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As the representative enterprise of Chinese baijiu product, Beijing Red Star Co., Ltd. (hereinafter referred to as Red Star Company) recently launched the rights protection battle to safeguard both its trademark and logo. In a dispute against Xianghe Jingyun Brewery (hereinafter referred to as Jingyun Brewery), Red Star Company believed that the defendant used a trademark similar to "Red Star", which constituted infringement. It also alleged that the products of Jingyun Brewery involve the logo of "Beijing Erguotou", even if the products are not brewed in Beijing, which constitutes false advertisement.
In its final judgment a few days ago, the Beijing Intellectual Property Court held that Jingyun Brewery used the trademark similar to the registered trademark on the same commodity without the permission of Red Star Company, thus infringing the exclusive right to use the trademark of Red Star Company. Meanwhile, the defendant’s behavior belongs to "false advertising" on the place of origin, which has constituted unfair competition.
Erguotou is considered as a common name of the alcohol products obtained through the specific wine-making process after its own name. However, "Beijing Erguotou" and "Beijing Erguotou Liquor" are not the common names of Erguotou product. Beijing Erguotou is the abbreviation of Erguotou produced as a local specialty in Beijing, and denotes specific quality of Erguotou liquor within the specific geographical area of Beijing.
The packaging of the goods involved of Jingyun Brewery is marked with the word "Beijing" before "Erguotou Product" in a prominent position, which has clearly clarified the origin of products, and played a role in identifying the source of goods to a certain extent, thus constituting the commercial usage.
However, the location of Jingyun Brewery and the place of production of Erguotou product involved in the case are not Beijing. The defendant had failed to prove that the brewing skills, the water and soil, the climate, the raw materials, the process control, the testing technology, the factory standards and other factors are actually related to "Beijing" as a specific region. Objectively speaking, the "Erguotou product" involved does not necessarily indicate the liquor produced in Beijing. Jingyun Brewery made false advertisement on the origin of the goods involved in a subjective and intentional manner. The false advertising behavior of Jingyun Brewery belongs to the unfair competition behavior regulated by China's Anti-Unfair Competition Law. On such ground, the defendant shall bear corresponding liability for infringement.