Flip Flop Shops Franchise Company, LLC et al v. Amy Neb et al

Filing 65

PRELIMINARY INJUNCTION by Judge John F. Walter that: Plaintiffs Motion for Preliminary Injunction is GRANTED and the Court ordersas follows: Defendants and their officers, agents, servants, employees, and attorneys acting on their behalf are hereby preliminarily restrained and enjoined. (SEE ATTACHMENT FOR FURTHER DETAILS). A bond is not required to be posted by Plaintiffs per the Parties Franchise Agreements. (jp)

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Teresa H. Michaud, State Bar No. 296329
[e-mail]
Laura J. O’Rourke, Admitted Pro Hac Vice
[e-mail]
Christina M. Wong, State Bar No. 288171
[e-mail]
BAKER & McKENZIE LLP
Two Embarcadero Center, 11th Floor
San Francisco, CA 94111-3802
Telephone: [phone]
Facsimile:[phone]

FILED
CLERK, U.S. DISTRICT COURT

12/12/16
CENTRAL DISTRICT OF CALIFORNIA

Timothy Gorry, State Bar No. 143797
[e-mail]
THEODORA ORINGHER PC
1840 Century Park East, Suite 500
Los Angeles, CA 90067-2120
Telephone: [phone]
Facsimile: [phone]

sr
BY: ___________________ DEPUTY

Attorneys for Plaintiffs
Flip Flop Shops Franchise Company, LLC; FFS
Holdings, LLC; and Cherokee Inc.

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UNITED STATES DISTRICT COURT

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CENTRAL DISTRICT OF CALIFORNIA

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WESTERN DIVISION

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FLIP FLOP SHOPS FRANCHISE
COMPANY, LLC; FFS HOLDINGS,
LLC; and CHEROKEE INC.,
Plaintiffs,

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v.
AMY NEB; CHAD NEB; SWAGGER
LLC, KINGS X, LLC; and POLU LANI
LLC,
Defendants.

Case No. 2:16-cv-07259-JFW-E
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[PROPOSED] PRELIMINARY
INJUNCTION

Date:
Time:
Crtrm:
Before:

December 5, 2016
1:30 p.m.
16, 312 N. Spring Street
Los Angeles, CA 90012
The Hon. John F. Walter

[Fed. R. Civ. P. 65;
Local Rules 52-4 and 58-10]

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Baker & McKenzie LLP
Two Embarcadero Center
11th Floor
San Francisco, CA 94111
Tel: [phone]

Case No 2:16-cv-07259-JFW-E
[PROPOSED] PRELIMINARY INJUNCTION
XXXXX

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The motion of Plaintiffs Flip Flop Shops Franchise Company, LLC (“Flip Flop

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Shops), FFS Holdings, LLC (“FFS Holdings”), and Cherokee Inc. (“Cherokee”)

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(collectively, “Plaintiffs”) for a preliminary injunction pursuant to Federal Rule of Civil

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Procedure 65(a) against Defendants Amy Neb (“Ms. Neb”), Chad Neb (“Mr. Neb”),

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Swagger LLC (“Swagger”), Kings X, LLC (“Kings X”) and Polu Lani LLC (“Polu

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Lani”) (collectively, “Defendants”) was set for submission to the Court on the papers

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submitted by the Parties at the date, time, and place set forth above. The Court having

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considered the papers filed in support of and in opposition to the motion and good cause

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appearing therefore, finds and orders as follows, consistent with its December 5, 2016

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Order Granting Motion by Plaintiffs for Preliminary Injunction [Dkt. No. 61], and

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incorporates by reference hereto each of the Findings of Fact from such Order:

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FOR GOOD CAUSE SHOWN, IT IS HEREBY ORDERED that:

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Plaintiffs’ Motion for Preliminary Injunction is GRANTED and the Court orders

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as follows:
1.

Defendants and their officers, agents, servants, employees, and attorneys

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acting on their behalf are hereby preliminarily restrained and enjoined from operating

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the Terminated Stores, and from using Plaintiffs’ proprietary System, Confidential

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Information, and Marks;

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2.

Alternatively, to the extent Defendants intend to remain in the same

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locations and operate something other than a flip flops-related business, Defendants

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must make all such modifications or alterations to the premises as are necessary to

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distinguish the appearance of the stores from that of other Flip Flop Shops Stores,

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including but not limited to removal of: the speed rails, customized cash wrap, backlit

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displays of lifestyle images and brand insignia, paint and color scheme of Flip Flop

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Shops, custom-made ‘Flip-Flop Tree,’ Flip Flop Shops’ millwork and displays, the

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proprietary scent machine, the music and video system, and cork flooring.

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Additionally, Defendants are preliminarily restrained and enjoined from operating any

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retail facility which primarily offers flip flop shoes and related footwear and

Baker & McKenzie LLP
Two Embarcadero Center
11th Floor
San Francisco, CA 94111
Tel: [phone]

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Case No 2:16-cv-07259-JFW-E
[PROPOSED] PRELIMINARY INJUNCTION
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accessories in the existing locations or within a fifteen mile radius of any Flip Flop

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Shops Store in existence or under construction as of the date of this Order;

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3.

A bond is not required to be posted by Plaintiffs per the Parties’ Franchise

Agreements;
4.

This order shall continue in full force and effect until the completion of a

trial on the merits, or until further order of the Court; and
5.

The Clerk of the Court is directed to issue a Preliminary Injunction

containing the terms in this order, effective immediately.
IT IS SO ORDERED.

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Dated: December 12, 2016

The Honorable John F. Walter
United States District Judge

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Baker & McKenzie LLP
Two Embarcadero Center
11th Floor
San Francisco, CA 94111
Tel: [phone]

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Case No 2:16-cv-07259-JFW-E
XXXXX
[PROPOSED] PRELIMINARY INJUNCTION