`
`UNITED STATES DISTRICT COURT
`EASTERN DISTRICT OF KENTUCKY
`NORTHERN DIVISION AT COVINGTON
`
`WELLNESS BRANDS d/b/a,
`KEONI SPORT
`
`Plaintiff,
`
`v.
`
`KILLER BEEZ LLC d/b/a TIGER BODI;
`MURAM NUTRITION LLC; VAAD
`HOLDINGS LLC d/b/a FABER GOODS;
`GOLDEN NUTRA LLC d/b/a NUTRIX
`WHOLESALE and NUTRIX
`INTERNATIONAL, LLC; and
`DOES 1 through 10
`
`Defendants.
`
`§
`§
`§
`§
`§
`§ CIVIL ACTION NO.
`§
`§
`§
`§ JURY TRIAL DEMANDED
`§
`§
`§
`§
`§
`
`COMPLAINT
`
`Plaintiff Wellness Brands d/b/a Keoni Sport (hereinafter “Keoni”), by and through its
`
`undersigned attorneys, avers and states as follows for its Complaint:
`
`NATURE OF THE ACTION
`
`This is an action for trademark infringement, false designation of origin, unfair competition
`
`and passing off, false advertising, copyright infringement, and deceptive trade practices in
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`violation of the laws of the United States and the Commonwealth of Kentucky.
`
`THE PARTIES
`
`1.
`
`Keoni is an entity organized and existing under the laws of Kentucky, with a
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`principal place of business located at 1032 Madison Avenue, Covington, Kentucky 41011.
`
`2.
`
`Defendant Killer Beez LLC is a business entity that is engaged in the manufacture,
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`distribution, and sale of products that infringe upon Keoni’s trademark rights. Upon information
`
`and belief, Killer Beez LLC does business as Tiger Bodi. The address listed on Amazon.com for
`
`1
`
`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 2 of 18 - Page ID#: 2
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`this Defendant is: 123 N. Centennial Way, Mesa, Arizona 85201. Upon information and belief,
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`this Defendant is also or alternatively located at 3518 Woodside Road, Louisville, Kentucky
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`40222.
`
`3.
`
`Muram Nutrition LLC is a business entity that is engaged in the manufacture,
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`distribution, and sale of products that infringe upon Keoni’s trademark rights. Upon information
`
`and belief, Muram Nutrition LLC does business as CN Financial Group Corp. Upon information
`
`and belief, the principal address for this Defendant is: 999 Webb Ct., Kissimmee, Florida 34744.
`
`4.
`
`Vaad Holdings LLC is a business entity that is engaged in the manufacture,
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`distribution, and sale of products that infringe upon Keoni’s trademark rights. On information and
`
`belief, Vaad Holdings LLC does business as Faber Goods. The principal address listed for this
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`Defendant is 1101 Holland Drive #13, Boca Raton, Florida 33487, with a mailing address of 7376
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`Granada Way, Suite 11, Margate, Florida 33063.
`
`5.
`
`Golden Nutra LLC is a business entity that is engaged in the manufacture,
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`distribution, and sale of products that infringe upon Keoni’s trademark rights. Upon information
`
`and belief, Golden Nutra LLC does business as Nutrix Wholesale and Nutrix International, LLC.
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`The principal address listed for this Defendant is 810 North 2200 West, Salt Lake City, Utah
`
`84116. Defendant may also conduct business at 131 12th Avenue N, Nashville, Tennessee 37203.
`
`6.
`
`Keoni does not know the true names and capacities, whether individual, corporate,
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`associate, or otherwise, of the defendants named herein as DOES 1 through 10, inclusive. Keoni
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`therefore sues them by use of fictitious names. Keoni will amend this Complaint appropriately
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`once the true names and capacities of Doe Defendants 1 through 10 are learned. As used below,
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`the term “Defendants” shall collectively refer to the named Defendants together with the
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`defendants identified as DOES 1 through 10.
`
`2
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 3 of 18 - Page ID#: 3
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`JURISDICTION AND VENUE
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`7.
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`This action arises under the trademark and copyright laws of the United States, the
`
`Lanham Act, 15 U.S.C. § 1051 et seq. and the Copyright Act, 17 U.S.C. § 501 et seq. It also arises
`
`under state statutory and common law.
`
`8.
`
`Federal question jurisdiction is conferred pursuant to 28 U.S.C. §§ 1331 and
`
`1338(a), and 15 U.S.C. § 1121(a). Jurisdiction over the claims brought under state statutory and
`
`common law is conferred pursuant to 28 U.S.C. §§ 1338(b) and 1367(a).
`
`9.
`
`Venue is proper within this judicial district under 28 U.S.C. §§ 1391(b)-(c),
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`1400(a). Defendants or their agent(s) may be found in this district because personal jurisdiction is
`
`proper in this district. Additionally, this is a judicial district in which a substantial part of the events
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`or omissions giving rise to the infringement claims occurred.
`
`10.
`
`Defendants are subject to personal jurisdiction in this district. On information and
`
`belief, each Defendant purposefully directs or directed their activities toward and conducts regular
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`and substantial business with consumers throughout the United States, including within the State
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`of Kentucky and this district, through at least the Internet-based Amazon e-commerce stores
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`accessible in Kentucky. On information and belief, Defendants have purposefully directed a
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`substantial portion of their illegal activities towards consumers in Kentucky through the
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`advertisement, offer to sell, sale, and/or shipment of infringing goods into Kentucky. Keoni’s
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`infringement claims arise out of those activities.
`
`3
`
`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 4 of 18 - Page ID#: 4
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`BACKGROUND FACTS
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`11.
`
`On December 2, 2018, the Agriculture Improvement Act of 2018, commonly
`
`known as the Farm Bill, was signed into law. See 7 U.S.C. § 1639o et seq. The Farm Bill amended
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`the Agriculture Marketing Act of 1946 (AMA) to remove “hemp” from the Controlled Substances
`
`Act (CSA)’s definition of marijuana. See Pub. L. No. 115-334 (Dec. 20, 2018); 21 U.S.C. §§ 801-
`
`971. CSA’s definition of marijuana now includes an exemption for hemp, defined as “any part” of
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`the Cannabis sativa L. plant “with a delta-9 tetrahydrocannabinol concentration of not more than
`
`0.3 percent on a dry weight basis.”
`
`12.
`
`Section 1639o of 2018 Farm Bill (7 U.S.C. § 1639o) contains a broad definition of
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`“hemp,” expressly including “all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts
`
`of isomers” of the plant:
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`[Hemp is] the plant Cannabis sativa L. and any part of that plant, including the seeds thereof
`and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers,
`whether growing or not, with a delta-9 tetrahydrocannabinol concentration of not more
`than 0.3 percent on a dry weight basis.
`
`13.
`
`Hemp and all its derivatives, extracts, and cannabinoids are therefore no longer
`
`controlled substances.
`
`14.
`
`Hemp-derived extracts are used in ingredients in a variety of products. Like the
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`hemp plants from which they are derived, these extracts are not psychoactive and contain less than
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`0.3% delta-9 tetrahydrocannabinol concentration.
`
`15.
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`Cannabinoids are compounds that naturally occur in the hemp plant, primarily in
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`the resins thereof. One well-known cannabinoid is cannabidiol (“CBD”). CBD is a natural
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`substance produced from the hemp plant.
`
`4
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`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 5 of 18 - Page ID#: 5
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`16.
`
`Keoni is a Kentucky-based entity known nationwide as an industry leader in the
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`sale of products containing CBD derived from hemp. Keoni’s products include tincture oils,
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`gummies, capsules, and topical products, shown for example as follows:
`
`5
`
`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 6 of 18 - Page ID#: 6
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`17.
`
`Keoni’s products contain CBD extracted from hemp, containing 0.3% or less delta-
`
`9 tetrahydrocannabinol concentration, and are therefore legally marketed and sold in interstate
`
`commerce under the Farm Bill.
`
`18.
`
`All products produced and sold by Keoni are of the highest quality and have been
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`crafted and tested to ensure purity and quality.
`
`19.
`
`The quality and safety of its products is one of Keoni’s top priorities, therefore,
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`each product is verified by a third party lab to ensure quality, potency, and transparency.
`
`20.
`
`In September 2020, Keoni filed trademark applications for KEONI and KEONI
`
`LIFE for the following goods:
`
`Non-medicated herbal body care products, namely, body oils, salves, body butters,
`body emulsions and lip balms; Non-medicated skin and body topical lotions,
`creams and oils for cosmetic use; Topical, non-medicated moisturizing preparations
`for the skin for cosmetic use, namely, non-medicated skin creams, non-medicated
`skin moisturizing gels, non-medicated skin moisturizing salves, non-medicated
`topical skin moisturizing sprays, non-medicated cosmetic powders for moisturizing
`the skin, and non-medicated ointments for moisturizing the skin; Skin care
`products, namely, non-medicated skin serums; Non-medicated cosmetic herbal
`nourishing creams; Non-medicated cosmetic herbal oils for the epidermis; Non-
`medicated topical herbal extracts for cosmetic purposes; Non-medicated hemp
`essential oils for the epidermis; Toiletry bags in the nature of cosmetic bags and
`pouches sold filled with non-medicated toiletry preparations, namely, body oils,
`body butters, topical herbal extracts for cosmetic purposes and hemp essential oils
`for the epidermis; all of the foregoing goods contain hemp oil and CBD that are
`solely derived from hemp with a delta-9 tetrahydrocannabinol (THC) concentration
`of not more than 0.3 percent on a dry weight basis.
`(See Serial Nos. 90191581 and 90191576.)
`
`21.
`
`All products sold by Keoni are sold under the “Keoni” name and trademark
`
`(hereinafter “the Mark”).
`
`22.
`
`Since its first sale of products in September 2020, Keoni has publicly and
`
`continuously used in interstate commerce the Mark throughout the United States in association
`
`with its products.
`
`6
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`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 7 of 18 - Page ID#: 7
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`23.
`
`Keoni markets and sells
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`its product nationwide
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`through
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`its website
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`https://www.keonicbd.com and https://www.keonisport.com as well as Amazon.com and other
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`websites.
`
`24.
`
`Keoni’s Mark is an inherently distinctive, strong mark. On information and belief,
`
`to the extent its use in association with Keoni’s goods has at any point not been inherently
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`distinctive, Keoni’s use of the Mark throughout the United States in connection with its goods over
`
`time caused it, prior to Defendants’ infringing acts, to acquire secondary meaning that serves to
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`distinguish the Mark in the minds of relevant consumers as an indicator of the origin or source of
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`goods associated with them. On information and belief, Keoni has common law trademark rights
`
`in its Mark throughout Kentucky and the rest of the United States.
`
`25.
`
`Keoni’s common law trademark rights make it unlawful for competitors to infringe
`
`Keoni’s rights. No competitor can use the Mark in a manner that could cause confusion as to
`
`source.
`
`26.
`
`Keoni is also the exclusive owner of a U.S. Copyright, Reg. No. VA0002284392
`
`protecting the proprietary and original artwork on its product packaging.
`
`27.
`
`Keoni has published its artwork on its packaging prior to the acts complained of
`
`herein.
`
`28.
`
`Like many other rights owners, Keoni suffers ongoing daily and sustained
`
`violations of its intellectual property rights at the hands of counterfeiters and infringers, such as
`
`Defendants herein. Keoni is harmed, the consuming public is duped and confused, and the
`
`Defendants earn substantial profits in connection with the infringing conduct.
`
`29.
`
`Defendants are the individuals and/or entities that promoted, offered for sale, sold,
`
`and distributed goods infringing Keoni’s trademark rights.
`
`7
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`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 8 of 18 - Page ID#: 8
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`30.
`
`Defendants have promoted, advertised, distributed, sold, and/or offered for sale
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`infringing products titled “Keoni” through at least Amazon.com.
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`31.
`
`Upon information and belief, Defendants had full knowledge of Keoni’s trademark
`
`rights, including Keoni’s exclusive right to use the term “Keoni” and the goodwill associated
`
`therewith.
`
`Golden Nutra
`
`32.
`
`Defendant Golden Nutra LLC has sold on Amazon and, on information and belief,
`
`has sold elsewhere a product called (5 pack) Keoni Gummies Max Triple Strength 1500mg for
`
`Pain and Anxiety Shark Quit Smoking Pure (300 Gummies); another product called Keoni
`
`Gummies Max Triple Strength 1500mg for Pain and Anxiety Shark Quit Smoking Pure (60
`
`Gummies); another product called (3 Pack) Keoni Gummies Max Triple Strength 1500mg for
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`Pain and Anxiety Shark Quit Smoking Pure (180 Gummies); and another product called (3
`
`Pack) Keoni Gummies 1500mg Shark Chewable Cubes Tank for Pain 500mg Sleep Stop Quit
`
`Smoking Ear Ringing Relief, CBS Extra Strength CBC Gummy Bears Code (180 Gummies).
`
`Killer Beez
`
`33.
`
`Defendant Killer Beez LLC/Tiger Bodi has sold on Amazon and, on information
`
`and belief, has sold elsewhere a product called Keoni Gummies 500mg SharkTank Chewable
`
`Pain Relief Shark Sleep CBS Tank Extra Strength CBC Gummy Bears (60 Gummies) and
`
`two different products (in a variety of sizes) called Keoni Gummies 1500mg Shark Chewable
`
`Hemp Cubes Tank for Pain 500mg Sleep Stop Quit Smoking Ear Ringing Relief, CBS Extra
`
`Strength CBC Gummy Bears Code.
`
`8
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 9 of 18 - Page ID#: 9
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`Muram Nutrition
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`34.
`
`Defendant Muram Nutrition LLC has sold on Amazon and, on information and
`
`belief, has sold elsewhere a product called (2 Pack) Keoni Gummies, 2 Bottle Pack, 60 Day
`
`Supply; another product called (5 Pack) Keoni Gummies, New Improved Gummies, Serenity
`
`Gummies, 5 Month Supply; and two different products (in a variety of sizes) called Keoni
`
`Gummies.
`
`Vaad Holdings
`
`35.
`
`Defendant Vaad Holdings has sold on Amazon and, on information and belief, has
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`sold elsewhere two different products (in a variety of sizes) called Keoni Gummies 1500mg
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`Shark Chewable Cubes Tank for Pain Sleep Stop Quit Smoking Ear Ringing Relief, CBS
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`Extra Strength CBC.
`
`36. While Defendants slightly differ amongst each other in describing the products,
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`each product unlawfully bears the infringing mark, “Keoni”. To make matters worse, Defendants’
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`products use “Keoni” in the same manner and format as is used by Keoni. An exemplar of Keoni’s
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`use is below.
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`37.
`
`Each of Defendants use the term Keoni in strikingly similar white font, the “K”
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`capitalized, with “eoni” in lowercase and with a greenish leaf design in place of the dot forming
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`the lowercase “i” at the end of the word.
`
`38.
`
`Defendants’ use of the Mark, used in the exact same manner as Keoni, has caused
`
`or is likely to cause confusion, and/or to cause mistake, or to deceive as to the affiliation,
`
`9
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 10 of 18 - Page ID#: 10
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`connection, and/or association of Defendants with Keoni, or as to the origin, sponsorship, or
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`approval of Defendants’ goods. Defendants’ conduct as alleged above, through commercial
`
`advertising and promotion, including in the Eastern District of Kentucky, has misrepresented the
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`origin of Keoni’s goods.
`
`39.
`
`Defendants’ products are advertised to contain CBD (misspelled as “CBS” or
`
`“CBC”) or hemp, or advertised to heal pain or anxiety. This advertisement is done in an effort to
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`further confuse consumers and in an attempt to unlawfully associate Defendants’ with Keoni, who
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`sells lawful CBD products.
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`40.
`
`In contrast to Keoni and on information and belief, Defendants do not sell lawful
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`CBD products.
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`Count 1 – Federal Trademark Infringement and Unfair Competition
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`(Against All Defendants)
`
`41.
`
`Keoni realleges and incorporates by reference the full text of all of the foregoing
`
`numbered paragraphs as though fully set forth herein.
`
`42.
`
`Through its continuous use of the Mark in connection with its products, Keoni has
`
`established valid and protectable trademark rights in the Mark.
`
`43.
`
`Defendants were aware of Keoni’s trademark rights in and to the Mark and were
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`further aware that Keoni did not authorize Defendants to use the Mark. Nevertheless, in complete
`
`disregard of Keoni’s superior rights to the Mark and in willful infringement of those rights,
`
`Defendants intentionally began selling products titled “Keoni Gummies”.
`
`44.
`
`Defendants’ improper and infringing use of the Mark is likely to cause confusion,
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`mistake, and/or deception among consumers as to the source, quality, and/or nature of Defendants’
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`goods. Defendants’ use of the Mark via its sale of products titled “Keoni Gummies” likely creates
`
`10
`
`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 11 of 18 - Page ID#: 11
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`the misconception that Keoni somehow ratifies or authorizes Defendants’ infringing use of the
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`Mark and/or that Defendants are affiliated in some way with Keoni, when this is not the case.
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`45.
`
`Defendants’ unauthorized use of the Mark constitutes infringement of an
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`unregistered trademark and unfair competition in violation of Section 43(a) of the Lanham Act, 15
`
`U.S.C. § 1125(a)(1)(a).
`
`46.
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`Defendants’ infringing use of the mark has caused Keoni damages for which Keoni
`
`seeks to recover from Defendants in an amount according to proof at trial.
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`47. Moreover, because Defendants’ unauthorized use of the Mark prevents Keoni from
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`exclusive control over its own name and intellectual property rights and because Defendants’ use
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`is likely to cause confusion, mistake, and/or deception among consumers, Keoni lacks an adequate
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`remedy at law. Defendants’ actions will continue unless enjoined by this Court. Accordingly,
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`Keoni is entitled to an injunction enjoining Defendants from further infringing use of the Mark
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`and/or any other mark that is confusingly similar to the Mark.
`
`Count 2 – Common Law Trademark Infringement and Unfair Competition
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`(Against All Defendants)
`
`48.
`
`Keoni realleges and incorporates by reference the full text of all of the foregoing
`
`numbered paragraphs as though fully set forth herein.
`
`49.
`
`Due to Keoni’s longstanding use, significant advertising and promotional activities,
`
`and widespread efforts from Kentucky throughout the United States, the Mark has become well
`
`known and accepted by the public and serve to distinguish Keoni’s products from those of others.
`
`50.
`
`The Mark is an inherently distinctive, strong mark. Keoni has been consistently
`
`using the Mark throughout the United States as a source identifier for its goods and has acquired
`
`common law trademark rights throughout Kentucky and the rest of the United States.
`
`11
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 12 of 18 - Page ID#: 12
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`51.
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`Defendants use the Mark in its entirety and in a confusing and deceptive manner by
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`titling Defendants’ products as “Keoni Gummies.”
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`52.
`
`Keoni and Defendants are business competitors as they both sell gummies and other
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`products in shared geographical regions (including Kentucky) and are both sold online to
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`nationwide purchasers.
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`53.
`
`On information and belief, the relevant public is likely to identify Defendants’
`
`gummies products as those from Keoni, or to believe or be confused or deceived as to whether
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`Keoni has some connection or association with Defendants’ goods.
`
`54.
`
`On information and belief, Defendants have committed the foregoing acts with
`
`notice of Keoni’s rights and such actions were willful and intended to cause confusion, to cause
`
`mistake, or to deceive.
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`55.
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`Defendants’ conduct as alleged above is unfair and unlawful under the common
`
`law of the Commonwealth of Kentucky.
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`56.
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`As a result of Defendants’ conduct described above, Keoni has lost profits and
`
`suffered additional harm to its reputation and goodwill.
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`57.
`
`On information and belief, as a result of Defendants’ conduct described above,
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`Defendants have unfairly acquired or retained revenues, in an amount to be proven at trial. Keoni
`
`is entitled to an order that Defendants disgorge all such unfairly acquired money.
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`58.
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`Defendants’ conduct has caused, and will continue to cause, irreparable harm to
`
`Keoni, harm for which Keoni has no adequate remedy at law. For those reasons, Keoni is entitled
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`to preliminary and permanent injunctive relief to prevent further acts of unfair competition.
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`59.
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`Defendants’ conduct was malicious, oppressive and fraudulent and undertaken with
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`the express purpose and design of willfully depriving Keoni of its rights. Keoni is entitled to
`
`12
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`punitive damages in an amount sufficient to punish and make an example of Defendants, according
`
`to proof at trial.
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`Count 3 – False Designation of Origin and Passing Off
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`(Against All Defendants)
`
`60.
`
`Keoni realleges and incorporates by reference the full text of all of the foregoing
`
`numbered paragraphs as though fully set forth herein.
`
`61.
`
`Defendants’ use of the Mark in interstate commerce, without Keoni’s consent, is a
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`false designation of origin causing a likelihood of confusion, mistake, and deception as to source,
`
`sponsorship, affiliation, and/or connection in the minds of the public. Defendants’ conduct has
`
`infringed Keoni’s trademark rights in violation of Section 43(a) of the Lanham Act, 15 U.S.C. §
`
`1125(a)(1)(a).
`
`62.
`
`By reason of the foregoing, Keoni has been injured in an amount not yet fully
`
`determined. Further, Defendants have been unjustly enriched by virtue of their deception of
`
`consumers and misappropriation of Keoni’s goodwill.
`
`63.
`
`As a result of Defendants’ acts of infringement, Keoni suffered and will continue
`
`to suffer irreparable harm for which Keoni has no adequate remedy at law, including damage to
`
`Keoni’s goodwill. Unless Defendants’ acts of infringement are enjoined by this Court, Keoni will
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`continue to suffer irreparable harm.
`
`64.
`
`Defendants’ actions have been knowing, intentional, wanton, and willful. The
`
`principles of equity warrant an award of treble damages and profits, attorney’s fees, and the costs
`
`of this action pursuant to 15 U.S.C. § 1117.
`
`13
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`Count 4 – False Advertising
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`(Against All Defendants)
`
`65.
`
`Keoni realleges and incorporates by reference the full text of all of the foregoing
`
`numbered paragraphs as though fully set forth herein.
`
`66.
`
`Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a)(1)(b), prohibits, inter alia,
`
`the use by a person of a false or misleading description of fact, or false or misleading representation
`
`of fact in connection with the offering for sale and sale of goods, which in commercial advertising
`
`or promotion, misrepresents the nature, characteristics, qualities, or geographic origin of his or her
`
`or another person’s goods.
`
`67.
`
`Defendants made and are making false or misleading statements of fact about the
`
`infringing gummies by advertising and selling the products under the name “Keoni” in commercial
`
`advertisement or promotion for the infringing products, including in this district.
`
`68.
`
`Defendants use the name “Keoni” in order to deceive customers so that they would
`
`believe that Defendants’ gummies are sold by Keoni, and then purchase those products from
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`Defendants.
`
`69.
`
`Defendants’ conduct constitutes false advertising and has been knowing,
`
`intentional, wanton, and willful in violation of 15 U.S.C. § 1125(a)(1)(b). The principles of equity
`
`warrant an award of treble damages and profits, attorney’s fees, and the costs of this action
`
`pursuant to 15 U.S.C. § 1117.
`
`14
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`Count 5 – Copyright Infringement
`
`(Against All Defendants)
`
`70.
`
`Keoni realleges and incorporates by reference the full text of all of the foregoing
`
`numbered paragraphs as though fully set forth herein.
`
`71.
`
`17 U.S.C. § 501 prohibits, inter alia, anyone from copying original expression from
`
`a copyrighted work during the term of the copyright without the owner’s permission.
`
`72.
`
`Keoni is, and at all relevant times has been, the copyright owner with respect to a
`
`unique blue and green packaging artwork (hereinafter “the Artwork”). This Artwork is the subject
`
`of a valid Certificate of Copyright Registration issued by the Register of Copyrights: Registration
`
`No. VA0002284392 and titled “Keoni Blue and Green Design” (hereinafter “the Copyright”).
`
`73.
`
`Keoni uses the Artwork in connection with its sale of products, for example, as
`
`shown here:
`
`74.
`
`Keoni did not authorize permit, or allow in any manner the use of the Artwork or
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`the Copyright by Defendants.
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`75.
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`Defendants infringed the Copyright by producing, distributing, and selling
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`gummies, the packaging of which displays the Artwork or a substantial copy thereof.
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 16 of 18 - Page ID#: 16
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`76.
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`On information and belief, Defendants’ infringement has been undertaken
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`knowingly and with intent to financially gain from Keoni’s copyrighted works, or, Defendants
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`acted with reckless disregard for, or willful blindness to, Keoni’s rights.
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`77.
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`Defendants’ conduct as alleged above has damaged and will continue to damage
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`Keoni. Keoni’s damages include, but are not limited to, the loss of sales due to Defendants’
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`diversion of sales of products through its use of the Copyright in its marketing, promotion, and
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`advertising of their products.
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`78.
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`On information and belief, as a result of Defendants’ conduct alleged above,
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`Defendants have been unjust enriched and have wrongfully profited.
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`79.
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`Keoni is entitled to statutory remedies, actual damages, and any profits of
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`Defendants that are attributable to the infringements and not taken into account in computing
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`actual damages, in amounts to be proven at trial, and all other relief allowed under the Copyright
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`Act.
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`Count 6 – Violation of the Laws of the Commonwealth of Kentucky
`(Against All Defendants)
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`80.
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`Keoni realleges and incorporates by reference the full text of all of the foregoing
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`numbered paragraphs as though fully set forth herein.
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`81.
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`Defendants violated KRS 365.100, entitled “Use of false brand to deceive,” which
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`provides in pertinent part that “no person shall use a false brand on anything sold, or to be sold or
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`offered for sale, with intent to deceive the purchaser.” Such violations have damaged and are likely
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`to further damage Keoni.
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`82.
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`Defendants violated KRS 365.110, entitled “Unauthorized use of manufacturer’s
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`brand or name,” which provides in pertinent part “[n]o dealer or merchant shall make or apply or
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 17 of 18 - Page ID#: 17
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`cause to be made or applied to any parcel or package any . . . label bearing the brand or name of
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`any manufacturer without the written authority of the manufacturer.” Such violations have
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`damaged and are likely to further damage Keoni.
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`83.
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`Keoni is of the class of persons entitled to bring a claim for damages for these
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`statutory violations pursuant to KRS 446.070.
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`84.
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`Defendants also violated the common law of the Commonwealth of Kentucky,
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`which prohibits, among other things, unfair competition. Such violations have damaged and are
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`likely to further damage Keoni.
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`Prayer for Relief
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`WHEREFORE, Keoni prays for judgment against each Defendant as follows:
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`1.
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`That the Court preliminarily and then permanently enjoin Defendants, and all of
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`their officers, directors, agents, servants, employees and attorneys, and all other persons acting
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`directly or indirectly in concert with Defendants, from using in commerce, in connection with the
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`advertising, marketing, distribution, sale or offering for sale of any products, the mark KEONI or
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`any other confusingly similar mark or designation, or from otherwise infringing upon Keoni’s
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`trademark KEONI;
`
`2.
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`That the Court preliminarily and then permanently enjoin Defendants, and all of
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`their officers, directors, agents, servants, employees and attorneys, and all other persons acting
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`directly or indirectly in concert with Defendants, from using in commerce, in connection with the
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`advertising, marketing, distribution, sale or offering for sale of any products, Keoni’s copyrighted
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`works;
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`3.
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`That Keoni be awarded its damages and profits acquired by Defendants through
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`Defendants’ unlawful acts in an amount which is not yet fully ascertained;
`
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`Case: 2:22-cv-00028-WOB-CJS Doc #: 1 Filed: 03/04/22 Page: 18 of 18 - Page ID#: 18
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`4.
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`That the Court increase and enhance by three times any award of damages and/or
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`profits based on Defendants’ willfulness for Defendants' acts of federal passing off and federal
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`false advertising under the Lanham Act;
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`5.
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`6.
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`7.
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`That the Court award statutory damages;
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`For costs of suit and fees incurred herein; and
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`For such other and further relief as the Court deems just and proper.
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`DEMAND FOR JURY TRIAL
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`Keoni respectfully requests a jury trial on all issues so triable.
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`Respectfully Submitted:
`
`/s/ John D. “Chip” Clay
`John D. “Chip” Clay
`GORDON REES SCULLY MANSUKHANI, LLP
`325 W. Main Street
`Waterfront Plaza, Suite 2300
`Louisville, KY 40202
`Tel: (502) 371-1250
`Email: cclay@grsm.com
`
`Sean D. Flaherty (pro hac vice forthcoming)
`Hannah E. Brown (pro hac vice forthcoming)
`GORDON REES SCULLY MANSUKHANI, LLP
`101 W. Broadway, Suite 2000
`San Diego, CA 92101
`Tel: (619) 230-7473
`Email: sflaherty@grsm.com
`Email: hbrown@grsm.com
`
`18
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