Showing posts with label Golden Fried Chicken v Soulsa CC. Show all posts
Showing posts with label Golden Fried Chicken v Soulsa CC. Show all posts

Monday, 2 July 2012

Darren Olivier

10 Reasons to follow European approach

Using RSA as an example, this post makes a case for a more simplified approach to the trade mark infringement test. It recommends that the formulaic approach to the “global appreciation test” adopted in Europe, as a handy checklist for African adjudicators.
Here are ten reasons to support the proposition (all relating to RSA – Africa’s most active country for trade mark enforcement - but probably applicable across for most of Africa):
  1. Since 2009, two out of every three cases with a trade mark infringement aspect have been overturned on appeal (Adcock, Puma (infringement test wrongly applied - even though appeal dismissed), KG, Century City) indicating that lower courts are getting it wrong more often than they are getting it right.
  2. A number of other cases not taken on appeal have been criticised on this blog for incorrectly having applied trade mark laws (eg Amarula, Zonquasdrift, Soulsa, Adidas) also indicating that the lower court's understanding is probably not as it should be.
  3. There are numerous opposition cases at the Trade Mark registry waiting adjudication. At the current rate the backlog will take four years to clear. As opposition and infringement tests are similar, a simpler approach could speed up the process. In addition, greater alignment with Europe could provide access to a larger pool of skilled adjudicators to assist if necessary.
  4. Although trade mark litigation is alive and well there is no centralised IP court or specialist IP judges in the country meaning that many judges are called upon to decide trade mark cases for the first time, as single judges in the High Court.
  5. IP courses at Universities continue to be elective so most graduates have never been exposed to the intricacies of trade mark law. The graduates become advocates (from whose ranks Judges are generally selected) and attorneys running trade mark cases.
  6. There are only a handful of specialist IP advocates and firms in the country dealing (though not exclusively) with an area of law that is one of the most litigated areas in the country, and growing worldwide (the number of trade mark filings across major registries continues to increase year on year).
  7. RSA law was amended in 1993 to bring it more in line with the European Harmonization Directive. The wording of the Directive and RSA trade mark legislation is very similar.
  8. The European approach is designed to interpret a trade mark infringement test that applies across 27 Member States and many more languages and cultures. The Rainbow Nation has a similar breadth of diversity with eleven national languages and many more cultures. In other words European compromise in the interpretation of the test would be helpful to us in Africa.
  9. Over the past 16 years the highest court in Europe has been called upon to decide the interpretation of the Harmonization Directive and the infringement test at a very rapid and regular rate. Since 2009 there have been over 100 trade mark cases dealt with by the highest European court compared to a relatively low, 6 in RSA.
  10. Why a quagga when you have a zebra?
  11. The Supreme Court of Appeal in Cowbell (see, eg para 10) confirms the adoption of the European “global appreciation” approach in Sabel V Puma, in principle, as the basis for applying the local infringement test, so there is clearance from the SCA to use the European approach.
The upshot of all of this is that a formulaic approach has been developed in Europe and is well applied, most notably by the Community Trade Mark Office. The frequent European interpretation of the test would be more useful if we more closely aligned. Afro-IP therefore intends to unpack the European test as a check list, in an upcoming post.
Read More

Monday, 9 February 2009

Darren Olivier

Delays at the SA Registry favour Trade Mark proprietor

In Golden Fried Chicken (Pty) Ltd (“Applicant”) v Soulsa CC (“Respondent”) the High Court of South Africa has interdicted/injuncted Soulsa from infringing Golden Fried Chicken’s registered trademark SOUL. The case is a reminder of the strength of a registered trade mark right in South Africa. However, the decision also highlights whether it is appropriate for a trade mark proprietor to be able to enjoy a period of exclusivity to their unused trade mark for almost a decade (due mainly to delays at the SA Registry), without that trade mark becoming vulnerable to a cancellation claim based on non use. In this case the mark SOUL was applied for in 2001, is not in use on restuarants, and will only become vulnerable to cancellation or part cancellation on the basis of non use in 2011.

For summary of the case prepared by Msawenkosi Gaxo(Bowman Gilfillan) click here.

Judge Southwood , who adjudicated in this case, has had considerable experience in trade mark matters and is one of the more respected voices on the bench. He dealt with matter in a short judgment but Afro Leo would have liked to have digested his reasons for dismissing arguments (if raised) that SOULSA appears to stand together as one word (phonetically similar to SALSA) where the identity of the registered word SOUL (an ordinary recognisable word) is changed by the addition of "SA" such that the two words SOUL and SOULSA (as used) are in fact distinguishable. It is also noteworthy that although the SOUL registration was not reclassified according to the latest revised edition of the Nice Classification (where restaurant services now fall in class 43 and not in class 42), such omission was apparently not relied upon by the defence, and correctly so it would seem.

Once again, Afro-Ip wishes to thank Msawenkosi for drawing their attention to this case and for providing the handy summary for readers.
Read More