No Infringement of “Tradition” Trade-Mark, Federal Court of Appeal Rules

1
NOINFRINGEMENTOF“TRADITION”TRADE-MARK,
FEDERALCOURTOFAPPEALRULES

By
StellaSyrianos*
LEGERROBICRICHARD
,L.L.P.
Lawyers,PatentandTrademarkAgents
CentreCDPCapital
1001Square-Victoria–BlocE–8thFloor
Montreal,Quebec,CanadaH2Z2B7
Tel.(514)9876242–Fax(514)8457874
www.robic.ca–info@robic.com

TheFederalCourtofAppealrecentlydismissedanappealofadecisionof
theFederalCourtwhichrejectedtheAppellant’sactionfortrade-mark
infringementandpassingoffrelatingtothe“TRADITION”trade-mark(Tradition
FineFoodsLtd.v.OshawaGroupLtd.,SobeyInc.etals,2005FCA342,
Malone,RothsteinandLétourneau,JJ.A.,October25
th,2005).

THEFACTS

TheAppellant,TraditionFineFoodsLtd.producesarangeoffreshandfrozen
bakedgoodssuchasmuffins,croissants,cookies,cakesandpastriesthatare
soldnotonlyingrocerystoresandconveniencestoresbutarealsousedby
hotelsandhospitals.ThewaresassociatedtoitsvariousregisteredTRADITION
trade-marksarefrozen,unpackagedbakeryproductsaswellasgoodsthat
arebakedandthenfrozen.

Sobeysbeganopeningachainofsmall,franchised,freshmarketgrocery
storesinQuebecandOntarioin1997,usingthebilingualword’Tradition’inits
signageandgraphics.Eachstorecarriesawidevarietyofcommercial
groceryproductsincludingfreshandfrozenbakeryproductswhicharesold
fromanin-storebakery.Ofnote,inQuebec,Sobeysoperatesitsstoresunder
thetradename,”LESMARCHÉSTRADITION”whichwasalsoregisteredasa
trade-markforretailgrocerystoreservicesonFebruary10
th,2000.

THEFEDERALCOURTJUDGEMENT

©CIPS,2005
*Lawyer,StellaSyrianosisamemberofthelawfirmandofthepatentandtrade-mark
agencyLEGERROBICRICHARD
,L.L.P.Publication142.181.

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TheFederalCourtjudgeseizedwiththePlaintiff’sactionforinfringementand
passingoffruledthatthePlaintiffhadnotdischargeditsonusofprovingthat
Sobey’shadviolateditsrightsinthetrade-markTRADITION.TheTrialjudge
heldthatPlaintiff’smarkwasweakandcommoninthefoodproducers’trade
andco-existedintheretailgrocerymarket.Healsodeterminedthat
evidenceallegingconfusionbythePlaintiffbasedonmisdirectedtelephone
callsandparticipantsinamarketsurveyconductedbyitsexpertwerenon-
persuasive.Overall,theCourtconcludedtheevidencedidnotestablish
confusionbetweenPlaintiffs’sbakingbusinessandSobey’sgrocerystores.

THEFEDERALCOURTOFAPPEALJUDGEMENT

Indealingwiththeissueofconfusion,theFederalCourtofAppealdecided
thattheAppellant’srightsunderSection19oftheTrade-marksActwerenot
violatedinsofarasthemarkbeingused,MARCHÉTRADITIONwasnotidentical
toitsregisteredTRADITIONtrade-marks.

InpursuingitsanalysisofconfusionpursuanttoSection20oftheTrade-marks
Actrelatingtoconfusionbetweensimilartrade-marks,theCourtofAppeal
consideredtheAppellant’sargumentsthatSobey’suseofthenames
“TRADITIONMARKETFRESHFOODS”AND“LESMARCHÉSTRADITION”were
confusingwithitsTRADITIONtrade-markshavingregardtotheprominence
giventotheword“TRADITION”onsignage.

TheCourtalsoconsideredtheAppellant’sargumentthattheTrialjudgeerred
whengrantinglittleweighttoitsexpertsurveyevidenceandmisdirected
phonecallsfromcallerswonderingwhethertherewasaconnectionbetween
Traditionandthenewgrocerystores.Inresponse,theCourtofAppeal
concludedthattheTrialjudgedidnoterrinitsassessmentofthesurvey
evidenceasajudgeisnotboundbysurveyevidenceandlegallyhasthe
powertomakeadeterminationofnonpersuasiveness.Asforthemisdirected
phonecalls,theCourtofAppealheldthatwhileitmayberelevantwithinthe
overalltestforlikelihoodofconfusion,itdidnotamounttoevidenceofactual
confusion.

TheCourtofAppealagreedwiththeTrialjudge’sopinionthatitwasunlikely
thattheAppellant’sproductswouldbesoldintherespondent’sstoresdueto
thenatureoftheAppellant’sbakerybusiness.TheCourtofAppealtherefore
dismissedtheappealsinceitfoundnopalpableandoverridingerrorinthe
Trialjudge’sconclusionsthatneitherthephonecalls,theresultsofthesurvey
evidencenortheanalysisofthestatutoryfactors,provedthelikelihoodof
confusion.

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CONCLUSION

Thiscasesupportsthegeneralprinciplethatweakmarksusuallyhavealower
degreeofprotectionavailabletothem.Italsoservesasagoodreminderthat
whilesurveyevidencemayseeminglybeconvincing,itdoesnotbindajudge
wholegallyhasthepowertodetermineitsprobativevalue.

4
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