Facts

SinCo Technologies ("SinCo Tech") is a Singapore-based supplier for consumer electronic tech companies with several trademarks registered in the United States pertaining to the "SinCo" name. One of its contract manufacturers, SinCo Electronics DG ("SinCo DG") (now known as XINGKE), had also been doing business under the name "SinCo" since at least 2012. In 2013, Mark Liew was hired for an engineering position based at SinCo DG. SinCo Tech alleged that Liew was "embedded" to work at SinCo DG to represent SinCo Tech's interests and act as an intermediary between the factory and customers on technical issues. Cy Ng was another engineer based at SinCo DG. SinCo Tech alleged that Ng was in charge of supervising SinCo Tech employees embedded at the SinCo DG factory, including Liew. In 2016, SinCo DG was acquired by one of SinCo Tech's competitors, whose President was Mui Liang Tjoa. After this acquisition, SinCo Tech learned that Liew and Ng had traveled to the United States and met with SinCo Tech's customers without SinCo Tech's knowledge or permission. SinCo Tech alleged that during the trip, Liew misled the customers, telling them that SinCo DG was actually SinCo Tech, that SinCo Tech was under new management, and using his SinCo Tech email address and business card. In January 2017, SinCo DG filed multiple applications seeking trademarks on various iterations of SinCo Tech, XingKe, and XINGKE. SinCo Tech alleged that this conduct was part of an attempt to create confusion in SinCo Tech's United States customers and to trade on SinCo Tech's recognition and goodwill in that market. SinCo Tech filed suit against Electronics DG, Tjoa, Liew, and Ng.

PLAINTIFF'S CONTENTIONS: Plaintiff contended that defendants knowingly infringed upon its trademarks causing confusion and mistake in the minds of customers and that SinCo DG had engaged in common law unfair competition by passing off. Plaintiff contended that defendants caused initial interest confusion.

DEFENDANTS' CONTENTIONS: Defendants contended that it had a long-established right to use the name "SinCo," there was no customer confusion, and its interactions with customers did not constitute trademark infringement or passing off. Defendants also contended that SinCo Tech had abandoned its trademark via naked licensing.

Damages

Plaintiff sought over $43.5 million in combined actual and statutory damages, plus punitive damages.

Result

Jury verdict in favor of SinCo Tech on claim for trademark infringement totaling $14.5 million; $11 million in actual damages as to XingKe/SinCo DG; $2 million in statutory damages as to Tjoa; $750,000 in statutory damages as to Liew; and $750,000 in statutory damages as to Ng. Jury verdict in favor of SinCo DG on claim for passing off.

Other Information

Counsel for defendants have stated that defendants intend to seek post-trial relief from the court as to the finding of liability for trademark infringement and the amount of damages.

Length

Three days