Swatch Group achieved a significant victory in a landmark trademark case against Samsung in the UK. Last year, Mrs Justice Falk ruled that Samsung had violated trademarks owned by several renowned Swiss watch brands of the Swatch Group, including Omega, Tissot, Longines, and Swatch. Today, the Court of Appeal in London, in a case expected to have a profound impact on internet trademark law, decisively dismissed Samsung’s appeal, with Lord Justice Arnold, Lord Justice Lewison, and Lady Justice Elisabeth Laing upholding the trial judge’s verdict.
The Appeal Court affirmed that specific downloadable “watch face” apps accessible on Samsung’s Galaxy App store, installable onto its smartwatches, constituted trademark infringement against Swatch Group companies. The infringed trademarks encompassed well-known names in Swiss watchmaking such as Breguet, Blancpain, Jacquet Droz, Glashütte Original, Omega, Longines, Tissot, Hamilton, Mido, and Swatch.
The case’s most far-reaching impact is likely to stem from its handling of the “e-Commerce Directive” defenses. Samsung contended that it had a defense against damages because third-party developers supplied the watch face apps through its Galaxy App store. However, the judge at trial rejected Samsung’s “mere hosting” defense under Article 14 of the E-Commerce Directive, emphasizing the knowledge test. The Court of Appeal further ruled that Samsung could not rely on Article 14 at all, deeming Samsung’s use of the disputed signs as active, demonstrating knowledge and control over the content. This ruling emphasized that Samsung’s actions were not merely technical, automatic, or passive, and thus not within the scope of Article 14(1).
Mireille Koenig, Swatch Group co-Chief Legal Officer (CLO) and member of the Extended Group Management Board, expressed satisfaction with the judgment. She stated, “Swatch Group is pleased with the judgment, which looked at a new form of trade mark infringement in the digital age, and the liability of online providers such as Samsung’s Galaxy Store. The Court reached the right result, protecting the exclusivity and value of our iconic watch brands.”
For more information, please visit SwatchGroup.com.