-DTB K & N Engineering Inc v. Spectre Performance, No. 5:2009cv01900 - Document 307 (C.D. Cal. 2011)

Court Description: FINAL JUDGMENT AND PERMANENT INJUNCTION by Judge Virginia A. Phillips, in favor of K & N Engineering Inc against Spectre Performance Related to: Findings of Fact & Conclusions of Law 306 . IT IS HEREBY ORDERED, ADJUDGED AND DECREED that: 1. Judgment is hereby entered in this action in favor of K&N and against Spectre on all of K&N's claims against Spectre; 2. Judgment is hereby entered in this action in favor of K&N and against Spectre on all of Spectre's claims against K&N; 3. K&N sh all be entitled to recover from Spectre the amount of $7,337,196.00, provided that the Court upon motion by K&N may enhance such amount pursuant to 15 U.S.C. § 1117(a) and, if so, will amend this judgment; (see document for further specifics). (mrgo)

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-DTB K & N Engineering Inc v. Spectre Performance Doc. 307 1 2 3 4 JS-6 5 6 7 8 UNITED STATES DISTRICT COURT 9 CENTRAL DISTRICT OF CALIFORNIA 10 11 K&N ENGINEERING, INC., A ) CALIFORNIA CORPORATION, ) 12 ) Plaintiff, ) 13 ) v. ) 14 ) SPECTRE PERFORMANCE, A ) 15 CALIFORNIA CORPORATION, ) ) 16 Defendants. ) ________________________ ) 17 18 Case No. EDCV 09-01900-VAP (DTBx) FINAL JUDGMENT AND PERMANENT INJUNCTION On November 1, 2011, the jury in the above entitled 19 action rendered a special verdict (Doc. No. 288): (1) in 20 favor of Plaintiff and Counterdefendant K&N Engineering, 21 Inc., ("K&N") on its claims against Defendant and 22 Counterclaimant Spectre Performance ("Spectre") for false 23 advertising under the Lanham Act and for common law 24 unfair competition in the amount of $7,337,196.00; and 25 (2) in favor of K&N on Spectre's claims against K&N for 26 false advertising under the Lanham Act and for common law 27 unfair competition; and 28 Dockets.Justia.com 1 The Court having on December 8, 2011, filed Findings of 2 Fact and Conclusions of Law on the claims asserted by K&N 3 and Spectre against each other for statutory false 4 advertising, Cal. Bus. & Prof. Code §§ 17500 et seq., and 5 statutory unfair competition, Cal. Bus. & Prof. Code §§ 6 17200 et seq., 7 8 IT IS HEREBY ORDERED, ADJUDGED AND DECREED that: 9 1. Judgment is hereby entered in this action in favor of 10 K&N and against Spectre on all of K&N's claims 11 against Spectre; 12 2. Judgment is hereby entered in this action in favor of 13 K&N and against Spectre on all of Spectre's claims 14 against K&N; 15 3. K&N shall be entitled to recover from Spectre the 16 amount of $7,337,196.00, provided that the Court upon 17 motion by K&N may enhance such amount pursuant to 15 18 U.S.C. § 1117(a) and, if so, will amend this 19 judgment; 20 4. This case is found to be exceptional for purposes of 21 15 U.S.C. § 1117(a), and K&N shall be entitled to 22 recover from Spectre its reasonable attorneys' fees 23 in an amount to be determined; 24 5. K&N shall be entitled to recover from Spectre its 25 reasonable costs incurred in this action, in an 26 amount to be determined; 27 28 2 1 6. Spectre and its subsidiaries, affiliates, associates, 2 agents, servants, employees, officers, directors, 3 representatives, successors, assigns, and attorneys, 4 as well as any person acting in concert or 5 participation with them after notice of this Final 6 Judgment and Permanent Injunction (collectively, the 7 "Spectre Parties"), are hereby permanently enjoined 8 from making any of the following claims (the "Barred 9 Claims"): 10 a. Any claims that all or any Spectre air filters 11 have 99.6% (or any other level of) filtration 12 efficiency (initial or cumulative) or have been 13 shown by independent laboratory testing to have 14 any such filtration efficiency; 15 b. Any claims that Spectre air filters save gas or 16 improve fuel economy or that "Government studies 17 show that an efficient air filter can give you 18 up to 10% better fuel economy"; 19 c. 20 21 Any claims that Spectre air intake systems are "CARB Approved" or "CARB Approval Pending"; d. Any "CFM Ratings" or "HP Ratings" for Spectre 22 air filters or air intake systems or any claims 23 that such products permit any particular amount 24 of air flow or horsepower; provided that Spectre 25 may advertise that a Spectre air intake system 26 provides "up to" a specified horsepower gain if 27 Spectre: 28 3 1 i. Has test results supporting the claimed 2 horsepower gain applicable to the vehicle as 3 to which the gain is advertised and 4 ii. Upon K&N's request provides K&N with a copy 5 6 of those test results; e. Any charts or graphs entitled "Filter Particle 7 Retention" or any claims, in the form of charts 8 or graphs or otherwise, that compare the 9 percentage of particles trapped, by particle 10 size or otherwise, by Spectre air filters and 11 K&N (or "Brand K") air filters; 12 f. Any charts or graphs entitled "Dyno Gains" or 13 "Dyno Results" or any claims, in the form of 14 charts or graphs or otherwise, that compare or 15 purport to compare a vehicle's horsepower or 16 torque before and after installation of a 17 Spectre air filter or air intake system; 18 provided that Spectre may advertise that a 19 Spectre air intake system provides "up to" a 20 specified horsepower gain if Spectre: 21 i. Has test results supporting the claimed 22 horsepower gain applicable to the vehicle as 23 to which the gain is advertised; and 24 25 ii. Upon K&N's request provides K&N with a copy of those test results; 26 27 28 4 1 g. Any statement or representation that a Spectre 2 air intake system may be used on a particular 3 vehicle unless: 4 i. The California Air Resources Board has 5 issued an Executive Order exempting the use 6 of the system on the vehicle pursuant to 7 Cal. Veh. Code § 27156(c); or 8 ii. The statement or representation is 9 accompanied by a disclaimer that complies 10 with 13 Cal. Code Reg. § 2222; 11 7. The Spectre Parties are hereby permanently enjoined 12 from: 13 a. 14 15 Shipping any products with packaging making any Barred Claim; b. Distributing or otherwise disseminating any 16 catalog, advertisement, marketing materials, or 17 other material making any Barred Claim; or 18 c. 19 Making any Barred Claim on any part of Spectre's web site; 20 8. Within 10 days after entry of this Judgment, Spectre 21 shall provide a copy of this Judgment to any direct 22 customers that Spectre: 23 a. 24 25 26 Has provided marketing materials to (other than packaging) that include any Barred Claim; or b. Knows to be making any Barred Claim in connection with Spectre products. 27 28 5 1 Spectre shall instruct all such customers to stop 2 making any Barred Claim in connection with Spectre 3 products on their websites or in their other 4 advertising or marketing materials; 5 9. Within 30 days after entry of this Judgment, Spectre 6 shall file with the Court a report in writing under 7 oath setting forth in detail the manner and form in 8 which Spectre has complied with the Permanent 9 Injunction set forth herein; and 10 10. This Court shall retain jurisdiction over this matter 11 to remedy any violation of the terms of the Permanent 12 Injunction set forth herein. 13 14 Dated: December 8, 2011 15 VIRGINIA A. PHILLIPS United States District Judge 16 17 18 19 20 21 22 23 24 25 26 27 28 6

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