CarMax Auto Superstores West Coast, Inc. et al v. Automax Corporation et al
Filing
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF by Judge Percy Anderson: On the joint motion of plaintiffs and defendants 17 , it is hereby ORDERED, ADJUDGED, and DECREED as follows: IT IS ORDERED that defendants AUTOMAX CORPORATION and MIC HAEL F. KHOUNANI, and their officers, agents, representatives, and employees, and all persons in active concert or participation with them, are hereby enjoined, directly or through any corporation, subsidiary, division, website, or other device from: Using a CarMax Trademark or Trade Dress, etc. IT IS FURTHER ORDERED that defendants, jointly and severally, shall pay to plaintiffs the sum of $10,000 in exchange for plaintiffs CARMAX AUTO SUPERSTORES WEST COAST, INC., CARMAX AUTO SUPERSTORES CALIFORNIA, LLC and CARMAX BUSINESS SERVICES, LLC, dismissing the action without prejudice. JUDGMENT IS THEREFORE ENTERED in favor of plaintiffs and against defendants See document for details. ( MD JS-6. Case Terminated ) (gk)
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SCHLICHTER & SHONACK, LLP
KURT ANDREW SCHLICHTER (CA SBN 172385)
STEVEN C. SHONACK (CA SBN 173395)
3601 Aviation Boulevard, Suite 2700
Manhattan Beach, CA 90266
Telephone: (310) 643-0111
Fax: (310) 643-1638
kas@sandsattorneys.com
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Attorneys for Plaintiffs CarMax Auto
Superstores West Coast, Inc., CarMax
Auto Superstores California, LLC,
and CarMax Business Services, LLC
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UNITED STATES DISTRICT COURT
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FOR THE CENTRAL DISTRICT OF CALIFORNIA –
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WESTERN DIVISION
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CARMAX AUTO SUPERSTORES
WEST COAST, INC., a California
corporation,
CARMAX AUTO SUPERSTORES
CALIFORNIA, LLC, a Virginia
corporation, and
CARMAX BUSINESS SERVICES
LLC, a Delaware limited liability
company,
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Plaintiffs,
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v.
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AUTOMAX CORPORATION, a
California corporation, and
MICHAEL F. KHOUNANI, an
individual,
Defendants.
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Case No. CV10-8097 PA (JEMx)
Complaint filed: October 27, 2010
CONSENT DECREE AND ORDER
FOR INJUNCTION AND OTHER
RELIEF
NOTE: CHANGES MADE BY THE
COURT
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
Whereas plaintiffs CARMAX AUTO SUPERSTORES WEST COAST,
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INC., CARMAX AUTO SUPERSTORES CALIFORNIA, LLC and CARMAX
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BUSINESS SERVICES, LLC (collectively “CARMAX” or “plaintiffs”) have
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commenced this action against defendants AUTOMAX CORPORATION
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(“AUTOMAX”) and MICHAEL F. KHOUNANI (“KHOUNANI”) (collectively
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“defendants”) by filing the complaint herein; the plaintiffs and defendants
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(collectively “the parties”) have been represented by counsel whose names appear
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hereafter; and the parties have agreed to settlement of this action upon the
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following terms and conditions:
NOW, THEREFORE, on the joint motion of plaintiffs and defendants, it is
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hereby ORDERED, ADJUDGED, and DECREED as follows:
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This is an action for trademark infringement, trademark dilution, trade
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dress infringement, and unfair competition arising under the Lanham Act, 15
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U.S.C. §§ 1051 et seq.
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This Court has jurisdiction over this subject matter and of the parties
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pursuant to 28 U.S.C. § 1338(a), 28 U.S.C. § 1338(b), 15 U.S.C. § 1121, 15 U.S.C.
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ch. 22, 28 U.S.C. § 1331, 28 U.S.C. § 1391.
3.
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Defendants have entered into this Consent Decree and Order for
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Injunction and Other Relief (“Order”) freely and without coercion and consent to
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its entry. Defendants further acknowledge that they have read the provisions of
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this Order and are prepared to abide by them.
4.
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This Order shall be binding upon defendants and any successors to
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any interest in any automobile dealerships or automobile service centers owned by
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them or any other business involved in the sales or servicing of automobiles,
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automobile parts or automobile-related services.
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
INJUNCTION
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5.
IT IS ORDERED that defendants, and their officers, agents,
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representatives, and employees, and all persons in active concert or participation
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with them, are hereby enjoined, directly or through any corporation, subsidiary,
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division, website, or other device from: Using a CarMax Trademark or Trade
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Dress, including without limitation, a blue, yellow, and white color scheme, dashed
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underlining, and/or the capitalization structure used by CARMAX, or confusingly
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similar variations thereof, in connection with the advertising, offering for sale, sale,
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lease, trade, distribution, or service of automobiles, trucks, or other wheeled
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vehicles, and auction services related thereto or any other goods or services
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substantially similar to those of CARMAX, including without limitation sales of
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and auction services related to used vehicles.
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PAYMENT OF SETTLEMENT FUNDS
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IT IS FURTHER ORDERED that defendants, jointly and severally,
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shall pay to plaintiffs the sum of Ten Thousand and 00/100 Dollars ($10,000) in
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exchange for CARMAX dismissing the Action without prejudice. The $10,000
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payment shall be made in twenty (20) monthly installments of $500.00. Each
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$500.00 installment is due on the 1st day of the calendar month, except as to the
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first month where the first payment shall be due within 15 days upon execution of
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the Agreement, whichever is sooner. All installment payments shall be made
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payable to “CarMax Auto Superstores California, LLC”, TIN 20-1088059, and
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mailed directly to CarMax, c/o Kristine Rice, 12800 Tuckahoe Creek Parkway,
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Richmond, VA 23238.
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7.
In the event of any default payment, which default continues for ten
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(10) days beyond the due date of payment, the entire unpaid penalty, together with
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10% interest (accrued from the date of default) shall become due and payable.
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
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RETENTION OF JURISDICTION & ENFORCEMENT
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8.
The parties expressly agree that the Court shall retain jurisdiction and
authority to enforce this Order, even after dismissal with prejudice.
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Defendants expressly agree that, in the event defendants either violate
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the injunction set forth in paragraph 5 herein, or default on a payment due plaintiffs
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pursuant to paragraph 6 herein, which default continues for ten (10) days beyond
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the due date of payment, defendants shall pay plaintiffs:
a)
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10% (ten percent) interest on any outstanding amount
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due under paragraph 6 herein from the date of default;
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and
b)
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Reasonable attorneys’ fees and costs incurred by
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plaintiffs in any proceeding to enforce this Order as set
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forth herein; and
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Any damages incurred by plaintiffs due to a violation by
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defendants of the injunction set forth in paragraph 5
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herein.
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10.
Defendants expressly waive any right they may have to appeal or seek
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review of or otherwise challenge this Order or its enforcement. Defendants further
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agree they will not contest plaintiffs’ right to any payment or money judgment
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sought by plaintiffs to enforce their rights to any payment or money judgment
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under this Order as set forth herein.
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11.
In the event defendants violate or fail to comply with this Order in any
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way, defendants agree that the Declaration of an employee of Schlichter &
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Shonack, LLP shall be sufficient to establish the exact sum due and owing pursuant
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to this Order, in accordance with the terms set forth herein, including for 10%
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interest from the date of default, any amount in damages incurred from breach of
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
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the injunction, and for reasonable attorneys fees and costs as discussed in
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paragraph 9 above.
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JUDGMENT IS THEREFORE ENTERED in favor of plaintiffs and
against defendants, pursuant to all the terms and conditions recited above.
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Dated: September 13, 2011
___________________________
Percy Anderson
U.S. District Judge
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
The parties hereby consent to the terms and conditions of the Order as set
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forth above and consent to the entry thereof.
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For Defendants:
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Dated: ________, 2011
____________________________
AUTOMAX CORPORATION
By: Michael F. Khounani
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Dated: ________, 2011
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____________________________
Michael F. Khounani
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For Plaintiffs:
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Dated: ________, 2011
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CARMAX AUTO SUPERSTORES
WEST COAST, INC.
CARMAX AUTO SUPERSTORES
CALIFORNIA, LLC
CARMAX BUSINESS SERVICES,
LLC
By: ________________________
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
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APPROVED AS TO CONTENT AND FORM:
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Dated: ________, 2011
SCHLICHTER & SHONACK, LLP
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/s/ - Kurt A. Schlichter
By: KURT A. SCHLICHTER
STEVEN C. SHONACK
Attorneys for Plaintiffs CarMax Auto
Superstores West Coast, Inc., CarMax
Auto Superstores California, LLC,
and CarMax Business Services, LLC
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Dated: ________, 2011
LAW OFFICES OF JEFFREY T.
OSBORN
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__________________________
Attorney for Defendants AutoMax
Corporation and Michael F. Khounani
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CONSENT DECREE AND ORDER FOR INJUNCTION AND OTHER RELIEF
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