Laws: Cases and Codes : U.S. Code : Title 15 : Section 1116


   
U.S. Code as of: 01/19/04
Section 1116. Injunctive relief

    (a) Jurisdiction; service
      The several courts vested with jurisdiction of civil actions
    arising under this chapter shall have power to grant injunctions,
    according to the principles of equity and upon such terms as the
    court may deem reasonable, to prevent the violation of any right of
    the registrant of a mark registered in the Patent and Trademark
    Office or to prevent a violation under subsection (a), (c), or (d)
    of section 1125 of this title. Any such injunction may include a
    provision directing the defendant to file with the court and serve
    on the plaintiff within thirty days after the service on the
    defendant of such injunction, or such extended period as the court
    may direct, a report in writing under oath setting forth in detail
    the manner and form in which the defendant has complied with the
    injunction. Any such injunction granted upon hearing, after notice
    to the defendant, by any district court of the United States, may
    be served on the parties against whom such injunction is granted
    anywhere in the United States where they may be found, and shall be
    operative and may be enforced by proceedings to punish for
    contempt, or otherwise, by the court by which such injunction was
    granted, or by any other United States district court in whose
    jurisdiction the defendant may be found.
    (b) Transfer of certified copies of court papers
      The said courts shall have jurisdiction to enforce said
    injunction, as provided in this chapter, as fully as if the
    injunction had been granted by the district court in which it is
    sought to be enforced. The clerk of the court or judge granting the
    injunction shall, when required to do so by the court before which
    application to enforce said injunction is made, transfer without
    delay to said court a certified copy of all papers on file in his
    office upon which said injunction was granted.
    (c) Notice to Director
      It shall be the duty of the clerks of such courts within one
    month after the filing of any action, suit, or proceeding involving
    a mark registered under the provisions of this chapter to give
    notice thereof in writing to the Director setting forth in order so
    far as known the names and addresses of the litigants and the
    designating number or numbers of the registration or registrations
    upon which the action, suit, or proceeding has been brought, and in
    the event any other registration be subsequently included in the
    action, suit, or proceeding by amendment, answer, or other
    pleading, the clerk shall give like notice thereof to the Director,
    and within one month after the judgment is entered or an appeal is
    taken the clerk of the court shall give notice thereof to the
    Director, and it shall be the duty of the Director on receipt of
    such notice forthwith to endorse the same upon the file wrapper of
    the said registration or registrations and to incorporate the same
    as a part of the contents of said file wrapper.
    (d) Civil actions arising out of use of counterfeit marks
      (1)(A) In the case of a civil action arising under section
    1114(1)(a) of this title or section 220506 of title 36 with respect
    to a violation that consists of using a counterfeit mark in
    connection with the sale, offering for sale, or distribution of
    goods or services, the court may, upon ex parte application, grant
    an order under subsection (a) of this section pursuant to this
    subsection providing for the seizure of goods and counterfeit marks
    involved in such violation and the means of making such marks, and
    records documenting the manufacture, sale, or receipt of things
    involved in such violation.
      (B) As used in this subsection the term "counterfeit mark" means
    - 
        (i) a counterfeit of a mark that is registered on the principal
      register in the United States Patent and Trademark Office for
      such goods or services sold, offered for sale, or distributed and
      that is in use, whether or not the person against whom relief is
      sought knew such mark was so registered; or
        (ii) a spurious designation that is identical with, or
      substantially indistinguishable from, a designation as to which
      the remedies of this chapter are made available by reason of
      section 220506 of title 36;

    but such term does not include any mark or designation used on or
    in connection with goods or services of which the manufacture (!1)
    or producer was, at the time of the manufacture or production in
    question authorized to use the mark or designation for the type of
    goods or services so manufactured or produced, by the holder of the
    right to use such mark or designation.

      (2) The court shall not receive an application under this
    subsection unless the applicant has given such notice of the
    application as is reasonable under the circumstances to the United
    States attorney for the judicial district in which such order is
    sought. Such attorney may participate in the proceedings arising
    under such application if such proceedings may affect evidence of
    an offense against the United States. The court may deny such
    application if the court determines that the public interest in a
    potential prosecution so requires.
      (3) The application for an order under this subsection shall - 
        (A) be based on an affidavit or the verified complaint
      establishing facts sufficient to support the findings of fact and
      conclusions of law required for such order; and
        (B) contain the additional information required by paragraph
      (5) of this subsection to be set forth in such order.

      (4) The court shall not grant such an application unless - 
        (A) the person obtaining an order under this subsection
      provides the security determined adequate by the court for the
      payment of such damages as any person may be entitled to recover
      as a result of a wrongful seizure or wrongful attempted seizure
      under this subsection; and
        (B) the court finds that it clearly appears from specific facts
      that - 
          (i) an order other than an ex parte seizure order is not
        adequate to achieve the purposes of section 1114 of this title;
          (ii) the applicant has not publicized the requested seizure;
          (iii) the applicant is likely to succeed in showing that the
        person against whom seizure would be ordered used a counterfeit
        mark in connection with the sale, offering for sale, or
        distribution of goods or services;
          (iv) an immediate and irreparable injury will occur if such
        seizure is not ordered;
          (v) the matter to be seized will be located at the place
        identified in the application;
          (vi) the harm to the applicant of denying the application
        outweighs the harm to the legitimate interests of the person
        against whom seizure would be ordered of granting the
        application; and
          (vii) the person against whom seizure would be ordered, or
        persons acting in concert with such person, would destroy,
        move, hide, or otherwise make such matter inaccessible to the
        court, if the applicant were to proceed on notice to such
        person.

      (5) An order under this subsection shall set forth - 
        (A) the findings of fact and conclusions of law required for
      the order;
        (B) a particular description of the matter to be seized, and a
      description of each place at which such matter is to be seized;
        (C) the time period, which shall end not later than seven days
      after the date on which such order is issued, during which the
      seizure is to be made;
        (D) the amount of security required to be provided under this
      subsection; and
        (E) a date for the hearing required under paragraph (10) of
      this subsection.

      (6) The court shall take appropriate action to protect the person
    against whom an order under this subsection is directed from
    publicity, by or at the behest of the plaintiff, about such order
    and any seizure under such order.
      (7) Any materials seized under this subsection shall be taken
    into the custody of the court. The court shall enter an appropriate
    protective order with respect to discovery by the applicant of any
    records that have been seized. The protective order shall provide
    for appropriate procedures to assure that confidential information
    contained in such records is not improperly disclosed to the
    applicant.
      (8) An order under this subsection, together with the supporting
    documents, shall be sealed until the person against whom the order
    is directed has an opportunity to contest such order, except that
    any person against whom such order is issued shall have access to
    such order and supporting documents after the seizure has been
    carried out.
      (9) The court shall order that service of a copy of the order
    under this subsection shall be made by a Federal law enforcement
    officer (such as a United States marshal or an officer or agent of
    the United States Customs Service, Secret Service, Federal Bureau
    of Investigation, or Post Office) or may be made by a State or
    local law enforcement officer, who, upon making service, shall
    carry out the seizure under the order. The court shall issue
    orders, when appropriate, to protect the defendant from undue
    damage from the disclosure of trade secrets or other confidential
    information during the course of the seizure, including, when
    appropriate, orders restricting the access of the applicant (or any
    agent or employee of the applicant) to such secrets or information.
      (10)(A) The court shall hold a hearing, unless waived by all the
    parties, on the date set by the court in the order of seizure. That
    date shall be not sooner than ten days after the order is issued
    and not later than fifteen days after the order is issued, unless
    the applicant for the order shows good cause for another date or
    unless the party against whom such order is directed consents to
    another date for such hearing. At such hearing the party obtaining
    the order shall have the burden to prove that the facts supporting
    findings of fact and conclusions of law necessary to support such
    order are still in effect. If that party fails to meet that burden,
    the seizure order shall be dissolved or modified appropriately.
      (B) In connection with a hearing under this paragraph, the court
    may make such orders modifying the time limits for discovery under
    the Rules of Civil Procedure as may be necessary to prevent the
    frustration of the purposes of such hearing.
      (11) A person who suffers damage by reason of a wrongful seizure
    under this subsection has a cause of action against the applicant
    for the order under which such seizure was made, and shall be
    entitled to recover such relief as may be appropriate, including
    damages for lost profits, cost of materials, loss of good will, and
    punitive damages in instances where the seizure was sought in bad
    faith, and, unless the court finds extenuating circumstances, to
    recover a reasonable attorney's fee. The court in its discretion
    may award prejudgment interest on relief recovered under this
    paragraph, at an annual interest rate established under section
    6621(a)(2) of title 26, commencing on the date of service of the
    claimant's pleading setting forth the claim under this paragraph
    and ending on the date such recovery is granted, or for such
    shorter time as the court deems appropriate.



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