United Construction Products v. Tile Tech, Inc. , 843 F.3d 1363 ( 2016 )


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  •   United States Court of Appeals
    for the Federal Circuit
    ______________________
    UNITED CONSTRUCTION PRODUCTS, INC., D/B/A
    BISON INNOVATIVE PRODUCTS,
    Plaintiff-Appellee
    v.
    TILE TECH, INC.,
    Defendant-Appellant
    ______________________
    2016-1392
    ______________________
    Appeal from the United States District Court for the
    Central District of California in No. 2:14-CV-08570-R-
    VBK, Judge Manuel L. Real.
    ______________________
    Decided: December 15, 2016
    ______________________
    DAVID VON GUNTEN, von Gunten Law LLC, Denver,
    CO, argued for plaintiff-appellee. Also represented by
    MICHELLE CORRELL, Smith Correll LLP, Los Angeles, CA.
    KELLY W. CUNNINGHAM, Cislo & Thomas LLP, Los
    Angeles, CA, argued for defendant-appellant.
    ______________________
    Before MOORE, WALLACH, and STOLL, Circuit Judges.
    WALLACH, Circuit Judge.
    2               UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    Tile Tech, Inc. (‘Tile Tech”) appeals the decision of the
    U.S. District Court for the Central District of California
    (“District Court”) granting default judgment and a per-
    manent injunction to United Construction Products, Inc.,
    doing business as Bison Innovative Products (“United”),
    on claims of patent infringement and unfair competition.
    See United Constr. Prods., Inc. v. Tile Tech, Inc., No. 2:14-
    cv-08570-R-VBK, 
    2015 WL 7776795
    , at *6−8 (C.D. Cal.
    Dec. 1, 2015). We affirm.
    BACKGROUND
    This case comes to our court following a series of de-
    lays, missed deadlines, and other procedural missteps by
    Tile Tech that are necessary to describe in full. United
    brought suit against Tile Tech claiming infringement of
    
    U.S. Patent No. 8,302,356
     (“the ’356 patent”), which is
    entitled “Support Pedestal Having an Anchoring Washer
    for Securing Elevated Surface Tiles.” ’356 patent col. 1 ll.
    1−3. Following transfer of the case to the District Court,
    United, 
    2015 WL 7776795
    , at *1, United served Tile Tech
    with its first set of discovery requests, including interrog-
    atories, requests for admission, and requests for produc-
    tion, J.A. 140, 149, 282. Tile Tech missed the deadline to
    respond to the discovery requests, and when contacted by
    United, it claimed that it had not received the requests.
    United, 
    2015 WL 7776795
    , at *2. Although service of the
    requests was valid, United granted Tile Tech twenty
    additional days to respond. 
    Id.
     Tile Tech then requested
    two additional extensions and finally served initial re-
    sponses to United nearly one month after the original
    response deadline. 
    Id.
    Tile Tech’s responses to United’s discovery requests
    were deficient. 
    Id.
     United requested a conference regard-
    ing the responses and Tile Tech agreed, but two hours
    before the scheduled conference, Tile Tech requested that
    it be rescheduled. 
    Id.
     United agreed and provided a five
    hour time frame on Tile Tech’s proposed date; Tile Tech
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.           3
    responded on the proposed rescheduled date and again
    asked to postpone. 
    Id.
     The conference was postponed a
    third time, and eventually occurred following United’s
    warning to Tile Tech that it would file a motion to compel
    if Tile Tech did not commit to a time for the conference.
    
    Id.
     At the conference, Tile Tech agreed to “supplement
    virtually every response to [United]’s Discovery Re-
    quest[s] and to produce all responsive documents” by an
    agreed-upon date. 
    Id.
    The agreed-upon date passed with no response from
    Tile Tech. 
    Id.
     United offered to give Tile Tech ten addi-
    tional days beyond the agreed-upon date to adequately
    respond. Id. at *3. When Tile Tech again failed to re-
    spond to the discovery requests, United filed a Motion to
    Compel Further Responses to Written Discovery and
    Production of Documents and for Sanctions (“Motion to
    Compel”). Id.; J.A. 221. Tile Tech never responded to the
    Motion to Compel. United, 
    2015 WL 7776795
    , at *3. It
    instead served supplemental responses to the discovery
    requests, which were still deficient, including unverified
    responses to the interrogatories. 
    Id.
     The District Court
    took the Motion to Compel under submission, and Tile
    Tech proceeded to provide a third set of deficient supple-
    mental responses. 
    Id.
    The District Court issued an Order to Compel on Oc-
    tober 5, 2015. J.A. 421–23. It found that, inter alia, Tile
    Tech had “failed to produce a single document in response
    to [United]’s document requests and ha[d] failed to sup-
    plement its deficient discovery responses,” and such
    actions “create . . . a waste of this [c]ourt’s time.” J.A.
    421, 422. The District Court ordered Tile Tech to respond
    to the discovery requests, imposed monetary sanctions,
    and warned that it would enter default judgment if Tile
    Tech did not comply with the Order by October 12, 2015.
    J.A. 422. United’s attorney stated in his declaration, and
    the District Court found, that he informed Tile Tech’s
    attorney during a deposition on October 9, 2015, that the
    4               UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    Order to Compel had issued and that it included sanc-
    tions. J.A. 918; United, 
    2015 WL 7776795
    , at *4.
    Tile Tech failed to respond to the Order. 1 On October
    12, 2015, United filed its Motion for Entry of Default
    Judgment.      J.A. 756–65.     Tile Tech responded and
    claimed that it had not known of the Order’s response
    deadline; that it had produced a set of supplemental
    responses to the discovery requests; and that it required
    an expert opinion to fully respond to part of the discovery
    requests, which would be forthcoming. J.A. 813–14. The
    District Court found that Tile Tech’s claim of producing
    additional responses was a “misrepresentation to the
    [c]ourt” because no responses had been served as of the
    filing of Tile Tech’s Opposition to Motion for Default
    Judgment. United, 
    2015 WL 7776795
    , at *4. In addition,
    the District Court held Tile Tech’s claim that it would
    provide an expert witness was “facially insufficient and
    unjustified” because the time to designate an expert
    witness had “long passed.” 
    Id.
     Moreover, although Tile
    Tech had produced only two documents during the pro-
    longed discovery period, both of which were non-
    responsive, and had not disclosed any persons with rele-
    vant knowledge in response to interrogatories pursuant to
    Federal Rule of Civil Procedure 26(a)(1), 2 it nonetheless
    1    Counsel for Tile Tech acknowledged at Oral Ar-
    gument that the sanctions mandated in the Order still
    have not been paid.             See Oral Argument at
    1:25−2:05, http://oralarguments.cafc.uscourts.gov/default.
    aspx?fl=2016-1392.mp3.
    2    Federal Rule of Civil Procedure 26(a)(1) states, in-
    ter alia:
    [A] party must, without awaiting a discovery re-
    quest, provide to the other parties: (i) the name
    and, if known, the address and telephone number
    of each individual likely to have discoverable in-
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.              5
    listed over a dozen exhibits and over a dozen potential
    trial witnesses in its Joint Exhibit and Witness Lists
    disclosed at the end of the discovery period. 
    Id.
    On November 2, 2015, Tile Tech finally served anoth-
    er set of supplemental responses, which contained infor-
    mation disclosing its destruction of a previously
    undisclosed mold used to make one key component of the
    disputed support pedestal. Id. at *5. United filed a
    Motion for Spoliation Sanctions, J.A. 1090–97, and filed
    an unopposed Amended Complaint adding a claim for
    unfair competition, to which Tile Tech never responded,
    J.A. 404–11 (Amended Complaint); United, 
    2015 WL 7776795
    , at *5 (finding that Tile Tech never responded to
    the Amended Complaint). The District Court later en-
    tered default judgment, granted relief for all of United’s
    claims, and entered a permanent injunction. United,
    
    2015 WL 7776795
    , at *6–8.
    Tile Tech timely appealed. This court has jurisdiction
    pursuant to 
    28 U.S.C. § 1295
    (a)(1) (2012).
    DISCUSSION
    Tile Tech raises two principal arguments on appeal,
    one concerning the entry of default judgment and the
    other related to the scope of the District Court’s perma-
    nent injunction. Appellant’s Br. 14–28, 29–33. “A deci-
    sion to sanction a litigant [by ordering default judgment]
    pursuant to Fed[eral] R[ule of] Civ[il] P[rocedure] 37[3] is
    formation . . . [and] (ii) a copy―or a description by
    category and location―of all documents, electroni-
    cally stored information, and tangible things that
    the disclosing party has in its possession . . . .
    3  Federal Rule of Civil Procedure 37(b)(2)(A)(vi)
    provides that “[i]f a party . . . fails to obey an order to
    provide or permit discovery, . . . the court where the
    6               UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    one that is not unique to patent law . . . and we therefore
    apply regional circuit law to that issue . . . .” ClearValue,
    Inc. v. Pearl River Polymers, Inc., 
    560 F.3d 1291
    , 1304
    (Fed. Cir. 2009) (internal quotation marks and citation
    omitted); see also Drone Techs., Inc. v. Parrot S.A., 
    838 F.3d 1283
    , 1297 (Fed. Cir. 2016) (considering an appel-
    lant’s challenge to the imposition of default judgment and
    stating that “[w]e are guided by regional circuit law when
    reviewing discovery rulings . . . and the imposition of
    sanctions” (internal citations omitted)). In this case, we
    look to Ninth Circuit precedent, and the relevant stand-
    ard is articulated below. Because the injunction “enjoins
    the violation of a[] right secured by a patent . . . [it] in-
    volves substantive matters unique to patent law and,
    therefore, is governed by the law of this court.” Hybritech
    Inc. v. Abbott Labs., 
    849 F.2d 1446
    , 1451 n.12 (Fed. Cir.
    1988); see Signtech USA, Ltd. v. Vutek, Inc., 
    174 F.3d 1352
    , 1356 (Fed. Cir. 1999) (applying Federal Circuit law
    as the standard of review for the scope of an injunction).
    We similarly articulate the applicable standard for this
    issue below.
    I. Default Judgment
    A. The Malone Factors Support the Grant of Default
    Judgment
    Under Ninth Circuit precedent, a court must consider
    the following five factors from Malone v. United States
    Postal Service before entering default judgment: “(1) the
    public’s interest in expeditious resolution of litigation;
    (2) the court’s need to manage its docket; (3) the risk of
    prejudice to the [other party]; (4) the public policy favor-
    ing disposition of cases on their merits; and (5) the avail-
    action is pending may issue further just orders . . . [in-
    cluding] rendering a default judgment against the disobe-
    dient party . . . .”
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.             7
    ability of less drastic sanctions.” 
    833 F.2d 128
    , 130 (9th
    Cir. 1987) (internal quotation marks and citation omit-
    ted). “It is not necessary for a district court to make
    explicit findings to show that it has considered these
    factors” and, on appeal, the court “may review the record
    independently” for abuse of discretion. 
    Id.
     (citations
    omitted). The sanction of default judgment is “appropri-
    ate only . . . where the violation is due to willfulness, bad
    faith, or fault of the party.” Fair Hous. of Marin v.
    Combs, 
    285 F.3d 899
    , 905 (9th Cir. 2002) (internal quota-
    tion marks and citation omitted) (reviewing district
    court’s entry of default judgment based on discovery
    violations). A default judgment will be overturned “only if
    [the appeals court] ha[s] a definite and firm conviction
    that it was clearly outside the acceptable range of sanc-
    tions.” Hester v. Vision Airlines, Inc., 
    687 F.3d 1162
    , 1169
    (9th Cir. 2012) (internal quotation marks and citations
    omitted). We address these factors in turn.
    1. The Public’s Interest in Expeditious Resolution of
    Litigation
    The first Malone factor, the public’s interest in expe-
    ditious resolution of litigation, weighs in support of the
    District Court’s decision to enter default judgment. As in
    Malone, “[Tile Tech]’s dilatory conduct greatly impeded
    resolution of the case and prevented the [D]istrict [C]ourt
    from adhering to its trial schedule.” 
    833 F.2d at 131
    (citation omitted). Tile Tech argues that, even if the
    District Court had granted Tile Tech’s request for a ninety
    day extension, the length of time between pleadings and
    trial still would be less than the national average, such
    that the resolution could be considered “expeditious” and
    within the public’s interest. Appellant’s Br. 15. However,
    comparison to the national average for length of district
    court proceedings is not the measurement that courts use
    to weigh the first Malone factor. Rather, “[t]he public’s
    interest in expeditious resolution of litigation always
    favors dismissal.” Pagtalunan v. Galaza, 
    291 F.3d 639
    ,
    8               UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    642 (9th Cir. 2002) (internal quotation marks and citation
    omitted).
    2. The Court’s Need to Manage Its Docket
    As to the second Malone factor, the court’s need to
    manage its docket, we recognize that “[t]he trial judge is
    in the best position to determine whether the delay in a
    particular case interferes with docket management and
    the public interest.” 
    Id.
     (citation omitted). Here, the
    District Court correctly noted that Tile Tech “demonstrat-
    ed a lack of respect for virtually every . . . deadline in this
    case,” such that “there is no assurance that this matter
    can proceed to trial on the true facts.” United, 
    2015 WL 7776795
    , at *5−6. Contrary to Tile Tech’s characteriza-
    tion of its behavior as “‘hiccups’ in the discovery process,”
    Appellant’s Br. 20, Tile Tech missed every deadline to
    which it had agreed, failed to respond to the District
    Court’s orders, and produced responses to discovery that
    were routinely inadequate. More importantly, the Dis-
    trict Court could not be assured of the validity of the
    factual record on which to base a decision. The District
    Court did not abuse its discretion in finding that its need
    to manage its docket weighed in favor of United’s default
    judgment motion. See, e.g., Pagtalunan, 
    291 F.3d at 642
    (“It is incumbent upon the [district court] to manage its
    docket without being subject to routine noncompliance of
    litigants . . . .” (citation omitted)).
    3. The Risk of Prejudice to the Other Party
    As to the third Malone factor, the risk of prejudice to
    the other party, Tile Tech states that “the record does not
    indicate any prejudice to [United].” Appellant’s Br. 19.
    We disagree.
    “In determining whether [the moving party] has been
    prejudiced, we examine whether the [non-moving party]’s
    actions impair the [moving party]’s ability to go to trial or
    threaten to interfere with the rightful decision of the
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.             9
    case.” Malone, 
    833 F.2d at 131
     (emphasis added). Tile
    Tech focuses on the first clause of the relevant bench-
    mark, i.e., the other party’s ability to go to trial, and
    claims that its actions did not hinder United’s ability to
    proceed to trial in any meaningful way. Appellant’s Br.
    17−20 (“While there were some ‘hiccups’ in the discovery
    process, the case was on track for a trial in early 2016.
    There was no prejudicial delay at all . . . .”). In contrast,
    the District Court focused on the second clause, i.e.,
    actions that threaten to interfere with the rightful deci-
    sion of the case, when it emphasized that “there can never
    be assurance of proceeding on the true facts” in this case.
    United, 
    2015 WL 7776795
    , at *5 (internal quotation
    marks and citation omitted).
    The District Court did not abuse its discretion in its
    finding related to the second clause of the prejudice
    determination, which is sufficient to find prejudice under
    Malone. See 
    833 F.2d at 131
     (using the disjunctive “or” in
    articulating the prejudice benchmark). Where one party
    withholds evidence, repeatedly declines to truthfully
    respond to discovery requests or comply with the District
    Court’s rules, and fails to properly designate witnesses
    and exhibits during discovery, such conduct prejudices an
    opposing party’s ability to reach a rightful disposition of
    the case.
    4. The Public Policy Favoring the Disposition of Cases on
    Their Merits
    The fourth Malone factor, public policy favoring dispo-
    sition of cases on their merits, “always weighs against
    dismissal.” Dreith v. Nu Image, Inc., 
    648 F.3d 779
    , 788
    (9th Cir. 2011) (citation omitted). Therefore, this factor
    favors Tile Tech.
    10              UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    5. The Availability of Less Drastic Sanctions (i.e., Alter-
    natives to Dismissal)
    As to the fifth Malone factor, the availability of less
    drastic sanctions, Tile Tech argues that the District Court
    abused its discretion when it “fail[ed] to consider . . .
    lesser sanctions” and “simply penalized Tile Tech rather
    than [e]nsuring future compliant behavior by Tile Tech’s
    trial counsel.” Appellant’s Br. 25, 26. As Malone ex-
    plained, though, “warning a [non-moving party] that
    failure to obey a court order will result in dismissal can
    suffice to meet the ‘consideration of alternatives’ require-
    ment.” 
    833 F.2d at 132
     (citations omitted). Here, the
    District Court gave ample warning to Tile Tech in its
    Order to Compel that it would enter default judgment if
    discovery responses were not forthcoming. J.A. 422. The
    Order still did not “[e]nsur[e] future compliant behavior”
    from Tile Tech, Appellant’s Br. 26; Tile Tech did not pay
    the monetary sanction, its third production was again
    deficient, and it did not respond to the Order in a timely
    manner. The District Court also concluded that Tile Tech
    had committed spoliation of evidence, for which Tile Tech
    admitted its wrongdoing. United, 
    2015 WL 7776795
    , at
    *6; J.A. 1092−93 (“Q: So after you new [sic] of the lawsuit
    . . . you then just threw . . . the washers away? A: Cor-
    rect.”). Finally, the District Court found that Tile Tech
    allowed deadlines for discovery to pass “without any effort
    or comment,” despite knowing that supplementation of
    discovery was necessary and required as of right for the
    opposing party. United, 
    2015 WL 7776795
    , at *5.
    The District Court’s opinion demonstrates its thor-
    ough consideration of the Malone factors leading to the
    ultimate decision not to impose lesser sanctions in this
    case, a decision which we find was not an abuse of discre-
    tion. As the District Court explained, “[w]here a party so
    damages the integrity of the discovery process that there
    can never be assurance of proceeding on the true facts, a
    case dispositive [remedy] may be appropriate.” 
    Id.
     (quot-
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.            11
    ing Conn. Gen. Life Ins. Co. v. New Images of Beverly
    Hills, 
    482 F.3d 1091
    , 1097 (9th Cir. 2007)).
    Four factors favor dismissal and one weighs against
    dismissal. Under these circumstances, we cannot say
    that the District Court abused its discretion.
    B. Willfulness Is Sufficient to Uphold a Grant of Default
    Judgment
    In addition, Tile Tech argues that a default judgment
    was not appropriate because the District Court did not
    find bad faith on Tile Tech’s part. Appellant’s Br. 26−29.
    In support of its position, Tile Tech correctly notes that
    the District Court, in a separate Order Denying Plaintiff’s
    Motion for Award of Attorney’s Fees, stated that “while
    defense counsel perhaps handled the case unreasonably,
    this [c]ourt does not attribute that to bad faith, but in-
    stead a complete lack of preparation.” J.A. 1611.
    However, Tile Tech omits the full test for default
    judgment, which is whether a party’s conduct was due to
    “willfulness, bad faith, or fault.” Fjelstad v. Am. Honda
    Motor Co., 
    762 F.2d 1334
    , 1341 (9th Cir. 1985) (emphasis
    added). Fjelstad further explained that willfulness may
    be satisfied simply by finding “disobedient conduct not
    shown to be outside the control of the litigant.” 
    Id.
     (inter-
    nal quotation marks omitted). While Tile Tech has ar-
    gued that its trial attorney had “unfamiliarity” with
    federal court practice, it has not offered any evidence to
    suggest that its dilatory actions were outside of its attor-
    ney’s control. Appellant’s Br. 24. We therefore uphold
    the District Court’s grant of default judgment.
    II. The District Court’s Injunction Was Not Overly Broad
    Finally, Tile Tech makes three arguments for why the
    permanent injunction is overbroad and should be modi-
    fied, claiming: (1) it enjoins “substantially similar” prod-
    ucts that do not necessarily infringe on the ’356 patent;
    (2) it requires Tile Tech to surrender the notched washer
    12              UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    mold even though the washer by itself does not directly
    infringe; and (3) it prohibits Tile Tech from using images
    of United’s products in any marketing materials, even if
    there is no likelihood of confusion. 
    Id.
     at 29−33. We
    disagree with each argument.
    To determine the scope of an injunction, we look to
    Rule 65(d) of the Federal Rules of Civil Procedure, which
    sets out the proper form and scope of an injunction issued
    by a district court to be one that “states[s] the reasons
    why it issued,” “state[s] its terms specifically,” and “de-
    scribe[s] in reasonable detail—and not by referring to the
    complaint or other document—the act or acts restrained
    or required.” “Whether the terms of an injunction fulfill
    the mandates of Rule 65(d) is a question of law that we
    review without deference.” Int’l Rectifier Corp. v. IXYS
    Corp., 
    383 F.3d 1312
    , 1315 (Fed. Cir. 2004) (citations
    omitted). As the Supreme Court has stated, “one basic
    principle built into Rule 65 is that those against whom an
    injunction is issued should receive fair and precisely
    drawn notice of what the injunction actually prohibits.”
    Granny Goose Foods, Inc. v. Bhd. of Teamsters & Auto
    Truck Drivers Local No. 70 of Alameda Cty., 
    415 U.S. 423
    ,
    444 (1974) (footnote omitted). In the patent infringement
    context, this court has held that injunctions have satisfac-
    tory scope when they prohibit “infringement of the patent
    by the adjudicated devices and infringement by devices
    not more than colorably different from the adjudicated
    devices.” Int’l Rectifier Corp., 
    383 F.3d at 1316
    .
    Turning to the terms of the subject permanent injunc-
    tion, we do not find them overly broad. The injunction
    prohibits Tile Tech from
    any and all acts of infringement of the [’356 pa-
    tent], including making, using, importing, selling,
    offering for sale, advertising, marketing or pro-
    moting the sale of any adjustable building surface
    support product incorporating the [’356 patent], or
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.           13
    any substantially similar adjustable building sur-
    face support product sold, advertised, marketed or
    promoted in the United States.
    United, 
    2015 WL 7776795
    , at *6 (emphasis added). The
    plain language of the injunction prohibits all acts of
    infringement, with specific hypothetical examples follow-
    ing the term “including.” To the extent that sale, adver-
    tisement, marketing, or promotion of a substantially
    similar product to United’s would constitute infringement
    if evaluated under the two-step test that this court set out
    in TiVo Inc. v. EchoStar Corp., such actions would be
    prohibited. 
    646 F.3d 869
    , 882 (Fed. Cir. 2011) (“[T]he
    party seeking to enforce the injunction must prove both
    that the newly accused product is not more than colorably
    different from the product found to infringe and that the
    newly accused product actually infringes.”). We see no
    problem with the use of the term “substantially similar”
    in the injunction to the extent that it prevents Tile Tech
    from infringing United’s patent as assessed under this
    court’s standard and, thus, find that the District Court
    did not err in issuing this injunction.
    We also find the requirement to surrender “any mold,
    or other device, by which any notched washer utilized
    with the [’356 patent] was made” an acceptable means of
    preventing future infringement to United. United, 
    2015 WL 7776795
    , at *6. United submitted that the notched
    washer was a “crucial” component of the patented support
    pedestal, Appellee’s Br. 31, which Tile Tech acknowledged
    when it intentionally destroyed all molds and notched
    washers upon learning of this litigation, J.A. 1092−94.
    Tile Tech’s President acknowledged that Tile Tech volun-
    tarily changed its product’s washer to a full washer from
    the notched washer “based upon . . . notification of the
    patent.” J.A. 467. He also testified that Tile Tech has
    never sold a notched washer. J.A. 467. Putting aside the
    fact that such an injunction does not immediately present
    any potential disruption to Tile Tech’s non-infringing
    14             UNITED CONSTR. PRODS., INC.   v. TILE TECH, INC.
    business products, we note that United’s counsel also
    stated at argument that United would not seek to enforce
    the injunction should Tile Tech use notched washers or
    their molds for non-infringing purposes. Oral Argument
    at 20:49−21:35, http://oralarguments.cafc.uscourts.gov/
    default.aspx?fl=2016-1392.mp3. As such, the requirement
    to surrender the molds for washers is appropriate.
    Finally, we construe the language of the injunction
    with respect to the unfair competition claim in a manner
    consistent with the rights of Tile Tech. United alleged
    violations of unfair competition under both common law
    and section 43(a) of the Lanham Act, 
    15 U.S.C. § 1125
    (a)
    (2012). J.A. 418. “It is well established that the Lanham
    Act does not prevent one from using a competitor’s mark
    truthfully to identify the competitor’s goods . . . .”
    Brookfield Commc’ns, Inc. v. W. Coast Entm’t Corp., 
    174 F.3d 1036
    , 1065 (9th Cir. 1999) (citation omitted). The
    language of the injunction permanently enjoins Tile Tech
    and its representatives or agents from “any and all acts of
    unfair competition, including using images of [United]’s
    products, projects[,] and drawings on its website and in
    any other marketing materials.”         United, 
    2015 WL 7776795
    , at *8 (emphasis added). The District Court
    found that the current use of United’s products in Tile
    Tech’s marketing materials violates section 43(a) of the
    Lanham Act because it “misrepresents that such prod-
    ucts, projects, and drawings are the products, projects,
    and drawings of Tile [Tech],” J.A. 418, and such advertis-
    ing should be removed. To the extent that in the future
    Tile Tech’s advertising clearly distinguishes its product
    from that of United’s in a comparative advertisement, in a
    way that is not “an act of unfair competition,” we read the
    injunction to not prohibit such uses. At oral argument,
    United agreed with this interpretation of the injunction.
    Oral Argument at 25:00−26:15, http://oralarguments.cafc.
    uscourts.gov/default.aspx?fl=2016-1392.mp3. In sum, we
    UNITED CONSTR. PRODS., INC. v. TILE TECH, INC.           15
    find that the injunction is not overbroad as written under
    the facts presented.
    CONCLUSION
    We have considered Tile Tech’s remaining arguments
    and find them unpersuasive. Accordingly, the decision of
    the U.S. District Court for the Central District of Califor-
    nia is
    AFFIRMED