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Case 2:18-cv-00960-EJF Document 2 Filed 12/19/18 Page 2 of 14

Clinton E. Duke (9784)


Sarah W. Matthews (13295)
DURHAM JONES & PINEGAR, P.C.
111 S. Main Street, Suite 2400
Salt Lake City, Utah 84111
Telephone (801) 415-3000
Facsimile (801) 415-3500
cduke@djplaw.com
smatthews@djplaw.com

Attorneys for Plaintiff Happy Baby, LLC

IN THE UNITED STATES DISTRICT COURT FOR THE STATE OF UTAH

CENTRAL DIVISION

HAPPY BABY, LLC, a Utah limited liability


company, and MARY ELIZABETH YOUNG, a COMPLAINT FOR PATENT
Utah resident, INFRINGEMENT, TRADE DRESS
INFRINGEMENT, AND UNFAIR
Plaintiffs, COMPETITION

vs. Case No. 2:18-cv-00960-EJF


Sakura Bloom, LLC, a California limited liability
corporation, Magistrate Judge Evelyn J. Furse

Defendant.
JURY TRIAL DEMANDED

Plaintiff Happy Baby, LLC and Mary Elizabeth Young (“Happy Baby” or “Plaintiff”),

hereby file this Complaint against Defendant Sakura Bloom, LLC (“Sakura Bloom” or

“Defendant”), complaining and alleging as follows:

PARTIES

1. Happy Baby, LLC is a Utah limited liability corporation with its principal place of

business in South Jordan, Utah.

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2. Mary Elizabeth Young is a resident of South Jordan, Utah.

3. On information and belief, Sakura Bloom is a California limited liability company

with its principal place of business at 1403 South Coast Hwy, Oceanside, CA 92054.

JURISDICTION AND VENUE

4. This is an action for patent infringement arising under the patent laws of the

United States, 35 U.S.C. § 1, et. seq., including 35 U.S.C. § 271, and under the trademark laws of

the United States, Title 15 of the United States Code. This Court has subject matter jurisdiction

under 28 U.S.C. § 1331 and §§ 1338(a).

5. Defendant Sakura Bloom is subject to this Court’s specific and general personal

jurisdiction pursuant to due process and/or the Utah Long Arm Statute, due at least to its

substantial business in this forum, including its targeting of distributors in this forum to sell its

infringing baby carriers, and targeting and working with marketing bloggers in this forum to

advertise and promote its infringing baby carriers. Sakura Bloom actively targets and sells its

infringing products through the store “The Baby Cubby” located in this district at 586 North 900

West, American Fork, UT 84003, as well as Sprouts located in this district at 2720 S. West

Temple Salt Lake City, UT 84115. Sakura Bloom has further committed acts of patent

infringement in this State and judicial district.

6. On information and belief, venue is proper in this judicial district pursuant to 28

U.S.C. §§ 1391(b)-(d) and 1400(b). Certain of the acts giving rise to the claims alleged herein

occurred in this judicial district. Defendant Sakura Bloom has committed acts of infringement in

this judicial district by, among other things, selling, and offering for sale infringing products in

this judicial district.

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GENERAL ALLEGATIONS

Development and Success of Happy® Brand Baby Carrier

7. Happy Baby re-alleges and incorporates by reference each and every allegation

made in the prior paragraphs as though they were fully set forth herein.

8. Mary Elizabeth Young is the founder and CEO of Happy Baby, LLC. Ms. Young

founded Happy Baby, LLC in 2011 and first began selling wrap-style carriers. As a mother and

caregiver of young children, Ms. Young had substantial opportunities to use many different baby

carriers available on the market. As Ms. Young tried the available carriers, she was dissatisfied

as many did not provide the proper support for the baby nor the caregiver, many were difficult to

use, and the overall look of the carriers was generally bulky, complicated, and unrefined.

9. Ms. Young took her experience and spent a substantial amount of time and money

inventing a new design for a baby carrier. Ms. Young obtained a patent for her new design, and

also began selling the carriers through her company Happy Baby, LLC. Happy Baby, LLC is the

exclusive licensee of Ms. Young’s patent, U.S. Patent No. D835,902 (“the ’902 Patent”). The

’902 Patent is directed to a novel design for a baby carrier. A true and correct copy of the ’902

Patent is attached as Exhibit A.

10. Happy Baby’s unique and sophisticated baby carriers have been a commercial

success. The patented baby carriers are sold in all 50 states and abroad under the brand Happy®.

11. Happy Baby has invested substantial amounts of money and time in the creation,

acquisition, and protection of its intellectual rights related to the patented Happy® carrier,

including its trade dress and trademarks. The distinctive and simple design of the Happy® carrier

constitutes Happy Baby’s trade dress. As a result of the unique look of the Happy® carrier and

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the extensive sales and promotions done by Happy Baby, the patented Happy® carrier became

closely associated with Happy Baby. Customers now identify Happy Baby as the source of the

patented Happy® carrier.

Sakura Bloom’s Infringement of Happy Baby’s Patent and Trade Dress

12. Defendant Sakura Bloom is a direct competitor of Happy Baby. The Happy®

carrier was first sold in October 2016 at a trade show that Sakura Bloom attended. The Happy®

carrier became an immediate success. Rather than develop its own unique carrier, Sakura Bloom

copied Happy Baby’s popular and protected design.

13. On or about March 23, 2017, Sakura Bloom’s head of design and production,

Robyn Bolen, ordered a Happy® carrier. (Exhibit B, showing receipt to Sakura Bloom’s head of

design and production Robyn Bolen for a patented Happy® carrier). About 3 months later,

Sakura Bloom began selling an infringing baby carrier called “Onbuhimo.” In December 2017,

Sakura Bloom began selling another infringing baby carrier called “Scout.”

14. The Happy® carrier ordered by Sakura Bloom used a type of foam in its shoulder

straps that has never been used on any type of baby carrier previously. Sakura Bloom’s

infringing “Onbuhimo” and “Scout” carriers use this same type of foam that was previously

unique to the Happy® carriers. On information and belief, Sakura Bloom only discovered the

unique foam by ordering and deconstructing a Happy® carrier.

15. Another similarity that suggests Sakura Bloom’s “Scout” carrier was designed

using a deconstructed Happy® carrier is that the length of the Happy Baby® carrier’s waist strap

is the functional length of the “Scout” waist strap.

16. The adjustment system length and location of Sakura Bloom’s “Onbuhimo”

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carrier also indicates the “Onbuhimo” was designed using a deconstructed Happy® carrier. The

“Onbuhimo” has shorter straps than the Happy® carrier, but the adjustment system for the

“Onbuhimo” begins only about two inches from the body of the carrier (no user would need an

adjustment as small as two inches from the body of the carrier as this would create a tiny opening

that would need to fit both the user’s head and their baby’s head). However, if a Happy® carrier

is deconstructed and the shoulder straps cut to the shorter length of the “Onbuhimo” shoulder

straps, the resulting carrier has an adjustment system that begins only about two inches from the

body of the carrier.

17. On information and belief, Sakura Bloom created their “Scout” carrier by

deconstructing a Happy Baby® carrier and merely substituting the buckles for rings.

18. Sakura Bloom also designed its “Scout” and “Onbuhimo” products to look like

the Happy Baby carrier in an attempt to piggyback off Ms. Young’s investment of time and

money in the development of the unique Happy® carrier design and to unfairly gain from Happy

Baby’s success.

19. As the side-by-side comparison below shows, Sakura Bloom copied Happy

Baby’s patented design in developing its “Scout” and “Onbuhimo” carriers, including at least the

elements of a main body formed from single panel design for a simple, sophisticated look, two

darts on the bottom front, uniquely curved shoulder straps, and X-style stitching to connect the

shoulder straps to the main body.

’902 Patent Sakura Bloom “Scout” Sakura Bloom “Onbuhimo”

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20. Additionally, as the side-by-side comparison below shows, Sakura Bloom copied

the innovative Happy® design and developed a baby carrier that is deceptively and confusingly

similar to the design of the Happy® carrier. When Sakura Bloom’s “Scout” or “Onbuhimo”

carrier is placed next to the Happy® carrier, customers are likely to confuse the products and

their sources of origin.

Happy® Carrier Sakura Bloom “Scout” Sakura Bloom “Onbuhimo”

21. In an attempt to further trade off the goodwill of Happy Baby, Sakura Bloom

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offers their carriers in many of the exact same colors and exact same materials. Sakura Bloom

even named some of the colors the same name as Happy Baby’s colors (for example, “flax”).

22. Many Happy Baby customers became confused by the Sakura Bloom “Scout”

carrier and its source of origin, thinking Happy Baby was affiliated with Sakura Bloom. Many

customers on Happy Baby’s FaceBook group were confused about the two similar products.

23. Happy Baby customers on Happy Baby’s FaceBook group thought the “Scout”

and the Happy Baby® carriers were the same thing. For example, one user posted a picture of a

Happy Baby® carrier and asked for advice on use for the carrier, and another user posted

describing how they use their “Scout,” evidencing that the user was unaware of a difference

between the Happy Baby® carrier and a Sakura Bloom “Scout” carrier. (Exhibit C). Another

user on the Happy Baby FaceBook group posted a ring sling to trade for a “Scout” rather than a

Happy Baby® carrier (Exhibit D).

24. A Happy Baby customer trying to decide between Happy Baby’s “Stone” and

“Flax” colors posted a question about the two colors on the Happy Baby FaceBook group, and

another user responded showing a video of her baby “in our Flax.” Rather than the video

showing a flax Happy® carrier, the video shows a flax Sakura Bloom Scout carrier. The flax

Sakura Bloom Scout carrier was a new color Sakura Bloom released in Fall 2017 that is identical

in color and color name to a Happy® carrier already on the market. The video shows that even

among well-educated customers, like those that belong to the FaceBook group of Happy Baby,

there is confusion about the source of the two products. (Exhibit E).

25. Similarly, Sakura Bloom customers are also confused by the similarities between

the Sakura Bloom carriers and the Happy® carrier. A Sakura Bloom customer thought that

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Happy Baby was started by Sakura Bloom. The user posted to FaceBook: “Sooo….. who from

SB is behind HBC??? I was scrolling through FB and came across their ad. It sounds word for

word almost identical to the SB marketing?????? Looks an awful lot like a Scout that’s been

adapted with buckles too.” (Exhibit F).

26. Sakura Bloom also began to copy other elements of Happy Baby’s look and feel

for its products, marketing, and packaging. In April 2017 after ordering a Happy® carrier,

Sakura Bloom initiated a “brand refresh.” This included changing their logo to a single-word

handwritten logo, similar in appearance to the Happy® single-word handwritten logo.

27. Sakura Bloom also changed its packaging to have a similar look and feel to the

packaging for Happy® carriers. Sakura Bloom had previously packaged its carriers in bamboo

boxes since 2006. Happy Baby packages its unique Happy® carriers in a minimalist white, matte

box with a cutout on the front and a hand-written logo. The Happy® carrier purchased by Sakura

Bloom in March 2017 was packaged in this minimalist white box. Shortly after purchasing the

Happy® carrier, Sakura Bloom changed its packaging to a similar minimalist white, matte box,

including a cut-out on the front and a hand-written logo.

Happy® carrier Packaging Original Sakura Bloom Copycat Sakura Bloom


Packaging Packaging

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FIRST CLAIM FOR RELIEF


Infringement of U.S. Patent No. D835,902

28. Happy Baby re-alleges and incorporates by reference each and every allegation

made in the prior paragraphs as though they were fully set forth herein.

29. The ’902 Patent, titled “Baby Carrier,” was duly and legally issued on December

18, 2018.

30. The ’902 Patent has been in full force and effect since its issuance. Happy Baby is

the exclusive licensee of the ’902 Patent, including the exclusive rights to enforce the ’902

Patent.

31. Sakura Bloom has been, and currently is, directly infringing the ’902 Patent by

making, using, selling, offering to sell, and/or importing into the United States baby carriers

incorporating the claim of the ’902 Patent. Sakura Bloom’s “Scout” and “Onbuhimo” carrier

infringe at least the claim of the ’902 Patent either literally or under the doctrine of equivalents

as shown above.

32. On information and belief, Sakura Bloom has been, and currently is, inducing

infringement of the ’902 Patent, in violation of 35 U.S.C. § 271(b), by knowingly encouraging or

aiding others to make, use, sell, or offer to sell Sakura Bloom infringing baby carriers, including

its Scout carrier and Onbuhimo carrier, in the United States, or to import its product into the

United States, without license or authority from Happy Baby, with knowledge of or willful

blindness to the fact that Sakura Bloom’s actions will induce others, including but not limited to

its customers, partners, and/or end users, to directly infringe the ’902 Patent.

33. As a result of Sakura Bloom’s infringement of the ’902 Patent, Happy Baby has

been damaged. Happy Baby is entitled to recover for damages sustained as a result of Sakura
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Bloom’s wrongful acts in an amount to be determined.

34. In addition, Sakura Bloom’s infringing acts have caused and are causing

immediate and irreparable harm to Happy Baby.

35. Due to Sakura Bloom’s previous affiliation with Happy Baby and knowledge of

Happy Baby’s intellectual property, Sakura Bloom has had actual knowledge of its infringement

of the ’902 Patent from the first instance it made, used, sold, offered for sale, or imported its

product. On information and belief, Sakura Bloom’s infringement of the ’902 Patent has been

and continues to be deliberate and willful, and, therefore, this is an exceptional case warranting

an award of treble damages and attorney’s fees to Happy Baby pursuant to 35 U.S.C. §§ 284-

285.

SECOND CLAIM FOR RELIEF


Trade Dress Infringement/Unfair Competition

36. Happy Baby re-alleges and incorporates by reference each and every allegation

made in the prior paragraphs as though they were fully set forth herein.

37. Based on its inherently distinctive design, as well as Happy Baby’s extensive

advertising, promotion, and sales of Happy® carriers in the United States, the consuming public

both accepts and recognizes Happy Baby’s Happy® carrier design, and it has become an asset of

substantial value as a symbol of Happy Baby, its innovative and sophisticated styled baby carrier

products, and its goodwill. As a result of Happy Baby’s efforts, customers associate the

distinctive Happy® carrier design with Happy Baby.

38. Happy Baby has therefore established valid and enforceable trade dress rights in

the Happy® carrier design, as described above.

39. Happy Baby is the owner of all right and title to the Happy Baby® trade dress.
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40. Sakura Bloom used Happy Baby’s trade dress without permission or approval

from Happy Baby. Sakura Bloom’s unauthorized use of the Happy Baby® trade dress includes

selling and offering for sale its Scout baby carrier and Onbuhimo baby carrier in the United

States, including on Sakura Bloom’s website and through its retail re-sellers located in the

United States. In addition, Sakura Bloom features the Scout product shape—Happy Baby’s

unique and nonfunctional trade dress—prominently on its website and social media.

41. Sakura Bloom’s Scout baby carrier and Onbuhimo baby carrier copy the unique

Happy® design and incorporates Happy Baby’s trade dress. By using Happy Baby’s trade dress

without permission, Sakura Bloom is unfairly benefitting from Happy Baby’s investment in the

Happy Baby® trade dress and the reputation, success, and goodwill that Happy Baby has

cultivated through its marketing and promotion of its Happy® carriers.

42. Sakura Bloom’s unauthorized use of Happy Baby’s trade dress in connection with

advertising and offering to sell its Scout and Onbuhimo baby carrier product is likely to cause

customer confusion and mistake, and to deceive consumers as to the source, origin, or affiliation

of Sakura Bloom’s products.

43. Sakura Bloom’s actions constitute unfair competition and false designation of

origin in violation of Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a).

44. Happy Baby is informed and believes, and on that basis alleges, that Sakura

Bloom knew of Happy Baby’s trade dress when it designed its Scout and Onbuhimo baby

carriers, at least because Sakura Bloom purchased a Happy® carrier before it designed its Scout

and Onbuhimo baby carriers. Accordingly, Sakura Bloom’s infringement has been and continues

to be intentional and willful.

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PRAYER FOR RELIEF

WHEREFORE, Happy Baby and Ms. Young pray for judgment against Sakura Bloom as

follows:

A. That the ’902 Patent is valid and enforceable and that Sakura Bloom has

infringed, and continues to infringe, the ’902 Patent;

B. That Sakura Bloom pay Happy Baby damages adequate to compensate Happy

Baby for Sakura Bloom’s infringement of the ’902 Patent, together with interest and costs under

35 U.S.C. § 284;

C. That Happy Baby be awarded an accounting of Sakura Bloom’s profits pursuant

to 15 U.S.C. § 1117;

D. That any damages awarded be trebled pursuant to 15 U.S.C. § 1117 and Happy

Baby be awarded costs and reasonable attorneys’ fees;

E. That restitutionary relief be awarded against Sakura Bloom and in favor of

Happy Baby, including disgorgement of wrongfully obtained profits and any other

appropriate relief;

F. That Sakura Bloom be ordered to pay pre-judgment and post-judgment interest on

the damages assessed;

G. That Sakura Bloom be ordered to pay supplemental damages to Happy Baby,

including interest, with an accounting, as needed;

H. That Sakura Bloom’s trade dress infringement is willful and that the damages

awarded to Happy Baby should be trebled;

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I. That this is an exceptional case under 35 U.S.C. § 285 and that Sakura Bloom pay

Happy Baby’s attorneys’ fees and costs in this action;

J. That Sakura Bloom and its officers, directors, agents, servants, affiliates,

employees, divisions, branches, subsidiaries, parents, and all others acting in active concert

therewith be preliminarily and permanently enjoined from infringing the ’902 Patent or Happy

Baby’s trade dress; and

K. That Happy Baby be awarded such other and further relief, including equitable

relief, as this Court deems just and proper.

DEMAND FOR JURY TRIAL

Pursuant to Federal Rule of Civil Procedure 38(b), Happy Baby hereby demands a trial

by jury on all issues triable by jury.

DATED this 19th day of December, 2018.

DURHAM JONES & PINEGAR, P.C.

/s/ Clinton E. Duke


Clinton E. Duke
Sarah W. Matthews
Attorneys for Plaintiff Happy Baby, LLC

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EXHIBIT B
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Happy Baby <happybabywrap@gmail.com>

[Happy Baby] New customer order (18962) ­ March 23, 2017
1 message

Happy Baby <info@happybabywrap.com> Thu, Mar 23, 2017 at 2:17 PM
To: info@happybabywrap.com

New customer order

You have received an order from Robyn Bolen. The order is as follows:

Order #18962 (March 23, 2017)

Product Quantity Price

Happy Baby Carrier (#HCBLOSSOM)


1 $148.00
Color: Blossom

Subtotal: $148.00

Discount: ­$7.40

Shipping: 2 ­ 3 Day

Tax: $0.00

Payment Method: Credit Card


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Product Quantity Price

Total: $140.60

Customer details

Please join us on Instagram @happybabycarriers and tag your photos with #happybabywrap
or #happybabycarrier
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EXHIBIT C
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EXHIBIT D
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EXHIBIT E
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EXHIBIT F
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