Passing off and genuine use—inconsistency overturns a factual finding (Athleta v SGD)
IP analysis: The Court of Appeal held that the judge’s finding that the appellant had no goodwill associated with one of its signs—‘the ATHLETA Dark Pinwheel’, was rationally insupportable having regard to his other findings. This was against a background of findings on a revocation for non-use challenge to a mark (labelled ‘the ATHLETA Combination Mark’) which failed because genuine use was shown and, when the judge below reviewed the evidence, he took use of the ATHLETA Dark Pinwheel to be use of the ATHLETA Combination Mark. The appellant had made over £1.1m in sales to John Lewis of Athleta-branded products and there was photographic evidence of the clothing in the stores, including conspicuous use of the ATHLETA Dark Pinwheel. However, when it came to goodwill, the judge found none associated with that sign. The Court of Appeal allowed the appeal against that finding. Written by Michael Smith, barrister at Three Stone Chambers.