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The Brazilian Superior Court of Justice Sets the Pace forthe Prot...
It was published last Tuesday (October 5, 2010) a relevant decision rendered by the 3rd. Chamber of the Brazilian Superior Court of Justice (STJ) that shapes up the protection of well known trademarks.
The main arguments raised by the local company against the
registration were that "SKECHERS" is an imitation of the mark
"SKETCH" registered prior at the Brazilian Trademark Office (BTO)
and the fact that both marks identify clothes and accessories.
Accordingly, the decision of the 2nd. Circuit of the Federal Court
of Appeal violated both IP Law and the Consumer Law. Once again,
the grounds for the Special Appeal were that the mark "SKETCH" of
the local company was registered before and the coexistence of the
trademarks could lead consumers to confusion and error when
choosing a product in the market.
The judges of the 3rd. Chamber of the STJ reaffirmed the decision
rendered by the 2nd Circuit of the Federal Court of Appeals based
on the worldwide notoriety of the mark "SKECHERS" in the clothing
business and secured protection under Article 6bis of the Paris
Convention and Article 126 of the Brazilian IP Law.
In this regard, it was pointed out that well known trademarks
differ from highly known marks, as the latter holds special
registration in all classes of products and services while well
known is protected independently of registration inasmuch as
notoriety is confirmed in a specific business sector.
Further to that, the judges addressed 2 important issues at stake.
Firstly, they informed that protection is secured locally to those
well known trademarks even in those cases where notoriety is
acquired after a similar mark is registered at the BTO (insofar as
the coexisting brands do not violate consumer rights).
The second point was the possibility of "SKECHERS" and "SKETCH" to
coexist pacifically, since they identify different products despite
the fact that they were registered in the same international class
25. While "SKECHERS" identifies clothing and accessories for sports
and professional use, the local company holds "SKETCH" for clothing
and accessories in general, including shoes. Therefore, the judges
did not see any chance for consumers to get confused by the
marks.
The novelty of the rendered decision is the ability of the judges
to understand the concept of Article 6bis of the Paris Convention,
to differentiate well known trademarks and highly known trademarks,
and to set the boundaries for protection of well known marks.
This is certainly a relevant development in Brazilian law,
especially if one recalls the difficulty of foreign owners to
enforce well known trademarks in the near past and the hassle of
the local judges to comprehend protection of intangibles.
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