BETH BLOOM, District Judge.
Plaintiff Women's Choice Pharmaceuticals, LLC ("WCP") is a Nevada limited liability company and Plaintiff Edwards Pharmaceuticals, Inc. ("Edwards") is a Mississippi corporation and wholly-owned subsidiary of WCP. ECF No. [1] at ¶¶ 3-4. WCP and Edwards (collectively, "Plaintiffs") advertise, distribute, and sell pharmaceutical products throughout the United States. Id. at ¶ 9. Defendant Rook Pharmaceuticals, Inc. ("Rook") is a Florida corporation that manufactures "generic" pharmaceutical products. Id. at ¶¶ 5, 28.
On March 22, 2016, Plaintiffs filed a complaint in the Southern District of Mississippi (MS action), which alleges that the defendant in that action — Burel Pharmaceuticals, Inc. ("Burel") — engaged in false and misleading advertising and infringement of Plaintiffs' "UROGESIC BLUE" trademark through its offering of a competing pharmaceutical product under the name of "UROLET MB."
On August 30, 2016, Plaintiffs filed the Complaint in the instant action in the Southern District of Florida (FL action) alleging that Defendant Rook has engaged in false and misleading advertising and infringement of Plaintiffs' UROGESIC BLUE trademark through its manufacturing of the UROLET MB pharmaceutical product. ECF No. [1] at ¶¶ 1, 10, 34-35. Specifically, the Complaint asserts counts of Contributory False Advertising under section 43(a)(1)(B) of the Lanham Act, Trademark Infringement under section 32 of the Lanham Act, Unfair Competition under section 43(a) of the Lanham Act, Contributory Trademark Infringement under section 32 of the Lanham Act, Contributory Unfair Competition under section 43(a) of the Lanham Act, Unjust Enrichment under Florida common law, Deceptive and Unfair Trade Practices under section 501.201 of the Florida Deceptive and Unfair Trade Practices Act, and Tortious Interference under Florida common law. Id.
In its Motion to Transfer, Defendant requests that the Court transfer this action to the Southern District of Mississippi on the basis of the first-to-file rule or, in the alternative, pursuant to 28 U.S.C. § 1404. ECF No. [18] at 1.
"The Eleventh Circuit follows the first-to-file rule, and `[w]here two actions involving overlapping issues and parties are pending in two federal courts, there is a strong presumption across the federal circuits that favors the forum of the first-filed suit.'" Laskaris v. Fifth Third Bank, 962 F.Supp.2d 1297, 1298-99 (S.D. Fla. 2013) (quoting Manuel v. Convergys Corp., 430 F.3d 1132, 1135 (11th Cir. 2005)). "The primary purpose of the rule is to conserve judicial resources and avoid conflicting rulings." Allstate Ins. Co. v. Clohessy, 9 F.Supp.2d 1314, 1316 (M.D. Fla.1998); see also In re Checking Account Overdraft Litig., 859 F.Supp.2d 1313, 1324 (S.D. Fla. 2012) ("Competing lawsuits involving the same parties and the same issues in separate jurisdictions waste judicial resources and can lead to conflicting results."). The Eleventh Circuit "require[s] that the party objecting to jurisdiction in the first-filed forum carry the burden of proving `compelling circumstances' to warrant an exception to the first-filed rule." Manuel, 430 F.3d at 1135 (quoting Merrill Lynch, Pierce, Fenner & Smith, Inc. v. Haydu, 675 F.2d 1169, 1174 (11th Cir. 1982)). "In applying the first-to-file rule, judges are afforded an ample degree of discretion." Ass Armor, LLC v. Under Armour, Inc., 2015 WL 2155724, at *2 (S.D. Fla. May 7, 2015) (internal quotations and citation omitted).
Alternatively, the transfer statute, 28 U.S.C. § 1404(a), which embodies a codification and revision of the forum non conveniens doctrine, see Piper Aircraft Co. v. Reyno, 454 U.S. 235, 253, 102 S.Ct. 252 (1981), provides that "[f]or the convenience of parties and witnesses, in the interest of justice, a district court may transfer any civil action to any other district or division where it might have been brought." "Section 1404(a) reflects an increased desire to have federal civil suits tried in the federal system at the place called for in the particular case by considerations of convenience and justice." Carucel Investments, L.P. v. Novatel Wireless, Inc., 157 F.Supp.3d 1219, 1222-23 (S.D. Fla. 2016) (quoting Van Dusen v. Barrack, 376 U.S. 612, 616, 84 S.Ct. 805 (1964)). It is through these lenses that the Court addresses the Motion to Transfer.
The three primary considerations for determining whether the first-to-file rule should be applied are (1) the chronology of the two actions, (2) the similarity of the parties, and (3) the similarity of the issues. See Laskaris, 962 F. Supp. 2d at 1299 (quoting Nat'l Union Fire Ins. Co. of Pittsburgh, PA v. Beta Construction LLC, 2010 WL 3789042, at *3 (M.D. Fla. Sept. 24, 2010)); see also Rudolph and ME, Inc. v. Ornament Cent. LLC, 2011 WL 3919711, at *2 (M.D. Fla. Sept. 7, 2011). Upon consideration of these factors, the Court finds that transfer is warranted.
First, and most obvious, is the chronology of the two actions, which is not in dispute. Specifically, the MS action was filed on March 22, 2016, whereas the FL action was not filed until August 30, 2016.
As to the similarity of the parties, the Court recognizes at the outset a patent disparity — namely, that the Defendant Rook is not a named party in the MS action, and that the single defendant in the MS action, Burel, likewise is not a named party in the FL action. Plaintiffs argue that this disparity ultimately precludes application of the first-to-file rule. See ECF No. [27] at 9. In support of that argument, Plaintiffs accurately point out that Defendant does not cite to any case law approving a transfer on the basis of the first-to-file rule involving a party who was not named in a first filed action. Id. at 9-10. The Court nevertheless finds Plaintiffs' argument unpersuasive.
Though it is certainly significant that Defendant is not a named party in the MS action, the Court notes the numerous references to Burel that are riddled throughout Plaintiffs' Complaint in the FL action. See ECF No. [1]. In fact, the Complaint sets forth over 50 allegations that relate directly to Burel.
Relatedly, the Complaint in the FL action also undercuts Plaintiffs' argument that there is insufficient duplication of issues between the MS action and the FL action to warrant application of the first-to-file rule. Specifically, of the seven counts asserted against Defendant in Plaintiffs' Complaint, three of them — Counts I (False Advertising), IV (Trademark Infringement), and V (Unfair Competition) — allege direct liability on the part of Burel (and contributory liability on the part of Defendant). See ECF No. [1] at 18-19, 24-27. Moreover, the allegations made under those counts mirror the allegations made under analogous counts in the MS action complaint — Counts I (False Advertising), II (Trademark Infringement), and III (Trademark Infringement and Unfair Competition) — which also allege direct liability on the part of Burel. Compare, e.g., id. at ¶ 104 ("Burel's false and misleading claims about the UROLET MB Products are material and likely to influence the purchasing decisions of health care professionals and patients who consume Plaintiffs' products."), with ECF No. [18-1] at ¶ 83 ("[Burel's] false and misleading claims about the UROLET MB Products are material and likely to influence the purchasing decisions of health care professionals and patients who consume Plaintiffs' products."). In essence, for each of Plaintiffs' contributory claims in the FL action, Plaintiffs will endeavor to prove that which they are already attempting to prove in the MS action. See Optimum Techs., Inc. v. Henkel Consumer Adhesives, Inc., 496 F.3d 1231, 1245 (11th Cir. 2007) ("[C]ase law suggests that a contributory infringement claim requires, at a minimum, both an allegation of a direct infringement by a third party, and an allegation of an intentional or knowing contribution to that infringement by the defendant.").
Plaintiffs disregard this overlap in subject matter entirely, and instead assert that the FL action is based on claims and issues that arose from Defendant's conduct that occurred in the state of Florida — i.e., Defendant's alleged labeling and supplying of the UROLET MB pharmaceutical product to the market from Florida — and that therefore "did not arise from the same transaction or occurrence" as those of the MS action. ECF No. [27] at 10. This argument is misplaced, as is Plaintiffs' reliance on Dial HD, Inc. v. Clearone Commc'ns, Inc., 2010 WL 2010 WL 3732115 (S.D. Ga. Sept. 7, 2010), and Peter Brassler Holdings, L.P. v. Gebr. Brasseler & Co., 2007 WL 1500296 (S.D. Ga. May 21, 2007). In Dial HD, the claims and issues related to the second-filed case "substantially differ[ed]" from those in the first-filed case. 2010 WL 3732115, at *4. And although the court in Peter Brassler Holdings adopted a "transaction or occurrence" test to conclude that the first-filed and second-filed cases lacked duplication, it did so only because "the issues in [that] forum [did] not overlap with the issues [] litigated in the Northern District [of Georgia] at all." 2007 WL 1500296, at *3 (emphasis added).
Finally, although it is appropriate to depart from the first-to-file rule "when there is a showing that the balance of convenience tips in favor of the second forum or that there are special circumstances which justify giving priority to the second action[,]" Philibert v. Ethicon, Inc., 2005 WL 525330, at *1 (S.D. Fla. Jan. 14, 2005), no such showing has been made here. Specifically, Plaintiffs do not offer sufficient support for their assertion that "the balance of convenience tips in favor of this forum" based on the relevant factors to be considered in determining whether to transfer under 28 U.S.C. § 1404(a). ECF No. [27] at 11 n.3. The gravamen of Plaintiffs' arguments against transfer under 28 U.S.C. § 1404(a) is that this forum is not inconvenient to Defendant, and that the Southern District of Mississippi would not necessarily be more convenient to Defendant; but nowhere in their Response do Plaintiffs argue that the convenience of this forum is so significant as to justify a departure from the strong presumption under the first-to-file rule. In fact, Plaintiffs themselves appear to recognize the lack of a significant imbalance in convenience between the two forums. See, e.g., ECF No. [27] at 14 ("Although a transfer may provide a more convenient forum for WCP, which is the location of Plaintiff Edwards Pharmaceutical headquarters, Rook's allegation that WCP `cannot complain that transferring this case out of Florida will cause them any inconvenience or burden' [] fails to meet its legal burden, which requires transfer to a more convenient forum.") (emphasis added).
Overall, in consideration of the chronology of the MS action and the FL action, the similarity of the parties, and the similarity of the issues, the Court finds that transfer pursuant to the first-to-file rule is warranted. If the two actions were to proceed separately in different venues, a waste of judicial resources and a potential for incompatible rulings would result from the overlap of parties and issues described above.
The Court declines to address Defendant's argument for transfer pursuant to 28 U.S.C. § 1404 as the application of the first-to-file rule is dispositive. See Laskaris, 962 F. Supp. 2d at 1299; Rudolph and ME, Inc., 2011 WL 3919711, at *3.
For the foregoing reasons, it is