CASE DIGEST - TRADEMARK: ACTION FOR INFRINGEMENT OF TRADEMARK; WILL ARISE WHERE A COMPETITOR USES A REGISTERED TRADEMARK FOR THE PURPOSE OF COMPETING THEM WITH HIS OWN GOODS IN THE SAME CLASS

TRADEMARK: ACTION FOR INFRINGEMENT OF TRADEMARK; WILL ARISE WHERE A COMPETITOR USES A REGISTERED TRADEMARK FOR THE PURPOSE OF COMPETING THEM WITH HIS OWN GOODS IN THE SAME CLASS

ALLIANCE INTERNATIONAL LTD. v. SAAM KOLO INTERNATIONAL ENTERPRISES LTD.

SUPREME COURT OF NIGERIA

(AGIM; NWEZE; AUGIE; OGUNWUMIJU; ABUBAKAR, JJ.SC)

Saam Kolo International Enterprises Ltd. (The Respondent) by a writ of summons and statement of claim instituted a suit against Alliance International Ltd. (e Appellant) for a perpetual injunction restraining the Appellant whether acting by its directors, officers, distributors, servants, agents or otherwise howsoever from infringing registered trademarks, N3 Million (Three Million Naira) only against the defendant for damages suffered by the plaintiff, annual profits for 5 years due to the infringement by the Appellant. e Respondent alleged that it formally applied to the Registrar of Trademarks for registration of its two products, "STEP" and "GUARD". Following its application, the trademarks office registered the products and issued a certificate of registration for the two products in 1992. In October 1992, the Respondent discovered the imitation of one of its registered products "STEP" shoe protector by the Appellant which gave the impression that the Appellant produced and distributed same, and by reason of the imitation by the Appellant, it suffered financial loss and serious setback to its reputation and trade. At the end of trial, the trial judge gave judgement in favour of the Respondent and consequently granted an order of perpetual injunction restraining the Appellant whether acting by its directors, officers, distributors, servants agents or otherwise howsoever from infringing the Respondent’s registered trademarks, and awarded the sum of N5.5million against the Appellant in favour of the Respondent as general damages suffered by the Respondent. Dissatisfied with the judgment of the trial court, the
Appellant appealed to the Court of Appeal. The Court of Appeal allowed the appeal in part and varied the Orders made by the trial court by setting aside the order of perpetual injunction in respect of Trademark 49626 and in place of the N5.5 million general damages, awarded N5 million.