6. Prosource International Inc. vs. Horphag Research Management SA, g.r. Nr. 180073, November 15,...

7/25/2019 6. Prosource International Inc. vs. Horphag Research Management SA, g.r. Nr. 180073, November 15, 2009

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THIRD DIVISION

PROSOURCE INTERNATIONAL, INC.,

Petitioner,

- versus -

HORPHAG RESEARCH

MANAGEMENT SA,

Respondent.

G.R. No. 180073

Present:

CORONA,J.,

Chairperson,

CHICO-NAZARIO,

VELASCO, JR.,

NACHURA, nd

PERAL!A,JJ.

Pro"u#$ted:

Nove"%er &', &(()

x------------------------------------------------------------------------------------x

DECISION

NACHURA, J.:

!*is is petition +or revie on certiorariunder Ru#e ' o+ t*e Ru#es o+ Court

seein$ to reverse nd set side t*e Court o+ Appe#s /CA0 1e2ision 345dted Ju#6

&7, &((7 nd Reso#ution3&5dted O2to%er 4', &((7 in CA-8.R. CV No. 97''. !*e

ssi#ed de2ision ++ir"ed t*e Re$ion# !ri# Court /R!C03;51e2ision35dted

Jnur6 4, &(( nd Order3'5

dted


2/10

Respondent Horp*$ Reser2*


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. !*e de+endnt 2orportion dis2ontinued t*e use o+ nd *d it*drn +ro" t*e

"ret t*e produ2ts under t*e n"e o+ PCO-8ENOLS s o+ June 4), &(((, it*its trde"r 2*n$ed +ro" PCO-8ENOLS to PCO-PLUS.

'. P#inti++ 2orportion sent de"nd #etter to t*e de+endnt dted (& June &(((.345

On Jnur6 4, &((, t*e R!C de2ided in +vor o+ respondent. It o%served t*t

P@CNO8ENOL nd PCO-8ENOLS *ve t*e s"e su++i? 8ENOL *i2* ppers

to %e "ere#6 des2riptive nd t*us open +or trde"r re$istrtion %6 2o"%inin$ it

it* ot*er ords. !*e tri# 2ourt, #ieise, 2on2#uded t*t t*e "rs, *en red,

sound si"i#r, nd t*us 2on+usin$#6 si"i#r espe2i##6 sin2e t*e6 %ot* re+er to +ood

supp#e"ents. !*e 2ourt dded t*t petitioners #i%i#it6 s not ne$ted %6 its 2t o+

pu##in$ out o+ t*e "ret t*e produ2ts %erin$ t*e uestioned "r sin2e t*e +2tre"ins t*t +ro" 4)) unti# June &(((, petitioner *d in+rin$ed respondents

produ2t %6 usin$ t*e trde"r PCO-8ENOLS. As respondent "ni+ested t*t it

s no #on$er interested in re2overin$ 2tu# d"$es, petitioner s "de to

nser on#6 +or ttorne6s +ees "ountin$ to P'(,(((.((.34'5or #2 o+ su++i2ient

+2tu# nd #e$# %sis, t*e 2ourt dis"issed petitioners 2ounter2#i". Petitioners

"otion +or re2onsidertion s #ieise denied.

On ppe# to t*e CA, petitioner +i#ed to o%tin +vor%#e de2ision. !*e ppe##te

2ourt e?p#ined t*t under t*e 1o"inn26 or t*e Ho#isti2 !est, PCO-8ENOLS is

de2eptive#6 si"i#r to P@CNO8ENOL. It #so +ound Bust nd euit%#e t*e rd

o+ ttorne6s +ees espe2i##6 sin2e respondent s 2o"pe##ed to #iti$te.345

Hen2e, t*is petition, ssi$nin$ t*e +o##oin$ errors:

I. !HA! !HE COUR! O APPEALS ERRE1 IN ARI


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!*e petition is it*out "erit.

It "ust %e re2##ed t*t respondent +i#ed 2o"p#int +or trde"r

in+rin$e"ent $inst petitioner +or t*e #tters use o+ t*e "r PCO-8ENOLS

*i2* t*e +or"er 2#i"ed to %e 2on+usin$#6 si"i#r to its trde"rP@CNO8ENOL. Petitioners use o+ t*e uestioned "r strted in 4)) nd ended

in June &(((. !*e instnt 2se s*ou#d t*us %e de2ided in #i$*t o+ t*e provisions o+

Repu%#i2 A2t /R.A.0 No. 43495+or t*e 2ts 2o""itted unti# 1e2e"%er ;4, 4))7,

nd R.A. No. 9&);34)5+or t*ose 2o""itted +ro" Jnur6 4, 4))9 unti# June 4),

&(((.

A trde"r is n6 distin2tive ord, n"e, s6"%o#, e"%#e", si$n, or devi2e,

or n6 2o"%intion t*ereo+, dopted nd used %6 "nu+2turer or "er2*nt on*is $oods to identi+6 nd distin$uis* t*e" +ro" t*ose "nu+2tured, so#d, or de#t

%6 ot*ers. Inr$u%#6, trde"r deserves prote2tion.3&(5

Se2tion && o+ R.A. No. 4, s "ended, nd Se2tion 4'' o+ R.A. No. 9&);

de+ine *t 2onstitutes trde"r in+rin$e"ent, s +o##os:

Se2. &&.Infringement, what constitutes. An6 person *o s*## use, it*out

t*e 2onsent o+ t*e re$istrnt, n6 reprodu2tion, 2ounter+eit, 2op6 or 2o#or%#e

i"ittion o+ n6 re$istered "r or trden"e in 2onne2tion it* t*e s#e,

o++erin$ +or s#e, or dvertisin$ o+ n6 $oods, %usiness or servi2es on or in2onne2tion it* *i2* su2* use is #ie#6 to 2use 2on+usion or "iste or to

de2eive pur2*sers or ot*ers s to t*e sour2e or ori$in o+ su2* $oods or servi2es,

or identit6 o+ su2* %usiness= or reprodu2e, 2ounter+eit, 2op6 o+ 2o#or%#6 i"itten6 su2* "r or trden"e nd pp#6 su2* reprodu2tion, 2ounter+eit, 2op6 or

2o#or%#e i"ittion to #%e#s, si$ns, prints, p2$es, rppers, re2ept2#es or

dvertise"ents intended to %e used upon or in 2onne2tion it* su2* $oods,%usiness, or servi2es, s*## %e #i%#e to 2ivi# 2tion %6 t*e re$istrnt +or n6 or ##

o+ t*e re"edies *erein provided.

Se2. 4''.Remedies; Infringement. An6 person *o s*##, it*out t*e

2onsent o+ t*e oner o+ t*e re$istered "r:

4''.4. Use in 2o""er2e n6 reprodu2tion, 2ounter+eit, 2op6, or 2o#or%#ei"ittion o+ re$istered "r or t*e s"e 2ontiner or do"innt +eture t*ereo+

in 2onne2tion it* t*e s#e, o++erin$ +or s#e, distri%ution, dvertisin$ o+ n6

$oods or servi2es in2#udin$ ot*er preprtor6 steps ne2essr6 to 2rr6 out t*e s#eo+ n6 $oods or servi2es on or in 2onne2tion it* *i2* su2* use is #ie#6 to

2use 2on+usion, or to 2use "iste, or to de2eive= or
http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn18http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn19http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn20http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn18http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn19http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn20


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4''.&. Reprodu2e, 2ounter+eit, 2op6 or 2o#or%#6 i"itte re$istered "r

or do"innt +eture t*ereo+ nd pp#6 su2* reprodu2tion, 2ounter+eit, 2op6 or2o#or%#e i"ittion to #%e#s, si$ns, prints, p2$es, rppers, re2ept2#es or

dvertise"ents intended to %e used in 2o""er2e upon or in 2onne2tion it* t*e

s#e, o++erin$ +or s#e, distri%ution, or dvertisin$ o+ $oods or servi2es on or in2onne2tion it* *i2* su2* use is #ie#6 to 2use 2on+usion, or to 2use "iste,

or to de2eive, s*## %e #i%#e in 2ivi# 2tion +or in+rin$e"ent %6 t*e re$istrnt +or

t*e re"edies *erein+ter set +ort*:Provided, !*t in+rin$e"ent tes p#2e t t*e"o"ent n6 o+ t*e 2ts stted in Su%se2tion 4''.4 or t*is su%se2tion re

2o""itted re$rd#ess o+ *et*er t*ere is 2tu# s#e o+ $oods or servi2es usin$ t*e

in+rin$in$ "teri#.

In 22ordn2e it* Se2tion && o+ R.A. No. 4, s e## s Se2tions &, &-A, )-A,

nd &( t*ereo+, t*e +o##oin$ 2onstitute t*e e#e"ents o+ trde"r in+rin$e"ent:

/0 A trde"r 2tu##6 used in 2o""er2e in t*e P*i#ippines nd re$istered in t*e

prin2ip# re$ister o+ t*e P*i#ippine Ptent O++i2e3=5

/%0 3It5 is used %6 not*er person in 2onne2tion it* t*e s#e, o++erin$ +or s#e, or

dvertisin$ o+ n6 $oods, %usiness or servi2es or in 2onne2tion it* *i2* su2*use is #ie#6 to 2use 2on+usion or "iste or to de2eive pur2*sers or ot*ers s to

t*e sour2e or ori$in o+ su2* $oods or servi2es, or identit6 o+ su2* %usiness= or

su2* trde"r is reprodu2ed, 2ounter+eited, 2opied or 2o#or%#6 i"itted %6not*er person nd su2* reprodu2tion, 2ounter+eit, 2op6 or 2o#or%#e i"ittion is

pp#ied to #%e#s, si$ns, prints, p2$es, rppers, re2ept2#es or dvertise"entsintended to %e used upon or in 2onne2tion it* su2* $oods, %usiness or servi2ess to #ie#6 2use 2on+usion or "iste or to de2eive pur2*sers3=5

/20 3!5*e trde"r is used +or identi2# or si"i#r $oods3=5 nd

/d0 3S5u2* 2t is done it*out t*e 2onsent o+ t*e trde"r re$istrnt or ssi$nee.3&45

On t*e ot*er *nd, t*e e#e"ents o+ in+rin$e"ent under R.A. No. 9&); re s

+o##os:

/40 !*e trde"r %ein$ in+rin$ed is re$istered in t*e Inte##e2tu# Propert6 O++i2e=

*oever, in in+rin$e"ent o+ trde n"e, t*e s"e need not %e re$istered=

/&0 !*e trde"r or trde n"e is reprodu2ed, 2ounter+eited, 2opied, or 2o#or%#6i"itted %6 t*e in+rin$er=
http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn21http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn21


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/;0 !*e in+rin$in$ "r or trde n"e is used in 2onne2tion it* t*e s#e, o++erin$ +or

s#e, or dvertisin$ o+ n6 $oods, %usiness or servi2es= or t*e in+rin$in$ "r or trde

n"e is pp#ied to #%e#s, si$ns, prints, p2$es, rppers, re2ept2#es ordvertise"ents intended to %e used upon or in 2onne2tion it* su2* $oods, %usiness

or servi2es=

/0 !*e use or pp#i2tion o+ t*e in+rin$in$ "r or trde n"e is #ie#6 to 2use

2on+usion or "iste or to de2eive pur2*sers or ot*ers s to t*e $oods or servi2es

t*e"se#ves or s to t*e sour2e or ori$in o+ su2* $oods or servi2es or t*e identit6 o+su2* %usiness= nd

/'0 It is it*out t*e 2onsent o+ t*e trde"r or trde n"e oner or t*e ssi$nee

t*ereo+.3&&5

In t*e +ore$oin$ enu"ertion, it is t*e e#e"ent o+ #ie#i*ood o+ 2on+usion

t*t is t*e $rv"en o+ trde"r in+rin$e"ent. Dut #ie#i*ood o+ 2on+usion is

re#tive 2on2ept. !*e prti2u#r, nd so"eti"es pe2u#ir, 2ir2u"stn2es o+ e2*

2se re deter"intive o+ its e?isten2e. !*us, in trde"r in+rin$e"ent 2ses,

pre2edents "ust %e ev#uted in t*e #i$*t o+ e2* prti2u#r 2se.3&;5

In deter"inin$ si"i#rit6 nd #ie#i*ood o+ 2on+usion, Burispruden2e *s

deve#oped to tests: t*e 1o"inn26 !est nd t*e Ho#isti2 or !ot#it6 !est. !*e

1o"inn26 !est +o2uses on t*e si"i#rit6 o+ t*e prev#ent +etures o+ t*e

2o"petin$ trde"rs t*t "i$*t 2use 2on+usion nd de2eption, t*us 2onstitutin$in+rin$e"ent.3&5I+ t*e 2o"petin$ trde"r 2ontins t*e "in, essenti# nd

do"innt +etures o+ not*er, nd 2on+usion or de2eption is #ie#6 to resu#t,

in+rin$e"ent tes p#2e. 1up#i2tion or i"ittion is not ne2essr6= nor is it

ne2essr6 t*t t*e in+rin$in$ #%e# s*ou#d su$$est n e++ort to i"itte. !*e uestion

is *et*er t*e use o+ t*e "rs invo#ved is #ie#6 to 2use 2on+usion or "iste in

t*e "ind o+ t*e pu%#i2 or to de2eive pur2*sers. 3&'5Courts i## 2onsider "ore t*e

ur# nd visu# i"pressions 2reted %6 t*e "rs in t*e pu%#i2 "ind, $ivin$ #itt#e

ei$*t to +2tors #ie pri2es, u#it6, s#es out#ets, nd "ret se$"ents.3&5

In 2ontrst, t*e Ho#isti2 !est enti#s 2onsidertion o+ t*e entiret6 o+ t*e

"rs s pp#ied to t*e produ2ts, in2#udin$ t*e #%e#s nd p2$in$, in

deter"inin$ 2on+usin$ si"i#rit6.3&75!*e dis2ernin$ e6e o+ t*e o%server "ust +o2us

not on#6 on t*e predo"innt ords %ut #so on t*e ot*er +etures pperin$ on %ot*
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#%e#s in order t*t t*e o%server "6 dr *is 2on2#usion *et*er one is

2on+usin$#6 si"i#r to t*e ot*er.3&95

!*e tri# nd ppe##te 2ourts pp#ied t*e 1o"inn26 !est in deter"inin$

*et*er t*ere s 2on+usin$ si"i#rit6 %eteen t*e "rs P@CNO8ENOL ndPCO-8ENOL. App#6in$ t*e test, t*e tri# 2ourt +ound, nd t*e CA ++ir"ed, t*t:

Dot* t*e ord3s5 P@CNO8ENOL nd PCO-8ENOLS *ve t*e s"e su++i?8ENOL *i2* on eviden2e, ppers to %e "ere#6 des2riptive nd +urnis* no

indi2tion o+ t*e ori$in o+ t*e rti2#e nd *en2e, open +or trde"r re$istrtion %6

t*e p#inti++ t*ru 2o"%intion it* not*er ord or p*rse su2* sP@CNO8ENOL, E?*i%its A to A-;. urt*er"ore, #t*ou$* t*e #etters @ %eteen

P nd C, N %eteen O nd C nd S +ter L re "issin$ in t*e 3petitioners5 "r

PCO-8ENOLS, nevert*e#ess, *en t*e to ords re pronoun2ed, t*e sound

e++e2ts re 2on+usin$#6 si"i#r not to "ention t*t t*e6 re %ot* des2ri%ed %6 t*eir"nu+2turers s +ood supp#e"ent nd t*us, identi+ied s su2* %6 t*eir pu%#i2

2onsu"ers. And #t*ou$* t*ere ere dissi"i#rities in t*e trde"r due to t*e

t6pe o+ #etters used s e## s t*e si>e, 2o#or nd desi$n e"p#o6ed on t*eirindividu# p2$esG%ott#es, sti## t*e 2#ose re#tions*ip o+ t*e 2o"petin$ produ2ts

n"e in sounds s t*e6 ere pronoun2ed, 2#er#6 indi2tes t*t pur2*sers 2ou#d

%e "is#ed into %e#ievin$ t*t t*e6 re t*e s"e ndGor ori$intes +ro" 2o""onsour2e nd "nu+2turer.3&)5

e +ind no 2o$ent reson to deprt +ro" su2* 2on2#usion.

!*is is not t*e +irst ti"e t*t t*e Court tes into 22ount t*e ur# e++e2ts o+

t*e ords nd #etters 2ontined in t*e "rs in deter"inin$ t*e issue o+ 2on+usin$

si"i#rit6. InMarvex Commercial Co., Inc. v. Petra Hawpia Co., et al.,3;(52ited

inMc!onalds Corporation v. ".C. #ig Ma$ #urger, Inc.,3;45t*e Court *e#d:

!*e +o##oin$ rndo" #ist o+ 2on+usin$#6 simil! so"#$sin t*e "tter o+

trde"rs, 2u##ed +ro" Ni"s, Un+ir Co"petition nd !rde


8/10

#almaceda, 7 P*i#. 7)' t*t t*e n"e Luso#in is n in+rin$e"ent o+ t*e

trde"r Spo#in, s t*e sound o+ t*e to n"es is #"ost t*e s"e.3;&5

in##6, e reiterte t*t t*e issue o+ trde"r in+rin$e"ent is +2tu#, it*

%ot* t*e tri# nd ppe##te 2ourts +indin$ t*e ##e$tions o+ in+rin$e"ent to %e"eritorious. As e *ve 2onsistent#6 *e#d, +2tu# deter"intions o+ t*e tri# 2ourt,

2on2urred in %6 t*e CA, re +in# nd %indin$ on t*is Court. 3;;5Hen2e, petitioner is

#i%#e +or trde"r in+rin$e"ent.

e, #ieise, sustin t*e rd o+ ttorne6s +ees in +vor

o+ respondent. Arti2#e &&(9 o+ t*e Civi# Code enu"ertes t*e instn2es *en

ttorne6s +ees re rded, vi'.:

Art. &&(9. In t*e %sen2e o+ stipu#tion, ttorne6s +ees nd e?penses o+#iti$tion, ot*er t*n Budi2i# 2osts, 2nnot %e re2overed, e?2ept:

4. *en e?e"p#r6 d"$es re rded=

&. *en t*e de+endnts 2t or o"ission *s 2o"pe##ed t*e p#inti++ to

#iti$te it* t*ird persons or to in2ur e?penses to prote2t *is interest=

;. In 2ri"in# 2ses o+ "#i2ious prose2ution $inst t*e p#inti++=

. In 2se o+ 2#er#6 un+ounded 2ivi# 2tion or pro2eedin$ $inst t*e

p#inti++=

'. *ere t*e de+endnt 2ted in $ross nd evident %d +it* in re+usin$ tostis+6 t*e p#inti++s p#in#6 v#id, Bust nd de"nd%#e 2#i"=

. In 2tions +or #e$# support=

7. In 2tions +or t*e re2over6 o+ $es o+ *ouse*o#d *e#pers, #%orers

nd si##ed orers=

9. In 2tions +or inde"nit6 under or"ens 2o"penstion nd

e"p#o6ers #i%i#it6 #s=

). In seprte 2ivi# 2tion to re2over 2ivi# #i%i#it6 risin$ +ro" 2ri"e=

4(. *en t #est dou%#e Budi2i# 2osts re rded=

44. In n6 ot*er 2se *ere t*e 2ourt dee"s it Bust nd euit%#e t*t

ttorne6s +ees nd e?penses o+ #iti$tion s*ou#d %e re2overed.
http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn32http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn33http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn32http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn33


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In ## 2ses, t*e ttorne6s +ees nd e?penses o+ #iti$tion "ust %e

reson%#e.

As ru#e, n rd o+ ttorne6s +ees s*ou#d %e de#eted *ere t*e rd o+

"or# nd e?e"p#r6 d"$es is not $rnted.3;5Nonet*e#ess, ttorne6s +ees "6

%e rded *ere t*e 2ourt dee"s it Bust nd euit%#e even i+ "or# nd

e?e"p#r6 d"$es re unvi#in$.3;'5In t*e instnt 2se, e +ind no reversi%#e

error in t*e $rnt o+ ttorne6s +ees %6 t*e CA.

%HERE&ORE, pre"ises 2onsidered, t*e petition is DENIED+or #2 o+

"erit. !*e Court o+ Appe#s 1e2ision dted Ju#6 &7, &((7 nd its Reso#ution dted

O2to%er 4', &((7 in CA-8.R. CV No. 97'' re A&&IRMED.

SO ORDERED.

ANTONIO EDUARDO '. NACHURA

Asso2ite Justi2e

%E CONCUR:

RENATO C. CORONA

Asso2ite Justi2e

C*irperson

MINITA V. CHICO(NA)ARIO

Asso2ite Justi2e

PRES'ITERO *. VELASCO, *R.

Asso2ite Justi2e
http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn34http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn35http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn34http://sc.judiciary.gov.ph/jurisprudence/2009/november2009/180073.htm#_ftn35


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DIOSDADO M. PERALTA

Asso2ite Justi2e

A T T E S T A T I O N

I ttest t*t t*e 2on2#usions in t*e %ove 1e2ision ere re2*ed in 2onsu#ttion

%e+ore t*e 2se s ssi$ned to t*e riter o+ t*e opinion o+ t*e Courts 1ivision.

RENATO C. CORONA

Asso2ite Justi2e

C*irperson, !*ird 1ivision

C E R T I & I C A T I O N

Pursunt to Se2tion 4;, Arti2#e VIII o+ t*e Constitution nd t*e 1ivision

C*irpersons Attesttion, I 2erti+6 t*t t*e 2on2#usions in t*e %ove 1e2ision *d

%een re2*ed in 2onsu#ttion %e+ore t*e 2se s ssi$ned to t*e riter o+ t*e

opinion o+ t*e Courts 1ivision.

RE+NATO S. PUNO

C*ie+ Justi2e

.

6. Prosource International Inc. vs. Horphag Research Management SA, g.r. Nr. 180073, November 15,...

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Transcript of 6. Prosource International Inc. vs. Horphag Research Management SA, g.r. Nr. 180073, November 15,...