Fll

UNITED STATES DISTRICT COURJT

FOR THE EASTERN DISTRICT OF VIR 5INIA '
Norfolk Division

c '

' ;"i court

< VA

SWIMWAYS CORPORATION and KELSYUS

LLC

Plaintiffs,
v.

Civil Action No. o? IM^M^U?

JURY TRIAL DEMANDED

GREYLAND TRADING LIMITED

Defendant.

COMPLAINT

Plaintiffs, SwimWays Corporation ("SwimWays") and Kelysus, LLC ("Kelsyus"), by

counsel, for their Complaint against Defendant Greyland Trading Limited ("Greyland" or
"Defendant") allege as follows:
Parties

1.

Plaintiff SwimWays is a Virginia corporation with its principal place of business at

5816 Ward Court, Virginia Beach, Virginia 23455.

2.

Plaintiff Kelsyus is a Virginia limited liability company with a principal place of

business at 5816 Ward Court, Virginia Beach, Virginia 23455.

3.

Upon information and belief, Defendant Greyland is a Hong Kong company with its

principal place of business at 66 Mody Road, Room 705A-706, West Wing, Tsim Sha Tsui Centre,
Kowloon, Hong Kong.
Jurisdiction and Venue

4.
et seq..

This is an action for patent infringement arising under the Patent Act, 35 U.S.C. 1

5.

This Court has jurisdiction over the subject matter of this action pursuant to 28

U.S.C. 1331 and 1338(a). 6. Venue is proper in this district pursuant to 28 U.S.C. 1391(c) because it is a district

in which Greyland is subject to personal jurisdiction.

7.

This Court has personal jurisdiction over Greyland because Greyland has

committed, directed, authorized, endorsed and/or approved of acts of infringement in the Eastern
District of Virginia; Greyland has caused tortious injury to SwimWays in the Eastern District of

Virginia, Norfolk Division; and Greyland has transacted substantial business in thisjudicial district.
Background

8.

Swimways is a worldwide manufacturer of innovative and commercially successful

leisure and recreational water products. The SwimWays brand has been around for over 35 years,

and SwimWays continuesto invest substantial resources into its product design and development to

create unique, quality products which are leaders in the industry. SwimWays' products can be
found in thousands of major retailers and individual pool dealers, both in the United States and
abroad.

1.

SwimWays' products include a line of Spring Float inflatable pool floats, an

example of which is attached hereto as Exhibit A. Kelsyus owns all right, title, and interest to
US Patent No. 8,066,540 ("'540 patent"), which was duly and legally issued on Nov. 29, 2011. SwimWays is an exclusive licensee of the '540 patent. A true and accurate copy of the '540
patent is attached hereto as Exhibit B.

9.

The Spring Float products (collectively, the "SwimWays Products") have been

advertised through various advertising media, including on the Internet and substantial advertising

dollars have been spent in connection with the Products. The SwimWays Products have appeared in print media, newspapers, trade journals, magazines, promotional materials, and on the Internet, in

addition to at retail locations.

10.

Greyland sells a Recliner Fabric Comfort Lounge ("Aqua-Leisure Recliner") which

infringes the "540 patent. A photograph of the Aqua-Leisure Recliner is shown below:

11.

Greyland also sells a modified version of the Aqua-Leisure Recline sold through

Sam's Club ("Sam's Club Recliner"). The Sam's Club Recliner also infringes the '540 patent. A

photograph of the Sam's Club Recliner is shown below:

'T-l

12.

Greyland also sells a second redesigned version of the Aqua-Leisure Recliner

("Redesigned Recliner"). The Redesigned Recliner also infringe the '540 patent. A photograph of
the Redesigned Recliner is shown below:

Count One

(Infringement of the '540 patent)

13.

Plaintiffs repeat and reallege, as if fully set forth herein, each and every allegation

contained in the foregoing paragraphs. 14. Greyland manufactures, distributes, sells, offers to sell, and/or imports the infringing

Aqua-Leisure Recliner, Sam's Club Recliner, and Redesigned Recliner (collectively, "Accused Products") throughout the United States in the stream of interstate commerce. 15. The Accused Products embody and infringe the '540 patent in violation of Kelsyus'

and SwimWays' statutory rights under 35 U.S.C. 1 et seq.

16. Greyland does not have license or authorization from Kelsyus or SwimWays to

utilize the '540 patent. 17.

'540 patent.

Greyland's conduct also constitutes contributor)' and/or induced infringement of the

18.
willful.

Upon information and belief, Greyland's infringement of the '540 patent has been

19.

The foregoing acts of patent infringement by Greyland has caused, and unless

enjoined by this Court, will continue to cause immediate and irreparable injury and damage to Kelsyus and SwimWays, leaving them with no adequate remedy at law.

Prayer For Relief

WHEREFORE, Plaintiffs pray:

(a)

that this Court issue preliminary and permanent injunctive relief against Greyland,
its respective officers, agents, servants, employees, attorneys, parent and subsidiary

corporations, assigns and successors in interest, and those persons in active concert
or participation with them, enjoining them from continued acts of infringement of

the '540 patent, including, without limitation, an injunction against future sales of
the Accused Products;

(b)
(c)

a judgment that the '540 patent is duly and legally issued, valid, andenforceable;
a judgment that Greylandhas infringed one or more claims ofthe '540 patent;

(d)

an accounting and award of compensatory and punitive damages under 35 U.S.C.

284 including, but not limited to, Plaintiffs' lost profits, but in any event not less
than a reasonable royalty, resulting from Greyland's infringement ofthe '540 patent,
together with prejudgment and postjudgment interest;

(e)

that Greyland's acts be deemed willful and intentional and that Greyland be required

to pay to Plaintiffs additional damages equal to three times the actual damages
awarded pursuant to 35 U.S.C. 284;

(f)

that this be adjudged an exceptional case and that Plaintiffs' be awarded their
attorney fees, pursuant to 35 U.S.C. 285 in addition to other authority;

(g)
(h)

thatthisCourtawardPlaintiffs theircosts incurred herein; and

for such other and further reliefas this Court deems just.
JURY DEMAND

Pursuant to Federal Rule of Civil Procedure 38, Plaintiffs hereby demands a trial by jury
on all issues so triable.

Dated: February J^, 2014

SWIMWAYS CORPORATION

By:

Johf/B. Swingf

Virginia State Bar No.

Counsel for Plaintiffs

WILLIAMS MULLEN, P.C. 999 Waterside Dr., Suite 1700 Norfolk, VA 23510 Telephone: (757) 622-3366 Facsimile: (757) 629-0660

jswingle@williamsmullen.com

Craig L. Mytelka Virginia State Bar No. 31652

Counsel for Plaintiffs

WILLIAMS MULLEN, P.C. 999 Waterside Dr., Suite 1700 Norfolk, VA 23510

Telephone: (757) 473-5336

Facsimile: (757) 629-0660

cmytelka@williamsmullen.com