Friday, July 15, 2016
Prada's Indonesia dispute escalates
Indonesian apparel company PT Manggala Putra Perkasa has quite an array of businesses. They own trademarks including a large number of POLO and RALPH LAUREN brands and logos. They also have a number of BEVERLY HILLS POLO CLUB marks and also PRADA marks. They operate a large number of clothing lines under these brands such as the shop pictured.
At present, they are in the middle of a longstanding trade mark dispute with Prada S.A. Prada filed a cancellation action against PT. Manggala Putra Perkasa's registrations for the PRADA mark in class 18 and 25 on the basis that Manggala's marks are similar with Prada's well-known mark. Prada won, but an appeal is pending.
Concurrently, PT. Manggala Putra Perkasa sent warning letters to Prada S.A's distributors in Indonesia and also reported the distributors to Directorate of Investigation and Disputes at the Indonesian IP office. They claimed the distributors' activities to import and distribute products bearing the (genuine) PRADA mark have resulted in damage amounting to IDR 51.4 billion.
This is one of a number of entrenched trademark piracy cases, where local companies have built large successful business based on early registration of foreign marks. This dispute shows that where there is a large successful business behind a pirate mark that IP holders should expect the defendant to fight back.