UNFAIR COMPETITION

• It is the passing off (or palming off) or attempting to pass off upon the public of the goods or business of
one person as the goods or business of another with the end and probable effect of deceiving the public.

Trademark Infringement Unfair Competition

Unauthorized use of a trademark. The passing off of one’s goods as those of another.
Fraudulent intent is unnecessary. Fraudulent intent is essential.
General Rule: Prior registration of the trademark is a Registration is not necessary.
prerequisite to the action.
Exception: Well-known marks

REMEDIES AND JURISDICTION

1. Administrative action
− IPO-BLA, concurrent with RTC-SCCs
2. Civil action
− RTC-SCC, concurrent with IPO-BLA
3. Criminal action
− Exclusive with RTC-SCC.
− 2-5 years of imprisonment
− Php 50,000–Php 200,000 in fine.

REMEDIES FOR TRADEMARK OWNER:

1. Recover damages based on the reasonable profit which the complaining party would have made or the
profit which the defendant actually made out of the infringement, or if it cannot be ascertained then the
court may award as damages a reasonable percentage based upon the amount if gross sales of the
defendant of the value of the services in connection with which the mark or trade name was used in the
infringement of the rights of the complaining party. In cases where the actual intent to mislead the public
or to defraud the complainant is shown, at the discretion of the court the damages may be doubled.

2. Seek injunction.
3. Seek the destruction of infringing materials without compensation of any sort of disposed outside of
commerce in such a manner as to avoid any harm caused to the right holder.

PROVISIONAL REMEDIES

1. Criminal search & seizure, civil search & seizure

2. The court may impound during the pendency of the action, sales invoices, and other documents
evidencing sales.
3. Preliminary injunction

PRIOR USER IN GOOD FAITH:

• A registered shall have no effect against any person who, in good faith, before the filing date or the priority
date, was using the mark for the purposes of his business or enterprise: Provided, that his right may only
be transferred or assigned together with his enterprise together with his enterprise or business or with
that part of his enterprise or business in which the mark is used.