SC backs Elars Lechon in intellectual property case

The Supreme Court (SC) has ruled in favor of roasted pig seller Elars Lechon after a competitor was found to have violated its intellectual property rights.

In a ruling dated February 17, the SC First Division dismissed the petition filed by Emzee Foods, Inc., which questioned the Court of Appeals’ 2015 decision holding the company liable for unfair competition for using the name “Elarz Lechon” for its business.

The SC also directed Emzee Foods not to use “Elarz Lechon,” “Elar Lechon,” “pig device,” and “on a bamboo tray” on its products, and to pay exemplary damages and attorney’s fees.

“It is very obvious that the petitioner’s marks ‘Elarz Lechon’ and ‘Elar Lechon’ bear an indubitable likeness with respondent’s ‘Elars Lechon.’ As can easily be seen, both marks use the essential and dominant word ‘ELAR.’ The only difference between the petitioner's mark from that of respondent's are the last letters Z  and S, respectively,” the SC said.

“However, the letters Z and S sound similar when pronounced. Thus, both marks are not only visually similar, but are phonetically and aurally similar as well.”

The Court said the “uncanny resemblance” between the two marks might even lead consumers to believe that Elars Lechon and Elarz Lechon are the same entity.

According to the SC, the officers of Emzee Foods acted in bad faith considering that its president and incorporators were former employees of Elars Lechon.

“They clearly had knowledge that the subject trademarks belong to the respondent and have been consistently and continuously used by the latter since 1989,” the decision read.

“In fine, petitioner's use of marks similar to those of the respondent's constitutes a violation of the latter's intellectual property rights.”

Associate Justice Samuel Gaerlan penned the decision, which was concurred in by then Chief Justice Diosdado Peralta and Justices Alfredo Benjamin Caguioa, Rosmari Carandang, and Rodil Zalameda.—AOL, GMA News