Facts

Adobe Systems Inc. filed a complaint, which included claims of trademark and copyright infringement, against Colorado Internet Services LLC and Erik Jeffries. Adobe then filed a first amended complaint adding a number of other defendants, including Software Tech, Bargain Software Shop LLC, and My Choice Software LLC. Software Tech, Bargain Software Shop, and My Choice Software moved to sever and dismiss the claims against them.

PLAINTIFF'S CONTENTIONS:
Plaintiff alleged that it owned various trademarks for "Adobe" and "Acrobat," as well as related products, and owned certain copyrights for its Adobe software. Plaintiffs alleged that defendants sold unauthorized and counterfeit Adobe related products through various websites in violation of its trademark rights and copyrights. Plaintiff asserted causes of action for trademark infringement, false designation of origin or false or misleading advertising or unfair competition, dilution, copyright infringement, and unlawful, unfair, or fraudulent business practices.

DEFENDANTS' CONTENTIONS:
Defendants argued that the claims against each of them should be severed and dismissed because plaintiff failed to meet the requirements of permissive joinder under Federal Rule of Civil Procedure 20. Defendants contended that the claims against each defendant did not arise out of the same transaction or occurrence because plaintiff alleged separate and distinct acts of trademark and copyright infringement against each defendant.

Result

The court granted the motions to sever and dismiss of defendants Software Tech, Bargain Software Shop, and My Choice Software. The court found that permissive joinder was improper because plaintiffs failed to show that the claims against each separate defendant arose "out of the same transaction or occurrence." The court severed and dismissed the claims against all defendants except Colorado Internet Services LLC. Colorado Internet Servcies and Erik Jeffries had previously entered into a settlement with plaintiff.

Other Information

After the court granted the motions to sever the case, Adobe filed separate lawsuits against defendants Digisoft LLC, Software Tech, Bargain Shop Software, and My Choice Software, which are all currently pending. FILING DATE: Sept. 10, 2013.