July 2022 - Blog | Trademarkmaldives | IP Law Firm in Maldives

MetaX Hits Facebook Owner Meta with a Trademark Infringement Lawsuit

MetaX LLC, a company specializing in creating immersive virtual reality experiences, has recently filed a Trademark Infringement Lawsuit in Manhattan federal court against Facebook owner Meta for allegedly stealing and using the company’s name for its pivot to the metaverse.

MetaX, based out of New York, has told the court that it has been crushed by Facebook’s rebranding to Meta and further mentioned that its ability to operate and function as Meta has been eviscerated.

MetaX has accused Meta Platforms of infringing upon its federally registered ‘Meta’ trademarks and requested a court order that would block the social media giant from using the term ‘Meta’ for products and services overlapping with those of MetaX, along with an unspecified amount of monetary damages.

Last year in October, Meta Platforms rebranded from its eponymous social media network by betting that the metaverse, which is a shared virtual realm, shall succeed the mobile internet.

Justin “JB” Bolognino, the Founder of MetaX, said in a recent statement delivered that Meta Platforms has not only put their business in jeopardy but that of the entire industry as well, along with the Intellectual Property Rights (IPRs) of the innovators and inventors who have helped build Meta Platforms.

Meta Platforms didn’t respond to the request for comment immediately.

MetaX holds expertise in immersive and experiential virtual reality experiences using technologies such as Augmented Reality (AR) and Virtual Reality (VR).

In the lawsuit filed, MetaX mentioned that it did discuss a potential partnership with Facebook in 2017 and that an executive at Facebook even praised one of MetaX’s experiences by calling it spectacular and amazing.

According to MetaX, the new focus of Meta Platforms on the metaverse and related AR and VR technologies overlaps with its business, and Meta Platforms has begun offering similar “immersive experiences” at some of the same places it hosted its exhibits, including Coachella and South by Southwest.

MetaX thinks that Meta Platforms’ rebrand shall drive it out of the marketplace and the industry altogether and that it has already caused people to believe that the two companies in question are affiliated. For more visit: https://www.trademarkmaldives.com

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Manolo Blahnik Emerges Victorious in Decades-Long Trademark Dispute in China

One of the world’s most successful shoe designers, Manolo Blahnik, has recently won a trademark dispute in China concerning the right to use his name in the nation, thereby ending a costly 22-year-old legal battle.

China’s highest court, in a rare ruling recently, canceled a trademark incorporating Manolo Blahnik’s name and owned by Chinese businessman Fang Yuzhou. This ruling shall enable Blahnik, who started his business in 1971 in London and got his shoe brand made famous by its celebrity fans and regular appearances in HBO’s TV drama Sex and the City in the early 2000s, to sell his brand in the fastest-growing luxury market in the world for the first time.

The Chief Executive of Manolo Blahnik and the founder’s niece, Kristina Blahnik, said in a recent statement delivered that being unable to capture the Chinese market was a huge hole in the brand’s existence; so, when the brand got the call, genuine tears were shed.

In China, there is a ‘first-to-file’ Trademark System, due to which many foreign companies fall into the hands of ‘pirates’ who try to sell trademarks when such businesses or brands enter China. As per one lawyer familiar with such cases and lawsuits, even small start-up-based British designers often come across their names already registered as trademarks in China.

Intellectual Property (IP) theft and infringement have been a source of major tension between China and its trade partners, specifically the United States. In recent years, things have somewhat shifted in China due to the amendments implemented in the nation in November 2019 designed to strengthen the Trademark Legislation. Consequently, there have been some high-profile wins for international brands in Chinese courts lately.

In 2021, one of the world’s major sports footwear and apparel manufacturers based out of the United States, New Balance, won a Trademark Infringement lawsuit against two local companies for imitating its ‘N’ logo and received Rmb25mn in damages. The company is now among the largest compensations granted to international brands in trademark court disputes.

Former National Basketball Association superstar Michael Jordan could stop Qiaodan Sports, the Chinese sportswear manufacturer, from using his trademark in a 09-year trademark infringement lawsuit. Jordan argued by saying that Qiaodan, which is the literal Chinese translation of his name, had infringed upon his exclusive rights.

Other international luxury brands, including British luxury goods brand Dunhill and Italian luxury fashion house Zegna, have also emerged victorious in trademark infringement lawsuits in China.

Manolo Blahnik had multiple earlier appeals rejected in China as the brand could not prove its reputation and image in the nation before 2000. Also, the legal experts believed that Fang Yuzhou appeared to be actively using the trademark for a shoe label he owned shares in during that period.

As per Kristina Blahnik’s statement delivered, the company’s plans for expansion in the Chinese market are still in the initial stages; however, she hopes to begin selling directly in the nation by the second half of next year. She said that the brand wouldn’t be racing with a rocket into China but instead walking gently.

According to an IP lawyer at a law firm in China, the ruling in question shall enable Blahnik and its retailer partners to sell their products in China without fear of legal retaliation and fight counterfeits being sold in and exported from the nation.

The privately-owned shoemaker shall face heavy competition from luxurious brands such as Louis Vuitton.

As per the most recently filed accounts, Manolo Blahnik had sales of €42.3mn in 2020, which is 7% down from that of the previous year due to the COVID-19 pandemic. While the brand has not directly sold its products in China, it has courted Chinese luxury consumers through stores in Hong Kong, Seoul, Tokyo, Singapore, and Taipei. For more visit: https://www.trademarkmaldives.com

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Delhi HC Restrains Use of Facebake & Other Facebook Formative Trademarks

The Delhi High Court (HC) has permanently restrained the use of marks, including ‘Facecake,’ ‘Facebake,’ Facebook marks, the visual representation of Facebook, and other Facebook formative trademarks of the social media giant, in a Trademark Infringement suit filed by Meta (previously known as Facebook).

Justice Naveen Chawla has awarded nominal damages of Rs. 50,000 against the defendants and in favor of the American multinational technology conglomerate, Meta Inc. The Delhi HC has also directed the defendants to pay the amount of the trademark infringement lawsuit to the plaintiff, Meta.

Meta had moved to the Delhi HC after being aggrieved over the use of the ‘Facebake’ mark by defendant no. 1 Mr. Noufel Malol who was allegedly replicating the visual representation of Facebook by copying its look and feel, font, color scheme, and commercial impression, and was, therefore, deliberately trading off the significant goodwill established in Facebook marks.

The scenario mentioned above came into Meta’s knowledge when it saw the advertisement of the defendant’s Trademark Application in the Trade Marks Journal seeking Trademark Registration for its mark ‘Facebake.’

Meta had also initiated opposition proceedings against the said trademark application, claiming that the defendant’s use of the similar mark infringed upon its statutory and common law rights. It had further claimed that the defendant was involved in dilution, passing off, and unfair competition.

According to Meta, on service of the ad-interim order of injunction, the ‘Facebake’ mark was changed to ‘Facecake,’ which, in turn, was deceptively similar to Meta’s Facebook mark to the same extent.

The Delhi HC, in this matter, said it could never be disputed that Meta’s marks are well-known in India and that their overall reach and user base are pretty evident from the documents and info submitted by it. The Court further observed that Meta has all the trademark registrations in place in various classes of goods and the use of a similar mark undoubtedly amounts to unfair competition, which is and shall always be detrimental to the reputation and distinct character of Meta’s Facebook marks.

The Delhi HC also mentioned that though there is some distinction between Meta’s marks and those of the defendants, the visual representation of the marks adopted by the defendants depicts their mala fide intent in obtaining unfair advantage by using a mark similar to that of Meta. The Court even stated that the same results in dilution of Meta’s marks.

According to the Delhi HC, an unwary consumer might believe that the defendants, in this case, have some connection with Meta. Moreover, the mala fide intent of the defendants is pretty clear from the instance that upon knowing the ad-interim injunction passed by the Delhi HC, they changed their mark from ‘Facebake’ to ‘Facecake’ by changing only one letter but decided not to appear before the Court to defend the lawsuit in question. For more visit: https://www.trademarkmaldives.com

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CureVac Sues BioNTech Alleging Patent Infringement over mRNA Technology

German Pharmaceutical Company, CureVac, has filed a Patent Infringement Lawsuit against the German Biotechnology Company BioNTech in Germany over its use of mRNA technology. CureVac is now seeking ‘fair compensation’ from BioNTech and two subsidiaries for infringing upon its Intellectual Property Rights (IPRs).

As per several reports, the Chief Executive Officer at CureVac, Franz-Werner Haas, has not ruled out further legal action against mRNA vaccine maker Moderna or BioNTech partner Pfizer.

CureVac believes that its claims to IPRs are based on more than two decades of sincere work and effort on mRNA technology, some of which have been used by BioNTech and Pfizer in the development and sale of their Comirnaty Coronavirus vaccine.

In a recent statement delivered, Haas said that many years of CureVac’s research and development have also contributed well to the success of mRNA vaccines and made the same possible. From his and the entire company’s point of view, it is pretty self-evident to respect the IPRs associated.

Meanwhile, this year, BioNTech expects up to 17 billion euros ($17.5 billion) in vaccine revenue, which is down from the 19 billion revenue of the previous year with the COVID-19 pandemic easing. CureVac said that neither it is seeking an injunction nor taking legal action that would impede the production, sale, or distribution of the vaccine.

Haas said that it would not have occurred to CureVac at the height of the pandemic to point out patent infringement; however, the company believes that there is better control over the pandemic at present and the right time to bring up the issue of patent infringement.

When contacted by the news reporters to talk about the said lawsuit, BioNTech didn’t have any immediate comment.

As of now, Haas is coy about potential further legal action, indicating that in the first place, a basis is needed concerning CureVac’s fair share in product development and sales in Germany and how it would be appropriately valued. When reporters asked whether or not he would rule out legal action against Moderna, Haas said that CureVac is not ruling anything out currently and instead looking at the matter very carefully.

Began in China, the COVID-19 pandemic has killed more than 6.3 million individuals to date and spurred a race amongst the pharmaceutical companies to be the first to come up with a vaccine, with Pfizer and BioNTech dominating in the western world.

After several failed attempts to launch a COVID-19 vaccine to the market last year, CureVac escalated its work and effort with partner GSK on improved vaccine versions.

This year in April, GSK and CureVac said that their second-generation vaccine version, which targets two recent COVID-19 variants, is highly effective in pre-clinical studies on mice. For more visit: https://www.trademarkmaldives.com

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eBay Steps Into the Metaverse and NFTs with Trademark Application Filings

The American multinational e-commerce company, eBay, is the latest mainstream brand to step into the metaverse by filing various Trademark Applications for different products.

The e-commerce giant has applied trademarks for:

Non-Fungible Tokens (NFTs), NFT Exchanges, and NFT Trading
Virtual Goods Marketplaces
Online Retail Stores with Physical & Virtual Goods

The trademark applications for the same were submitted to the US Patent and Trademark Office (USPTO) on 23^rd June 2022. The news of these trademark applications was revealed by licensed Trademark Attorney Michael Kondoudis on 28^th June 2022 in a tweet.

An overview of the trademark applications filed shows that eBay is looking forward to offering products like an interactive website in the metaverse, enabling users to engage with digital assets on the blockchain. Besides, the e-commerce company has plans to provide exchange services concerning NFTs.

As the concept of the metaverse is growing at a high pace, e-commerce platforms are lining up to be among the significant beneficiaries providing features like personalized experience for customers and secure customer engagement while enhancing customer experience.

Noticeably, the e-commerce giant’s venture into the metaverse might ramp up its overall business and attract new potential customers as it battles the ongoing economic meltdown.

As per multiple reports, eBay’s stock had been downgraded on June 28^th after losing over 30 percent of its value year to date despite being a pioneer marketplace.

eBay’s competitor Amazon has also suggested its interest in the metaverse by disclosing plans to improve customer experience through an augmented virtual room called Amazon View. The product shows customers the basic layout of their homes in 3D.

Nowadays, most brands and businesses belonging to different industries are entering the metaverse, primarily driven by the need to increase customer interaction. Much recently, the world’s leading chocolate manufacturer, Mars Inc., filed for an NFT trademark application for its widely recognized brand M&M.

Other companies investing in the metaverse include fast-food chains such as KFC and McDonald’s. The DeLorean Motor Company, notably the DMC DeLorean, filed two NFT trademark applications this year in May.

All in all, such trademark applications have accelerated, with reports suggesting that NFT-related trademarks in the US surpassed 4,000 between 1^st January 2022 and 31^st May 2022. For more visit: https://www.trademarkmaldives.com