Proceedings in the case between the Essen Production AG Company (hereinafter – “Essen”), owned by Leonid Baryshev and Vadim Makheev against the Kazan Oil and Fat Plant (hereinafter –“Kazan Plant” or “KFP”) about the infringement of rights for a well-known trademark “Майонез Махеев” (Mayonnaise Makheev) started in the year 2010.
In 2012, on the grounds of a statement made by Essen, the Federal Antimonopoly Service fined the Kazan Plant for 250,000 rubles for unfair competition.
In both cases, the reason for such actions was that in production of its own products, KFP used a design similar to that of the “Makheev”: same background, a red inscription and a twisted letter “M”, tapering to the center.
Having achieved a suitable decision, in 2015 the representatives of Essen submitted an application to the Arbitration Court of the Republic of Tatarstan in order to collect compensation amounting to 1.5 billion rubles. And as if that wasn’t bad enough, the fact of infringement was established by the FAS, and KFP stopped using “controversial products”, and the amount of compensation was justified by the documents for the shipment of “Mayonnaise Maheev” goods in 2010-2012, but the Arbitration Court of the Republic regected Essen’s claims, pointing out that the company had missed a three-year statute of limitations for recovering compensation.
Essen learned about the violation of its rights in 2010 whilst appealing to the Arbitration Court of the Samara region, and filed an application for recovery of compensation in 2015.
CONCLUSION: Even if a fact of violation of your rights is established by the court and you have all the documentary justification for the amount of compensation, you should also take care to recover it in due time.