Societe Des Produits Nestle, S.A. v. Puregold Price Club G.R. No. 217194. September 6, 2017 Carpio, Acting C.J

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Societe des Produits Nestle, S.A. v.

Puregold Price Club


G.R. No. 217194. September 6, 2017
Carpio, Acting C.J

FACTS:
Respondent Puregold Price Club, Inc., filed an application for the registration of trademark
“COFFEE MATCH” with the Intellectual Property Office (IPO) for the use of coffee, tea, cocoa,
sugar, artificial coffee etc. The application was opposed by petitioner Societe des Produits
Nestle, S.A. (Nestle), alleging that it is the exclusive owner of the "COFFEE-MATE" trademark
and that there is confusing similarity between the "COFFEE-MATE" trademark and "COFFEE
MATCH" application. Nestle claimed that the use of "COFFEE MATCH" would indicate a
connection with the goods covered in their "COFFEE-MATE" mark due of its distinct similarity
and would likely mislead the public that the mark originated from them.
The Bureau of Legal Affairs-Intellectual Property Office (BLA-IPO) dismissed the opposition and
ruled that the word "COFFEE" as a mark is not unique or highly distinctive and that the last two
in Puregold's mark rendered a visual and aural character that makes it easily distinguishable
from Nestle's mark. Nestle filed an appeal with the Office of the Director General of the
Intellectual Property Office (ODG-IPO) but it was dismissed on the ground that the competing
marks are not confusingly similar and that consumers would unlikely be deceived or confused
from Puregold's use of "COFFEE MATCH." It held that the common feature of "coffee" between
the two marks cannot be exclusively appropriated since it is generic or descriptive of the goods
in question and that there is no visual, phonetic, or conceptual similarity between the two marks.
The Court of Appeals dismissed Nestle's petition for review on procedural grounds.

ISSUE:
May Puregold’s "COFFEE MATCH" be registered?

RULING:
Yes. Puregold’s mark has a visual and aural character that makes it easily distinguishable from
Nestle's mark.
The Court ruled that the gravamen of trademark infringement is the likelihood of confusion.
There is no absolute standard for the likelihood of confusion. In determining similarity or
likelihood of confusion, jurisprudence has developed two tests: the dominancy test and the
holistic test. The dominancy test focuses on the similarity of the prevalent features of the
competing trademarks that might cause confusion and deception. If the competing trademark
contains the main, essential, and dominant features of another, and confusion or deception is
likely to result, likelihood of confusion exists. The question is whether the use of the marks
involved is likely to cause confusion or mistake in the mind of the public or to deceive
consumers
In this case, while both "-MATE" and "MATCH" contain the same first three letters, the last two
letters in Puregold's mark, "C" and "H," rendered a visual and aural character that made it easily
distinguishable from Nestle's mark. Also, the distinctiveness of Puregold's mark with two
separate words with capital letters "C" and "M" made it distinguishable from Nestle's mark which
is one word with a hyphenated small letter "-m" in its mark. In addition, there is a phonetic
difference in pronunciation between Nestle's "-MATE" and Puregold's "MATCH." As a result, the
eyes and ears of the consumer would not mistake Nestle's product for Puregold's product.
Therefore, the likelihood of confusion between Nestle's product and Puregold's product does not
exist and upholds the registration of Puregold's mark.

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