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AP Pty Ltd. v. Schedule A Defendants – Design Patent & Trademark Counterfeiting | PatSnap
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Case ID1:24-cv-07291
FiledAug 2024
ClosedFeb 2025
Patent Litigation

AP Pty Ltd. v. Schedule A Defendants: Default Judgment in Design Patent & Counterfeiting Action

Annex Products Pty Ltd. sued a network of anonymous e-commerce sellers for counterfeiting its federally registered design patents, trademarks, and copyrights covering mirror and vibration dampening mounts. The Illinois Northern District Court entered a default judgment of $100,000 in statutory damages with a permanent injunction and platform-level asset freeze — resolved in 188 days.

Resolution time
188days
188 days — faster than the median Schedule A counterfeiting case, consistent with uncontested default proceedings
Patents asserted
2
USD940125S and USD852681S — mirror mount and vibration dampening mount design patents asserted
Outcome
Default Judgment
Plaintiff win — defendants failed to appear; allegations deemed admitted; $100,000 statutory damages awarded
Cost ruling
$267,000 Bond
Plaintiff’s surety bond fully released to Annex Products and its counsel upon judgment entry
Published by PatSnap Insights Team · Verified by PatSnap Eureka Data
Case overview

Annex Products wins default judgment against counterfeit mount sellers

Annex Products Pty Ltd. filed this action on 15 August 2024 in the U.S. District Court for the Northern District of Illinois against an unnamed network of e-commerce defendants identified only in Schedule A. The complaint alleged infringement of two federally registered design patents — USD940125S (mirror mount) and USD852681S (vibration dampening mount) — alongside trademark counterfeiting, copyright infringement, and violation of the Illinois Uniform Deceptive Trade Practices Act. Defendants were operating storefronts across major platforms including Amazon, AliExpress, Temu, eBay, Shein, and Walmart, targeting U.S. and Illinois consumers.

None of the named defendants answered or appeared, and the court entered a default judgment on 19 February 2025 — 188 days after filing. Judge John Robert Blakey awarded $100,000 in statutory damages under 15 U.S.C. § 1117(c)(2) and 17 U.S.C. § 504(c)(2) for willful counterfeiting, issued a permanent injunction, and ordered third-party platforms and payment processors — including PayPal, Stripe, Payoneer, and Shopify — to freeze and transfer restrained funds to plaintiff as partial payment.

The 188-day resolution is consistent with Schedule A default matters, where defendants’ non-appearance accelerates the timeline significantly. The court’s findings of willfulness, grounded in screenshot evidence of active Illinois-targeted storefronts, supported the maximum statutory damages tier. The public record does not reveal how much of the $100,000 award was ultimately recovered from frozen third-party accounts, nor the precise number of defendants covered under Schedule A — details that typically remain sealed in such actions.

Case at a glance
Case no.1:24-cv-07291
PlaintiffAP Pty Ltd.
CourtIllinois Northern
JudgeJohn Robert Blakey
FiledAugust 15, 2024
ClosedFebruary 19, 2025
Duration188 days
OutcomeDefault Judgment
Verdict causeInfringement Action
BasisDefault Judgment
Prior Art Intelligence
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Case data sourced from PACER / Illinois Northern District Court via PatSnap Eureka Litigation Intelligence Explore similar cases ↗
Case timeline

Filing to Default Judgment in 188 days

188 days — faster than the median Schedule A counterfeiting case, consistent with uncontested default proceedings

Case timeline: Complaint filed AUG 15 2024, NOV–DEC — 188 days total Horizontal timeline showing the three key events in AP Pty Ltd. v The Partnerships and Unincorporated Associations Identified in Schedule A from filing to resolution. Source: PACER, Illinois Northern District Court. AUG 15 2024 Complaint filed Pre-trial proceedings FEB 19 2025 Default Judgment 188 DAYS TOTAL
Default judgment

Default judgment entered: what the ruling means for both parties

Legal mechanism

Default judgment: defendants’ silence becomes admission

When defendants fail to appear or respond, the court may enter default judgment under Federal Rule of Civil Procedure 55. All well-pleaded allegations are deemed admitted. Here, the court found personal jurisdiction, service via electronic publication and email was adequate notice, and willful infringement was established by screenshot evidence — enabling the maximum statutory damages tier for counterfeiting.

Fed. R. Civ. P. 55 default
Patent holder outcome

Annex Products secures injunction, asset freeze, and damages

The judgment delivers a permanent injunction enforceable against the defendants and all third-party platform providers given notice. Frozen funds held by PayPal, Stripe, Amazon, and others must be released to plaintiff within 14 days of order receipt. The $267,000 surety bond is also returned. Plaintiff retains supplemental enforcement rights under Rule 69 to pursue additional accounts if discovered.

Plaintiff win — injunction + recovery
Defendant outcome

Counterfeit sellers face permanent ban and platform-level asset seizure

Defaulting defendants are permanently enjoined from using Annex Products’ IP across any marketplace or domain. Domain registrars — including GoDaddy, Namecheap, and Name.com — must transfer or disable defendant domains within seven days. All marketplace accounts are frozen. Because the judgment applies per defendant entity (not per alias), the practical recovery may span multiple storefronts operated under different seller names.

Permanent injunction + domain seizure
Commercial implications

Schedule A default playbook: effective but recovery is uncertain

This case illustrates the standard Schedule A enforcement model — broad multi-platform injunction, statutory damages, and third-party asset freezes obtained without defendant participation. While the legal win is clear, actual monetary recovery depends on how much the defendants held in frozen accounts at time of order. IP holders in consumer hardware and accessories sectors should note the value of maintaining registered design patents and trademarks to access statutory damages without proving actual loss.

Design patent enforcement strategy
Legal analysis based on PACER docket records for case 1:24-cv-07291 and PatSnap Eureka litigation intelligence Search PatSnap Eureka ↗
Parties and representation

Full party and counsel information

RoleNameTypeDetail
PlaintiffAP Pty Ltd.CompanyConsumer accessories IP holder — holder of USD940125S and USD852681S design patentsSearch in Eureka ↗
DefendantThe Partnerships and Unincorporated Associations Identified in Schedule AIndividualAnonymous e-commerce sellers operating counterfeit storefronts across global online marketplacesSearch in Eureka ↗
Plaintiff counselJames Edward JudgeAttorneyCounsel for AP Pty Ltd.Search in Eureka ↗
Plaintiff counselYing ChenAttorneyCounsel for AP Pty Ltd.Search in Eureka ↗
Plaintiff counselZareefa Burki FlenerAttorneyCounsel for AP Pty Ltd.Search in Eureka ↗
Plaintiff law firmFlener IP & Business LawLaw FirmRepresenting AP Pty Ltd.Search in Eureka ↗
Presiding judgeJudge John Robert BlakeyJudgeIllinois Northern District CourtSearch in Eureka ↗
Official verdict

Official order — verbatim text

“This action having been commenced by Annex Products Pty Ltd. (“Plaintiff”) against the Defendants identified in Schedule A attached hereto (collectively the “Defaulting Defendants”), and Plaintiff having moved for entry of Default and Default Judgment against the Defaulting Defendants. This Court having entered a temporary restraining order; Plaintiff having properly completed service of process on the Defaulting Defendants, the combination of providing notice via electronic publication and e-mail, along with any notice that the Defaulting Defendants received from domain name registrars and payment processors, being notice reasonably calculated under all circumstances to apprise the Defaulting Defendants of the pendency of the action and affording them the opportunity to answer and present their objections; and Defaulting Defendants having not answered or appeared in any way, and the time for answering having expired, so that the allegations of the Complaint are uncontroverted and are deemed admitted;This Court finds that it has personal jurisdiction over the Defaulting Defendants because the Defaulting Defendants directly target their business activities toward consumers in the United States, including Illinois. Specifically, Plaintiff has provided a basis to conclude that the Defaulting Defendants have targeted sales to Illinois residents by setting up and operating e-commerce stores that target United States consumers using one or more seller aliases, offer shipping to the United States, including Illinois, and have sold products using infringing and/or counterfeit versions of Plaintiff’s federally registered design patents, copyrights, and trademarks (the “Plaintiff Intellectual Property”) to residents of Illinois. In this case, Plaintiff has presented screenshot evidence that the Defendants’ e-commerce stores are reaching out to do business with Illinois residents by operating one or more commercial, interactive internet stores through which Illinois residents can and do purchase products using counterfeit versions of the Plaintiff Intellectual Property. See [7-5] to [7-10], which includes screenshot evidence confirming that each Defendant e-commerce store does stand ready, willing, and able to ship its counterfeit goods to customers in Illinois bearing infringing and/or counterfeit versions of the Plaintiff Intellectual Property. A list of the Plaintiff’s Intellectual Property is included in the below charts. This Court further finds that Defaulting Defendants are liable for design patent infringement (35 U.S.C. § 271), copyright infringement (17 U.S.C. 501(a)), willful federal trademark infringement and counterfeiting (15 U.S.C. § 1114), false designation of origin (15 U.S.C. § 1125(a)), and violation of the Illinois Uniform Deceptive Trade Practices Act (815 ILCS § 510 et seq.). Accordingly, this Court orders that Plaintiff’s Motion for Entry of Default and Default Judgment is GRANTED as follows, that the Defaulting Defendants are deemed in default, and that this Default Judgment is entered against the Defaulting Defendants. This Court further orders that: 1. Defaulting Defendants, its officers, agents, servants, employees, attorneys, and all persons acting for, with, by, through, under, or in active concert with it be permanently enjoined and restrained from:using the Plaintiff Intellectual Property or any reproductions, counterfeit copies, or colorable imitations in any manner in connection with the distribution, marketing, advertising, offering for sale, or sale of any product that is not a genuine Plaintiff product or not authorized by Plaintiff to be sold in connection with the Plaintiff Intellectual Property; b. passing off, inducing, or enabling others to sell or pass off any product as a genuine Plaintiff product or any other product produced by Plaintiff, that is not Plaintiff’s or not produced under the authorization, control, or supervision of Plaintiff and approved by Plaintiff for sale under the Plaintiff Intellectual Property; c. committing any acts calculated to cause consumers to believe that Defaulting Defendants’ products are those sold under the authorization, control, or supervision of Plaintiff, or are sponsored by, approved by, or otherwise connected with Plaintiff; and d. manufacturing, shipping, delivering, holding for sale, transferring or otherwise moving, storing, distributing, returning, or otherwise disposing of, in any manner, products or inventory not manufactured by or for Plaintiff, nor authorized by Plaintiff to be sold or offered for sale, and which bear any of Plaintiff’s trademarks, including the Plaintiff Intellectual Property, or any reproductions, counterfeit copies or colorable imitations. 2. The domain name registries for the Defendant Domain Names, including, but not limited to, VeriSign, Inc., Neustar, Inc., Afilias Limited, CentralNic, Nominet, and the Public Interest Registry, and the domain name registrars, including, but not limited to, GoDaddy Operating Company LLC, Name.com, PDR LTD. d/b/a/ PublicDomainRegistry.com, and Namecheap Inc., within seven (7) calendar days of receipt of this Order, shall, at Plaintiff’s choosing: a. transfer the Defendant Domain Names to Plaintiff’s control, including unlocking and changing the registrar of record for the Defendant Domain Names to a registrar of Plaintiff’s selection, and the domain name registrars shall take any steps necessary to transfer the Defendant Domain Names to a registrar of Plaintiff’s selection; or b. disable the Defendant Domain Names and make them inactive and untransferable. 3. Defaulting Defendants and any third party with actual notice of this Order who is providing services for the Defaulting Defendants, or in connection with the Defaulting Defendants’ Online Marketplaces, including, without limitation, any online marketplace platforms such as Alibaba Group Holding Limited., Alibaba.com, Inc., Alibaba.com US E-commerce Corp., Alibaba.com U.S. LLC, Alibaba Group (U.S.) Inc., AUS Merchant Services, Inc., and Alipay US, Inc. (“Alibaba,” “AliExpress,” and/or “AliPay”); Amazon.com, Inc. (“Amazon”); DHgate.com Inc. (“DHgate”); eBay Inc. (“eBay”); Fruugo Ltd. (“Fruugo”); Roadget Business Pte. Ltd. and Shein US Services LLC (“Shein”); Shopify Inc. (“Shopify”); PDD Holdings (“Temu”); Walmart Inc. (“Walmart”); ContextLogic Inc. (“Wish”); LianLian Global, LL Pay U.S., LLC, and Lianlian Yintong Electronic Payment Co. Ltd. (“LianLian”); Payoneer Global Inc. (“Payoneer”); PayPal Holdings, Inc. (“PayPal”); Stripe Inc. (“Stripe”) (collectively, the “Third Party Providers”), shall within seven (7) calendar days of receipt of this Order cease: a. using, linking to, transferring, selling, exercising control over, or otherwise owning the Online Marketplace Accounts, or any other online marketplace account that is being used to sell or is the means by which the Defaulting Defendants could continue to sell counterfeit and infringing goods using the Plaintiff Intellectual Property; and b. operating and/or hosting websites that are involved with the distribution, marketing, advertising, offering for sale, or sale of any product bearing the Plaintiff Intellectual Property or any reproductions, counterfeit copies or colorable imitations thereof that is not a genuine Plaintiff product or not authorized by Plaintiff to be sold in connection with the Plaintiff Intellectual Property. 4. Upon Plaintiff’s request, those with notice of this Order, including the Third-Party Providers as defined in Paragraph 3, shall within seven (7) calendar days after receipt of such notice, disable and cease displaying any advertisements used by or associated with Defaulting Defendants in connection with the sale of counterfeit and infringing goods using the Plaintiff Intellectual Property. 5. Pursuant to 15 U.S.C. § 1117(c)(2) and 17 U.S. § 504(c)(2), Plaintiff is awarded statutory damages from the Defaulting Defendants in the amount of $100,000 for willful use of counterfeit Plaintiff Trademark and Copyrights on products sold through at least the Defendant Internet Store. This award shall apply to Defaulting Defendants only once, even if they are listed under multiple different aliases in the Complaint and Schedule A. 6. Any Third Party Providers holding funds for Defaulting Defendants, including, Alibaba, AliExpress, Amazon, DHgate, eBay, Fruugo, Shein, Shopify, Temu, Walmart, Shein, LianLian, PayPal, Payoneer, and Stripe shall, within seven (7) calendar days of receipt of this Order, permanently restrain and enjoin any accounts connected to the Defaulting Defendants or the Defendant Internet Stores from transferring or disposing of any funds (up to the statutory damages awarded in Paragraph 6 above) or other of Defaulting Defendants’ assets. 7. All monies (up to the amount of the statutory damages awarded in Paragraph 5 above) currently restrained in Defaulting Defendants’ financial accounts, including monies held by Third Party Providers, as defined in Paragraph 3, are hereby released to Plaintiff as partial payment of the above-identified damages, and Third Party Providers are ordered to release to Plaintiff the amounts from Defaulting Defendants’ financial accounts within fourteen (14) calendar days of receipt of this Order. 8. Until Plaintiff has recovered full payment of monies owed to it by the Defaulting Defendants, Plaintiff shall have the ongoing authority to commence supplemental proceedings under Federal Rule of Civil Procedure 69. 9. In the event that Plaintiff identifies any additional online marketplace accounts or financial accounts owned by the Defaulting Defendants, Plaintiff may send notice of any supplemental proceeding, including a citation to discover assets, to the Defaulting Defendants by e-mail to any e-mail addresses provided for the Defaulting Defendants by third parties. 10.The $267,000.00 surety bond posted by Plaintiff is hereby released to Plaintiff or its counsel, Flener IP & Business Law (along with any interest earned thereon). The Clerk of the Court is directed to return the surety bond previously deposited with the Clerk of the Court to Plaintiff or its counsel (along with any interest earned thereon).”
Source: PACER Docket, Case 1:24-cv-07291, Illinois Northern District Court

The default judgment is comprehensive in scope — covering design patent infringement (35 U.S.C. § 271), copyright infringement, willful trademark counterfeiting, false designation of origin, and the Illinois Deceptive Trade Practices Act. The court’s willfulness finding, supported by screenshot evidence of active U.S.-targeted storefronts, enabled statutory damages at the enhanced $100,000 ceiling under 15 U.S.C. § 1117(c)(2). The single-award provision — applying once regardless of alias count — limits aggregate exposure per defendant entity but preserves proportionality. The judgment’s broad third-party enforcement mechanism effectively converts major marketplace and payment platforms into enforcement agents.

PACER case 1:24-cv-07291 · Public docket record Explore in Eureka ↗
Patent at issue

USD940125S & USD852681S — Mirror Mount and Vibration Dampening Mount Designs

Publication No.USD0940125S
Application No.US29/737107
Patent details
Productmirror mount design for consumer accessories
Cited in actionAugust 15, 2024

Publication No.USD0852681S
Application No.US29/648641
Patent details
Productvibration dampening mount design for consumer accessories
Cited in actionAugust 15, 2024

USD940125S (App. No. 29/737107) and USD852681S (App. No. 29/648641) are U.S. design patents covering the ornamental design of a mirror mount and a vibration dampening mount, respectively. Design patents protect the non-functional visual appearance of a product — meaning any product that looks substantially similar to a casual observer may infringe, regardless of functional differences. These patents cover hardware products in the consumer accessories and device mounting segment, likely serving the cycling, motorsport, or outdoor activity markets given Annex Products’ brand positioning.

Design patents in the consumer accessories space are strategically valuable precisely because they do not require proof of copying intent — visual similarity to an ordinary observer is the infringement test. For Annex Products, holding two registered design patents across its mount product range creates a strong platform for Schedule A enforcement against anonymous overseas counterfeiters. Competitors developing mount products in adjacent markets should conduct FTO reviews against both patents, as the ornamental scope of design patents can extend to visually similar but independently developed designs.

Patent data sourced from USPTO via PatSnap Eureka patent database Search patent records in Eureka ↗
Freedom to operate

Should you run an FTO against USD940125S and USD852681S?

Any product team developing mirror mounts, handlebar mounts, vibration dampening mounts, or similar consumer hardware accessories — particularly for cycling, motorsport, or outdoor device mounting — should assess freedom to operate against these two Annex Products design patents. Design patent infringement turns on the ordinary observer test: if an ordinary consumer would mistake your product’s appearance for the patented design, infringement may exist even without intentional copying. The Schedule A enforcement model means you may face injunction and asset freeze without early warning.

PatSnap Eureka’s FTO Search Agent can map USD940125S and USD852681S against your product’s design features, identify visual similarity risk across design patent claim drawings, and surface the full Annex Products IP portfolio for comprehensive clearance. Eureka’s landscape tools can also reveal how broadly Annex Products has registered design rights internationally — critical for e-commerce sellers operating across multiple jurisdictions who need to assess global exposure, not just U.S. risk.

PatSnap Eureka FTO Search

Run a freedom-to-operate analysis on USD0940125S to assess your product’s exposure

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Related litigation

Similar design patent and Schedule A counterfeiting cases in the N.D. Illinois

Browse related Schedule A design patent and trademark counterfeiting enforcement actions filed in the Northern District of Illinois against anonymous e-commerce defendants.

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Strategic implications

What this case signals for the consumer accessories IP landscape

Default judgments against Schedule A sellers are an increasingly common enforcement tool — but the details reveal important strategic and commercial limits.

Design patent registration unlocks statutory damages without proving actual loss

Annex Products’ ability to claim $100,000 per willful violation rested entirely on its registered design patents and trademarks. Without registration, only actual damages are available — which are notoriously difficult to quantify against anonymous overseas sellers. Early and broad IP registration is the foundation of any effective Schedule A enforcement program.

Platform cooperation is essential — and now court-ordered

The judgment’s reach across Amazon, Temu, AliExpress, Shopify, Stripe, PayPal, and others illustrates how Schedule A litigation has become a multi-platform operation. Courts in the Northern District of Illinois have established clear precedent for compelling third-party provider compliance — making this jurisdiction a preferred venue for e-commerce IP enforcement.

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Frequently asked questions

AP v Partnerships — key questions answered

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Monitor design patent enforcement in consumer accessories

Use PatSnap Eureka to run FTO searches against Annex Products’ mount design patents and track new Schedule A filings in the Northern District of Illinois. Set alerts to catch new assertions before they affect your supply chain or marketplace listings.

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