Energy+ sells mattresses on the internet. Just like the well known TEMPUR products, these mattresses contain a specific viscoelastic material. To generate more traffic to their website, Energy+ uses the signs “tempur” and “tempoer” as AdWords. A Google search with these terms leads to several advertisements of Energy+ mattresses. According to Tempur this use constitutes infringement of its trademark TEMPUR.
This advertisement method is a form of comparative advertisement, according to the court of The Hague. Comparative advertisement is permitted under certain conditions. For example, comparative advertisement may not lead to “unfair advantage”. If Energy+ takes unfair advantage from the comparative advertisement, this will constitute a trademark infringement of the well known trademark TEMPUR. According to the court, the mere fact that a Google search with the AdWord “tempur” leads to an advertisement of Energy+, does not lead to unfair advantage. In other words, the use of a competitor’s trademark as AdWord is not necessarily prohibited.
Yet according to the court, Energy+ does not fulfil the conditions for lawful comparative advertisement, since the advertisements do not make a clear distinction between the products of Tempur and the products of Energy+. The advertisements emphasize the qualities on which the reputation of the Tempur products is based (the quality and the pressure lowering effect of the mattresses). The public could therefore attribute the reputation of the Tempur products to the products of Energy+. The advantage resulting from this form of advertisement is unfair according to the court. Energy+ benefits without any financial compensation for the commercial effort that Tempur has made to create and maintain its reputation. In short, by using the AdWords “tempur” and “tempoer”, Energy+ infringes the trademark rights of Tempur.
In its judgment, the Hague court states a new requirement for comparative advertisement: a clear distinction of the compared products. This seems bad news for the so-called parity claims, such as “same quality as X, but 20% cheaper”. However, the ruling is very favourable for trademark owners who want to prevent others from using their trademark as AdWord. And for those who do not have a trademark to rely on; you may come a long way with an appeal to the strict rules of comparative advertisement.
Eva den Ouden en Daniël Haije
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office Emerald House Jozef Israëlskade 48-G Amsterdam, the Netherlands t +31 (0)20 - 305 3066 www.hoogenhaak.nl |
post PO Box 76780 1070 KB Amsterdam e info@hoogenhaak.nl f +31 (0)20 - 305 3069 chamber of commerce 34314579 |
Energy+ sells mattresses on the internet. Just like the well known TEMPUR products, these mattresses contain a specific viscoelastic material. To generate more traffic to their website, Energy+ uses the signs “tempur” and “tempoer” as AdWords. A Google search with these terms leads to several advertisements of Energy+ mattresses. According to Tempur this use constitutes infringement of its trademark TEMPUR.
This advertisement method is a form of comparative advertisement, according to the court of The Hague. Comparative advertisement is permitted under certain conditions. For example, comparative advertisement may not lead to “unfair advantage”. If Energy+ takes unfair advantage from the comparative advertisement, this will constitute a trademark infringement of the well known trademark TEMPUR. According to the court, the mere fact that a Google search with the AdWord “tempur” leads to an advertisement of Energy+, does not lead to unfair advantage. In other words, the use of a competitor’s trademark as AdWord is not necessarily prohibited.
Yet according to the court, Energy+ does not fulfil the conditions for lawful comparative advertisement, since the advertisements do not make a clear distinction between the products of Tempur and the products of Energy+. The advertisements emphasize the qualities on which the reputation of the Tempur products is based (the quality and the pressure lowering effect of the mattresses). The public could therefore attribute the reputation of the Tempur products to the products of Energy+. The advantage resulting from this form of advertisement is unfair according to the court. Energy+ benefits without any financial compensation for the commercial effort that Tempur has made to create and maintain its reputation. In short, by using the AdWords “tempur” and “tempoer”, Energy+ infringes the trademark rights of Tempur.
In its judgment, the Hague court states a new requirement for comparative advertisement: a clear distinction of the compared products. This seems bad news for the so-called parity claims, such as “same quality as X, but 20% cheaper”. However, the ruling is very favourable for trademark owners who want to prevent others from using their trademark as AdWord. And for those who do not have a trademark to rely on; you may come a long way with an appeal to the strict rules of comparative advertisement.
Eva den Ouden en Daniël Haije