AQUA CONCEPTS LTD AND OTHERS v. HONG KONG RESORT CO. LTD AND ANOTHER

AQUA CONCEPTS LTD AND OTHERS v. HONG KONG RESORT CO. LTD AND ANOTHER

There is a serious question to be tried that the defendants' use of the two names may constitute a misrepresentation likely to cause dilution of the plaintiffs' goodwill; damages would be an inadequate remedy for harm to that goodwill; although the plaintiffs delayed, the delay was not fatal; accordingly interlocutory relief restraining the defendants from using the two names should be granted, subject to limited exclusions and costs rules.

Citation
AQUA CONCEPTS LTD AND OTHERS v. HONG KONG RESORT CO. LTD AND ANOTHER
Parties
1st Plaintiff: Aqua Concepts Limited; 2nd Plaintiff: Water Margin Limited (formerly Smarter Profit Limited); 3rd Plaintiff: Shui Hu Ju Limited; 1st Defendant: Hong Kong Resort Co., Limited; 2nd Defendant: HKR International Limited
Court
Court of First Instance
Jurisdiction
Hong Kong
Judgment Date
31 March 2008
Case Number
HCA1658/2007
Procedural Posture
Passing Off / Trade Goodwill Dispute / Interlocutory Application — Decision on Interlocutory Injunction
Outcome
Interlocutory injunction granted restraining defendants from using the two names; costs ordered nisi for plaintiffs' costs in the cause; affiliated or associated companies not included in the injunction.
Legal Topics
Passing Off, Goodwill, Interlocutory Injunction, Confusion, Dilution, Delay (laches)
Source Language
EN
Intellectual Property Civil Litigation Trade Mark Law Passing Off Goodwill Interlocutory Injunction Confusion Dilution +1 more

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Parties

Aqua Concepts Limited

1st Plaintiff

Water Margin Limited (formerly Smarter Profit Limited)

2nd Plaintiff

Shui Hu Ju Limited

3rd Plaintiff

Hong Kong Resort Co., Limited

1st Defendant

HKR International Limited

2nd Defendant

Procedural Posture

Passing Off / Trade Goodwill Dispute / Interlocutory Application — Decision on Interlocutory Injunction

Legal Issues

  1. 1 Whether plaintiffs possess sufficient goodwill in the names at issue
  2. 2 Whether defendants' use of the names amounts to a misrepresentation likely to cause confusion
  3. 3 Whether plaintiffs will suffer damage to goodwill or irreparable harm

Ratio Decidendi

There is a serious question to be tried that the defendants' use of the two names may constitute a misrepresentation likely to cause dilution of the plaintiffs' goodwill; damages would be an inadequate remedy for harm to that goodwill; although the plaintiffs delayed, the delay was not fatal; accordingly interlocutory relief restraining the defendants from using the two names should be granted, subject to limited exclusions and costs rules.

Court Disposition

Interlocutory injunction granted restraining defendants from using the two names; costs ordered nisi for plaintiffs' costs in the cause; affiliated or associated companies not included in the injunction.

Orders

  • Interlocutory injunction restraining the 1st and 2nd defendants from using the two names adopted for the dining hub (English name 'Water Margin' and its corresponding Chinese name used by the defendants)
  • Affiliated or associated companies of the defendants are excluded from the injunction