game tickets or any document pertaining to the National Lottery by OnLine. In addition the learned Judge
should have concluded
View Parallel Citation
the deception or confusion which is an essential element of the delict of passing off had not been shown. The
relief that depended on such proof was, therefore, unwarranted. The absence of any wellfounded criticism of
the manner and terms under which the Lottofun business was operated also puts paid to the order based
upon allegations that the modus operandi was contra bonos mores.
Page 486 of [2009] 4 All SA 470 (SCA)
[56] What remains to be considered is whether a contravention of section 57(2)(g) of the Lotteries Act was
proved. Did the Lottofun business directly or indirectly provide for "betting, wagering or gambling or any other
game of risk on the outcome of any lottery" (ie the Lotto game, in this case)? I think it is clear from the factual
findings that the essential nature of the business was the facilitation of the purchase of tickets, and thereby
doing for and on behalf of the Lottofun members what they were lawfully entitled to do for themselves. That
business did not even indirectly provide for betting etc on the outcome of the Lotto game. In this respect also
the relief should have been refused.
[57] In the result OnLine has been successful in all substantive aspects of the appeal. However, there remains
the question of the striking out order made in the court below which related not merely to substantial parts of
OnLine's affidavits in both applications but also to voluminous supporting documents. Although the leave to
appeal granted by this Court covered that order no submissions were addressed by counsel in that regard
and, indeed, OnLine did not seek to rely in the appeal on any portion of the impugned matter. Yet the record
prepared for the appeal unnecessarily included, by the agreement of the parties, all that matter. It would be
appropriate to penalise OnLine for the unnecessary costs and inconvenience which resulted. The costs order
in the appeal is accordingly tailored to meet that censure.
[58] The following order is made:
1.
The appeal succeeds with costs including those consequent upon the employment of two counsel save
that no costs shall be allowed in respect of the preparation and perusal of 40% of the record on appeal.
2.
The orders of the court a quo, other than the orders in the striking out applications, are set aside and
replaced by the following:
2.1
In case number 15574/04 the application is dismissed with costs including the costs of two
counsel.
2.2
In case number 21917/04 the following order is made:
2.2.1
The Registrar of Trade Marks is directed to rectify the Register of Trade Marks by the
expungement therefrom of registration number 91/020702/01 LOTTO in class 36 and
registration number 91/02702 LOTTO in class 41, both entered in the name of National
Lotteries Board, on the grounds that such entries wrongly remain on the Register within
the meaning of section 24(1) of the Trade Marks Act 194 of 1993.
View Parallel Citation
2.2.2
The first and second respondents are to pay the costs of the application including the
costs of two counsel.
(Harms DP, Brand, Ponnan JJA and Tshiqi AJA concurred in the judgment of Heher JA.)
For the appellant:
P Ginsburg SC and O Salmon SC instructed by Adams & Adams, Pretoria
For the respondent:
L Bowman SC and B Du Plessis instructed by Spoor & Fisher, Pretoria
Footnotes
1
2
3
4
5
A trade mark is registered as on the date of the lodging of the application for registration, which date is deemed for the
purposes of the Act to be the date of registration (s 29(1)). So also under the Trade Marks Act 62 of 1963 (s 37(1)).
In relation to its business name and domain addresses it seems to employ the style "Lottofun" or "lottofun".
With a reference to Andre P Brink's 1972 translation of Die Seemeeu, the play by Chekhov, first published in Russia in
1896. In the translator's introduction he refers to Act 4 of the drama "waar al die mense saam om 'n tafel sit en lotto
speel". In the translated text Arkadina says:
"As die lang herfsaande aanbreek, dan speel ons hier lotto. Kyk, dis 'n ou stel waarmee my ma nog gespeel het toe
ons klein was. Voel jy lus om 'n potjie saam te speel voor ete? Dis 'n vervelige speletjie, maar mens raak daaraan
gewoond. [Deel drie kaarte uit.]"
The stakes are then placed and numbers called out until Trigorin claims victory. In the English translations (of The
Seagull) available to me (The Oxford Chekhov (1967) and the Everyman edition (1937)) the word "lotto" is also used,
which leads one to assume that it probably appeared in the original Russian.
Cf Jeryl Lynn Trade Mark, above, at 504 in fine.
Eg Truck and Car Co Ltd v KarNTruck Auctions 1954 (4) SA 552 (A) [also reported at [1954] 4 All SA 354 (A) Ed]