Formula One sues ‘F1′ drink distributor

A new trademark infringement and parallel importation case study for gcip course. As per most trademark infringement proceeding, Formula One cause of action is to sue this drink distributor for passing off and trademark acts.

The classical trinity action in passing off is Goodwill-Misrepresentation-Damage. The can drink has checkered logo, “F1 Racing” words and two website addresses that belong to Formula One group. Formula One said consumers will be misled into thinking that the drinks are connected to or endorsed by it. The logo is similar to its F1 trademark and consumers who visit the websites provided on the cans are redirected to the official Formula One website. In other words, there will be confusion and the onus is for Formula One to prove likelihood of confusion.

In defence, the can drink distributor – Speed Drinks argued that “F1″ was a generic term. Formula One rejected the suggestion that “F1″ was generic since the trademark has been registered in Singapore.

Latest update from BusinessWeek, Formula One settled its dispute with Speed Drinks after the beverage distributor agreed to stop selling its F1 Racing Energy Drink in Singapore, host of the first night race of the world’s most-watched motor sport.

Formula One Licensing BV agreed to withdraw its lawsuit against Speed Drinks if the distributor retracts its challenge stating that the ‘F1’ trademark was indistinctive or generic, according to court papers filed after a closed door Singapore High Court hearing yesterday.

Speed Drinks, which acknowledged that Formula One is the owner of the “F1” trademarks in Singapore, must also hand over 65,000 cans of the beverage to be destroyed and end its contract with their Dutch supplier. No payment to Formula One is required. Please recycle them.

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~ by kmsum on July 2, 2010.

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