Background Gürok Turizm ve Madencilik AŞ (‘Gürok’) owned EU figurative mark no. 011224821

. It was registered in 2013 for a broad range of goods and services in classes 8, 11, 19, 21, 35, 37 and 39.
In
2022, Olav GmbH (‘Olav’) filed an application for revocation based on
non-use. Gürok provided evidence, which the EUIPO’s Cancellation
Division considered sufficient to establish genuine use for several
goods in class 21.
Upon Olav’s appeal, the BoA found that
Gürok’s evidence did not reach the required standard of probative value
to demonstrate the extent of use. The absence of sufficient explanations
and cross-references hindered that evidence from being solid, objective
and sufficient. Gürok appealed to the General Court.
The General Court's Decision The General Court upheld Gürok’s action, which was supported by the EUIPO.
A procedural hiccup First,
the judges dealt with a procedural issue. In its first written
pleading, Gürok requested the Court only to annul the BoA’s decision. At
the hearing, Gürok asked the Court in the alternative to alter the
contested decision.
The judges held that the alternative head of
claim was inadmissible. The application initiating proceedings before
the General Court must indicate, inter alia, the subject matter of the
dispute and contain the form of order sought by the applicant (i.e.
Gürok). Heads of claims submitted only at the hearing are, in principle,
inadmissible. They would deprive defendants of an opportunity to
prepare a response and thereby infringe the rights of defence. Also, if
the heads of claim are not set out in a precise and unequivocal manner
in the initial written pleading, the Court might give a ruling infra
petita or ultra petita.
New pleas in law may only be introduced
if they are based on matters of law or fact which came to light in the
course of the proceedings (Art. 84(1)
Rules of Procedure of the General Court). As this was not the case, the alternative head of claim was dismissed.
On the substance 1.
The Court reiterated consistent case law on genuine use, in particular
that it cannot be proved by means of probabilities or presumptions but
must be demonstrated by solid and objective evidence of effective and
sufficient use of the trade mark on the market concerned.
It is
not necessary for each item of evidence to give information about the
place, time, nature and extent of use. Rather, an accumulation of items
of evidence may allow the necessary facts to be established, even though
each of those items, taken individually, would be insufficient.
2. Gürok had submitted, inter alia, invoices, packing lists and other commercial documentation, dated from 2017 to 2022.
The
BoA held that these documents were lacking probative value because it
was impossible to determine the specific goods covered by the various
product codes and their commercial volume as well as the frequency and
the duration of the sales. The invoices did not prove that any goods
allegedly bearing the contested mark had been offered in any retail
outlet in the EU or purchased by end consumers.
The BoA had also
criticised Gürok for not providing invoices of sales to local dealers
or to end consumers, good-quality photos of the products in the
retailer’s stores within the EU or catalogues or any other advertising
material to prove the use vis-à-vis EU consumers.
Two catalogues
of goods marked with ‘lav’, dated 2014 and 2023, did also not convince
the BoA. It was deemed unclear whether and to which extent the
catalogues had been circulated in the EU. Also, they did not establish
that the goods had been sold in the EU.
3. The place, time and nature of use of the contested mark were not in question but only the extent.
a. First, the judges were dissatisfied with the BoA’s reasoning:
- On the one hand, the BoA held that the “documentation
provided was clear and understandable, making the documentation largely
self-explanatory and sufficient for the purposes of the present
proceedings”. On the other hand, it found that the evidence was of a
poor quality, which did not constitute solid and objective evidence of
use of the contested mark. The Court deemed that to be contradictory.
- Likewise,
the BoA held that the catalogues did not prove that the concerned goods
had been offered for sale in the EU, although the catalogues showed
that the applicant was active in the glassware industry and exported its
goods to 140 countries, including EU Member States. This was also
considered contradcitory.
b. The BoA required evidence that
showed the sale to end consumers in the EU. The judges disagreed. Such a
requirement would effectively mean that marks used only in
inter-corporate relations cannot be genuinely used. The relevant public
did not only comprise end consumers but also specialists, industrial
customers and other professional users.
c. As regards the extent
of use, the judges held that the catalogues showed use from 2014 to
2023, i.e. over a longer and more extensive period than the relevant
period, which constituted relevant evidence in the assessment of the
extent of use.
c. Gürok had submitted 902 pages of invoices
relating to the sale of a multitude of goods covered by the contested
mark. The codes in the invoices for the goods could be cross-referenced
with Gürok’s catalogues. This exercise was not deemed to amount to a
mere estimation of a probability or a presumption, but involved a
rational and logical process in the assessment of genuine use.
The
explanations provided by Gürok were deemed capable of highlighting the
sale of several of the registered goods during the relevant period and
in volumes and for amounts sufficiently high to conclude that there was
continual, actual and substantial use.
d. The judges also
criticised the BoA for criticising Gürok for deliberately refraining
from submitting additional information or for having knowingly decided
not to give further details regarding the specific references in the
invoices. The BoA seems to have intended to require Gürok to carry out
cross-referencing work of all 2,919 lines of the invoices with each of
the corresponding goods in the catalogues. However, the BoA did not seek
any additional information or explanation, so it was not entitled to
accuse Gürok of any intentional failure to provide evidence or facts.
In
essence, the judges held that the burden of proof is satisfied where
documents establishing genuine use are submitted. There is no
requirement for
“quality of proof that exceeds the admissible
threshold for evidence of effective and sufficient use that would be
corroborated by sufficient items of evidence or a set of indicia
resulting from the interdependence of the various relevant factors”.
Comment Dumping
a load of documents on the EUIPO and the BoA might be easy for the
trade mark owner who has to establish genuine use but is burdensome for
the members of the divisions of the EUIPO and the BoA who have to go
through them (and, of course, for the counterparty’s lawyer). It seems
that the General Court’s decision is too generous and the BoA’s decision
too strict. It should be required that the trade mark owner establishes
good by good and service by service the nature, duration, place and
extent of use by explaining which of the goods and services is
referenced in which document and where. It is, of course, not necessary
to do this for each line on each invoice but for a sufficient amount of
invoices so as to dispel any doubts about the extent of use.