The reporter learned from the Hangzhou Intermediate People’s Court of Zhejiang Province on the 7th that the Court sentenced Wyeth, Wyeth Shanghai, and other six defendants against Guangzhou Wyeth, for trademark infringement and unfair competition. The Court fully supported Wyeth and Wyeth Shanghai’s compensation. The defendant applied punitive compensation for economic losses of 30 million yuan and reasonable expenses of 550,000 yuan.
Wyeth was established in the United States in 1926 and is the trademark owner of the trademarks "惠氏 (Wyeth)" and "Wyeth". Beginning in the 1980s, Wyeth trademark entered the Chinese market, and the products are mainlyinfant formula milk powder. It licensed Wyeth (Shanghai) Trading Co., Ltd. and other related companies to use "惠氏 (Wyeth)" and "Wyeth" trademark.
Since its establishment in 2010, Guangzhou Wyeth Baby Maternity and Infant Products Co., Ltd. has been producing and selling products with logos of "惠氏 (Wyeth)", "Wyeth" and "惠氏小狮子 (Wyeth baby)" in categories such as toiletries through cybersquatting and transfer from others. Guangzhou Wyeth Company also hinted that it has an association with Wyeth Company in its promotion.
After the trial, the Hangzhou Intermediate People’s Court determined that the six defendants including Guangzhou Wyeth Company used the logos of “惠氏 (Wyeth)”, “Wyeth” and “惠氏小狮子 (Wyeth baby)” on the alleged infringing products, product packaging and brochures produced and sold by them, and promoted them on the website. The act constitutes the use of the same or similar trademarks as Wyeth’s registered trademarks on similar goods, which easily confuses the relevant public about the source of the goods and infringes on the exclusive right of Wyeth’s “Wyeth” and “惠氏 (Wyeth)” registered trademarks. And it was determined that Qingdao Wyeth Company, one of the defendants, used "Wyeth" in the company name and constituted unfair competition.
In terms of the amount of compensation, the Court considered that the plaintiff’s trademark was well-known, the defendant’s malicious infringement of Wyeth’s goodwill and the brand name was obvious, and the defendant’s infringement lasted for a long time, involved a wide field, large infringement scale, serious situation, and the product involved factors related to the health and safety of infants and young children, the amount of compensation for each defendant was calculated through punitive damages.
By calculation, whether it is based on the sales amount of the online shop, franchiser channels or the self-confessed sales amount of Guangzhou Wyeth Company's regional manager, the defendant’s calculated profit exceeds 10 million yuan. Therefore, the Hangzhou Intermediate People's Court fully supported Wyeth's and Wyeth Shanghai's claims for compensation after calculating the amount of compensation based on three times of the infringement profits.
