According to The Grocer's report on December 12th, e-cigarette brand SKE is facing a legal lawsuit due to the use of the name "Crystal Bar" in its products.
SKE has filed an appeal to the UK High Court, challenging a previous ruling from the Intellectual Property Office (IPO) that allowed the UK wholesaler Bargain Busting to proceed with registering their "Crystal Bar" trademark application from 2022.
In addition, Bargain Busting has filed a trademark infringement lawsuit against SKE in the High Court.
SKE initially objected to the application for release, claiming that Bargain Busting knew that it had already been using this name and intentionally submitted the application to "disrupt" its business. SKE accused wholesale owner Tashmeen Kaur of applying for trademarks used by multiple other e-cigarette brands and called it "opportunistic behavior.
In the newly released Intellectual Property Office (IPO) dispute procedure, SKE argued that it had conducted a "soft launch" of the Crystal Bar device with some retailers and reviewers at an e-cigarette expo held in London in December 2021. However, it failed to convince the officials responsible for the dispute that it had already built up a certain amount of trade and reputation in the UK at this time.
Bargain Busting registered the trademark in May 2022, just a few months after launching.
The Intellectual Property Office (IPO) stated in its ruling that,
The UK trademark system operates on a first-to-file basis. In order to prove prior rights, a party must demonstrate their reputation in the UK on the application date. SKE failed to prove it had a protectable reputation in the UK on the relevant date, leading to the rejection of their objection.
According to reports, the SKE brand uses the name "Crystal" in its full range of disposable, refillable pod, and e-liquid products.
Stephen Lowry, head of trademarks, copyrights, and designs at Brandsmiths, the legal team representing Bargain Busting, stated that the decision from the Intellectual Property Office (IPO) underscores the crucial importance of conducting comprehensive and professional clearance searches before applying for and using trademarks in the market.
Failure to conduct these searches could result in significant legal and financial consequences, including potential infringement claims and the need to re-brand. Due diligence is necessary regardless of the size of the company.
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