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Home World Business

Traders argue over import of apparel

byghadia
14/11/2015
in World Business
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NUKU’ALOFA: Commercial retailing of Tonga’s Rugby Union and World Cup apparel caused an argument between two Nuku’alofa traders that ended up in the Nuku’alofa Supreme Court – when one tried to stop the other from importing and selling apparel.

However, the Chief Justice has discharged an initial order restraining a local broker and her agents from selling apparel that had the Tonga Rugby Union logo, Kukri brand name or IRB mark printed on it, on 8 October in a civil action brought by Leiola Group Ltd. He said the plaintiff’s case was not strong and the defendant had acted in good faith.

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Leiola, an importer, retailer and wholesaler in the duty free market, with one major retail store in Nuku’alofa, brought the action against defendant Cherrie ‘Aho, trading as Goshen Custom Broker, her agents, servants and employees.

Chief Justice O.G. Paulsen said Leiola’s main argument was that the apparel sold by the defendant was counterfeit because it was a copy of the Kukri design, infringing Kukri’s copyright. Kurki is presently the official manufacturer of the Tonga Rugby Football Union (TRFU) jerseys.

He said none of the apparel the defendant had sold or wishes to sell bears the Kukri brand. However, the plaintiff alleged the apparel is still counterfeit as copying the Kukri design.

“If this is so it is Kukri and not the plaintiff that has a right of action…the plaintiff has no proprietary interest in Kukri’s copyright and in fact no relationship with Kukri other than a a purchaser of its goods for resale. It has no goodwill derived from Kuri’s copyright, nor a right to sue on Kukri’s behalf.

“Similarly, the plaintiff has no proprietary interst in the logos of the IRB or the Rugby World Cup,” the Chief Justice said.

An agreement between TRFU and plaintiff created no more than contractual rights and obligations between those parties.

“By entering this agreement, Leiola does not attain any interest in the logo. The goodwill associated with the ‘Ikale Tahi logo clearly remain the property of TRFU and not the plaintiff,” Mr Justice Paulsen stated.

Leiola submitted that a written agreement dated August 30, 2011 granted them the exclusive license by TRFU Inc. to be its agent in Tonga selling its goods and apparel, including the uniform worn by the Tonga National Rugby Team at the 2015 Rugby World Cup, but also other items designed by its current and former contracted manufacturers.

The defendant challenged this action arguing that the apparel in dispute was manufactured and sold to a partnership with TRFU and with Angus Naupoto trading as Ultimate Traders.

Ultimate Traders had been appointed as the TRFU’s merchandising provider for the remainder of 2015 and an affidavit by an employee Hailame Minoneti said the design, pattern and logos shown of the jerseys sold by Ultimate Traders to the defendant were approved by the TRFU.

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