ย U.S. District Judge Kiyo Matsumoto ordered on March 13 for American Landstar Logistics, American Landstar Motor Trans, and American Landstar Transport to pay $2 million each calling it an โexceptional and egregious caseโ ofย trademark violations.
Landstar, a trucking company based out of Jacksonville, Florida, filed a lawsuit in 2015, alleging federal trademark infringement, unfair competition and false designation of origin. The three trucking companies are based out of Staten Island, N.Y.
Judge Matsumoto disagreed with a previous opinion that recommended damages of about $375,000.
Tax returns that showed about $7 million in gross profits from 2010 until 2016 factored into Judge Matsumotoโs decision to give Landstar the maximum award.
โThe goal of deterring similar conduct generally requires a significant award,โ Matsumoto wrote.
In addition, the court said the defendantsโ conduct was โconsistently willful.โ
In May 2017, the court granted Landstarโs summary judgement. A few months later, the court ordered a permanent injunction enjoining defendants from further use of the name American Landstar, any other name that incorporates โLandstarโ or โRoadstar,โ and any other name involving a combination of the words โLandโ and โStarโ or โRoadโ and โStar.โ
Landstar first served American Landstar a cease-and-desist letter in November 2011.
In addition to statutory damages, the court awarded Landstar attorney fees and costs.
โThe court adopts Magistrate Judge Scanlonโs recommendation for an award of attorneysโ fees and costs as this is an exceptional and egregious case,โ Matsumoto wrote. โThe court granted plaintiffโs summary judgment motion and found that defendants infringed plaintiffโs marks willfully and in bad faith.โ
