GS Holistic, LLC v. Abbasi
- Jacquelyn Corley
- 3:23-cv-05571
- U.S. District Court · Northern District of California
- 5
In GS Holistic v. Abbasi, Judge Corley ordered proof of adequate service before considering default judgment and vacated the hearing.
GS Holistic, LLC must respond about whether it properly served Athar Abbasi and 420 Smoke Palace. The defendants’ default-judgment motion remains unresolved, and the trademark claims were not decided.
What happened
In GS Holistic, LLC v. Abbasi, GS Holistic alleged trademark infringement and false designation of origin against Athar Abbasi and 420 Smoke Palace. The defendants did not appear, and the Clerk entered default against them.
Before deciding GS Holistic’s request for default judgment, the court reviewed whether the defendants had been properly served. The court found that the proof of service did not show that Rahida Abbasi was an appropriate person to receive substituted service or that the required information had been provided.
Judge Jacqueline Scott Corley ordered GS Holistic to explain by June 27, 2024 why service was adequate, vacated the June 20 hearing, and held the default-judgment motion for later consideration. The court did not decide the trademark claims or the default-judgment motion.
The detailed version
- GS Holistic, LLC v. Abbasi · No. 3:23-cv-05571
- Jacquelyn Corley
- June 18, 2024
Background
GS Holistic, LLC sued Athar Abbasi and Athar Abbasi doing business as 420 Smoke Palace, alleging trademark infringement and false designation of origin. The defendants did not appear, and the Clerk entered default against each of them. GS Holistic then moved for default judgment.
Before granting default judgment, the court explained that it must ensure the defendant was properly served. GS Holistic had the burden of showing that service complied with Federal Rule of Civil Procedure 4.
Service on Athar Abbasi
The proof of service stated that a process server attempted personal service twice and then left the summons and complaint at 49006 Feather Grass Ter, Fremont, California, with “Rahida Abbasi—Occupant/Accepting Service.” The court found the proof inadequate because it did not state facts showing that Rahida Abbasi was at least 18 years old, was a competent household member or a person apparently in charge, or had been informed of the contents of the documents. The court therefore concluded that the materials did not demonstrate legally sufficient substituted service on Athar Abbasi.
Service on 420 Smoke Palace
GS Holistic alleged that 420 Smoke Palace was a sole proprietorship. The court explained that a sole proprietorship has no separate legal existence from its owner, so service must meet the standards for serving an individual. Because the proof of service for 420 Smoke Palace was identical to the proof for Athar Abbasi, and because service on Athar Abbasi had not been shown to be proper, the court found that service on 420 Smoke Palace also appeared improper.
Ruling
The court ordered GS Holistic to show cause regarding the adequacy of service and to file a written response by June 27, 2024. It vacated the June 20, 2024 hearing on the default-judgment motion and stated that it would take the motion under submission after receiving GS Holistic’s response. The order did not decide the alleged trademark infringement, false-designation claim, or whether default judgment should be entered.
Read the full 5-page opinion on CourtListener, the free public archive maintained by the Free Law Project.