CUYLER BURK, LLP Parsippany Corporate Center Four Century Drive Parsippany, New Jersey 07054-4663 (973) 734-3200

Attorneys for Plaintiff, Prime Time Toys, Ltd. By: Jaclyn DiLascio Malyk

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF NEW JERSEY

PRIME TIME TOYS, LTD., Plaintiff v. PAPERMATES, INC. d/b/a NOTEWORTHY Defendant

CIVIL ACTION NO.

COMPLAINT

Prime Time Toys, Ltd. (hereinafter referred to as PTT) through its attorneys, complaining of Papermates, Inc. d/b/a Noteworthy (Noteworthy) alleges as follows:

THE PARTIES 1. Plaintiff PTT is a corporation duly organized and existing under the laws of Hong

Kong, having an office and places of business at Suite 5, 2/F, Kwong Sang Hong Centre, Kwun Tong, Hong Kong and a related company with an address at 200 Wanaque Avenue, Suite 101,

Pompton Lakes, NJ 07442. PTT is transacting and doing business within this District through its related company. 2. Upon information and belief, Defendant Papermates, Inc. d/b/a Noteworthy is a

corporation organized and existing under the laws of the State of California, having a principal office at 20717 Prairie Street, Chatsworth, CA 91311-6011. 3. Upon information and belief, Defendant Papermates, Inc. d/b/a Noteworthy does

business under the name Noteworthy. JURISDICTION 4. This action arises under the patent laws of the United States, 35 U.S.C. 1, et seq.

This Court has jurisdiction over these claims pursuant to 28 U.S.C. 1331 and 1338. 5. Upon information and belief, Exhibit A is a true and correct photograph of a

floating squirting toy offered for sale, sold and/or imported into the United States by Noteworthy. The toy shown in Exhibit A is hereinafter referred to as the Noteworthy Water Blaster. 6. Upon information and belief, Noteworthy has offered to sell and has sold the

Noteworthy Water Blaster to Toys R Us, Inc. for sale to customers within the State of New Jersey and this District. 7. Upon information and belief, Noteworthy has directly and/or indirectly, through

the Internet, trade show participation, distributors, retailers, an agent and/or otherwise, offered

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for sale, sold and/or delivered the Noteworthy Water Blaster within the State of New Jersey and this District. 8. commerce. 9. Under the New Jersey Long Arm Rule 4:4-4(b)(1), this Court has personal On information and belief, Noteworthy derives substantial revenue from interstate

jurisdiction over Noteworthy because, among other reasons, Noteworthy has conducted business in New Jersey which have given rise to the acts of patent infringement within New Jersey, the products accused herein of patent infringement are sold in New Jersey, and the conduct complained of herein has caused injury to PTT in New Jersey. Further, upon information and belief, Noteworthy transacts and solicits substantial business in New Jersey, and Noteworthy has at all relevant times purposely, systematically and continuously directed contacts to and conducted business in New Jersey. 10. This Court has personal jurisdiction over Noteworthy under Rule 4 of the Federal

Rules of Civil Procedure, in that Noteworthy has committed acts of patent infringement having effects within the State of New Jersey and this District. 11. Upon information and belief, Noteworthy is transacting and doing business as a

manufacturer and seller of toys in this District and is subject to the jurisdiction of this Court pursuant to the laws of this State and Rule 4 of the Federal Rules of Civil Procedure.

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VENUE 12. Venue is proper pursuant to 28 U.S.C. 1391 and 1400(a) because, upon

information and belief, Noteworthy is doing business within this District and has committed at least some of the acts complained of herein within this District. BACKGROUND 13. PTT is engaged, inter alia, in the design, manufacture, marketing, distribution,

and sale of toys. PTT sells toys to retailers and distributors. 14. PTT currently sells in the United States a toy under the trademark MAX

LIQUIDATOR. A true and correct photograph of PTTs MAX LIQUIDATOR is attached as Exhibit B. 15. On October 16, 2007, the U.S. Patent and Trademark Office issued U.S. Patent

No. 7,281,642 B2, titled, SQUIRTING TOY (hereinafter the 642 Patent). The 642 Patent is valid and subsisting and is entitled to a presumption of validity under 35 U.S.C. 282. A true and correct copy of the 642 Patent is attached as Exhibit C. 16. On August 11, 2009, the U.S. Patent and Trademark Office issued U.S. Patent No.

7,571,837 B2, titled, SQUIRTING TOY (hereinafter the 837 Patent). The 837 Patent is valid and subsisting and is entitled to a presumption of validity under 35 U.S.C. 282. A true and correct copy of the 837 Patent is attached as Exhibit D. 17. On February 28, 2012, the U.S. Patent and Trademark Office issued U.S. Patent

No. 8,123,077 B2, titled, FLOATING SQUIRTING TOY (hereinafter the 077 Patent). The

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077 Patent is valid and subsisting and is entitled to a presumption of validity under 35 U.S.C. 282. A true and correct copy of the 077 Patent is attached as Exhibit E. 18. PTT is the exclusive licensee having all substantial rights in the 642, 837, and

077 Patents, which are owned by Easebon Services, Ltd. (Easebon). Easebon has granted PTT an exclusive license to the 642, 837, and 077 Patents, which exclusive license includes all substantial rights to the 642, 837, and 077 Patents, including the exclusive right to make, use, or sell the patented technology, and the exclusive right to sue for past, current, and future infringements of the 642, 837, and 077 Patents. Easebon has retained no substantial rights in the asserted patents. 19. 077 Patents. 20. Since shortly after issuance of the 642 Patent, every MAX LIQUIDATOR sold The MAX LIQUIDATOR is a commercial embodiment of the 642, 837, and

by PTT in the United States has been marked with U.S. Patent No. 7,281,642. 21. Since shortly after issuance of the 837 Patent, every MAX LIQUIDATOR sold

by PTT in the United States has been marked with U.S. Patent No. 7,571,837. 22. Beginning with the next production run of the MAX LIQUIDATOR, every MAX

LIQUIDATOR sold by PTT in the United States will be marked with U.S. Patent No. 7,775,077. 23. Upon information and belief, Noteworthy manufactures, offers for sale, sells

and/or imports in or into the United States toys which infringe the 642, 837, and/or 077 Patents, which toys include the Noteworthy Water Blaster.

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24.

Upon information and belief, Noteworthy induces others to offer for sale, sell,

import and/or use in or into the United States toys which infringe the 642, 837, and/or 077 Patents, which toys include the Noteworthy Water Blaster. 25. On information and belief, Noteworthy has sold, offered to sell or imported in or

into the United States the Noteworthy Water Blaster knowing the same to be an infringement of the 642, 837, and/or 077 Patents. COUNT I: PATENT INFRINGEMENT BY NOTEWORTHY OF U.S. PATENT NO. 7,571,837

26. entirety here. 27.

Paragraphs 1 through 26 of this Complaint are incorporated as if set forth in their

Noteworthy has infringed and is still infringing at least Claims 1, 10, and 15 of

the 837 Patent by manufacturing, importing, selling and/or offering for sale the Noteworthy Water Blaster, and/or other toys which embody the subject matter claimed in the 837 Patent. 28. Noteworthy has actively induced others to infringe the 837 Patent by the sale,

offer for sale, importation and/or use of the Noteworthy Water Blaster and/or other toys which embody the subject matter claimed in the 837 Patent. 29. Noteworthy has sold, offered to sell or imported in or into the United States the

Noteworthy Water Blaster, knowing this toy infringes the 837 Patent. Thus, Noteworthy is contributorily infringing the 837 Patent by its actions with regard to the Noteworthy Water Blaster. 30. Noteworthy had notice of the 837 Patent at least as early as March 21, 2012. -6-

31.

Upon information and belief, Noteworthys infringement of the 837 Patent is

knowing and willful. 32. This is an exceptional case within the provisions of 35 U.S.C. 285 and,

accordingly, PTT is entitled to an award of reasonable attorneys fees. 33. PTT has suffered monetary damage as a result of Noteworthys acts complained

of herein, in an amount thus far not determined. 34. PTT has no adequate remedy at law.

COUNT II: PATENT INFRINGEMENT BY NOTEWORTHY OF U.S. PATENT NO. 7,281,642

35. entirety here. 36.

Paragraphs 1 through 35 of this Complaint are incorporated as if set forth in their

Noteworthy has infringed and is still infringing at least Claims 5 and 13 of the

642 Patent by manufacturing, importing, selling and/or offering for sale the Noteworthy Water Blaster, and/or other toys which embody the subject matter claimed in the 642 Patent. 37. Noteworthy has actively induced others to infringe the 642 Patent by the sale,

offer for sale, importation and/or use of the Noteworthy Water Blaster, and/or other toys which embody the subject matter claimed in the 642 Patent. 38. Noteworthy has sold, offered to sell or imported in or into the United States the Thus, Noteworthy is

Noteworthy Water Blaster knowing it to infringe the 642 Patent.

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contributorily infringing the 642 Patent by its actions with regard to the Noteworthy Water Blaster. 39. Upon information and belief, Noteworthy had notice of the 642 Patent at least as

early as March 21, 2012. 40. Upon information and belief, Noteworthys infringement of the 642 Patent is

knowing and willful. 41. This is an exceptional case within the provisions of 35 U.S.C. 285 and,

accordingly, PTT is entitled to an award of reasonable attorneys fees. 42. PTT has suffered monetary damage as a result of Noteworthys acts complained

of herein, in an amount thus far not determined. 43. PTT has no adequate remedy at law.

COUNT III: PATENT INFRINGEMENT BY NOTEWORTHY OF U.S. PATENT NO. 8,123,077 44. entirety here. 45. Noteworthy has infringed and is still infringing at least Claims 1, 12, and 20 of Paragraphs 1 through 44 of this Complaint are incorporated as if set forth in their

the 077 Patent by manufacturing, importing, selling and/or offering for sale the Noteworthy Water Blaster, and/or other toys which embody the subject matter claimed in the 077 Patent. 46. Noteworthy has actively induced others to infringe the 077 Patent by the sale,

offer for sale, importation and/or use of the Noteworthy Water Blaster and/or other toys which embody the subject matter claimed in the 077 Patent. -8-

47.

Noteworthy has sold, offered to sell or imported in or into the United States the Thus, Noteworthy is

Noteworthy Water Blaster knowing it to infringe the 077 Patent.

contributorily infringing the 077 Patent by its actions with regard to the Noteworthy Water Blaster. 48. Upon information and belief, Noteworthy had notice of the 077 Patent at least as

early as March 21, 2012. 49. Upon information and belief, Noteworthys infringement of the 077 Patent is

knowing and willful. 50. This is an exceptional case within the provisions of 35 U.S.C. 285 and,

accordingly, PTT is entitled to an award of reasonable attorneys fees. 51. PTT has suffered monetary damage as a result of Noteworthys acts complained

of herein, in an amount thus far not determined. 52. PTT has no adequate remedy at law. PRAYER FOR RELIEF WHEREFORE, PTT respectfully requests that judgment be entered in favor of PTT and prays that the Court grant the following relief: 1. That this Court declares that Noteworthy has infringed U.S. Patent Nos. 7,571,837

(the 837 Patent), 7,281,642 (the 642 Patent), 8,123,077 (the 077 Patent) and that such infringement has been willful;

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2.

That Noteworthy and their officers, agents, servants, employees and attorneys and

any and all persons in active concert or participation with Noteworthy, be enjoined from making, using, offering for sale, selling, and/or importing into the United States toys that infringe the 837, 642, and 077 Patents or actively inducing infringement of or contributorily infringing the 837, 642, and 077 Patents; 3. That Noteworthy and their officers, agents, servants, employees and attorneys and

any and all persons in active concert or participation with Noteworthy, be enjoined from infringing the 837, 642, and 077 Patents; 4. That Noteworthy and their officers, agents, servants, employees and attorneys and

any and all persons in active concert or participation with Noteworthy, be enjoined from inducing infringement of the 837, 642, and 077 Patent or contributorily infringing the837, 642, and 077 Patents; 5. That PTT be awarded damages adequate to compensate PTT for Noteworthys

infringement of the 837, 642, and 077 Patents, including PTTs profits lost as a result of infringement of the 837, 642, and 077 Patents, and that the damages be enhanced due to the willfulness of the infringement, in accordance with 35 U.S.C. 284; 6. That Noteworthy be ordered to deliver for destruction all toys in their possession,

custody or control that infringe the 837, 642, and 077 Patents; 7. That this case be deemed exceptional under 35 U.S.C. 285 and that PTT be

awarded its costs and attorneys fees, pursuant to 35 U.S.C. 285; and

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8. equitable.

That PTT be awarded such other and further relief as the Court deems just and

JURY DEMAND PTT hereby demands a trial by jury as to all issues so triable.

DATED: July 24, 2012

Respectfully submitted,

By: /s/ Jaclyn DiLascio Malyk Jaclyn DiLascio Malyk, Esq. CUYLER BURK, LLP Parsippany Corporate Center Four Century Drive Parsippany, NJ 07054 Tel: (973) 734-3200 Fax: (973) 734-3201 Email: jmalyk@cuyler.com

Of counsel: AMSTER, ROTHSTEIN & EBENSTEIN LLP Neil M. Zipkin, Esq. Chester Rothstein, Esq. David A. Boag, Esq. 90 Park Avenue New York, New York 10016 Tel: (212) 336-8000 Fax: (212) 336-8001 Email: nzipkin@ARELAW.com crothstein@ARELAW.com dboag@ARELAW.com Attorneys for Plaintiff, Prime Time Toys, Ltd.

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CERTIFICATION PURSUANT TO L. Civ. R. 11.2 I hereby certify that the matter in controversy is not the subject of any other action pending in any court, or of any pending arbitration or administrative proceeding.

Dated: July 24, 2012

/s/ Jaclyn DiLascio Malyk Jaclyn DiLascio Malyk, Esq. CUYLER BURK, LLP Attorneys for Plaintiff, Prime Time Toys, Ltd.

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