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Steel City Enterprises v. Schedule A Defendants — Container Plug Patent | PatSnap
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Case ID1:23-cv-03252
FiledMay 2023
ClosedJun 2024
Patent Litigation

Steel City Enterprises v. Schedule A Defendants: Default Judgment on Container Plug Design Patent

Steel City Enterprises, Inc. filed suit in the Northern District of Illinois against dozens of e-commerce sellers alleging infringement of USD977,973S, a design patent covering a container plug. After defendants failed to appear, Judge Jeffrey Cummings entered a final default judgment — resolving the case in 377 days without a contested merits ruling.

Resolution time
377days
377 days — closed in just over a year, consistent with uncontested Schedule A design patent actions
Patents asserted
1
USD0977973S (US29/825986) — container plug ornamental design patent
Outcome
Default Judgment
Final default judgment entered; defendants deemed in default for failure to appear or respond
Cost ruling
N/A
No contested costs ruling — case resolved by default; fee award details not specified in public record
Published by PatSnap Insights Team · Verified by PatSnap Eureka Data
Case overview

Mass e-commerce design patent action ends in uncontested default

Steel City Enterprises, Inc. filed this action on May 23, 2023, in the U.S. District Court for the Northern District of Illinois (Case No. 1:23-cv-03252) against a broad class of defendants identified on a Schedule A — a litigation strategy increasingly common in design patent enforcement against online marketplace sellers. The single patent asserted, USD977,973S (application no. US29/825986), covers the ornamental design of a container plug. Defendants included named sellers such as Amonsee, Astarexin, Davine Tech, FEIGO, Mlife City, Mxizi Store, Superbamboo, and numerous Chinese e-commerce entities.

The case closed on June 3, 2024, via a final default judgment entered by Judge Jeffrey I. Cummings. The court granted Steel City’s Motion for Entry of Final Default Judgment, formally deeming the Defaulting Defendants in default. This outcome arises when defendants fail to plead or otherwise defend the action — no merits adjudication of infringement or invalidity occurred. For Steel City, the judgment is an enforceable court order; for the defaulting sellers, it typically triggers injunctive relief and potential damages without any opportunity to contest liability.

The 377-day duration is broadly consistent with Schedule A default judgment timelines, which often involve extended service periods and preliminary injunction phases before default is entered. What remains unknown from the public record is the precise damages amount or injunctive scope awarded in the judgment, whether any named defendants appeared and were separately dismissed, and whether Steel City pursued enforcement against the underlying marketplace accounts. The volume of defendants — spanning dozens of storefronts — suggests a coordinated anti-counterfeiting or anti-knockoff campaign targeting online sales of the container plug design.

Case at a glance
Case no.1:23-cv-03252
CourtIllinois Northern
JudgeJeffrey I Cummings
FiledMay 23, 2023
ClosedJune 3, 2024
Duration377 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 377 days

377 days — closed in just over a year, consistent with uncontested Schedule A design patent actions

Case timeline: Complaint filed MAY 23 2023, NOV–DEC — 377 days total Horizontal timeline showing the three key events in Steel City Enterprises, Inc. v The Individuals, Corporations, Limited Liability Companies, Partnerships, and Unincorporated Associations Identified on the Attached Schedule A from filing to resolution. Source: PACER, Illinois Northern District Court. MAY 23 2023 Complaint filed Pre-trial proceedings JUN 3 2024 Default Judgment 377 DAYS TOTAL
Default judgment

Final default judgment: what the ruling means for both parties

Legal mechanism

Default judgment: liability without a merits contest

A final default judgment is entered when defendants fail to appear or respond to the complaint. The court accepts the plaintiff’s well-pleaded allegations as true and enters judgment accordingly. Crucially, no court has adjudicated whether USD977,973S is valid or actually infringed — the judgment reflects procedural default, not a finding on the merits. This distinction matters if Steel City seeks to assert collateral estoppel in future proceedings.

No merits adjudication
Plaintiff outcome

Steel City holds an enforceable judgment against all defaulting sellers

The default judgment gives Steel City an enforceable court order against each Defaulting Defendant. In Schedule A cases, this typically enables the plaintiff to seek platform takedowns, account freezes, and damages from funds held in escrow by marketplaces such as Amazon or eBay. Steel City can now pursue enforcement without further litigation — unless a defendant moves to vacate the default, which is procedurally possible but rarely successful absent extraordinary circumstances.

Enforceable against all defendants
Defendant outcome

Defaulting sellers face injunctions and damages with no path to contest

By failing to appear, each Defaulting Defendant waived the right to contest infringement or challenge the validity of USD977,973S. The judgment is binding. Defendants can move to vacate under Fed. R. Civ. P. 55(c) or 60(b) if they can show good cause or excusable neglect, but courts set a high bar. For foreign e-commerce operators, the practical consequence is likely marketplace account suspension and frozen revenue held on US platforms.

Waived right to contest
Commercial implications

Schedule A enforcement signals active design IP protection for container products

This case is consistent with a broader wave of Schedule A design patent actions filed in the Northern District of Illinois targeting marketplace sellers of consumer hardware and home goods. For any company selling container plug accessories online, this outcome signals that US design patent holders are actively monitoring and enforcing IP against third-party sellers. New market entrants should treat ornamental design clearance as a baseline pre-launch requirement.

Active enforcement posture
Legal analysis based on PACER docket records for case 1:23-cv-03252 and PatSnap Eureka litigation intelligence Search PatSnap Eureka ↗
Parties and representation

Full party and counsel information

RoleNameTypeDetail
PlaintiffSteel City Enterprises, Inc.CompanyHardware/home goods IP holder — asserting USD0977973S covering container plug ornamental designSearch in Eureka ↗
DefendantThe Individuals, Corporations, Limited Liability Companies, Partnerships, and Unincorporated Associations Identified on the Attached Schedule AIndividualDozens of e-commerce and marketplace sellers, predominantly China-based, identified on Schedule ASearch in Eureka ↗
Co-DefendantAmonseeIndividualSearch in Eureka ↗
Co-DefendantAstarexinIndividualSearch in Eureka ↗
Co-DefendantDavine TechIndividualSearch in Eureka ↗
Co-DefendantdongrenIndividualSearch in Eureka ↗
Co-DefendantFEIGO.IndividualSearch in Eureka ↗
Co-DefendantMlife CityIndividualSearch in Eureka ↗
Co-DefendantMxizi StoreIndividualSearch in Eureka ↗
Co-DefendantOthers too numerous to list: shanghairongran dianzikejiyouxian gongsi, Jake.Secer Direct, nissim_store, sxp-us, shen zhen shi yuan meng dian zi ke ji you xian gong si, LKYADM, FEIXINXIN STORE, elix_store, Detiadar, soonbet, ANPPER Co Ltd, CHWM-US, acDesign, Hongzhi Store, goodstobest, hubeihsi, Shuifengshu Store, ShangHaiKuQinS hangMaoYouXian GongSi, bevillesjv93ka, keepshopping002, Aqziill, SPFX STORE, Flutaire US, Shiming ECompanySearch in Eureka ↗
Co-DefendantSuperbambooIndividualSearch in Eureka ↗
Co-DefendantXinxiangyi StoreIndividualSearch in Eureka ↗
Plaintiff counselBenjamin Adam CampbellAttorneyCounsel for Steel City Enterprises, Inc.Search in Eureka ↗
Plaintiff counselEdward L. BishopAttorneyCounsel for Steel City Enterprises, Inc.Search in Eureka ↗
Plaintiff counselNicholas S. LeeAttorneyCounsel for Steel City Enterprises, Inc.Search in Eureka ↗
Plaintiff counselSameeul HaqueAttorneyCounsel for Steel City Enterprises, Inc.Search in Eureka ↗
Plaintiff law firmBishop Diehl & Lee, Ltd.Law FirmRepresenting Steel City Enterprises, Inc.Search in Eureka ↗
Presiding judgeJudge Jeffrey I CummingsJudgeIllinois Northern District CourtSearch in Eureka ↗
Official verdict

Official order — verbatim text

“The Court orders that Steel City’s Motion for Entry of Final Default Judgment is GRANTED as follows, that Defaulting Defendants are deemed in default, and that this Default Judgment is entered against Defaulting Defendants.”
Source: PACER Docket, Case 1:23-cv-03252, Illinois Northern District Court

The court’s order granting Steel City’s Motion for Entry of Final Default Judgment is a procedural disposition, not a merits ruling. The phrasing ‘deemed in default’ confirms that defendants forfeited their right to contest liability by failing to appear. This language is standard in N.D. Ill. Schedule A proceedings and does not constitute a judicial finding that USD977,973S is valid or that any defendant actually infringed — it reflects an unopposed acceptance of the plaintiff’s pleaded allegations. The enforceable judgment nonetheless carries full legal effect against each named Defaulting Defendant.

PACER case 1:23-cv-03252 · Public docket record Explore in Eureka ↗
Patent at issue

USD977,973S — Ornamental design for a container plug

Publication No.USD0977973S
Application No.US29/825986
Patent details
ProductOrnamental design for a container plug
Cited in actionMay 23, 2023

USD977,973S (application no. US29/825986) is a US design patent protecting the ornamental appearance of a container plug. Design patents under 35 U.S.C. § 171 protect the visual, non-functional characteristics of an article of manufacture — in this case, the distinctive look of a plug designed for use with containers. Design patents have a term of 15 years from grant and are typically narrower in scope than utility patents, with infringement assessed under the ‘ordinary observer’ test established in Egyptian Goddess v. Swisa.

Despite their narrower scope, design patents have become a powerful enforcement tool in consumer hardware because they are relatively inexpensive to obtain and can be asserted against a wide range of visually similar products sold on e-commerce platforms. For the container accessories market, USD977,973S represents a potential barrier to entry for any seller whose product embodies a substantially similar ornamental design. The fact that Steel City successfully obtained default judgments against dozens of sellers in a single action suggests the patent covers a commercially significant product form that is being widely replicated in the market.

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

Should you run an FTO against USD977,973S before launching a container plug?

Any manufacturer, importer, or online seller of container plugs or closely related closure accessories targeting the US market should treat USD977,973S as a live clearance risk. This case demonstrates that the patent holder is actively enforcing — and that enforcement proceeds rapidly via default judgment in the Northern District of Illinois. A freedom-to-operate analysis should compare your product’s ornamental design against the patent’s drawings using the ordinary observer standard, not functional differentiation alone.

PatSnap Eureka’s FTO Search Agent can map USD977,973S against your product’s design, identify prior art that may bear on validity, and surface related design patent families that could indicate the breadth of Steel City’s IP portfolio. For teams launching physical products on Amazon or other US marketplaces, Eureka’s monitoring tools can flag new design patent filings in the container accessories space before they become enforcement risks — enabling proactive design-around strategies rather than reactive litigation responses.

PatSnap Eureka FTO Search

Run a freedom-to-operate analysis on USD0977973S to assess your product’s exposure

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Related litigation

Similar container plug and Schedule A design patent cases in N.D. Illinois

Explore comparable Schedule A design patent enforcement actions filed in the Northern District of Illinois targeting e-commerce sellers of consumer hardware and container accessories.

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Steel City Enterprises, Inc. patent enforcement history, Illinois Northern case history, Steel City Enterprises, Inc.’s full IP portfolio, and comparable case analysis
N.D. Ill. Schedule A casesDesign patent defaults 2023Container accessory IP disputesChinese seller enforcement actions
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Strategic implications

What this case signals for the consumer hardware IP landscape

This default judgment illustrates how design patent holders can neutralise dozens of online infringers simultaneously without a single contested hearing.

Schedule A actions are now a primary enforcement tool against e-commerce counterfeiters

By bundling dozens of defendants under a single Schedule A complaint, rights holders like Steel City efficiently obtain injunctions and damages against marketplace sellers. The Northern District of Illinois has become the dominant venue for this strategy. Companies operating on Amazon, eBay, or similar platforms in consumer hardware categories face material exposure if design clearance has not been conducted.

Design patent default judgments create enforceable platform-level leverage

A final default judgment in a Schedule A case typically translates directly into marketplace account freezes and escrowed fund transfers — often without further litigation. For IP holders, this makes design patent filings a cost-efficient enforcement asset. For sellers, it means that ignoring a complaint is not a safe default: the cost of non-response is platform-wide suspension and potential damages.

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Full strategic analysis in PatSnap Eureka
Unlock deeper analysis on consumer hardware design patent enforcement strategy and N.D. Ill. Schedule A litigation trends.
USD977,973S validity riskIPR challenge viabilityPlatform escrow enforcement
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Frequently asked questions

Steel v Individuals — key questions answered

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Protect your container product line from design patent exposure

This case shows how quickly a US design patent holder can obtain enforceable judgments against marketplace sellers. Run an FTO search against USD977,973S before your next product launch and set litigation alerts for new Schedule A filings in your category.

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