Title
Source: Supreme Court
Kolin Electronics Co., Inc. vs. Kolin Philippines International, Inc.
Case
G.R. No. 226444
Decision Date
Jul 6, 2021
Kolin Electronics Co., Inc. (KECI) prevailed in a trademark dispute against Kolin Philippines International, Inc. (KPII) over the "KOLIN" mark, as the Supreme Court ruled KPII's application caused confusion, was filed in bad faith, and infringed KECI's prior rights.

Case Summary (G.R. No. 226444)

Prior Trademark Disputes

KECI and TKC previously litigated three applications involving KOLIN and KOLIN variants, resulting in:
• Final determination of KECI’s ownership of KOLIN (Class 9) under the old Trademark Law (2006)
• Registration of TKC’s KOLIN mark for televisions and DVD players (2015) after reversal of CA decision
• En banc SC decision reaffirming KECI’s exclusive rights against KPII’s similar Class 9 application

Present Opposition

KECI opposed KPII’s Class 35 application on grounds that registration would damage KECI by:
• Causing likelihood of confusion with KOLIN (Class 9) and KOLIN (Class 35)
• Being identical to KECI’s trade name (“KOLIN ELECTRONICS CO., INC.”)
• Curtailing KECI’s prior ownership of KOLIN (Class 9)

Procedural History

• BLA (2007): Rejected KPII’s application, finding confusion likely under Class 9 comparison
• ODG (2013): Dismissed KPII’s appeal citing CA’s ruling in related TKC case
• CA Thirteenth Division (2016): Granted KPII’s Rule 43 petition, applying the Taiwan Kolin case to allow KOLIN (Class 35) registration
• SC Rule 45 Petition (2021): KECI challenged CA’s reliance on a non-identical precedent and failure to consider damage aspects

Issues

  1. Whether stare decisis compels application of the Taiwan Kolin case
  2. Whether KPII’s registration would damage KECI

Applicability of Stare Decisis

The Court held that stare decisis applies only to identical legal issues and highly similar facts. The Taiwan Kolin case (Class 9 vs. DVD players) involved different mark coverage, employed the disfavored holistic test, and predated KECI’s Class 35 registration. Thus, CA’s wholesale adoption of that precedent was erroneous.

Likelihood of Confusion with KOLIN (Class 9)

Applying the multifactor test (1987 Constitution; IP Code; IPR Rules):
• Resemblance: Under the dominancy test, KOLIN and KOLIN (stylized) are visually, phonetically, and conceptually identical as word marks
• Relatedness: KECI’s electronic accessories and KPII’s services involving sales of tele­visions and other appliances are legally related and complementary, creating confusion of business
• Sophistication: Even discriminating buyers may mistake the common “KOLIN” brand across related goods and services
• Strength: KOLIN is a fanciful mark; high distinctiveness means appropriation by another triggers confusion
• Bad Faith: KPII, managed by TKC, filed immediately after KECI’s prior decisions and knew of KECI’s rights; authorization from TKC did not authorize KPII to preempt KECI’s mark

Likelihood of Confusion with KOLIN (Class 35)

A presumption of confusion arises when identical marks cover identical services. Both registrations use “KOLIN” for “manufacturing, importing, assembling, or selling electronic equipment,” mandating rejection.

Identity with Trade Name

Trade names require no registration for protection under S

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