By: Lauren Ohnesorge
Durham-headquartered LED giant Cree (Nasdaq: CREE) has filed a trademark infringement case against California e-retailer TomTop Group, accusing it of dealing in “pirated and counterfeit” Cree-branded products on sites such as eBay and Amazon.
“In light of the success of (Cree) … Its products have become targets for unscrupulous individuals and entities that wish to take a free ride on its goodwill, reputation and fame,” the complaint reads.
According to Cree's allegations, TomTop was never authorized to distribute Cree products or use its trademarks. But investigators from Cree purchased several flashlights from TomTop, receipts for which are included in the exhibits filed with the suit. Cree claims those transactions and the products it purchased – many of which Cree says carry an unauthorized “Cree” label and are falsely advertised as being Cree merchandise – are evidence of wrongdoing. Reproductions of Cree trademarks were copied onto products and product packaging in attempts to convince customers that the TomTop wares were made by Cree, the suit alleges.
“Defendants’ actions were committed in bad faith and with the intent to dilute Plaintiff’s marks, and to cause confusion and mistake,” the complaint reads. Cree is asking for relief and damages that include TomTop’s profits, triple damages for intentional infringement and reimbursement for its attorney fees.
The case, filed last Wednesday in the Central District of California, demands a jury trial. Xinhui Liao, a/k/a Mike Liao, TomTop founder, is also named in the suit as well as 10 unknown "Doe" defendants who Cree claims were involved in the wrongdoing.
Cree didn’t have an immediate comment on the suit and TomTop has not responded to a request for comment on the case.
Cree has been taking several recent steps to aggressively protect its intellectual property, filing suits against such companies as Feit Electronics and Kingbright Electronic Co.
"We've got a pretty simple strategy, right?" CEO Chuck Swoboda said in February. "We prefer people not to import infringing products and we'd like to get paid for our IP."
See original article at Triangle Biz Journal: http://www.bizjournals.com/triangle/blog/techflash/2015/12/cree-accuses-california-e-retailer-of.html?ana=yahoo&ref=yfp
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