Tu Thien The, Inc. v. Tu Thien Telecom, Inc.

MEMORANDUM

Tu Thien Telecom, Inc. and Lam Nguyen appeal the district court’s order enhancing the actual damages awarded by the jury and declining to reduce the jury’s award of disgorged profits. We have jurisdiction pursuant to 28 U.S.C. § 1291 , and we affirm.

1. The district court did not err in enhancing the damages awarded by the jury from $500,000 to $750,000. The district court is permitted to enhance a judgment by up to three times the actual damages found, but the judgment assessed “shall constitute compensation and not a penalty.” 15 U.S.C. § 1117 (a). In awarding damages, the court may consider any loss of reputation and goodwill, including “a plaintiffs expenditures in building its reputation ... after a defendant’s bad acts.” Skydive Ariz., Inc. v. Quattrocchi, 673 F.3d 1105, 1112 (9th Cir. 2012). Furthermore, a district court is permitted to consider the “likely deterrent effect” of the damages assessed. Faberge, Inc. v. Saxony Prods., Inc., 605 F.2d 426 , 429 (9th Cir. 1979). Here, the district court determined that “the ‘circumstances of the case’ warrant a small increase” in damages, see 15 U.S.C. § 1117 (a), because “[tjhe jury found that Defendants acted…