Category:Consumer & Retail

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ECJ Confirms that Brand Owners can Seek Remedies for IP Infringement Against Owners and Operators of Physical Marketplaces Selling Counterfeit Goods as “Intermediaries”
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New Balance Unsuccessfully Challenges Trade Mark Infringement Claim in China but Walks Away with a Significantly Reduced Liability
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Can Trademarks Constituted by the Shape of a Product be Protected in the Jewelry Sector?
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Vademecum on the Assessment of the Likelihood of Confusion Between Trademarks
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Design Confusion Post-Trunki?
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When the Designer Using his Patronymic Infringes Third Parties’ Rights
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Italian Supreme Court on Secondary Meaning: When a Registered Generic Sign can Become a Trademark
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Star Athletica, LLC v. Varsity Brands, Inc. and the Challenge of Copyright Protection for Garment Design
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Is Purchase of a Google AdWord use of a Trade Mark? Case Examined by Australian Federal Court
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Fashion Law Newsletter – Autumn/Winter 2016 edition

ECJ Confirms that Brand Owners can Seek Remedies for IP Infringement Against Owners and Operators of Physical Marketplaces Selling Counterfeit Goods as “Intermediaries”

On 7 July 2016, the Court of Justice of the European Union (ECJ) announced its judgment in case C-494/15, Tommy Hilfiger Licensing LLC and Others v Delta Center a.s.

The case concerned claims for trade mark infringement against Delta Center, the tenant of the “Prague market halls” marketplace, which rented sales spaces to sellers of counterfeit goods. Tommy Hilfiger and other trade mark owners brought an action before the Czech courts seeking an injunction under Article 11 of Directive 2004/48/EC, which states that: “Member States shall also ensure that rightholders are in a position to apply for an injunction against intermediaries whose services are used by a third party to infringe an intellectual property right, without prejudice to Article 8(3) of Directive 2001/29/EC”.

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New Balance Unsuccessfully Challenges Trade Mark Infringement Claim in China but Walks Away with a Significantly Reduced Liability

In a recent appeal decision in China, the international sportswear brand New Balance has unsuccessfully challenged a finding of trade mark infringement with respect to a Chinese language equivalent for NEW BALANCE. However, New Balance was able to reduce the amount payable as a result of its infringement by 95%.

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Can Trademarks Constituted by the Shape of a Product be Protected in the Jewelry Sector?

Cartier Wins Over the Request of Interim Relief by an Italian Company

Recently, an order of the court of Venice raised the matter of the shape of the product intended as a ground for refusal to registration and invalidity of a trademark.

The case is also interesting because it relates to the luxury sector and involved a leading firm in the jewelry sector, Cartier. An Italian jewelry producer, Fope S.r.l., sued Cartier alleging trademark counterfeiting and unfair competition for having marketed a jewelry collection reproducing a particular element of its icon product.  This iconic shape was previously registered as an Italian and European trademark. Cartier claimed the registered trademarks were invalid on the basis that they are composed by the shape giving a substantial value to the product and such circumstance represents a ground for refusal to registration by law.

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Vademecum on the Assessment of the Likelihood of Confusion Between Trademarks

Italian Supreme Court Outlines Criteria to Conduct a Proper Likelihood of Confusion Test

On 27 May 2016, the Italian Supreme Court released a judgement recalling with clarity and completeness most of the consolidated principles concerning the assessment of the likelihood of confusion between trademarks. This judgement is to become a good instrument for professionals when addressing to the topic at issue as well as a reference for future decisions of the Courts of merit.

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Design Confusion Post-Trunki?

The UK Intellectual Property Office Publishes Helpful Guidance on the Use of Representations When Filing Registered Design Applications.

Following the recent Supreme Court judgement in PMS International Limited v Magmatic Limited [2016] UKSC 12, otherwise known as the ‘Trunki case’, the UK Intellectual Property Office has published helpful guidance on the use of representations when filing Registered Design applications. The guidance is directly relevant to design applications filed in the UK but will also be useful for Community design applications filed at the EUIPO.

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When the Designer Using his Patronymic Infringes Third Parties’ Rights

The Italian Supreme Court Finally Stated on the Long-Standing Fiorucci Case

On 25 May 2016, the Italian Supreme Court released an interesting decision on the use of patronymic as a trademark, which might have significant impact for many fashion and design firms which identify themselves with the name of their founders.

Edwin Co. Ltd., Edwin International and F. Design Office, which had previously acquired from Mr. Elio Fiorucci the ownership and the right of use of several trademarks containing the name ” Fiorucci”, filed an action against the designer because he was using and applying for registration of the trademark “Love Therapy by Elio Fiorucci” to identify a wide range of goods.

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Italian Supreme Court on Secondary Meaning: When a Registered Generic Sign can Become a Trademark

On 19 April 2016, the Italian Supreme Court passed on secondary meaning, overruling two sets of proceedings of the courts of merits which declared the invalidity of a trademark.

The case arose some debate among professionals since the trademark declared invalid was registered by a very well-known bathroom tissue producer which invested substantial efforts for decades to ensure that its registered generic sign (“Rotoloni” which literally means big toilet roll) had acquired distinctiveness by way of secondary meaning.

As a result of its efforts, the defendant offered a public opinion survey evidencing that 51% of interviewed consumers were recognizing the generic sign at issue as distinctive of products coming from a specific company. Read More

Star Athletica, LLC v. Varsity Brands, Inc. and the Challenge of Copyright Protection for Garment Design

By: John Cotter and Shamus Hyland

Under the U.S. Copyright Act, a “useful article” such as a chair, a dress, or a uniform may obtain copyright protection, but only for elements that “can be identified separately from, and are capable of existing independently of, the utilitarian aspects of the article.” 17 U.S.C. § 101. For apparel, this generally means that the overall design of a garment is not protected by copyright, but certain ornamental features (such as a pattern woven into the fabric) may be protectable. In practice, the Copyright Act protects fabric designs, not dress designs. Recently, the U.S. Supreme Court decided to tackle this uncertain area, granting certiorari in Star Athletica, LLC v. Varsity Brands, Inc. In that case, the Sixth Circuit Court of Appeals ruled 2 – 1 that the design features of Varsity Brands’ cheerleader uniform (e.g. “stripes, chevrons, color blocks, and zigzags”) were separable from the utilitarian aspects of the uniform, and thus eligible for copyright protection. Varsity Brands, Inc. v. Star Athletica, LLC, 799 F.3d 468 (6th Cir. 2015).

The majority opinion identified nine specific approaches plus hybrids that various courts and the Copyright Office have formulated over the years to analyze how copyrightable design features can be separated from utilitarian elements, and the extent to which design features can achieve copyright protection. Id. at 484-87. The majority then employed its own hybrid five-part test grounded in the text of the Copyright Act, finding that the designs at issue played no role in the overall function of the article as a cheerleading uniform. The majority broadly defined the function of a cheerleading uniform: “to cover the body, permit free movement, and wick moisture.” Id. at 492. The dissent, meanwhile, took a more “particularized” view of the function of the uniform. Id. at 496. It pointed out that the design elements at issue do serve a utilitarian function because they identify the wearer as a cheerleader and should therefore be afforded no protection under the Copyright Act. Id.

The dissent in Varsity Brands characterized the law of copyright protection for design elements of useful articles as “a mess.” Id. at 496-97. The consequences of this mess are significant for businesses with stakes in garment design. As the dissent observed, clarity is needed to alleviate the courts’ confusion and protect business interests. Id. The Supreme Court now has an opportunity to spell out a more consistent approach to the “metaphysical quandary” of design-functionality in garment copyright protection. Ideally, the Court will clarify the boundaries of copyright protection, and specify the appropriate factors for courts to weigh when separating expressive elements from utilitarian functions. Star Athletica’s opening brief is due around late June, and we will continue to monitor this case.

Is Purchase of a Google AdWord use of a Trade Mark? Case Examined by Australian Federal Court

By Lisa Egan and Allison Wallace

The Federal Court of Australia has examined the issue of trade mark infringement by advertisers using competitors’ trade marks as Google AdWords. Advertisers need to ensure they do not use competitors’ marks as a ‘badge of origin’ to avoid trade mark infringement.

Veda Advantage Limited v Malouf Group Enterprises Pty Limited concerned Veda, a financial services company and Malouf, a credit repair business. A “VedaScore” is a number that summarises the information in a person’s credit file and is expressed as a number between 0 and 1200. In simple terms, the higher a person’s VedaScore, the better that person’s credit profile and the more likely that person will receive credit.

Malouf purchased a series of keywords that contained the word “veda”, so when a consumer typed “veda” into Google’s search engine, their search results would include sponsored ad links for Malouf’s services.

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Fashion Law Newsletter – Autumn/Winter 2016 edition

By Lisa Egan

We are excited to bring you the next edition of Fashion Law, highlighting important issues at the crossroads of fashion and the law.

Fashion Law gives you the latest updates on legal issues affecting the fashion industry. This edition includes articles on how to set up your business in order to minimise risk, workplace bullying in the retail environment, examples of trade mark and copyright disputes by major fashion brands and also the very tricky industry issues of how thin is too thin for fashion models.

Please click here to read the Autumn/Winter 2016 edition of Fashion Law.

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