Defendants in this case created a cryptocurrency called Alibabacoin and used the Alibaba name on its alibabacoinwallet.com websites, Facebook page, and phone applications. Online retailer Alibaba sued for infringement of its federally registered “Alibaba” mark. Despite finding it that there was subject matter jurisdiction under the Lanham Act (the US federal trademark statute), the court denied Alibaba’s motion for a preliminary injunction without prejudice to renewal upon a showing of personal jurisdiction. The court held that Alibaba failed to base jurisdiction, for purposes of New York’s long-arm statute, on Alibabacoin’s interactive websites because it did not establish a reasonable probability that those sites were actually used to effect commercial transactions with customers in New York. That Alibabacoin’s sites were hosted in New York was insufficient to establish personal jurisdiction. Nor did Alibabacoin’s alleged plans to list its cryptocurrency on exchanges in the United States, including in New York, provide a basis for personal jurisdiction.
U.S. Court Denies Injunction Request Against Alibaba Cryptocurrency Creator for Lack of Personal Jurisdiction
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David Zaslowsky is partner in the Litigation Department of Baker McKenzie's New York office. He helps companies solve complex commercial disputes in arbitration and litigation, especially those involving cross-border issues and Section 1782 discovery. David has a degree in computer science and, as a result, has worked on numerous technical-related disputes, including, most recently, those involving blockchain and artificial intelligence. In April 2025, Attorney Intel named David one of the top 25 blockchain lawyers in the country. He is the editor of the Firm's blockchain blog and co-editor of the firm's International Litigation & Arbitration Newsletter. David has been included for a number of years in the Chambers USA Guide and Chambers Global Guide for his expertise in international arbitration. He also sits as an arbitrator and is on the roster of arbitrators for a number of arbitral institutions. David sits on the Board and chairs the governance committee of the New York International Arbitration Center, and is a founding member of the International Arbitration Club of New York. For over 35 years, he has written and spoken often on the subjects of arbitration and international litigation.