Trademarks and Passing Off

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In order to advise Glamix Limited on the issues raised it is necessary to discuss the following areas of law: (a) passing off, and (b) trademarks.

(a) The common law tort of passing off enables enterprises to protect their trade symbols.  The passing off action may apply in situations where trademark protection does not apply.  This is a significant point as Glamix does not have any registered trademarks.  The concept of passing off was established in the case Perry v Truefitt, in which Lord Langdale MR ruled that a trader ‘is not to sell his own goods under the pretence that they are the goods of another man.’ The action enables ‘trader A to prevent a competitor B from passing their goods off as if they were A’s.’  The key component of this wrong is telling lies to the public.  

It has been identified that the law ‘contains sufficient hooks and crannies that make it difficult to formulate any satisfactory definition [of passing off] in short form.’  However recent authoritative statements of the law on passing off can be found in two House of Lords decisions: Warnink v Townend (‘Advocaat’), and Reckitt & Colman v Bordern (‘Jif Lemon’).  Although the two cases offer different terms of passing off, a general statement can be formulated consisting of the elements of the action.  In order to succeed in an action for passing off the claimant (Glamix) must establish: ‘(i) that the claimant has ‘goodwill’, (ii) the defendant made a ‘misrepresentation’ that is likely to deceive the public’, and (iii) the misrepresentation damages the goodwill of the claimant.’  Glamix is required to show that each of elements of the classic trinity existed at the time they suspect the passing off occurred.

The first element that needs to be established in a claim for passing off is goodwill. Glamix is a trader operating in trade and must demonstrate that they have enough goodwill for their goods to be recognised by members of the public or else it will be impossible for consumers to be deceived when they come across similar goods.  ‘The mere fact that consumers are confused about the source of a product...is not enough...to bring a successful passing off action against another trader with whom their products are being confused.’ In IRC v Muller & Co’s Margarine Lord Macnaghten stated that ‘[goodwill] is the benefit and advantage of the good name, reputation, and connection of a business.  It is the attractive force that brings in custom.  It is the one thing which distinguishes an old-established business from a new business at its first start.’ 

The law of passing off is concerned with the manifestation of goodwill.  There are numerous devices which passing off recognises as ‘badges of identity’ which indicate that a product derives from a particular source. The two ‘badges of identity’ that are of interest in relation to Lumos shampoo are (1) the mermaid shaped bottle, and (2) the words ‘Super Shine!’.

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Mermaid Shaped Bottle:

Glamix may acquire goodwill though the use of this specific ‘packaging, get-up and trade dress.’  It is essential that this component of the product is protected particularly where customers identify products by their external features.  A prime example is Reckitt & Colman v Borden in which the claimant sold lemon juice in plastic containers that resembled a lemon in size, shape and colour.  The House of Lords held that the defendant had passed off its juice as the claimant’s by using similar packaging to the claimant.  The claimant succeeded in persuading the public that lemon juice sold in ...

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