Trademark Licensing Company Ltd & Anor v Leofelis SA

Trademark Licensing Company Ltd & Anor v Leofelis SA

The defendant has no real prospect of establishing that alleged sales in Belgium and the Netherlands justify termination, but may succeed at trial in establishing that claimants authorised sales by SIA and Punch in Leofelis Territories, potentially amounting to repudiatory breach. Conditional order for payment into court is appropriate to ensure seriousness of defence.

Parties
Claimant: The Trademark Licensing Company Limited; Claimant: Lonsdale Sports Limited; Defendant: Leofelis S.A.
Jurisdiction
England and Wales
Judgment Date
06 May 2010
Procedural Posture
Commercial / Summary Judgment Application
Outcome
Conditional order for payment into court; summary judgment refused on liability; damages to be assessed.
Legal Topics
Trade Mark Licensing, Repudiatory Breach, Summary Judgment, Conditional Order
Intellectual Property Contract Trade Mark Licensing Repudiatory Breach Summary Judgment Conditional Order

Case Brief

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Parties

The Trademark Licensing Company Limited

Claimant

Lonsdale Sports Limited

Claimant

Leofelis S.A.

Defendant

Procedural Posture

Commercial / Summary Judgment Application

Legal Issues

  1. 1 Whether the Licence Agreement was validly terminated by the claimants
  2. 2 Whether the defendant had grounds to terminate the Licence Agreement
  3. 3 Whether the defendant committed repudiatory breach by failing to pay royalties

Ratio Decidendi

The defendant has no real prospect of establishing that alleged sales in Belgium and the Netherlands justify termination, but may succeed at trial in establishing that claimants authorised sales by SIA and Punch in Leofelis Territories, potentially amounting to repudiatory breach. Conditional order for payment into court is appropriate to ensure seriousness of defence.

Court Disposition

Conditional order for payment into court; summary judgment refused on liability; damages to be assessed.

Orders

  • Defendant must pay €1,675,000 into court unless evidence shows order will stifle defence.
  • Application for summary judgment refused as to liability; damages to be assessed.