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The regulations are designed to inform consumers in a more graphic, and<br />

perhaps confronting, manner <strong>of</strong> the health risks associated with smoking and<br />

provide them with contact details as to where they can obtain assistance to<br />

stop smoking. Failure to adhere to the regulations means that a tobacco<br />

manufacturer or importer will contravene s65D (1) <strong>of</strong> the Trade Practices Act<br />

1974 and be guilty <strong>of</strong> a criminal <strong>of</strong>fence.<br />

3. Case note: Royal Doulton (UK) Ltd v Ghosen [2004] ATMO 32<br />

Topic: Trade Marks and Brand Extension<br />

Where: Australia<br />

When: June 2004<br />

What Happened: Brand extension occurs when a well established, familiar brand name is used<br />

for new goods or services, sometimes unrelated to the goods or services<br />

originally sold under the brand. It provides an approach to leveraging<br />

existing consumer perceptions <strong>of</strong> brands to a new product category, thus<br />

reducing the risk and cost <strong>of</strong> entering that new category. It is also<br />

increasingly relevant in the context <strong>of</strong> trade mark oppositions under s.60 <strong>of</strong><br />

the Trade Marks Act 1995. S.60 states:<br />

The registration <strong>of</strong> a trade mark in respect <strong>of</strong> particular goods or services may be<br />

opposed on the ground that:<br />

(a) it is substantially identical with, or deceptively similar to, a trade mark that,<br />

before the priority date for the registration <strong>of</strong> the first-mentioned trade mark in<br />

respect <strong>of</strong> those goods or services, had acquired a reputation in Australia; and<br />

(b) because <strong>of</strong> the reputation <strong>of</strong> that other trade mark, the use <strong>of</strong> the<br />

first-mentioned trade mark would be likely to deceive or cause confusion.<br />

Royal Doulton (UK) Ltd (Opponent) is the owner in Australia <strong>of</strong> the trade<br />

mark Royal Doulton for ceramic tableware, figurines, vases, glassware and<br />

other goods for the home. At the time <strong>of</strong> the above decision, it did not have<br />

the trade mark registered for eyewear nor was there any evidence that it had<br />

sold those goods under the trade mark in Australia. However, it successfully<br />

opposed the registration <strong>of</strong> the trade mark by Anthony Ghosen (Applicant)<br />

in respect <strong>of</strong> eyewear under s60.<br />

The delegate <strong>of</strong> the Registrar <strong>of</strong> Trade Marks (Delegate) was satisfied that the<br />

words ROYAL DOULTON were only associated with the Opponent and that<br />

the Opponent used and licensed the trade mark for a range <strong>of</strong> goods in<br />

Australia (though not for eyewear) and elsewhere. He referred to the<br />

“common commercial phenomenon” <strong>of</strong> brand extension and found that “the<br />

public is well used to the licensing <strong>of</strong> trade marks such as that <strong>of</strong> the<br />

Opponent on a range <strong>of</strong> goods.” The fact that the Opponent had in fact sold<br />

eyewear in the United States under the trade mark was support for the fact<br />

that members <strong>of</strong> the Australian public might expect the Opponent to extend<br />

its mark into the eyewear range.<br />

The Delegate was satisfied that there was a real and tangible chance that a<br />

substantial number <strong>of</strong> persons finding the ROYAL DOULTON mark on the<br />

Applicant’s goods would be confused or deceived. The s60 ground <strong>of</strong><br />

opposition was therefore made out.<br />

Comments: Even when on the face <strong>of</strong> it a product may seem like an unlikely brand<br />

extension, a strong reputation in a number <strong>of</strong> products will increase the<br />

likelihood <strong>of</strong> a successful opposition under s.60 <strong>of</strong> the Trade Marks Act.

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