Kids v. Cancer v. Kinds vs. Cancer - trademark complaint.pdf

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    David H. Bernstein ([email protected])DEBEVOISE & PLIMPTON LLP919 Third AvenueNew York, New York 10022

    (212) 909-6696

    Attorneys for Plaintiff Kids v Cancer

    UNITED STATES DISTRICT COURTSOUTHERN DISTRICT OF NEW YORK------------------------------------------------------------- xKIDS V CANCER,

    Plaintiff,

    -against-

    JOSEPH ZEVULONI andSIMCHA LAYELADIM, INC.,

    Defendants.

    ::::

    :::::

    16 Civ. ___________

    ------------------------------------------------------------- x

    COMPLAINT AND DEMAND FOR JURY TRIAL

    Kids v Cancer (Kids v Cancer), by its attorneys Debevoise & Plimpton LLP, for

    its complaint against Joseph Zevuloni (Zevuloni)and Simcha Layeladim, Inc.

    (Simcha Layeladim, and together with Zevuloni, Defendants), alleges as follows:

    INTRODUCTION

    1. This is an action for trademark infringement and related claims against

    Defendantsuse of the trademark KIDS VS. CANCER, which infringes Kids v Cancers

    federally-registered KIDS V CANCER trademark. Defendants use their mark in

    connection with charitable fundraising services which supports financial aid, gifts, and

    vacation packages for children diagnosed with cancer; Kids v Cancer similarly uses its

    mark in connection with charitable fundraising services, which support research,

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    education and other activities relating to pediatric cancer and pediatric rare diseases,

    including public advocacy to promote awareness of pediatric cancer and pediatric rare

    disease research. Defendants use of the nearly-identical KIDS VS. CANCER mark for

    such closely-related services has already caused substantial confusion and, if not

    enjoined, will continue to confuse donors, researchers and policy makers. Although Kids

    v Cancer prefers to expend its resources fighting against pediatric cancer rather than

    against other charities, it has no choice but to seek the relief requested herein given

    Defendants intransigence and refusal to stop their infringing conduct despite more than

    four months of settlement negotiations.

    THE PARTIES

    2. Kids v Cancer is a 501(c)(3) nonprofit organization organized and existing

    under the laws of the District of Columbia with its principal place of business at 3401

    Newark Street, NW, Washington, DC 20016.

    3.

    On information and belief, Simcha Layeladim is a 501(c)(3) nonprofit

    organization organized and existing under the laws of the State of Florida with its

    principal place of business at 10140 NW 47thStreet, Sunrise, Florida 33351 and with an

    office in this District at 230 Park Avenue, 10thFloor, New York, New York 10169.

    Simcha Layeladim (which means Joy to the Children in Hebrew) is also known as Kids

    Vs. Cancer and MyWish4U.org.

    4. On information and belief, Zevuloni is an individual residing in the State

    of Florida and is the Founder and a Director of Simcha Layeladim. On information and

    belief, Zevuloni personally selected the KIDS VS. CANCER trademark and directs the

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    use of that mark by Simcha Layeladim, including in charitable fundraising services in this

    District.

    JURISDICTION AND VENUE

    5. This Court has original jurisdiction over the subject matter of this action

    pursuant to 15 U.S.C. 1121 and 28 U.S.C. 1331 and 1338 and has supplemental

    jurisdiction pursuant to 28 U.S.C. 1367(a).

    6. This Court has personal jurisdiction over Defendants by virtue of their

    tortious activities in and directed towards this District including their maintenance and

    operation of an office within this District.

    7. Venue is proper in this District pursuant to 28 U.S.C. 1391(b) because,

    given Defendants use of the KIDS VS. CANCER mark in this District through their

    office in this District, a substantial part of the events or omissions giving rise to the claim

    occurred in this District, and because Defendants are subject to this Court's personal

    jurisdiction with respect to this action.

    KIDS V CANCERS MARK AND SERVICES

    8. Kids v Cancer is the nations foremost charitable organization dedicated to

    raising funds and advocating for development of new drugs and therapies to treat

    pediatric cancer.

    9.

    Kids v Cancer was born out of the tragedy of Jacob Fromans diagnosis in

    February 2007 of medulloblastomaan aggressive form of brain cancerwhen he was

    eight years old. At the time, Jacob and his family resided in New York. During the

    ensuing two years, Jacobs parents Nancy Goodman and Michael Fromanworked

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    tirelessly to get the best possible medical care for Jacob. Jacob fought the disease with

    courage and gumption, insisting that he would go back to school in New York despite his

    illness and participate in activities with his friends. Though he bravely persevered

    through numerous brain surgeries, several weeks of radiation therapy, and multiple

    rounds of chemotherapy, Jacob passed away at the age of ten on January 16, 2009.

    10. In the midst of this devastating tragedy, Ms. Goodman decided to embark

    on a new philanthropic endeavor to honor Jacobsmemory. During Jacobsillness, Ms.

    Goodman had contacted pediatric brain cancer researchers and caregivers at over thirty-

    five different hospitals in more than a dozen countries. In the course of this search for the

    best possible care for Jacob, Ms. Goodman met numerous scientists, researchers, and

    pediatric oncologists who expressed frustration with the lack of new drugs being

    developed with which to treat children with cancer, a lack of tissue samples with which to

    study pediatric cancers and design new drugs, and a lack of access to funding which

    would enable them to carry on meaningful research.

    11. With the hopes of remedying these systemic problems in the pediatric

    cancer research community, Kids v Cancer was born. In the weeks following Jacobs

    death in 2009, Ms. Goodman registered the domain name kidsvcancer.org and organized

    the Kids v Cancer community trust fund to solicit donations in memory of her son.

    Shortly thereafter, she incorporated Kids v Cancer as a 501(c)(3) organization. Since that

    time, Kids v Cancer has grown into a widely recognized and highly successful

    philanthropic organization.

    12. Kids v Cancer has used its mark in Florida, New York, and numerous

    other states as early as 2009, including in connection with communications with residents

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    of those states about its charitable and public advocacy efforts. Kids v Cancer also

    received donations from residents of Florida, New York, and other states as early as

    2009. Kids v Cancer applied to register its mark KIDS V CANCER with the United

    States Patent and Trademark Office on September 18, 2012; its registrations were granted

    on May 14, 2013 (Registration Numbers 4,334,483 and 4,334,485).

    13. During the past seven years, Kids v Cancer has achieved remarkable

    successes. Its first major legislative victory came on July 9, 2012, when President

    Obama signed the Creating Hope Act, 32 U.S.C. 360ff. That Actwhich had been

    authored and championed by Kids v Cancercreates market incentives through a priority

    voucher review program for the development of drugs to be used in the treatment of rare

    pediatric diseases, including pediatric cancer. Kids v Cancer worked tirelessly to support

    the passage of the Act, which was sponsored by Representatives Michael McCaul and

    G.K. Butterfield and endorsed by such prominent organizations as the National

    Association of Childrens Hospitals, the National Brain Tumor Society, and the National

    Childrens Cancer Society (NCCS). In the wake of the passage of the Creating Hope

    Act, Ms. Goodman and Kids v Cancer were featured on ABC News, CNBC, Associated

    Press, Bloomberg, and in The Washington Post. Adding additional impetus to Kids v

    Cancers mission, on August 31, 2010, President Obama issued a Presidential

    Proclamation declaring September 2010 as National Childhood Cancer Awareness

    Month. Since then, President Obama has renewed that declaration each September,

    including for September 2015. Seehttps://www.whitehouse.gov/the-press-

    office/2015/08/31/presidential-proclamation-national-childhood-cancer-awareness-

    month-2015.

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    14. The Creating Hope Act has already had a major impact on pediatric cancer

    research. Under the auspices of the Act, many vouchers have already been sold for

    hundreds of millions of dollars to help advance pediatric cancer research, including

    Unituxin, the most exciting advance in neuroblastoma treatment in 40 years. United

    Therapeutics, which earned the voucher for Unituxin, subsequently resold the voucher to

    AbbVie for $350 million.

    15. Kids v Cancer is now actively working to promote the Advancing Hope

    Act, which will permanently reauthorize the voucher program of the Creating Hope Act,

    and also the Kids Innovative Drugs Initiative, which will help children with cancer gain

    access to the most promising therapies. The Advancing Hope Act was introduced as

    H.R. 1537 in March 2015. In the meantime, the Creating Hope Act was reauthorized in

    July 2015.

    16. Kids v Cancer has also worked to help patients gain compassionate use

    access to cancer treatments approved for adult use, has hosted workshops and published

    commentaries on compassionate use for children with cancer, and has launched an

    autopsy tissue donation program to support the development of new therapies for

    pediatric cancer. In December 2015, hired a new director for its compassionate use

    program.

    17.

    In October 2015, Kids v Cancer was honored with the Peter F. Drucker

    Award for Nonprofit Innovation as the most innovative non-governmental organization in

    the United States. In conferring this award, the Foundation noted the leverage Kids v

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    Cancer achieves in generating hundreds of millions of dollars of pediatric cancer drug

    development on a shoestring budget.

    18.

    In light of Kids v Cancers active fundraising and advocacy during the

    past seven years, and its remarkable achievements and recognition in the pediatric

    oncology and public policy communities, the KIDS V CANCER name has become a

    valuable trademark. When funders, researchers, and policy makers hear the KIDS V

    CANCER name, they know that it refers to Ms. Goodman and the organization she leads.

    19. Kids v Cancers federal trademark registrations areprima facieevidence

    of the validity of the KIDS V CANCER trademark, of its ownership by Kids v Cancer,

    and that the mark is distinctive. The KIDS V CANCER mark is also inherently

    distinctive. Moreover, by virtue of Kids v Cancers past and continuing use of this mark

    and the attendant publicity this use has generated, the KIDS V CANCER mark has

    acquired substantial secondary meaning, particularly among charitable donors, public

    policy advocates, and the cancer research industry. Kids v Cancer has built up extensive

    goodwill in its mark and its funders as well as others in the medical and philanthropic

    communities have come to recognize the mark as signifying Kids v Cancer and its

    charitable and public advocacy services.

    DEFENDANTSINFRINGEMENT OF THE KIDS V CANCER MARK

    20. On information and belief, Zevuloni founded Simcha Layeladim in 2010,

    at least one year after Ms. Goodman began using the KIDS V CANCER mark and

    domain name. On information and belief, by December 2010 Defendants had begun

    using the Kids Vs. Cancer namein connection with their charitable fundraising

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    services, such as organizing and participating in trips to FAO Schwartz in New York.

    Kids Vs. Cancer is not, however, Defendants primary name; Defendants also operate

    under the names Simcha Layeladim,MyWish4U.org,and Joy for the Children

    Indeed, Defendantsprimary name appears to be Simcha Layeladim, as shown in the

    imagesbelow taken from Defendants website.

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    21. Defendants, like Plaintiff Kids v Cancer, have been and continue to be

    engaged in charitable efforts aimed at improving the lives of children with cancer. The

    similarity between the KIDS V CANCER and KIDS VS. CANCER marks and the

    services that the parties provide will inevitably cause confusion if Defendants infringing

    acts are not enjoined.

    LIKELIHOOD OF CONFUSION AND IRREPARABLE HARM

    22. Due to Defendantsadoption of a near-identical nameKids Vs. Cancer

    for its charitable efforts, there is a likelihood that donors, researchers, and policy makers

    will mistakenly associate Defendantsactivities with Kids v Cancers efforts, or

    otherwise conflate the two organizations. Indeed, such confusion has already occurred on

    at least two occasions.

    23. In one recent case of actual confusion, a donor made a $25,000 donation

    to Kids v Cancer when the money was intended for Defendants; upon learning of the

    error, Kids v Cancer contacted the donor and followed his instructions to return the

    donation.

    24. In a second recent case of actual confusion, a donor contacted Kids v

    Cancer seeking a receipt for its donation, but the donation had been made to Simcha

    Layeladim.

    25. There may indeed have been other instances of actual confusion that have

    not been uncovered by Kids v Cancer.

    26. Defendantsactivities under this nearly identical trademark are causing

    irreparable harm to Kids v Cancer and its KIDS V CANCER trademark. If Defendants

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    are not enjoined from the continued infringement of the KIDS V CANCER mark, that

    irreparable harm will be exacerbated, and the goodwill that Kids v Cancer has spent

    considerable time, effort, and resources cultivating will be eroded.

    COUNT ONE

    Registered Trademark Infringement

    Under Section 32 of the Lanham Act

    27. Kids v Cancer repeats and realleges each and every allegation in the

    foregoing paragraphs as if fully set forth herein.

    28.

    As noted above, the KIDS V CANCER trademark is registered with the

    United States Patent and Trademark Office.

    29. The federally-registered KIDS V CANCER trademark is valid, subsisting,

    used in commerce, and inherently distinctive, and also has acquired substantial secondary

    meaning by virtue of its extensive use in the charitable and medical communities. Kids v

    Cancers use of the KIDS V CANCER trademark predates Defendants adoption and use

    of the KIDS VS. CANCER trademark.

    30. Defendantsuse of the KIDS VS. CANCER mark has caused, and will

    likely continue to cause, confusion with Kids v Cancers federally-registered trademark

    among donors, researchers and policy makers. Individuals seeking to assist Kids v Cancer

    likely will believe that Zevuloni and his organization, Simcha Layeladim, is sponsored

    by, associated with, or otherwise affiliated with Kids v Cancer, or vice versa. Indeed, as

    shown below, Simcha Layeladim expressly claims to also [be] known as Kids Vs.

    Cancer.

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    31. Defendantsuse of this confusingly similar name is likely to cause

    irreparable injury to the reputation of Kids v Cancer as well as to the goodwill developed

    by Kids v Cancer for its charitable and public advocacy efforts. The extent of this harm

    cannot be ascertained at this time, leaving Kids v Cancer no adequate remedy at law.

    32. Defendantsuse of the KIDS VS. CANCER mark constitutes infringement

    of the federally-registered KIDS V CANCER trademark in violation of Section 32 of the

    Lanham Act, 15 U.S.C. 1114.

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    33. By reason of the foregoing, Kids v Cancer is entitled to injunctive relief

    against Defendants, restraining them from any further acts of infringement of Kids v

    Cancers federally-registered trademark and, after trial, recovery of any damages (to the

    extent calculable) proven to have been caused by reason of Defendantsaforesaid acts.

    COUNT TWO

    Trademark Infringement

    Under Section 43(a) of the Lanham Act5

    34. Kids v Cancer repeats and realleges each and every allegation in the

    foregoing paragraphs as if fully set forth herein.

    35. The KIDS V CANCER trademark is used in commerce in connection with

    Kids v Cancers charitable efforts to aid the research and development of treatments for

    pediatric cancers and its public advocacy.

    36. The KIDS V CANCER mark is inherently distinctive and also has

    acquired substantial secondary meaning by virtue of its extensive use in commerce.

    37.

    Defendantsuse of the KIDS VS. CANCER mark has caused, and will

    likely continue to cause, confusion with Kids v Cancers federally-registered KIDS V

    CANCER trademark among donors, researchers and policy makers. Individuals seeking

    to assist Kids v Cancer likely will believe that Defendants are sponsored by, associated

    with, or otherwise affiliated with Kids v Cancer, or vice versa.

    38. Defendantsuse of this confusingly similar name is likely to cause

    irreparable injury to the reputation of Kids v Cancer as well as to the goodwill developed

    by Kids v Cancer for its charitable efforts. The extent of this harm cannot be ascertained

    at this time, leaving Kids v Cancer no adequate remedy at law.

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    39. Defendantsuse of the KIDS VS. CANCER mark constitutes infringement

    of the KIDS V CANCER trademark in violation of Section 43(a) of the Lanham Act, 15

    U.S.C. 1125(a).

    40. By reason of the foregoing, Kids v Cancer is entitled to injunctive relief

    against Defendants, restraining them from any further acts of infringement of Kids v

    Cancers trademark and, after trial, recovery of any damages (to the extent calculable)

    proven to have been caused by reason of Defendantsaforesaid acts.

    COUNT THREE

    Trademark Infringement Under New York and Florida Law

    41. Kids v Cancer repeats and realleges each and every allegation in the

    foregoing paragraphs as if fully set forth herein.

    42. Defendantsacts, as described above, constitute trademark infringement

    under N.Y. Gen. Bus. Law 360-k and under Fla. Stat. 495.131.

    COUNT FOUR

    (Unfair Competition Under New York and Florida Law)

    43. Kids v Cancer repeats and realleges each and every allegation in the

    foregoing paragraphs as if fully set forth herein.

    44. Defendantsacts, as described above, constitute unfair competition in

    violation of Kids v Cancers rights under the New York State common law, as preserved

    by N.Y. Gen. Bus. Law 360-o, and under Florida State common law.

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    PRAYER FOR RELIEF

    WHEREFORE, Kids v Cancer respectfully prays:

    A.

    That Defendants and all those in active concert or participation

    with them (including, but not limited to, their officers, directors, agents, servants,

    employees, representatives, attorneys, subsidiaries, related companies, successors,

    assigns, and contracting parties) be temporarily, preliminarily and then permanently

    enjoined and restrained from:

    i. using, in connection with charitable efforts related to

    children with cancer, the Kids Vs. Cancer name, any colorable imitation

    of the KIDS V CANCER mark, or any other marks, names or slogans that

    are confusingly similar to the KIDS V CANCER mark;

    ii. doing any other acts or things likely to cause confusion or

    mistake in the mind of the public or to lead donors, contributors,

    volunteers, researchers, policy makers or others to believe that

    Defendantsservices come from or are associated with Kids v Cancer, or

    are somehow sponsored or endorsed by or affiliated with Kids v Cancer;

    iii. doing any other acts or things likely to cause reverse

    confusion or mistake in the mind of the public or to lead donors,

    contributors, volunteers, researchers, policy makers or others to believe

    that Kids v Cancers services come from or are associated with

    Defendants, or are somehow sponsored or endorsed by or affiliated with

    Defendants; and

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    B. That Defendants and all those in active concert or participation

    with them (including, but not limited to, Defendants officers, directors, agents, servants,

    employees, representatives, attorneys, subsidiaries, related companies, successors,

    assigns, and contracting parties) take affirmative steps to dispel such false impressions

    that heretofore have been created by their use of the KIDS VS. CANCER mark; and

    C. That Defendants account to Kids v Cancer for any damages

    sustained by Kids v Cancer, to the extent calculable, arising from the foregoing acts of

    trademark infringement and unfair competition pursuant to 15 U.S.C. 1117, N.Y. Gen.

    Bus. Law 349(h) and Fla. Stat. 501.2105, 501.211; and

    D. That, in accordance with such accounting, Kids v Cancer be

    awarded judgment for three times such damages, pursuant to 15 U.S.C. 1117 and N.Y.

    Gen. Bus. Law 349(h), and $10,000 per infringement, pursuant to Fla. Stat. 501.2075;

    and

    E.

    That Kids v Cancer have and recover its costs, including its

    reasonable attorneys fees and disbursements in this action, pursuant to 15 U.S.C.

    1117,N.Y. Gen. Bus. Law 349(h) and Fla. Stat. 501.2105, 501.211; and

    F. That Defendants deliver up for destruction all infringing materials

    in its possession or control and all means of making the same in accordance with 15

    U.S.C. 1118; and

    G. That Defendants file with the Court and serve on counsel for Kids

    v Cancer within thirty (30) days after entry of any injunction issued by the Court in this

    action, a sworn written statement pursuant to 15 U.S.C. 1116(a) setting forth in detail

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    the manner and form in which Defendants have complied with any injunction which the

    Court may enter in this action; and

    H.

    That Kids v Cancer have such other and further relief as the Court

    may deem just and proper.

    JURY TRIAL DEMAND

    Kids v Cancer demands a trial by jury on all claims as to which a jury trial may be

    had.

    Dated: New York, New YorkJanuary 12, 2016

    DEBEVOISE & PLIMPTON LLP

    By: /s/ David H. BernsteinDavid H. Bernstein([email protected])919 Third AvenueNew York, New York 10022(212) 909-6696 (telephone)(212) 521-7696 (facsimile)

    Attorneys for Plaintiff Kids v Cancer

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