mark when dealing with the issues in terms of section 34(1)(c) of the Act.
The respondents rely on the following affidavit evidence for this part of their case:
"Taking account of the fact that for some 20 years the first respondent's Augmentin product has been the only one on
the market having a unique entirely distinctive novel shape, in conjunction with the fact that no antibiotics bear a
name commencing with the prefix Aug, and having regard to the other similarities between the marks, it is inevitable
that, even if deception and confusion is not caused between the products, the actions of the Applicant will take unfair
advantage of or be detrimental to the distinctive character of the First Respondent's two abovementioned registered
trade marks . . . It is beyond question that these marks are both well known in the relevant sector in the Republic of
South Africa."
Respondents also place reliance on the evidence regarding the market survey to which I have already referred
hereinbefore. In this regard I refer to my previous decision regarding that issue.
Although the applicant does not dispute that the Augmentin trade mark is wellknown the other allegations
made and conclusions drawn by respondents are disputed. According to applicant it is taking advantage of the
distinctive character and reputation of its Maxcil trade mark and
View Parallel Citation
is not in any way taking unfair advantage of either of the first respondent's registered trade marks. The applicant
does dispute that the first respondent's shape trade mark is wellknown and contends that the first respondent's
product has been manufactured and sold solely with reference to the Augmentin word trade mark. The shape of the
tablet concerned has no trade mark significance whatsoever and is not a wellknown trade mark.
The meaning of "wellknown", so I have been informed by counsel and to the best of my knowledge, has not
been considered in the context of section 34(1)(c) of the Act but has been dealt with by the Appellate Division in the
context of section 35 of the Act. In McDonald's Corporation v Joburgers DriveIn Restaurant (Pty) Ltd and another
1997 (1) SA 1 (A) at 19F et seq it was held that "wellknown" in the context of section 35 of the Act means a
reputation such as that required for the common law of passing off. Such reputation must extend to a substantial
number of members of the public or persons in the trade in question. In my view the interpretation given to the
expression in the context of section 35 of the Act in the McDonald case (supra) could appropriately be applied to the
interpretation of "wellknown in the Republic" as this expression
Page 155 of [2001] 2 All SA 126 (T)
appears in section 34(1)(c) of the Act. (See Minister of the Interior v Machadodorp Investments (Pty) Ltd and another
1957 (2) SA 395 (A) at 404DE).
Section 34(1)(c) of the Act is in terms similar to the provisions of section 10(3) of the 1994 United Kingdom Act
which in turn was based on the provisions of article 5(2) of the European Directive. The purpose of article 5(2) was
expressed to be the provision of "extensive protection to those trademarks which have a reputation" (see Premier
Brands UK Ltd v Typhoon Europe Ltd and another [2000] All ER (D) 52 at 12). Section 10(3) of the United Kingdom Act
is, however, different in certain respects from section 34(1)(c) of the Act and there has been a suggestion that the
corresponding section of the United Kingdom Act requires the ingredient of a likelihood of confusion on the part of
the public which is expressly stated not to be a requirement of section 34(1)(c) of the Act. (See: Baywatch Production
Co Inc v The Home Video Channel [1997] FSR 22 (ChD) at 30. Notwithstanding these differences the United Kingdom
authorities are helpful in determining what is meant by "to take unfair advantage of, or being detrimental to, the
distinctive character or the repute of the registered trade mark".
Section 34(1)(c) of the Act deals with the socalled dilution of a trade mark which has been described in terms of
blurring and tarnishment of a trade mark. (See: Webster and Page (supra) paragraph 12.24 at l242 to 1246 and
paragraph 12.28 at 1253 to 1255).
In the Premier Brand case (supra) reference was made to the judgment of the German Federal Supreme Court in
the case of Dimple (1985) GRUR 550 in which the following remarks were made appropriate to the concept of "to
take an unfair advantage":
"The courts have repeatedly held that it constitutes an act of unfair competition to associate the quality of one's goods
or services with that of prestigious competitive products for the purpose of exploiting the good reputation of a
competitor's goods or services in order to enhance one's promotional efforts."
Also in the Premier Brands case (supra) reference was made to a judgment
View Parallel Citation
of the German Federal Supreme Court in the case of Quick [1959] GRUR 182 in relation to the question of what is
detrimental to a well established mark:
"The owner of . . . a distinctive mark has a legitimate interest in continuing to maintain the position of exclusivity he
acquired through large expenditures of time and money and that everything which could impair the originality and
distinctive character of his distinctive mark, as well as the advertising effectiveness derived from its uniqueness, is to
be avoided . . . Its basic purpose is not to prevent any form of confusion but to protect an acquired asset against
impairment."
As set out above the concept of "dilution" has also been spoken of as "blurring" or "tarnishing". Blurring occurs
where the distinctiveness of a mark is eroded. (See Taitinger SA v Allban BEP Ltd [1993] FSR 641 at 678.) Tarnishing