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Design Rights and Piggy Banks
John Hinde Limited and John Hinde (UK) Limited, companies specialising
in tourism souvenir selections, have successfully sued a Spanish
company, Pinesol S.L., for copying its "My Name" piggy bank product
in Spain.
John Hinde distributes a number of novelty souvenir products under
the "My Name" trade mark such as mugs, water bottles, plaques and
piggy banks. In February 2005, it designed a moulded plastic pig
money box with multicoloured soft plastic spot and name detail.
The "My Name" piggy banks were subsequently released for sale to
the general public in September 2005.
However, in July 2005, Pinesol, a former distributor of John Hinde
in Spain applied to register the "My Name" piggy bank as a design
in Spain in its own name unknown to John Hinde. Pinesol had obtained
a sample of the "My Name" piggy bank in July 2005 during a meeting
with John Hinde. In the summer of 2006, Pinesol filed complaints
with the Spanish police that John Hinde, by selling the John Hinde
"My Name" piggy banks in Spain, were infringing Pinesol's Spanish
registered design for the piggy banks. This prompted the Spanish
police to seize John Hinde's piggy banks in Spain.
In response, John Hinde filed civil proceedings before the Spanish
courts seeking vindication of its design right in the piggy bank
and seeking damages for unfair competition. The Commercial Court
of Barcelona issued a judgment on 2 May 2007 declaring that John
Hinde was the original owner of the piggy bank design and awarded
damages in John Hinde's favour. A Court Expert had been appointed
by the Court to determine the amount of damages owing to John Hinde
and the Court awarded the full amount determined by the Court Expert.
It is understood that this is a rare occurrence.
Niall Howard, Managing Director of John Hinde, explained that "the
declaratory orders given against Pinesol vindicated our position
and the position of our retailers who were selling genuine and non
infringing products". Mr. Howard also stated that "John Hinde has
a long history of design and product development in the tourism
souvenir marketplace and we zealously protect our intellectual property
rights from third party infringement".
Áine Matthews, an Associate in the Intellectual Property and Technology
Unit of LK Shields Solicitors who led the team that advised John
Hinde in association with Spanish lawyers stated that "Irish
companies need to vigilantly protect and enforce their trade marks
and design rights in every country in which they trade. In the global
environment in which many firms operate, there are always third
party infringers who will have no hesitation in attempting to "piggyback"
on your success".
The case was appealed by Pinesol but following discussions between
John Hinde and Pinesol, the parties agreed to settle the matter.
The terms of the settlement included the payment of damages to John
Hinde and undertakings not to infringe John Hinde's products in
the future. The case highlights the importance of having a carefully
managed intellectual property portfolio in addition to appropriate
contractual arrangements with distributors.
January 2008.
For further information please contact Áine
Matthews.
© 2003-2008 LK Shields Solicitors.
All rights reserved.
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