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Judges Ruling Sends Strong Message to Internet Cigarette Retailers
Jump to full article: Philip Morris USA, 2004-08-20
Intro: The United States District Court for the Southern District of New York today ordered the transfer of Switzerland-based internet cigarette retailer Otamedias yesmoke.com and yessmoke.com domain names to Philip Morris USA. In his opinion, Judge Gerard Lynch found that Otamedia was selling Philip Morris USA cigarettes into the US in violation of the law and his January 2003 injunction prohibiting them from doing so.
Judge Lynch delivered a stern warning to Otamedia, "Before this proceeding, Otamedia evidently calculated that its elusive and ephemeral location, coupled with the 'virtual' nature of its business, placed it safely beyond the reach of conventional enforcement measures available to a U.S. federal court. But '[l]ife is never static, and the passing of a decade has brought changes to the [Internet retail sales] business as it has to every other.' Philip Morris has now identified an efficacious means to enforce the Judgment, a means inherent in the very same technology by which Otamedia has to date been able to violate with impunity."
We are pleased Judge Lynch has ordered the transfer of Otamedias domain names and continued protection of our trademark rights. We believe this will send a message to all internet retailers who sell our products unlawfully, said Jack Holleran, senior vice president of compliance andbrand integrity, Philip Morris USA.
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