Showing posts with label Court of Justice. Show all posts
Showing posts with label Court of Justice. Show all posts

Friday, 4 March 2016

Unauthorized use of a trademark in advertisements published on the Internet without the consent of the advertiser

The Court of Justice of the European Union has just delivered a judgment (case C-179/15) in response to a request for a preliminary ruling submitted by the Fővárosi Törvényszék (Budapest Municipal Court, Hungary) in relation to the interesting question of the interpretation to be given to Article 5(1)(a) and (b) of the First Council Directive in a case where unauthorized use is made of a mark in an advertisement published on the Internet without the consent of the advertiser or which remains there despite the efforts of the latter to have it removed.


The background

The parties to the main proceedings out of which the question arose are a motor vehicle manufacturer and a Hungarian company engaged in the retailing of motor vehicles and their parts and in the repair and servicing of such vehicles.

In 2007 the two had entered into an after-sales service agreement under which the Hungarian company was entitled to describe itself as an authorized dealer of the motor vehicle brand. The agreement expired in March 2012.

While the agreement was in force, the Hungarian company ordered from an online advertising services provider the publication on the website www.telefonkonyv.hu of an advertisement in which the company was presented as an authorized dealer. The publication was to cover the years 2011 to 2012 only.

Following the expiry of the agreement, the Hungarian company tried to  remove from the Internet any advertisement in which it was presented as an authorized dealer of the brand to which the contract related. To that effect it contacted the provider it had engaged and also wrote to various operators of other websites on which advertisements, describing it as an authorized dealer, had appeared. However, those requests went unheeded.

In view of the ongoing use of its trademark, the motor vehicle manufacturer brought a legal action seeking: (i) a declaration that the Hungarian company had infringed the trademark through those advertisements; (ii) that the Hungarian company be ordered to remove those advertisements, to refrain from any further infringement and to publish a corrigendum in the national and regional press.

In its defence the Hungarian company argued that the only advertisement it had placed on the Internet was the one published on the website www.telefonkonyv.hu and that the others had been published without its consent. In this regard it submitted an expert report showing that the advertisements had been reproduced by certain providers of Internet advertising services without its knowledge or consent and that this is in fact a common commercial practice in which some operators engage. 

In these circumstances the Budapest Municipal Court stayed the proceedings in order to refer the following question to the Court of Justice for a preliminary ruling:
“Must Article 5(1)(b) of [Directive 89/104] be interpreted as meaning that the trade mark proprietor is entitled to prevent a third party named in an advertisement on the internet from making use, for services of that third party identical to the goods or services for which the trade mark is registered, of a sign likely to be confused with the trade mark, in such a way that the public might be given the mistaken impression that there is an official commercial relationship between the undertaking of that third party and the trade mark proprietor, even though the advertisement was not placed on the internet by the person featuring in it or on his behalf, or it is possible to access that advertisement on the internet despite the fact that the person named in it took all reasonable steps to have it removed, but did not succeed in doing so?”

Monday, 10 August 2015

Recent entry into force of the new Rules of Procedure of the EU General Court

Back in March the European Union's General Court (GC) agreed to reform its Rules of Procedure. The revised legal text introduces some important new rules in the section relating to industrial and intellectual property cases (court proceedings relating to Community trademarks and Community designs). Some of the most significant new rules adopted are as follows:

  • In direct appeals the language of the proceedings shall be that chosen by the plaintiff among the official EU languages. In the event of an objection to the language of the appeal by a party to the proceedings, the language of the decision of the Board of Appeal of the OHIM that is contested before the GC shall become the language of the proceeding.
  • The possibility of supplementing the initial briefs of the parties via briefs of reply or rejoinders has been removed. 
  • A cross-claim by a party to the proceedings must be submitted in a document separate from the brief of response to the appeal. 
  • A cross-claim shall be deemed to be devoid of purpose when the applicant in the main appeal discontinues the main action and when the main action is declared manifestly inadmissible. 
  • In terms of costs, under the new rules the General Court may order the OHIM to bear only its own costs where an appeal is successful (with the successful applicant paying its own).
  • The possibility of appeals of this type being resolved by a single judge has been introduced.

In addition, under the new rules the Advocate General may intervene in appeals of this type whenever the difficulty or complexity of the case requires it.


The new rules of procedure entered into force on 1 July 2015.



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