German sporting goods retailer Adidas has to cover the sign of its Terrex store in Vancouver. The Supreme Court decided this on Tuesday following an injunction from rival Canadian sportswear manufacturer Arc’teryx.
Arc’teryx’s parent company, Amer Sports Canada, filed a lawsuit against Adidas’ outerwear brand last year. She would “cause confusion among consumers” with her store on West 4th Avenue, a busy shopping street in the Canadian city. The brand opened its doors in January 2023 a few blocks from Arc’teryx. Both stores specialize in outdoor products.
Court: ‘Similarity unmistakable’
Terrex’s ‘Performance Bars’ – three distinctive stripes in a triangle shape – are too similar to the letter ‘A’ in the Arc’teryx logo, says the court filing, posted on the Courts of British Columbia website. “When you place an image of the ‘Performance Bars’ and the Terrex trademark next to an image of the Arc’teryx trademark, the similarity between the two and the likelihood of confusion are unmistakable,” one judge ruled. Since Adidas does not have a proper registration for the trademark in Canada, the logo must now be covered.
“Adidas knew full well that it did not have an international ‘Class 35’ trademark registration for its brand when it opened its new store, used the Performance Bars/Terrex combination as its store banner and specifically chose to use the ‘Adidas’ trademark in it “Not using the store banner even though the store was on the same block, just a few doors down from the Arc’Teryx store,” the judge wrote in the filing.
Arc’teryx presented evidence to the court from private investigators that showed Terrex store personnel admitted that at least 100 people entered the store believing it was an Arc’teryx store. The brand claims it suffered damages as a result of the “infringement.” However, this must first be proven before there is the possibility of receiving a sum of money. Adidas has denied all allegations of infringement. If a trademark registration for Terrex is approved, the ban on the sign could be lifted.
This article originally appeared on FashionUnited.nl. Translated and edited by Heide Halama.