United States.
5.

Defendant Mastercraft Tools Florida, Inc., d/b/a Altocraft USA, Inc. (Altocraft)

is the primary importer and distributor of counterfeit trailers from Jumbo. Mastercraft and
Altocraft are house brands of Jumbo.

COMPLAINT
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Altocraft distributes the counterfeit trailers in packages bearing Webbs registered

trademarks and copyrights. Each package includes user manuals and related documentation
which contain text and images copied from Webbs federally registered copyrighted user
manuals and related documentation.
7.

Altocraft passes off the counterfeit trailers as its own and offers them for sale

across the United States, including into Oregon.


8.

In some instances, Altocraft removes Webbs copyrighted material and

trademarks from the infringing trailers and packaging prior to distribution. However, it is not
uncommon for Altocraft customers to receive packages and trailers bearing Webbs trademarks
that ship with Webbs copyrighted materials. Altocraft frequently packages and ships its
counterfeit trailers with counterfeit licensing and registration materials bearing Webbs former
company name UtilityMate LLC. Altocraft even uses Trailers Intls unique World Manufacturer
Identifier prefix to create counterfeit Vehicle Identification Numbers for the counterfeit trailers.
Altocraft informs customers that receive products and documentation bearing Webbs and
Trailers Intls company name that Altocraft is affiliated with, or even the same as, Trailers Intl.
9.

Defendants importation, offers for sale, sales, distribution, and other activities

involving the counterfeit trailers have caused actual harm to Webb and Trailers Intl in the form
of customer confusion as to product origin, reduced sales and lost profits by Trailers Intl, and
damage to Webbs and Trailers Intls reputation for product quality and brand recognition.
10.

In addition to actual harm to Webb and Trailers Intl, Defendants activities

involving the counterfeit trailers put the public at risk of physical harm. The trailers at issue are
designed to be towed behind automobiles on roads and highways. The trailers are made from
steel, can carry heavy loads, and can be dangerous when operated at high speeds. This is one
COMPLAINT
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reason why product safety and integrity is of the utmost importance to Webb and Trailers Intl.
Webb and Trailers Intl design and build trailers with high quality parts that hold up to use on the
road and do not put customers at risk.
11.

The counterfeit trailers at issue are manufactured using inferior parts and

assembly procedures compared to genuine Trailers Intl trailers, and pose a greater risk of failure
and harm. Webb and Trailers Intl face an increased risk of complaints and suits due to
Defendants customers using the counterfeit documentation included with the counterfeit trailers,
which names Webbs former company and predecessor to Trailers Intl, UtilityMate LLC as
manufacturer, to register counterfeit trailers with the Department of Motor Vehicles.
JURISDICTION
12.

This is a suit for trademark infringement, trademark counterfeiting, and unfair

competition and false designation of origin under 15 U.S.C. Sections 1051 et seq. ( the Lanham
Act), copyright infringement under the United States Copyright Act of 1976, as amended, 17
U.S.C. Sections 101 et seq. (the Copyright Act), common law fraud, common law commercial
disparagement, breach of contract, conversion, and trade secret misappropriation. This Court has
subject matter jurisdiction pursuant to 15 U.S.C. 1121, and 28 U.S.C. 1331 and 1338
(copyright and trademark). This Court has jurisdiction over the Oregon common law claims as
these claims are related to the claims brought under the Lanham Act and the Copyright Act, so
form part of the same case or controversy, and are within the Courts supplemental jurisdiction
pursuant to 28 U.S.C. 1367.
13.

This Court has personal jurisdiction over Defendants because all of the

Defendants have committed acts in this district or directed at this district constituting or

COMPLAINT
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contributing to the infringement alleged, so that a substantial part of the acts and events giving
rise to the claims occurred in, or were directed at, this judicial district.
PARTIES
14.

Plaintiff Vincent L. Webb is an individual who presently resides in Grants Pass,

Oregon. Webb is the President of Trailers Intl LLC, and has been in the business of designing
and manufacturing utility trailer kits since 2004. Webb is the exclusive owner of the federally
registered trademarks UtilityMate (U.S. Reg. No. 3,226,766), UtilitySport (U.S. Reg. No.
3,278,153), BUILD IT AND SAVE (U.S. Reg. No. 4,458,788), and 4 in 1 (U.S. Reg.
No. 4,582,732), and the common law trademark UtilityDump. Webb is also the exclusive
owner of federally registered copyrights for UtilityMate Trailer Owners Manuals (Reg. No. TX
7-187-973), and UtilityMate Web Site, Product Catalog, Sales Material & Package Artwork
(Reg. No. TX 7-748-097).
15.

Plaintiff Trailers Intl LLC, formerly known as UtilityMate LLC (UtilityMate),

is a Nevada corporation with its principal place of business at 2788 Foothill Boulevard, Grants
Pass, Oregon 97526. Trailers Intl is in the business of manufacturing, importing, and selling
high quality utility trailer kits under the brand names UtilityMate and UtilitySport. Trailers
Intl is the exclusive licensee of Webbs intellectual property portfolio, which includes Webbs
federally registered trademarks, common law trademark, and federally registered copyrights
listed above.
16.

Trailers Intl operates and maintains the websites www.trailersintl.com,

www.utilitymate.com, www.utilitysport.com, and www.utilitydump.com, which it uses in


connection with its utility trailer business.

COMPLAINT
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Defendant Mastercraft Tools Florida Inc., d/b/a Altocraft USA, Inc., is a Florida

corporation with its principal place of business at 7440 NW 52nd St., Miami, Florida 33166.
Altocraft is a house brand of Chinese contract trailer manufacturer, Jumbo.
18.

Altocraft operates and maintains the websites www.altocraft.com and

www.altocrafttrailer.com. Altocrafts websites incorporate copyrighted text, images, and code


copied directly from Webbs and Trailers Intls websites. Through its websites, Altocraft
advertises, offers for sale, and coordinates distribution of counterfeit trailers across the United
States, including into this district.
19.

Altocraft imports counterfeit trailers from China, and advertises, offers for sale,

sells, and distributes the counterfeit trailers across the United States, including into this district.
20.

Altocraft sells and distributes or drop-ships counterfeit trailers to customers in

this district.
21.

Altocraft assists customers with licensing counterfeit trailers across the United

States. Altocraft offers to license counterfeit trailers in Oregon for customers in this district.
22.

Altocraft sells counterfeit trailers in direct competition with authorized

distributors of genuine Trailers Intl trailers, which are located in this district, by offering
counterfeit trailers for resale at a lower cost to Trailers Intls existing retail customers.
23.

Defendant Build.com, Inc., (Build.com) is a California corporation with its

principal place of business at 12500 Jefferson Avenue, Newport News, Virginia 23602.
24.

Build.com operates and maintains the website www.build.com, by which it

advertises, offers for sale, and sells counterfeit trailers across the United States.
25.

On information and belief, Build.com has sold and distributed counterfeit trailers

into this district.


COMPLAINT
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Defendant Global Equipment Company, Inc., (Global Industrial) is a New York

company with a principal place of business at 11 Harbor Park Drive, Port Washington, New
York 11050.
27.

Global Industrial operates and maintains the website www.globalindustrial.com,

by which it advertises, offers for sale, and sells counterfeit trailers across the United States.
28.

On information and belief, Global Industrial has sold and distributed counterfeit

trailers into this district.


29.

Defendant Home Depot USA, Inc., (Home Depot) is a Delaware corporation

with its principal place of business at 2455 NW Paces Ferry Road, Atlanta, Georgia 30339-4024.
30.

Home Depot operates and maintains the website www.homedepot.com, by which

it advertises, offers for sale, and sells counterfeit trailers across the United States, including into
this district.
31.

Home Depot has sold and distributed counterfeit trailers into this district.

32.

Home Depot has stores located across the United States, including more than

twenty stores located in this district.


33.

Home Depot causes counterfeit Altocraft trailers to be drop-shipped from

Altocraft to Home Depot stores for customers to pick up. Altocraft trailers have been dropshipped to stores located in this district.
34.

Defendant K-Mart Corporation, (K-Mart) is a Michigan corporation with its

principal place of business at 3333 Beverly Road, Hoffman Estates, Illinois 60179.
35.

K-Mart operates and maintains the website www.K-Mart.com, by which it

advertised, offered for sale, and sold counterfeit trailers across the United States.
36.

K-Mart has sold and distributed counterfeit trailers into this district.
COMPLAINT
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Defendant Lunmar, Inc., d/b/a Trailer World (Trailer World), is a Washington

corporation with its principal place of business at 2607 E 5TH ST, Vancouver, Washington,
98668.
38.

On multiple occasions Trailer World has purchased, imported, offered for sale,

and sold counterfeit trailers into this district.


39.

Defendant Orrin Lundy (Lundy) is an individual residing at 1336 51st Street

Washougal, Washington 98671.


40.

Lundy is the president of Lunmar, Inc., d/b/a Trailer World.

41.

On multiple occasions Lundy has purchased, imported, offered for sale, and sold

counterfeit trailers into this district.


42.

Defendant Power Equipment Direct Inc., (PED) is a Delaware company with its

principal place of business at 1325 Rodeo Drive, Bolingbrook, Illinois 60490-4933.


43.

Defendant PED operates and maintains the websites

www.powerequipmentdirect.com and www.mowersdirect.com, by which it advertises, offers for


sale, and sells counterfeit trailers across the United States.
44.

PED has sold and distributed counterfeit trailers into this district.

45.

Defendant Sears, Roebuck and Company, (Sears) is a New York corporation

with its principal place of business at 3333 Beverly Road, Hoffman Estates, Illinois 60179.
46.

Sears operates and maintains the website www.sears.com, by which it advertised,

offered for sale, and sold counterfeit trailers across the United States.
47.

Sears has sold and distributed counterfeit trailers into this district.

48.

Defendant Sky Distributors of America, Inc., (Sky Distributors) is a Florida

corporation with its principal place of business 1690 W 41st Street Hialeah, Florida 33012.
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49.

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Sky Distributors maintains and operates the website www.skydistributors.net, by

which it advertises, offers for sale, and sells counterfeit trailers across the United States.
50.

Sky Distributors has sold and distributed counterfeit trailers into this district.

51.

Defendant Steven F. Resch (Resch) is an individual residing at 29296 SW

Heater Road, Sherwood, Oregon 97140.


52.

Resch, at one point in time, worked for Webb in his trailer business.

53.

Resch participates in the light duty trailer industry through activities such as

attending trade shows and coordinating the importation and distribution of utility trailers.
54.

Resch has relationships with sales representatives for Jumbo. Resch coordinates

the importation and distribution of counterfeit trailers manufactured by Jumbo into the United
States, including into this district.
55.

Resch has arranged the sale and importation of counterfeit trailers into this

district.
56.

Defendant Xuefeng James Xhang (Zhang) is an individual residing at 12708

NW 20th Street, Pembroke Pines, Florida, 33028.


57.

Zhang is the principal of Mastercraft Tools and Altocraft USA, Inc.

58.

Zhang coordinates the manufacture and importation of counterfeit trailers from

China for sale and distribution across the United States, including into this district.
59.

Defendant Zhuhai Sharp-Group Enterprise Co., Ltd., a/k/a Jumbo Tools &

Equipment, is a Chinese trading company with a principal place of business at Bldg5, No.800,
Xiayan Rd, Xiasha Town, Shanghai, China. Jumbo is a former contract manufacturer of genuine
Trailers Intl utility trailers. Jumbo owns the brand Altocraft USA, Inc.

COMPLAINT
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Jumbo uses Webbs and Trailers Intls design, drawings, blueprints, and tooling to

manufacture counterfeit UtilityMate and UtilitySport trailers for export to and sale across the
United States.
BACKGROUND ALLEGATIONS
61.

Webb is the President of Trailers Intl LLC. Webb has been in the business of

designing, developing, and selling utility trailer kits since 2004. Webb and Trailers Intl conduct
their utility trailer business primarily from the Trailers Intl office and warehouse facility located
in Grants Pass, Oregon. Webb and Trailers Intl sell genuine utility trailer kits online and at
retailers across the United States under federally registered trademarked brand names, e.g.,
UtilityMate and UtilitySport.
62.

Webb is the exclusive owner of copyrights related to genuine trailer kits and

possesses copyright registrations with the United States Copyright Office relating to the same,
specifically U.S. Copyright Registration Numbers TX 7-187-973 and TX 7-748-097. The table
below provides details regarding the 973 and 097 registrations.
973
Reg. No.: TX 7-187-973
Effective Registration Date: 02/05/2010
Title: UtilityMate Trailer Owners Manuals
Authorship: text, photograph(s), artwork

63.

097
Reg. No.: TX 7-748-097
Effective Registration Date: 06/18/2013
Title: UtilityMate Web Site, Product Catalog, Sales
Material & Package Artwork
Authorship: text, photograph(s), computer program,
artwork

Webb is the exclusive owner of United States Trademark Registration Numbers

3,226,766, 3,278,153, 4,458,788, and 4,582,732 (Webbs federally registered marks). The
table below provides details regarding Webbs federally registered marks.

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Registration Data

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Mark

Mark: UTILITYMATE
Filing Date: June 6, 2005
Registration Number: 3226766
Registration Date: April 10, 2007
Goods: Cargo Trailers
Mark: UTILITYSPORT
Filing Date: October 2, 2005
Registration Number: 3278153
Registration Date: August 7, 2007
Goods: Cargo Trailers
Mark: BUILD IT AND SAVE
Filing Date: May 14, 2013
Registration Number: 4458788
Registration Date: December 13, 2013
Goods: Utility Trailers
Mark: 4 IN 1
Filing Date: May 14, 2013
Registration Number: 4582732
Registration Date: August 12, 2014
Goods: Utility Trailers

64.

Trailers Intl is the exclusive licensee of Webbs federally registered trademarks

and copyrights.
Webbs and Trailers Intls Quality Control and Product Integrity Standards
65.

Webb and Trailers Intl began designing utility trailers in response to a

marketplace demand for a high quality, reasonably priced, utility trailer. Webbs and Trailers
Intls utility trailer kits offer many advantages to sellers and buyers, for example, each trailer kit
is delivered and sold in a single box, making it easier to ship, store, and track logistically.
Because Webbs and Trailers Intls utility trailers are sold in kit form, they do not require
registration or licensing until fully assembled and road ready.
66.

In 2005, at Webbs direction, production of genuine utility trailers began in

China. Webbs and Trailers Intls genuine utility trailers are designed to comply with the
specification standards of the United States Department of Transportation (DOT) including the
best practices of the National Highway Traffic Safety Administration (NHTSA).
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Webb has worked for years to develop a good reputation for Trailers Intl and its

products. Product quality and integrity are priorities for Webb and Trailers Intl, as is customer
safety. In addition to the DOT and NHTSA standards and best practices, Webb and Trailers Intl
have set additional quality control and product integrity standards that each trailer must satisfy
before Webb and Trailers Intl will approve the trailer for sale.
68.

Trailers Intls genuine trailers and components are manufactured using Trailers

Intls custom tooling and are assembled from high quality materials, for example: Trailers Intls
tail lights and side markers use LED technology sourced from a NHTSA authorized
manufacturer; Trailers Intl uses tires that meet DOT requirements; Trailers Intls wire harnesses
are housed in a protective, insulated sleeve to protect against wear and outside elements; Trailers
Intls trailers use pre-threaded lock-nuts to avoid bolts loosening from vibration on the road; and
Trailers Intls frames are powder coated and made from corrugated and tubular steel.
69.

Webb and Trailers Intl have implemented various quality control measures in an

effort to maintain product integrity. For instance, Webb and Trailers Intl require that all
Manufacturers Statement of Origin certificates and Vehicle Identification Number tags be
designed, printed, and shipped from Trailers Intls offices directly to the contract manufacturer in
China, whereby the contract manufacturer will insert the materials into Trailers Intls genuine
product packaging prior to export. Webb also travels to China several times each year to inspect
the factories where his utility trailers are manufactured.
Webbs and Trailers Intls Former Manufacturers and Past Counterfeiting
70.

Webb, through his company Trailers Intl (and formerly UtilityMate LLC),

contracts with Chinese trading companies (contract manufacturers) to source parts for and
assemble genuine Trailers Intl trailer kits.
COMPLAINT
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Trailers Intl requires the contract manufacturers to comply with its quality control

and product integrity standards.


72.

On two occasions Webb and Trailers Intl, through Trailers Intls predessesor

UtilityMate LLC, have terminated licensing agreements with Chinese contract manufacturers
based on repeated failures to comply with UitlityMates quality control standards.
73.

First, in November 2008 UtilityMate terminated its licensing agreement with

contract manufacturer Changzhou Nanxiashu Tool Co., Ltd. (Nanxiashu). Nanxiashu was
authorized to manufacture UtilityMate kit trailers from 2005-2007. UtilityMate terminated its
agreement with Nanxiashu following repeated failures by Nanxiashu to meet UtilityMates
product quality and integrity standards.
74.

After termination of the agreement between UtilityMate and Nanxiashu, Webb

and Trailers Intl discovered that Nanxiashu was using Webbs and Trailers Intls designs to
manufacture and import counterfeit trailers into the United States.
75.

The counterfeit trailers manufactured and imported by Nanxiashu were nearly

identical in appearance to genuine Trailers Intl trailers, but were made from inferior materials
and did not comply with DOT standards. Nanxiashu sold the counterfeit trailers in direct
competition with genuine Trailers Intl trailers, but at a lower price.
76.

The Nanxiashu counterfeit trailers harmed Webb and Trailers Intl by causing

customer confusion as to the origin of the trailers. Due to their inferior and non-compliant
manufacture and assembly, they had the potential to cause harm to consumers, which could have
led to complaints and suits against Webb and Trailers Intl. In June, 2011, Webb brought a
complaint against Nanxiashu in this District. Nanxiashu failed to appear, and in August 2011

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Judge Brown entered a default judgment and permanent injunction against Nanxiashu. (Case
No. 3:11-cv-00747-BR, Dkt. No. 16.)
77.

After terminating the agreement with Nanxiashu, Webb, through UtilityMate,

entered into a manufacturing and distribution agreement with a different Chinese contract
manufacturer, Zhuhai Sharp-Group Enterprise CO. LTD. a/k/a Jumbo Tools & Equipment.
78.

Jumbo is a Chinese power tool and equipment supplier that produces private label

and/or OEM products for retailers and importers. Jumbo also owns a number of house brands,
such as Altocraft USA, Inc., which sell products supplied by Jumbo.
79.

In June 2011, Jumbo and UtilityMate LLC entered into a supplemental agreement

by which UtilityMate LLC would be importer of record for 100% of trailer sales shipped by
Jumbo to the United States or Canada. Per the supplemental agreement, UtilityMate LLC was to
be the sole and exclusive importer of UtilityMate trailers manufactured by Jumbo.
80.

When the products being manufactured by Jumbo failed to meet the quality and

regulatory standards agreed upon by the parties, UtilityMate LLC sent Jumbo a first notice of
default, in accordance with the parties agreement. Jumbo did not correct or otherwise address
the notice of default, and as a result UtilityMate LLC sent Jumbo second and third notices of
default in August and October 2011, respectively.
81.

UtilityMate LLC terminated the agreement with Jumbo in October 2011 as a

result of Jumbos failure to cure or otherwise respond to the multiple notices of default. Upon
termination of the agreement, Jumbo was no longer authorized to manufacture, import, offer for
sale, sell, distribute, or otherwise deal in trailers made from Webbs or Trailers Intls designs.
Also upon termination of the agreement, Jumbo no longer had any right to use any of Webbs
intellectual property, including his federally registered trademarks and copyrights. Per notice of
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termination, Jumbo was required to return all Trailers Intl blueprints, tooling, and dies used to
manufacture genuine UtilityMate trailers, as well as all manuals, packaging, and marketing
materials.
82.

After termination of the agreement with Jumbo, Webb and Trailers Intl updated

the World Manufacturer Identifier (WMI) used on genuine Trailers Intl trailer kits to list
Trailers Intl LLC as the manufacturer of record. The WMI is the first three characters of a
Vehicle Identification Number (VIN) and is a unique identifier assigned to vehicle
manufacturers. UtilityMate LLCs WMI was 52Z. After the update, Trailers Intls WMI is
52Z.
83.

Another change Webb and Trailers Intl implemented following termination of the

Jumbo agreement was the production of licensing and registration documents. Webb and
Trailers Intl now design, print, and ship all Manufacturers Statement of Origin certificates and
Vehicle Identification Number tags from the Trailers Intl office in the United States to the
contract manufacturer in China, whereby the contract manufacturer inserts the materials into
genuine Trailers Intl product packaging prior to export.
84.

Webb, acting through Trailers Intl, also hired a new contract manufacturer, STC

International (STC), based out of Shanghai, China to oversee quality control and assembly of
genuine Trailers Intl trailer kits. Currently, STC is the only authorized assembler of genuine
Trailers Intl utility trailers.
Ongoing Counterfeiting and Intellectual Property Infringement
85.

In February 2012, Webb and Trailers Intl learned that Altocraft was offering for

sale in the United States, via its website at www.altocrafttrailer.com, utility trailers that appeared
to be the same as Trailers Intl trailers. At the time, the designs, photographs, descriptions,
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specifications, and even model numbers of the trailers offered for sale by Altocraft were
identical, or nearly so, to those on Webbs and Trailers Intls genuine websites. See Figure 1,
below.

Figure 1: Images from Trailers Intls website (AUTHENTIC) and unauthorized copies of the
same images displayed on Altocrafts website (INFRINGING), circa 2012.
86.

Figure 1, above, demonstrates Altocrafts unauthorized use on its website of

Webbs copyrighted images copied directly from Webbs and Trailers Intls websites. Some of
the images even display Webbs personal property. Examples of Altocrafts copying include:
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a) Image one (1) displays Trailers Intls UM6096 trailer loaded with Webbs
personal all-terrain vehicle, and hitched to Webbs personal pick-up truck.
Altocraft uses a mirror image copy of image one (1) on its website;
b) Image two (2) displays Trailers Intls MC583 trailer in three positions. Altocraft
uses an identical copy of image two (2) on its website;
c) Image three (3) displays Trailers Intls UD5806 4 in 1 trailer. This image was
created by Webb specifically to provide a visual affect showing the various
positions that the UD5806 can be used in. Altocraft uses an identical copy of
image three (3) on its website and in documentation it distributes;
d) Image four (4) displays Trailers Intls HD4872EZ trailer. Altocraft uses an
identical copy of image four (4) on its website;
e) Image five (5) displays Trailers Intls HD4872 trailer loaded with Webbs
personal lawnmower. Altocraft uses an identical copy of image five (5) on its
website.
Altocrafts Counterfeit Vehicle Registration Documents
87.

In addition to using Webbs registered intellectual property to advertise and sell

counterfeit trailers, Altocraft also uses the 52Z WMI belonging to Trailers Intl to create
counterfeit Manufacturers Statement of Origin certificates and Vehicle Identification Numbers
for the counterfeit trailers it imports.
88.

United States Customs and Border Protection requires that vehicles imported into

the United States include a Manufacturers Statement of Origin (MSO, sometimes referred to
as a Certificate of Origin) and a Vehicle Identification Number. Vehicles that do not include
both the MSO and VIN are not allowed into the United States. Hence, Altocraft is required to
include a MSO and VIN tag for each counterfeit trailer it imports into the United States.
89.

Altocraft issues counterfeit MSOs and VIN tags using the 52Z WMI that

belongs to Trailers Intl.


90.

Webbs and Trailers Intls websites provides trailer licensing instructions to help

customers comply with DMV requirements. Altocraft blatantly copies Webbs and Trailers
COMPLAINT
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Intls licensing guidance on its website. The text of Altocrafts Trailer Licensing Instructions
is copied verbatim from Webbs and Trailers Intls websites. (Figure 2.)
AUTHENTIC

INFRINGING

Text copied verbatim from Plaintiffs websites (left).


Figure 2: Webbs and Trailers Intls licensing information compared to Altocrafts infringing
copies (http://altocrafttrailer.com/license-your-trailer/ and http://altocrafttrailer.com/licensinginstructions/) (Home Depot also provides the infringing licensing instructions for download:
http://www.homedepot.com/catalog/pdfImages/f8/f865bab1-c6a4-49d9-95fa-eeb236efc9eb.pdf).
91.

In order to register a trailer, a customer must present the Bill of Sale and MSO to

the Department of Motor Vehicles (DMV). The DMV clerk is supposed to inspect both the
Bill of Sale and MSO to make sure that each describes the same vehicle. If the Bill of Sale and
MSO do not match, then the DMV will not allow the customer to register the trailer.
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92.

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The DMV does not always notice discrepancies on the documents, however, and

many of Defendants customers have successfully registered trailers with a Bill of Sale for an
Altocraft trailer and a counterfeit MSO. In these instances the counterfeit Altocraft trailers are
registered as though they were manufactured by Trailers Intl.
93.

Sometimes, the customer notices the discrepancies between the Bill of Sale and

the trailer registration documentation, and will call Altocraft for guidance. In these instances,
Altocraft has informed customers that it is the same company as Trailers Intl, and even offers to
license the counterfeit trailers for customers.
94.

Indeed, Trailers Intl frequently receives inquiries from customers who have

successfully registered counterfeit Altocraft trailers. These customers believe that Trailers Intl
is the actual manufacturer of the counterfeit trailers based on the counterfeit registration
documents.
95.

This confusion harms Trailers Intl because customers who experience quality or

performance issues with a counterfeit trailer may believe Trailers Intl to be the manufacturer of
the inferior product.
96.

Furthermore, Webb and Trailers Intl are at an increased risk of complaints and

suits against them as a result of Altocrafts counterfeiting. If a counterfeit Altocraft trailer is


involved in an accident or otherwise causes harm to a person, the counterfeit vehicle registration
falsely names UtilityMate as the manufacturer, unjustly making Webb and Trailers Intl the
possible targets for liability claims.
Home Depots Infringement
97.

In December 2010, Webb began negotiations with Home Depot to sell Trailers

Intl trailers in Home Depot stores across the United States. Home Depot planned to launch a
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trailer kit program selling UtilityMate trailer kits in its stores nationwide by the Spring of 2012
under the brand UtilityDump.
98.

By the end of 2011 Webb and Home Depot were in the final stages of preparing

for the UtilityDump launch. Webb negotiated for Home Depot to stock two models of steel
UtilityDump trailer kits, and one model of an aluminum UtilitySport trailer kit. Webb
traveled to China at Home Depots request to meet with manufacturers to tie-up loose ends
related to shipping logistics and package integrity. Home Depot created SKU numbers for each
model of UtilityDump trailer kit to be sold. Webb created detailed flyers for Home Depot to
use to educate its store managers about UtilityDump trailer kits. (Figure 3, below.)

Figure 3: Trailer Kit flyers created for presentation to Home Depot store managers.
99.

By early 2012 Home Depot estimated it would stock 9 UtilityDump trailers in

each of its 600 stores. Accordingly, Home Depot estimated it would order 5,400 UtilityDump

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trailer kits for nearly $4.2 million for the UtilityDump launch. Home Depot planned to sell
UtilityDump trailers in stores across the United States beginning in April 2012.
100.

In February 2012, Altocraft contacted Defendant Home Depot to discuss selling

counterfeit Altocraft trailers in Home Depot stores. Altocraft offered its counterfeit trailers at a
lower cost to Home Depot than genuine Trailers Intl UtilityMate trailer kits.
101.

Home Depot contacted Webb via e-mail to inquire about the competitive stance of

Altocraft in relation to Trailers Intl and its products.


102.

Webb warned Home Depot in writing that Altocraft did not have any rights to

make or sell any of Trailers Intls products or use Webbs designs or intellectual property to
make or sell similar products.
103.

On February 29, 2012, through his attorneys, Webb sent a second notice warning

Home Depot that the Altocraft trailers were counterfeit, and that the importation and sale of
Altocraft trailers violated Webbs intellectual property rights.
104.

On March 9, 2012, through his attorneys, Webb sent a letter to Altocraft and

Zhang, notifying them of Altocrafts infringement and demanding that Altocraft cease and desist
its infringing activities.
105.

Despite Webbs demand, on information and belief Altocraft persisted its

discussions with Home Depot regarding selling counterfeit Altocraft trailers at Home Depot.
106.

By April 2012, UtilityDump trailer kits were not being sold in Home Depot

stores as planned. Home Depot never made the nearly $4.2 million initial order of
UtilityDump trailers it had estimated making.
107.

On May 9, 2012, Webb sent a series of e-mails to Home Depots in-house

intellectual property counsel further notifying Home Depot of its violations of his intellectual
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property. At Home Depots request, Webb provided documentation of the alleged violations,
including: screen captures from Jumbos website which show that Altocraft is a brand owned by
Jumbo; screen captures from Altocrafts website displaying product images, descriptions, and
specifications copied from Webbs and Trailers Intls websites; a genuine UtilityMate product
catalog (Figure 4, below), and a counterfeit product catalog circulated by Jumbo (Figure 5,
below), nearly identical to Trailers Intls genuine UtilityMate catalog.
COUNTERFEIT

AUTHENTIC

Figure 4.
108.

Figure 5.
Home Depot acknowledged receipt of Webbs e-mail and documentation via

return e-mail from its in-house intellectual property counsel the following day.
109.

Through a series of correspondence including letters, e-mails, and telephone calls,

Home Depot was fully aware of Webbs federally registered intellectual property rights, and that
Altocrafts activities constituted infringement of said rights.
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110.

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Home Depot had actual knowledge of Webbs registered trademarks and

copyrighted material in 2012.


111.

Home Depot had actual knowledge in 2012 that Altocraft did not have the right to

make, import or sell trailers using Webbs designs or marks.


112.

Home Depot had actual knowledge in 2012 that Altocrafts activities of

importing, offering for sale, selling, and distributing counterfeit trailers constituted Lanham Act
violations.
113.

The trailer kit launch that Webb had spent more than eighteen months negotiating

with Home Depot never occurred.


114.

Instead, despite Home Depots actual knowledge, Home Depot proceeded to offer

counterfeit Altocraft trailers for sale through its website at www.homedepot.com.


115.

On information and belief, Altocraft offered to supply Home Depot with

counterfeit trailers at a significantly lower cost than Trailers Intls UtilityMate trailers.
116.

Home Depot initially offered counterfeit Altocraft trailers for sale at a

significantly lower price than Trailers Intl sells genuine UtilityMate trailers. However, since
Altocraft successfully substituted its counterfeit products in place of genuine Trailers Intl
products, the price of counterfeit Altocraft trailers offered by Home Depot has steadily risen.
117.

Home Depots sales of counterfeit Altocraft trailers have caused damage to

Trailers Intl in the form of reduced sales and lost profits.


118.

Despite Home Depots actual knowledge, Home Depot continues to offer

counterfeit Altocraft trailers for sale on its website today. See, e.g., Figure 6, below.

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Figure 6.
Sears and K-Marts Infringement
119.

Sears and K-Mart, at one time, were authorized to sell, and did in fact sell,

genuine Trailers Intl UtilityMate trailers through their websites. (Figure 7.)

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Figure 7: Website captures of Sears and K-Marts genuine UtilityMate listings, circa 2012.
120.

Sears and K-Mart acquired genuine UtilityMate trailers from a Trailers Intl

authorized distributor, Scotsco, Inc. (Scotsco). Scotsco had an agreement with Trailers Intl by
which genuine Trailers Intl trailers would be supplied to Scotsco, and Scotsco would distribute
the genuine trailers to retailers such as Sears, K-Mart, and WalMart.
121.

On information and belief, Altocraft had knowledge of Trailers Intls agreement

with Scotsco. On further information and belief, Altocraft offered to supply Sears and K-Mart
with counterfeit trailers at a significantly lower cost than they paid for Trailers Intls genuine
UtilityMate trailers.
122.

By December 2012, Sears and K-Mart were selling Altocrafts counterfeit trailers

on their websites. Sears and K-Mart used Webbs copyrighted images and descriptions on their
counterfeit Altocraft trailer web pages. At some time, Sears and K-Mart stopped buying genuine
UtilityMate trailers.

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Figure 8: Captures showing UtilityMate trailers as sold out (above), and Altocraft counterfeit
trailers offered for sale using Webbs 4 in 1 trademark and copyrighted material (below).
123.

Within a matter of months, Sears and K-Mart had completely replaced Trailers

Intls genuine UtilityMate trailers in favor of Altocrafts counterfeit trailers, and searches for
UtilityMate trailers on the Sears and K-Mart websites only returned listings for Altocrafts
counterfeit trailers. (Figure 9.)

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Figure 9: A counterfeit Altocraft trailer returned by a search for Trailers Intls trailer. The
counterfeit listing uses Webbs 4 in 1 trademark and copyrighted product description.
124.

Sears and K-Marts sales of counterfeit Altocraft trailers have caused damage to

Trailers Intl in the form of reduced sales and lost profits.


Port of Portland U.S. Customs and Border Protection Seizure
125.

In October 2012, U.S. Customs and Border Protection (CBP) informed Webb

that a shipment of suspected infringing trailers from China had attempted entry at the Port of
Portland. The declared manufacturer of the suspect trailers was Jumbo.
126.

The container of trailers arrived at the Port of Portland on October 29, 2012, and

was detained and examined by CBP shortly thereafter. During the first week of December 2012,
CBP officers provided Webb with photographs of the suspect trailers for review. The suspect
trailers were clearly marked with Webbs trademarks. Moreover, Webb observed multiple
indications that the suspect trailers were not genuine UtilityMate trailers, including the overall
inferior quality of the suspect trailers compared to the quality of genuine UtilityMate trailers.
For example, the trailer lights on the suspect trailers were not LED lights, and those trailers had
bare wiring not housed in an insulated harness.
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127.

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Webb submitted an affidavit to CBP on December 11, 2012, in which he provided

details explaining why the trailers were not genuine UtilityMate trailers. Webb subsequently
received a letter from CBP dated December 18, 2012, informing him that CBP seized the suspect
trailers on December 13, 2012, under case number 2013-2904-000018, because the trailers bore
marks that constituted counterfeit copies of Webbs registered UtilityMate trademark.
128.

In January 2013, Steven Resch wrote to Trailers Intl urging Webb to authorize the

release of the seized counterfeit trailers at the Port of Portland.


129.

In February 2013, Orrin Lundy sent an e-mail to Webb requesting the release of

the counterfeit trailers seized at the Port of Portland.


130.

Lundy is the President of Trailer World.

131.

Lundy had ordered the shipment of counterfeit trailers seized at the Port of

Portland.
132.

Trailer World was listed as the importer of record of the counterfeit trailers seized

at the Port of Portland.


133.

Lundy, through his company Trailer World, is an importer and distributor of

trailers, and a previous violator of Webbs intellectual property rights.


134.

In 2011, Lundy and Trailer World entered into a settlement agreement with Webb

in resolution of the prior dispute concerning Lundys and Trailer Worlds importation of
counterfeit utility trailers made from Webbs designs.
135.

In the agreement, Lundy and Trailer World expressly agreed that in the future

neither would purchase any trailers that infringed Webbs intellectual property. In exchange,
Webb agreed to release Lundy and Trailer World from any liability stemming from their
infringement of his intellectual property rights up to the date of the settlement.
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136.

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Lundys and Trailer Worlds 2012 attempt to import counterfeit trailers

constituted a breach of the settlement agreement with Webb.


137.

In its February 2013 e-mail, Lundy acknowledged the settlement agreement with

Webb, claiming that he had not intended to once again purchase infringing trailers. Lundy
further stated that he had relied on the representation of Steven Resch in August, 2012, that
Webb was no longer in the trailer business.
138.

According to Lundy, Resch represented that at the time of the offer Trailers Intl

(as its predecessor UtilityMate) still had a valid agreement with Jumbo, and that the counterfeit
trailers were genuine UtilityMate trailers that Jumbo was offering as a closeout.
139.

Resch knowingly made these false statements to Lundy.

140.

Resch had actual knowledge of Webbs registered trademarks and copyrights.

141.

Resch had actual knowledge that at the time of the sale to Lundy, Jumbo did not

have the right to make, import or sell trailers using Webbs designs or marks.
142.

Resch has offered and continues to offer to supply counterfeit trailers

manufactured by Jumbo to buyers across the United States.


143.

Resch makes false representations that cause others to violate Webbs intellectual

property rights.
Undercover Purchase and Miami Customs and Border Protection Seizure
144.

After U.S. Customs and Border Protection seized the counterfeit trailers at the

Port of Portland, Webb researched shipping data on the PIERS commercial trade database at
www.piers.com (PIERS) in search of additional unauthorized shipments by Jumbo.
145.

The PIERS reports revealed that Jumbo had continued to import unauthorized

containers of trailers. The PIERS reports further revealed that Altocraft was the importer of
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many of the unauthorized containers from Jumbo, despite Webbs demand that Altocraft cease
and desist its infringing activity.
146.

Webb retained a private investigator to investigate Altocraft. In January 2013,

Webbs investigator met with Altocrafts principal, Xuefeng James Zhang, at Altocrafts
warehouse in Miami, Florida, and purchased two counterfeit trailers from the warehouse.
147.

Altocrafts warehouse inventory included stacks of boxed counterfeit trailers.

(Figure 10.) The package art of the unassembled trailers displayed Webbs registered
UtilityMate, BUILD IT AND SAVE, and 4 in 1 trademarks, as well as Webbs copyrighted
material. (Figure 11.)

Figure 10: Stacks of boxed counterfeit trailers inside Altocrafts Miami, Florida warehouse.

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Figure 11: Boxed counterfeit trailers with labels bearing Webbs registered marks and
copyrighted material.
148.

Zhang provided Webbs investigator with a counterfeit Jumbo product catalog

nearly identical to Trailers Intls authentic UtilityMate catalog. The counterfeit catalog
contained Webbs registered trademarks and copyrighted material throughout. (Figure 12.)
AUTHENTIC

COUNTERFEIT

Figure 12.
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149.

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Webbs investigator purchased a UtilityMate 4 in 1 trailer (UM5806) and an

Altocraft 4 in 1 trailer directly from Altocrafts warehouse. The Altocraft package bore a
crudely affixed label attempting to cover any reference to Trailers Intls brand. (Figure 13.)

Figure 13. Altocraft labels affixed to packages to conceal UtilityMate information on


counterfeit trailers purchased by Webbs investigator (left) and on counterfeit trailers seized by
Customs and Border Protection (right).
150.

Altocraft employees helped Webbs investigator load the counterfeit trailers into a

moving truck. (Figure 14.)

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Figure 14: Loading the counterfeit trailers into the moving truck.
151.

Altocraft was even using a counterfeit trailer bearing Webbs registered

UtilityMate trademark at its warehouse at the time of the investigators purchase. (Figure 15.)

Figure 15.
152.

Following the investigators purchase of counterfeit trailers from Altocraft, Webb

provided an intellectual property product identification guide to U.S. Customs and Border
Protection to help law enforcement officers identify Webbs registered trademarks and
copyrights, and identify infringing shipments of imported products. The guide provided details
regarding Webbs registered marks, copyrighted material, genuine packaging, products, and
product registration material.

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153.

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In August 2013, CBP informed Webb it was reviewing a suspect shipment of

trailers. Per photographs provided by CBP to Webb, CBPs examination of the suspect shipment
revealed that the shipping cartons containing the suspect trailers bore Webbs UtilityMate
trademark, but the label bearing Webbs mark was either concealed behind another label,
crossed-out by black marker (e.g., Figure 16), or removed and replaced with another label.

Figure 16: Webbs and Trailers Intls UtilityMate name and model number crossed out with
black marker and replaced with a counterfeit Altocraft model number.
154.

Webb submitted an infringement analysis to CBP on August 16, 2013 in which he

provided details explaining why the trailers were not genuine UtilityMate trailers. On October
15, 2013, CBP informed Webb that it had seized a container of trailers under case number 20135201-001147 because the trailers bore marks that constituted counterfeit copies of Webbs
registered UtilityMate trademark. The seized trailers also bore Webbs registered copyrighted
safety sticker on the trailer tongue.1 (Figure 17.) The seized container of counterfeit trailers was
destined for Altocrafts warehouse.

To date, every counterfeit Altocraft trailer seized by CBP has borne Webbs copyrighted safety sticker.

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Figure 17: Webbs copyrighted safety sticker on a counterfeit trailer seized by CBP in Miami.
155.

Altocraft has actual knowledge of Webbs registered trademarks and copyrights.

156.

Altocraft has actual knowledge that its activities constitute violations of Webbs

intellectual property rights.


157.

Altocraft has actual knowledge of Webbs demand that Altocraft cease and desist

its infringing activities.


158.

Altocraft has imported and continues to import counterfeit trailers into the United

States for sale and distribution across the United States. The counterfeit trailers Altocraft
imports and distributes are manufactured using Webbs and Trailers Intls designs, use Webbs
and Trailers Intls marks, and are accompanied by documentation which infringes Webbs
federally registered copyrights and trademarks.
159.

Altocraft attempts to remove Webbs UtilityMate and UtilitySport marks from

the packaging for the counterfeit trailers it imports and distributes.


160.

Many customers who order Altocraft trailers receive products bearing Webbs

marks. The counterfeit trailers are shipped with counterfeit licensing and registration documents
that improperly use Trailers Intls valid and unique World Manufacturer Identifier prefix.
161.

Altocraft informs customers that Altocraft and Trailers Intl are the same company,

and that there is no difference between Altocraft and Trailers Intl products.
162.

Altocraft offers to license counterfeit trailers for customers.


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163.

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Altocraft has offered to license counterfeit trailers in this district for customers

located in this district.


164.

Altocraft imports, offers for sale, sells, and distributes counterfeit trailers across

the United States.


165.

Altocrafts counterfeit trailers are sold in direct competition with genuine

UtilityMate and UtilitySport trailers, but at significantly lower prices.


166.

Altocraft sells the counterfeit trailers at a lower price because they are

manufactured from parts and materials that are inferior to those used in genuine Trailers Intl
trailers.
167.

Altocraft induces others to infringe Webbs registered trademarks and copyrights

by supplying counterfeit trailers to retailers across the United States for resale.
168.

Webb and Trailers Intl have been, and continue to be, harmed by Defendants past

and continued manufacture, import, offers for sale, sale, and distribution of counterfeit trailers.
169.

Defendants infringement has caused economic harm to Trailers Intl in the form

of reduced sales and lost profits.


170.

Defendants infringement has caused customer confusion, has damaged Webbs

and Trailers Intls reputation for offering a quality product, and has put customers at risk of
physical harm due to the inferior craftsmanship of the counterfeit trailers.
171.

Webb or Trailers Intl face increased risk of complaints and suits as a direct result

of Defendants activities related to the importation, sale, and distribution of counterfeit trailers.

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Additional Examples of Defendants Infringement


172.

Defendants violations of Webbs intellectual property rights are ongoing and

pervasive. The paragraphs that follow are intended as merely a representative sample of
Defendants infringement.
173.

Jumbo illegally uses Webbs and Trailers Intls design, drawings, blueprints, and

tooling to manufacture and advertise counterfeit Trailers Intl trailers for export and sale,
including into and across the United States. (Figure 18, below.)

Figure 18: Jumbos website displaying the counterfeit trailers it manufactures.


174.

Altocraft imports, offers for sale, sells, and distributes counterfeit utility trailers

that are nearly identical to genuine Trailers Intl utility trailers.


175.

Altocraft advertises the infringing trailers using photographs and descriptions that

are identical in appearance or confusingly similar to those Webb and Trailers Intl use on their
websites, and that infringe Webbs registered copyrights and trademarks. See Figures 1-2,
above, and Figures 19-20, below, for examples of Altocrafts infringement.
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INFRINGING

Figure 19: Captures from Webbs and Trailers Intls websites (left) and Altocrafts website
(right) displaying nearly identical images, model numbers, descriptions, and specifications.
AUTHENTIC

INFRINGING

Figure 20: Webbs and Trailers Intls websites (left) and Altocrafts website (right) displaying
nearly identical images, model numbers, specifications, and using Webbs 4 in 1 trademark.
176.

Through its website, Altocraft makes available for download manuals, guides, and

other documentation related to utility trailers that contain text and images that violate Webbs
registered copyrights and trademarks. (Figure 21.)
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AUTHENTIC

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INFRINGING

Figure 21: Webbs and Trailers Intls website (left) and Altocrafts website (right) displaying
Webbs and Trailers Intls copyrighted manuals, which bear Webbs UtilitySport trademark.
177.

For example, the AT6096 Assembly Guide downloaded from Altocrafts website

contains a nearly identical wiring diagram to that in Webbs and Trailers Intls copyrighted
manuals. (Figure 22.)
AUTHENTIC

COUNTERFEIT

Figure 22: Nearly identical wiring diagrams contained in many of Webbs and Trailers Intls
copyrighted manuals (left), and in manuals available for download from Altocraft (right).
178.

Figure 10 of Altocrafts AT6096 Assembly Guide displays an identical image of a

VIN tag on a trailer tongue as used in many of Webbs and Trailers Intls copyrighted materials.
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The pictured VIN tag displays UTILITYMATE LLC as the manufacturer. The first three digits
of the VIN number are 52Z, Trailers Intls unique World Manufacturer Identifier. (Figure 23.)

Figure 23: Figure 10 from Altocrafts AT6096 Assembly Guide, downloaded from
Altocrafts website. The VIN tag on the trailer tongue lists UTILITYMATE LLC as the
manufacturer, and uses Trailers Intls unique, three-digit, WMI prefix in the VIN number.
179.

Altocraft uses Trailers Intls 52Z WMI to create counterfeit vehicle registration

documents, including counterfeit VIN tags, which it imports with its counterfeit trailers.
180.

Altocraft is not authorized to manufacture, import, offer for sale, sell, distribute,

or otherwise deal in trailers made from Webbs and Trailers Intls designs.
181.

Home Depot offers for sale and sells counterfeit utility trailers that are nearly

identical to genuine Trailers Intl utility trailers.


182.

Home Depot advertises the counterfeit trailers using photographs, product

numbers, and descriptions that are identical or confusingly similar to those Webb and Trailers
Intl use on their websites, and that infringe Webbs registered copyrights and trademarks. See
Figure 6, above, and Figure 24, below, for examples of Home Depots infringement.

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INFRINGING (Home Depot)

AUTHENTIC (UtilityMate)

Figure 24: Home Depot AT5288M product page (top) displaying a nearly identical trailer
image to Trailers Intls UM5806 trailer (bottom), and using Webbs 4 in 1 trademark and
copyrighted text in the product overview section.
183.

Home Depots sales and distribution of counterfeit trailers bearing Webbs

trademarks and which appear identical to Webbs and Trailers Intls designs causes customer
confusion. The customer reviews on Home Depots website reflect that customers receive
different trailers than they order. A customer image uploaded to Home Depots website shows
the customer received a counterfeit Altocraft trailer bearing Webbs UtilityMate trademark.
(http://homedepot.ugc.bazaarvoice.com/1999m/284719/photo.jpg; See also Figure 25.)

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COUNTERFEIT (received by customer)

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AUTHENTIC

Figure 25: Customer image (left) of Altocraft trailer which appears to bear Webbs
UtilityMate mark. Compare to trademark location on Trailers Intls UD4872 trailer (right).
184.

Through its website, Home Depot offers for download manuals, guides, and other

documentation related to utility trailers that violate Webbs copyrights and infringe on his
trademarks, and in some cases even contain photographs of products bearing Webbs and
Trailers Intls trademarked UtilityMate brand name.
185.

For example, the AT6096 Assembly Guide downloaded from Home Depots

website at http://www.homedepot.com/catalog/pdfImages/62/622d9d9c-e687-43f5-bdf3426a04ff2489.pdf contains a nearly identical wiring diagram to that in Webbs and Trailers Intls
copyrighted manuals. (Figure 26.)

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AUTHENTIC

Page 43 of 68

COUNTERFEIT

Figure 26: Nearly identical wiring diagrams contained in many of Webbs and Trailers Intls
copyrighted manuals (left), and in manuals available for download from Home Depot (right).
186.

Figure 10 of the Altocraft AT6096 Assembly Guide downloaded from Home

Depots website displays an identical image of a VIN tag on a trailer tongue as displayed in
many of Webbs and Trailers Intls copyrighted materials. The pictured VIN tag displays
UTILITYMATE LLC as the manufacturer. The first three digits of the VIN number are 52Z,
Trailers Intls unique World Manufacturer Identifier. (Figure 27.)

Figure 27: Figure 10 from Altocrafts AT6096 Assembly Guide, downloaded from Home
Depots website. The VIN tag on the tongue lists UTILITYMATE LLC as the manufacturer.

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187.

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By its sales and distribution of counterfeit trailers, Home Depot distributes to

customers counterfeit vehicle registration documents, including counterfeit VIN tags.


188.

Home Depot makes available for download through its website, e.g., at

http://www.homedepot.com/catalog/pdfImages/f8/f865bab1-c6a4-49d9-95fa-eeb236efc9eb.pdf,
trailer licensing instructions that are copied verbatim from Webbs and Trailers Intls registered
copyrighted websites. (Figure 28.)

Text copied verbatim from Plaintiffs websites (left).


Figure 28.
189.

Home Depot causes customers to register counterfeit trailers purchased from

Home Depot using counterfeit registration documents which incorrectly name UtilityMate as the
manufacturer of the counterfeit trailers.
190.

Home Depot is not authorized to manufacture, import, offer for sale, sell,

distribute, or otherwise deal in trailers made from Webbs and Trailers Intls designs.
191.

Sears offered for sale and sold counterfeit utility trailers that were nearly identical

to genuine Trailers Intl utility trailers.

COMPLAINT
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192.

Document 1

Filed 01/30/15

Page 45 of 68

Sears advertised the counterfeit utility trailers using photographs, product

numbers, and descriptions identical or confusingly similar to those Webb or Trailers Intl use on
their websites, and that infringe Webbs registered copyrights and trademarks.

Figure 29: Captures from Sears website displaying trailer images and text nearly identical to
Webbs copyrighted images and text, and displaying Webbs 4 in 1 trademark.
193.

Sears has actual knowledge of Webbs registered trademarks and copyrights.

194.

Sears is not authorized to manufacture, import, offer for sale, sell, distribute, or

otherwise deal in counterfeit trailers made from Webbs and Trailers Intls designs.
195.

K-Mart offered for sale and sold counterfeit utility trailers that were nearly

identical to genuine Trailers Intl utility trailers.

COMPLAINT
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196.

Document 1

Filed 01/30/15

Page 46 of 68

K-Mart advertised the counterfeit utility trailers using photographs, product

numbers, and descriptions identical or confusingly similar to those Webb and Trailers Intl use on
their websites, and that infringe Webbs registered copyrights and trademarks.

Figure 30: Captures from K-Marts website displaying trailer images and text nearly identical
to Webbs copyrighted images and text, and displaying Webbs 4 in 1 trademark.
197.

K-Mart is not authorized to manufacture, import, offer for sale, sell, distribute, or

otherwise deal in counterfeit trailers made from Webbs and Trailers Intls designs.
COMPLAINT
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198.

Document 1

Filed 01/30/15

Page 47 of 68

PED offers for sale and sells counterfeit utility trailers that are nearly identical to

genuine Trailers Intl utility trailers.


199.

PED advertises the infringing trailers using photographs, brand names,

descriptions, and model numbers identical or confusingly similar to those Webb and Trailers Intl
use on their websites, and that infringe Webbs registered copyrights and trademarks. See
Figures 31 and 32.

Figure 31: Capture from PEDs website displaying trailer image and model number nearly
identical to Webbs copyrighted images and model numbers.

Figure 32: Capture from PEDs website displaying trailer image and model number nearly
identical to Webbs copyrighted images and model numbers and using variations of Webbs
UtilitySport and UtilityDump trademarks.
COMPLAINT
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Document 1

Filed 01/30/15

Page 48 of 68

200.

PED has actual knowledge of Webbs registered trademarks and copyrights.

201.

PED is not authorized to manufacture, import, offer for sale, sell, distribute, or

otherwise deal in trailers made from Webbs and Trailers Intls designs.
202.

Global Industrial offers for sale and sells counterfeit utility trailers that are nearly

identical to genuine Trailers Intl utility trailers.


203.

Global Industrial advertises the counterfeit trailers using photographs and

descriptions identical or confusingly similar to those Webb and Trailers Intl use on their
websites, and that infringe Webbs registered copyrights and trademarks. See Figure 33, below.

Figure 33: Capture from Global Industrials website displaying trailer images and text nearly
identical to Webbs copyrighted images and text, and displaying Webbs 4 in 1 trademark.
204.

Global Industrial is not authorized to manufacture, import, offer for sale, sell,

distribute, or otherwise deal in trailers made from Webbs and Trailers Intls designs.
205.

Build.com offered for sale and sold counterfeit utility trailers that are nearly

identical to genuine Trailers Intl utility trailers.

COMPLAINT
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206.

Document 1

Filed 01/30/15

Page 49 of 68

Build.com advertised the counterfeit trailers using photographs and model

numbers nearly identical to those Webb and Trailers Intl use on their websites, and that infringe
Webbs registered copyrights.

Figure 34: Capture from Build.coms website displaying trailer image and model number nearly
identical to Webbs copyrighted material.
207.

Build.com is not authorized to manufacture, import, offer for sale, sell, distribute,

or otherwise deal in trailers made from Webbs and Trailers Intls designs.
208.

Sky Distributors offers for sale and sells counterfeit utility trailers that are nearly

identical to genuine Trailers Intl utility trailers.


209.

Sky Distributors advertises the counterfeit trailers using photographs and

descriptions identical or confusingly similar to those Webb and Trailers Intl use on their
websites, and that infringe Webbs registered copyrights and trademarks. See Figure 35, below.

COMPLAINT
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Document 1

Filed 01/30/15

Page 50 of 68

Figure 35: Sky Distributors website captures displaying images and text copied from Webbs
copyrighted images and text, and using Webbs registered and common law trademarks.
210.

Sky Distributors is not authorized to manufacture, import, offer for sale, sell,

distribute, or otherwise deal in trailers made from Webbs and Trailers Intls designs.
CLAIM ONE COPYRIGHT INFRINGEMENT
(Against all Defendants)
211.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 210 above as if fully set forth herein.


212.

Defendants acts constitute copyright infringement in violation of 17 U.S.C.

213.

Webb is the author and copyright holder of copyrighted material for his utility

501.

trailers. Webb has registered the owners manual and contents, web site, product catalog, sales
material and package artwork associated with his utility trailers with the U.S. Copyright Office.
COMPLAINT
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214.

Document 1

Filed 01/30/15

Page 51 of 68

Webb has complied with 17 U.S.C. 101 et seq., and has secured the exclusive

rights and privileges in and to the copyrights of the owners manual and contents, web site,
product catalog, sales material and package artwork associated with his utility trailers. Webb is,
and has been, the sole owner of the rights, title, and interest in and to the copyrights in their
respective works as referenced above.
215.

Trailers Intl is the exclusive licensee of Webbs intellectual property, including

Webbs federally registered copyrights.


216.

Each Defendant distributed utility trailers that included manuals containing

Webbs and Trailers Intls copyrighted material.


217.

Home Depots, Sears, K-Marts, Build.coms, Global Industrials Power

Equipment Directs, Sky Distributors, and Jumbos websites displayed Webb and Trailers Intls
copyrighted images.
218.

Defendants activities described hereinabove violate Webbs and Trailers Intls

exclusive rights and privileges, conferred pursuant to 17 U.S.C. 101 et seq., including without
limitation 17 U.S.C. 106, of Webbs registered copyright in the owners manual and contents,
web site, product catalog, sales material and package artwork associated with Trailers Intl utility
trailers.
219.

Defendants have realized and continue to realize profits and other benefits

rightfully belonging to Webb or Trailers Intl as a result of their violations of Webbs and Trailers
Intls exclusive rights in the copyrighted material.
220.

Defendants violations of Webbs and Trailers Intls exclusive rights in his

copyrighted material has caused and is likely to cause Webb and Trailers Intl to sustain monetary
damages, loss, and injury in an amount to be determined in this action.
COMPLAINT
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221.

Document 1

Filed 01/30/15

Page 52 of 68

Defendants use of Webbs copyrighted material is without Webbs and Trailers

Intls consent or permission.


222.

Defendants violations of Webbs and Trailers Intls exclusive rights in his

copyrighted material was made with actual or constructive knowledge of Webbs and Trailers
Intls exclusive rights. Webb and Trailers Intl are therefore entitled to the maximum damages
allowable.
CLAIM TWO TRADEMARK INFRINGEMENT
(Against all Defendants)
223.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 222 above as if fully set forth herein.


224.

Defendants acts constitute trademark infringement in violation of 15 U.S.C.

1114(1).
225.

Webbs UtilityMate, UtilitySport, BUILD IT AND SAVE, and 4 in 1

trademarks are valid, federally registered trademarks owned by Webb.


226.

The registration of Webbs marks on the Principal Register constitutes prima facie

evidence of the validity of Webbs marks, as well as Webbs ownership and exclusive rights to
use the marks in commerce, pursuant to 15 U.S.C. 1115.
227.

Trailers Intl is the exclusive licensee of Webbs intellectual property, including

Webbs federally registered trademarks.


228.

Webb and Trailers Intl, as the owner and licensee of all right, title, and interest to

the registered marks, have standing to maintain an action for trademark infringement under 15
U.S.C. 1114.
229.

Webb and Trailers Intl have continuously used the UtilityMate, UtilitySport,

and 4 in 1 marks in commerce for the sale of utility trailers since at least 2005. And, Webb and
COMPLAINT
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Document 1

Filed 01/30/15

Page 53 of 68

Trailers Intl have continuously used the BUILD IT AND SAVE mark in commerce for the sale
of utility trailers since at least 2009.
230.

Defendants have used and continue to use Webbs federally registered marks in

connection with the sale of utility trailers, which is identical to the goods in connection with
which Webb and Trailers Intl use and have used the federally registered marks since at least
2005 and 2009, respectively, and to the goods listed in Webbs incontestable Federal
Registration for his federally registered marks.
231.

Each Defendant sold utility trailers bearing Webb and Trailers Intls marks.

232.

Defendants use of Webbs federally registered marks as alleged above has

caused, and is likely to further cause confusion, mistake, or deception as to the source, or
approval of the products and services of Defendants in that others are likely to believe that
Defendants goods and services are in some way legitimately connected with, sponsored or
licensed by, or otherwise related to Webb and Trailers Intl.
233.

Defendants use of Webbs federally registered marks is without Webbs and

Trailers Intls consent or permission.


234.

Defendants infringement has caused and is likely to cause damage to Webbs and

Trailers Intls reputation and goodwill among consumers and will divert sales and opportunities
away from Trailers Intl and to Defendants.
235.

Defendants acts of trademark infringement, unless enjoined, are likely to cause

Webb and Trailers Intl to sustain monetary damages, loss, and injury in an amount to be
determined in this action.
236.

Webb and Trailers Intl are without an adequate remedy at law because

Defendants infringement of Webbs federally registered marks has caused irreparable injury to
COMPLAINT
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Document 1

Filed 01/30/15

Page 54 of 68

Webb and Trailers Intl, and unless said acts are enjoined by this Court, they will continue and
Webb and Trailers Intl will continue to suffer irreparable injury.
237.

Defendants violations of Webbs and Trailers Intls exclusive rights in the

federally registered marks are with actual or constructive knowledge of Webbs and Trailers
Intls exclusive rights. Webb and Trailers Intl are therefore entitled to the maximum damages
allowable.
CLAIM THREE TRADEMARK COUNTERFEITING
(Against all Defendants)
238.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 237 above as if fully set forth herein.


239.

Defendants acts constitute trademark counterfeiting in violation of 15 U.S.C.

1114(1) and 1116(d).


240.

Webbs UtilityMate, UtilitySport, BUILD IT AND SAVE, and 4 in 1

marks are valid, federally registered marks owned by Webb.


241.

The registration of Webbs marks on the Principal Register constitutes prima facie

evidence of the validity of Webbs marks, as well as Webbs ownership and exclusive rights to
use the marks in commerce, pursuant to 15 U.S.C. 1115.
242.

Trailers Intl is the exclusive licensee of Webbs intellectual property, including

Webbs federally registered trademarks.


243.

Webb and Trailers Intl have continuously used the UtilityMate, UtilitySport,

and 4 in 1 marks in commerce for the sale of utility trailers since at least 2005. And, Webb and
Trailers Intl have continuously used the BUILD IT AND SAVE mark in commerce for the
sale of utility trailers since at least 2009.

COMPLAINT
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244.

Document 1

Filed 01/30/15

Page 55 of 68

Defendants have used and continue to use marks that are identical to or

indistinguishable from Webbs federally registered marks in connection with the sale of utility
trailers, which use is identical to the goods in connection with which Webb and Trailers Intl use
and have used the federally registered marks since at least 2005 and 2009, respectively, and to
the goods listed in Webbs incontestable Federal Registration for the federally registered marks.
245.

Defendants have used marks that are identical to or indistinguishable from

Webbs federally registered marks knowing that they are counterfeit in connection with the
advertisement, promotion, offer for sale, sale, and distribution of utility trailers
246.

Defendants use of Webbs federally registered marks in commerce as alleged

herein has caused and is likely to cause confusion, mistake, or deception as to the affiliation,
connection, or association of Defendants with Webb and Trailers Intl or as to the origin or
approval of the products of Defendants and those of Webb and Trailers Intl, and misrepresents
the nature, characteristics, and qualities of these products.
247.

Defendants use of Webbs federally registered marks is without Webbs and

Trailers Intls consent or permission.


248.

Defendants activities have caused and are likely to cause damage to Webbs and

Trailers Intls reputation and goodwill among consumers and will divert sales and opportunities
away from Webb and Trailers Intl and to Defendants.
249.

Defendants acts of trademark counterfeiting have caused, and, unless enjoined,

are likely to further cause Webb and Trailers Intl to sustain monetary damages, loss, and injury
in an amount to be determined in this action.
250.

Webb and Trailers Intl are without an adequate remedy at law because

Defendants use of Webbs federally registered marks has caused irreparable injury to Webb and
COMPLAINT
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Document 1

Filed 01/30/15

Page 56 of 68

Trailers Intl, and unless said acts are enjoined by this Court, they will continue and Webb and
Trailers Intl will continue to suffer irreparable injury.
251.

Defendants violations of Webbs and Trailers Intls exclusive rights in the

federally registered marks are with actual or constructive knowledge of Webbs and Trailers
Intls exclusive rights. Webb and Trailers Intl are therefore entitled to the maximum damages
allowable.
CLAIM FOUR FALSE DESIGNATION OF ORIGIN
(Against all Defendants)
252.

Webb and Trailers Intl repeat and realleges each of the allegations contained in

paragraphs 1 through 251 above as if fully set forth herein.


253.

Defendants acts constitute false designation of origin in violation of 15 U.S.C.

1125(a)(1).
254.

Webbs UtilityMate, UtilitySport, BUILD IT AND SAVE, and 4 in 1

marks are valid, federally registered marks owned by Webb.


255.

The registration of Webbs marks on the Principal Register constitutes prima facie

evidence of the validity of Webbs marks, as well as Webbs ownership and exclusive rights to
use the marks in commerce, pursuant to 15 U.S.C. 1115.
256.

Trailers Intl is the exclusive licensee of Webbs intellectual property, including

Webbs federally registered trademarks.


257.

Webb and Trailers Intl have continuously used the UtilityMate, UtilitySport,

and 4 in 1 marks in commerce for the sale of utility trailers since at least 2005. And, Webb and
Trailers Intl have continuously used the BUILD IT AND SAVE mark in commerce for the sale
of utility trailers since at least 2009.

COMPLAINT
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Case 3:15-cv-00171-BR

258.

Document 1

Filed 01/30/15

Page 57 of 68

Defendants have used and continue to use Webbs federally registered marks in

connection with the importation and sale of utility trailers into and across the United States,
which is identical to the goods in connection with which Webb and Trailers Intl use and have
used the federally registered marks since at least 2005 and 2009, respectively, and to the goods
listed in Webbs incontestable Federal Registration for his federally registered marks.
259.

Defendants use of Webbs federally registered marks has caused and is likely to

cause confusion, mistake, or deception as to the source, affiliation, or approval of the goods and
services of Defendants because others are likely to believe that Defendants goods and services
in some way are connected with, licensed by, associated with, affiliated with, or otherwise
related to Webb and Trailers Intl.
260.

Defendants use of Webbs federally registered marks is without Webbs and

Trailers Intls consent or permission.


261.

Defendants activities have caused and are likely to cause damage to Webbs and

Trailers Intls reputation and goodwill among consumers and will divert sales and opportunities
away from Webb and Trailers Intl and to Defendants.
262.

Defendants acts which constitute false designation of origin have caused, and,

unless enjoined, are likely to further cause Webb and Trailers Intl to sustain monetary damages,
loss, and injury in an amount to be determined in this action.
263.

Webb and Trailers Intl are without an adequate remedy at law because

Defendants use of Webbs federally registered marks has caused irreparable injury to Webb and
Trailers Intl, and unless said acts are enjoined by this Court, they will continue and Webb and
Trailers Intl will continue to suffer irreparable injury.

COMPLAINT
Page 56

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264.

Document 1

Filed 01/30/15

Page 58 of 68

Defendants violations of Webbs and Trailers Intls exclusive rights in the

federally registered marks are with actual or constructive knowledge of Webbs and Trailers
Intls exclusive rights. Webb and Trailers Intl are therefore entitled to the maximum damages
allowable.
CLAIM FIVE UNFAIR COMPETITION (PASSING OFF)
(Against All Defendants)
265.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 264 above as if fully set forth herein.


266.

Defendants acts constitute unfair competition in violation of 15 U.S.C.

1125(a)(1).
267.

Webbs UtilityMate, UtilitySport, BUILD IT AND SAVE, and 4 in 1

marks are valid, federally registered marks owned by Webb.


268.

The registration of Webbs marks on the Principal Register constitutes prima facie

evidence of the validity of Webbs marks, as well as Webbs ownership and exclusive rights to
use the marks in commerce, pursuant to 15 U.S.C. 1115.
269.

Trailers Intl is the exclusive licensee of Webbs intellectual property, including

Webbs federally registered trademarks.


270.

Webb and Trailers Intl have continuously used the UtilityMate, UtilitySport,

and 4 in 1 marks in commerce for the sale of utility trailers since at least 2005. And, Webb and
Trailers Intl have continuously used the BUILD IT AND SAVE mark in commerce for the sale
of utility trailers since at least 2009.
271.

Defendants import, offer for sale, sell, and distribute utility trailers across the

United States.

COMPLAINT
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272.

Document 1

Filed 01/30/15

Page 59 of 68

Defendants represent to potential and actual customers that the utility trailers

Defendants import, offer for sale, sell, and distribute across the United States are Altocraft brand.
273.

Customers who order Altocraft trailers receive trailers that bear Webbs federally

registered trademarks, and which are packaged with documentation that consists of Webbs
federally registered copyrighted material and includes licensing and registration certificates
bearing Trailers Intls predecessor business name and World Manufacturer Identifier.
274.

Defendants have used and continue to use Webbs federally registered marks in

connection with the importation and sale of utility trailers into and across the United States,
which is identical to the goods in connection with which Webb and Trailers Intl use and have
used the federally registered marks since at least 2005 and 2009, respectively, and to the goods
listed in Webbs incontestable Federal Registration for the federally registered marks.
275.

Defendants use of Webbs federally registered marks has caused and is likely to

cause confusion, mistake, or deception as to the source, affiliation, or approval of the goods and
services of Defendants because others are likely to believe that Defendants goods and services
in some way are connected with, licensed by, associated with, affiliated with, or otherwise
related to Webb and Trailers Intl.
276.

Defendants use of Webbs federally registered marks is without Webbs or

Trailers Intls consent or permission.


277.

Defendants activities have caused and are likely to cause damage to Webbs and

Trailers Intls reputation and goodwill among consumers and will divert sales and opportunities
away from Trailers Intl and to Defendants.

COMPLAINT
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Case 3:15-cv-00171-BR

278.

Document 1

Filed 01/30/15

Page 60 of 68

Defendants acts which constitute passing off unfair competition have caused,

and, unless enjoined, are likely to further cause Webb and Trailers Intl to sustain monetary
damages, loss, and injury in an amount to be determined in this action.
279.

Webb and Trailers Intl are without an adequate remedy at law because

Defendants use of Webbs federally registered marks has caused irreparable injury to Webb and
Trailers Intl, and unless said acts are enjoined by this Court, they will continue and Webb and
Trailers Intl will continue to suffer irreparable injury.
280.

Defendants violations of Webbs and Trailers Intls exclusive rights in the

federally registered marks are with actual or constructive knowledge of Webbs and Trailers
Intls exclusive rights. Webb and Trailers Intl are therefore entitled to the maximum damages
allowable.
CLAIM SIX COMMON LAW FRAUD
(Against Defendant Steven Resch)
281.

Webb and Trailers Intl repeats and realleges each of the allegations contained in

paragraphs 1 through 280 above as if fully set forth herein.


282.

In August 2012, Resch falsely represented to Lundy and Trailer World that

Webbs and Trailers Intls trailer business had shut down.


283.

In August 2012, Resch falsely represented to Lundy and Trailer World that

genuine UtilityMate trailers were available at closeout prices.


284.

In August 2012, Resch falsely represented to Lundy and Trailer World that the

manufacturing agreement between Trailers Intl and Jumbo was valid and not terminated.
285.

Resch made the representations listed above knowing that each such

representation was false.

COMPLAINT
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286.

Document 1

Filed 01/30/15

Page 61 of 68

Resch knowingly made the false representations listed above with the intent to

induce Lundy and Trailer World to purchase and import counterfeit trailers.
287.

Lundy purchased and Trailer Word imported a carton of counterfeit trailers in

reliance on the false representations made by Resch.


288.

Webb learned of the false representations made by Resch on February 17, 2013,

through an e-mail Lundy sent to Webb.


289.

Reschs false representations caused damage to Webb and Trailers Intl in the form

of reduced sales and lost profits, and by interjecting competing counterfeit trailers into the
marketplace in which Trailers Intl participates.
290.

Reschs conduct relating to the sale of counterfeit trailers as described above

constitutes common law fraud.


CLAIM SEVEN COMMON LAW COMMERCIAL DISPARAGEMENT
(Against Defendants Altocraft and Xuefeng Zhang)
291.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 290 above as if fully set forth herein.


292.

In August 2014, Altocraft falsely represented to a customer that Altocraft and

UtilityMate are the same company.


293.

In August 2014, Altocraft falsely represented to a customer that there is no

difference between Altocraft and UtilityMate trailers.


294.

In August 2014, Altocraft falsely represented to a customer that Altocraft is the

name of its new model trailers, and that UtilityMate is just the old model of the same trailers.
295.

Altocraft made the representations listed above knowing that each such

representation was false.

COMPLAINT
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296.

Document 1

Filed 01/30/15

Page 62 of 68

Altocraft made the false representations listed above with the intent and

knowledge that such false statements would result in harm to Webb and Trailers Intl.
297.

Altocrafts false statements result in the sale of counterfeit Altocraft trailers

instead of genuine Trailers Intl trailers because customers believe the trailers to be the same.
298.

Altocrat and Zhang have in the past, and continue to, falsely represent to

customers that Altocraft and Trailers Intl are the same company.
299.

Altocraft and Zhang have in the past, and continue to, falsely represent to

customers that Altocraft and Trailers Intl make the same products.
300.

Altocraft and Zhang make such false representations knowing that they are false.

301.

Altocraft and Zhang make such false representations with the intent and

knowledge that such false statements will result in harm to Webb and Trailers Intl.
302.

Altocraft trailers are manufactured from parts and materials that are inferior to

those used in genuine Trailers Intl trailers.


303.

Altocrafts and Zhangs false statements have resulted in harm to Webb and

Trailers Intl in the form of damage to reputation, reduced sales, and lost profits.
304.

Altocrafts and Zhangs conduct relating to the sale of counterfeit trailers as

described above constitutes common law commercial disparagement.


CLAIM EIGHT BREACH OF CONTRACT
(Against Defendants Orrin Lundy and Trailer World)
305.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 304 above as if fully set forth herein.


306.

Webb entered into a settlement agreement with Orrin Lundy and Trailer World on

August 12, 2011.

COMPLAINT
Page 61

Case 3:15-cv-00171-BR

307.

Document 1

Filed 01/30/15

Page 63 of 68

By the settlement agreement, Webb released Lundy and Trailer World from any

claims arising from any acts of infringement of Webbs intellectual property by Lundy or Trailer
World committed on or before the date of the settlement agreement.
308.

By the settlement agreement, Lundy and Trailer World agreed not to purchase at

any time in the future trailers that in any way infringe any of Webbs intellectual property rights.
309.

Webb has not brought any claims against Lundy or Trailer World arising from

any acts of infringement of Webbs intellectual property committed on or before the date of the
settlement agreement.
310.

To date, Webb has not breached the settlement agreement, and has fully

performed his obligations under the settlement agreement.


311.

On or about August 1, 2012, Lundy purchased a container of counterfeit trailers

that violated Webbs trademark rights and copyrights.


312.

Lundys purchase of the counterfeit trailers constitutes a breach of the settlement

agreement.
313.

Lundys breach of the settlement agreement has caused damaged to Webb and

Trailers Intl in the form of reduced sales and lost profits, and by interjecting competing
counterfeit trailers into the marketplace in which Trailers Intl participates.
314.

In or about October 2012, Trailer World caused the importation into this district

of counterfeit trailers that violate Webbs trademark rights and copyrights.


315.

Trailer Worlds importation of the counterfeit trailers constitutes a breach of the

settlement agreement.

COMPLAINT
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316.

Document 1

Filed 01/30/15

Page 64 of 68

Trailer Worlds breach of the settlement agreement has caused damaged to Webb

and Trailers Intl in the form of reduced sales and lost profits, and by interjecting competing
counterfeit trailers into the marketplace in which Trailers Intl participates.
CLAIM NINE CONVERSION
(Against Defendant Zhuhai Sharp-Group Enterprise Co., Ltd., a/k/a Jumbo)
317.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 316 above as if fully set forth herein.


318.

Webb and Trailers Intl own all blueprints, tooling, and dies used to manufacture

genuine Trailers Intl trailers.


319.

Upon termination of its agreement with Webb and Trailers Intl, Jumbo was

required to return all blueprints, tooling, dies, and any copies of the same, used to manufacture
genuine Trailers Intl trailers.
320.

Jumbo does not have the right to use or possess Webbs and Trailers Intls

blueprints, tooling, and dies, or copies of the same.


321.

Jumbo knowingly and illegally has manufactured and continues to manufacture

counterfeit utility trailers using Webbs and Trailers Intls blueprints, tooling, and dies, or copies
of the same.
322.

Jumbo tortiously obtained possession of Webbs and Trailers Intls blueprints,

tooling, and dies, or copies of the same, and by its acts of manufacturing counterfeit trailers has
wrongfully converted Webbs and Trailers Intls blueprints, tooling, and dies, or copies of the
same, to its own use and benefit.
323.

Jumbos activities described hereinabove constitute conversion of Webbs and

Trailers Intls blueprints, tooling, and dies, or copies of the same.

COMPLAINT
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324.

Document 1

Filed 01/30/15

Page 65 of 68

Webb and Trailers Intl have been damaged and inconvenienced by Jumbos

conversion of their blueprints, tooling, and dies, or copies of the same.


CLAIM TEN TRADE SECRET MISAPPROPRIATION
(Against Defendant Zhuhai Sharp-Group Enterprise Co., Ltd., a/k/a Jumbo)
325.

Webb and Trailers Intl repeat and reallege each of the allegations contained in

paragraphs 1 through 324 above as if fully set forth herein.


326.

Webb and Trailers Intl own all blueprints, tooling, and dies used to manufacture

genuine Trailers Intl trailers.


327.

Webbs and Trailers Intls blueprints, tooling, and dies used to manufacture

genuine Trailers Intl trailers are Webbs and Trailers Intls secret and proprietary materials.
328.

Webb and Trailers Intl only disclose and allow the use of their blueprints, tooling,

and dies used to manufacture genuine Trailers Intl trailers to contract manufacturers that they
authorize.
329.

Upon termination of its agreement with Webb and Trailers Intl, Jumbo was no

longer an authorized contract manufactutrer of genuine Trailers Intl trailers, and was required to
return all blueprints, tooling, dies, and any copies of the same, used to manufacture genuine
Trailers Intl trailers.
330.

Webb and Trailers Intl demanded that Jumbo return all blueprints, tooling, dies,

and any copies of the same, used to manufacture genuine Trailers Intl trailers.
331.

Jumbo does not have the right to use or possess Webbs and Trailers Intls

blueprints, tooling, and dies, or copies of the same.


332.

Jumbo knowingly and illegally has used and continues to use Webbs and Trailers

Intls blueprints, tooling, and dies, or copies of the same to manufacture counterfeit trailers.

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333.

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Jumbos activities described hereinabove constitute misappropriation of Webbs

and Trailers Intls blueprints, tooling, and dies, or copies of the same.
334.

Webb and Trailers Intl have been damaged by Jumbos misappropriation of their

blueprints, tooling, and dies, or copies of the same.


PRAYER FOR RELIEF
WHEREFORE, Plaintiffs Vincent L. Webb and Trailers Intl LLC pray for the following
relief:
A.

A judgment for Plaintiffs against Defendants that Defendants are liable for

Federal Copyright infringement, Federal Trademark infringement, Federal Unfair Competition


and False Designation of Origin under Federal Law;
B.

A judgment for Plaintiffs against Defendant Steven F. Resch that he is liable for

damages caused by common law fraud;


C.

A judgment for Plaintiffs against Defendant Altocraft that it is liable for damages

caused by common law commercial disparagement;


D.

A judgment for Plaintiffs against Defendant Lundy and Trailer World that Lundy

and Trailer World are liable for damages caused by breach of contract;
E.

A judgment for Plaintiffs against Defendant Jumbo that is liable for damages

caused by its conversion of Plaintiffs blueprints, tooling, and dies, or copies of the same;
F.

A judgment for Plaintiffs against Defendant Jumbo that is liable for damages

caused by its misappropriation of Plaintiffs blueprints, tooling, and dies, or copies of the same;
G.

A grant of permanent injunction against Defendants enjoining them from using

Plaintiffs blueprints, tooling, and dies, or copies of the same;

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H.

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A grant of permanent injunction against Defendants enjoining them from using

Webbs federally registered copyrights and trademarks, or any confusingly similar variation
thereof in connection with utility trailers, pursuant to 17 U.S.C. 502 and 15 U.S.C. 1116;
I.

A judgment awarding Plaintiffs compensatory and/or statutory damages as a

result of Defendants actions, together with interest and costs, including enhanced and treble
damages, pursuant to 17 U.S.C. 504, and 15 U.S.C. 1117(a)-(d);
J.

A judgment awarding Plaintiffs damages in an amount to be determined at trial to

be paid by Steven F. Resch as a result of his fraudulent conduct;


K.

A judgment awarding Plaintiffs damages in an amount to be determined at trial to

be paid by Altocraft as a result of its commercial disparagement of Plaintiffs products;


L.

An award to Plaintiffs of their costs, disbursements, and reasonable attorneys

fees incurred in this action, together with interest, including prejudgment interest, pursuant to 17
U.S.C. 505, and 15 U.S.C. 1117(b), and the equity powers of this Court; and
M.

Such other and further relief as may be deemed just and appropriate.
DEMAND FOR JURY TRIAL

Pursuant to Fed. R. Civ. P. 38(b), Plaintiff requests a trial by jury on all issues properly
triable by a jury.

Respectfully submitted,

Dated: January 30, 2015

By:

s/ Stephen J. Joncus
Stephen J. Joncus, OSB No. 013072
Email: stephen.joncus@klarquist.com
Xavier A. Clark, OSB No. 133287
Email: xavier.clark@klarquist.com
KLARQUIST SPARKMAN, LLP
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121 S.W. Salmon Street, Suite 1600


Portland, Oregon 97204
Telephone: 503-595-5300
Attorneys for Plaintiffs
VINCENT L. WEBB
and TRAILERS INTL LLC

COMPLAINT
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