Future Enterprises v McDonald's: Trade Mark Dispute over 'MacCoffee' and 'McCAFÉ'

Future Enterprises Pte Ltd appealed against the decision to allow McDonald's Corporation's opposition to the registration of the trade mark “MacCoffee”. The Court of Appeal of Singapore, on 28 March 2007, dismissed the appeal, agreeing with the lower court's findings that the “MacCoffee” mark was similar to the “McCAFÉ” mark and that there was a likelihood of confusion among the public. The court also rejected Future Enterprises' argument that its prior unregistered right to the “MacCoffee” mark should restrict McDonald's rights.

1. Case Overview

1.1 Court

Court of Appeal of the Republic of Singapore

1.2 Outcome

Appeal dismissed with costs.

1.3 Case Type

Intellectual Property

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Future Enterprises' 'MacCoffee' trade mark application opposed by McDonald's, owner of 'McCAFÉ'. Court dismisses appeal, finding similarity and likelihood of confusion.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Future Enterprises Pte LtdAppellantCorporationAppeal DismissedLost
McDonald's CorpRespondentCorporationOpposition UpheldWon

3. Judges

Judge NameTitleDelivered Judgment
Chan Sek KeongChief JusticeYes
Andrew Phang Boon LeongJustice of the Court of AppealNo
Tan Lee MengJudgeNo

4. Counsels

4. Facts

  1. Future Enterprises applied to register “MacCoffee” as a trade mark in Class 30.
  2. McDonald's opposed the application based on its prior registration of “McCAFÉ” in Class 30.
  3. Future Enterprises restricted the class of goods to “instant coffee mix”.
  4. McDonald's had not used the “McCAFÉ” mark in relation to Class 30 goods.
  5. Future Enterprises was already the registered proprietor of the “MacCoffee and eagle device” for goods in Class 30.
  6. Future Enterprises had used the composite mark to market its instant coffee mix, principally abroad.
  7. Future Enterprises argued it had prior unregistered rights to the “MacCoffee” mark.

5. Formal Citations

  1. Future Enterprises Pte Ltd v McDonald's Corp, CA 73/2006, [2007] SGCA 18

6. Timeline

DateEvent
Future Enterprises Pte Ltd applied to register the trade mark “MacCoffee” in Class 30.
The word mark was accepted for registration and advertised.
McDonald’s Corporation filed an opposition to the application based on its prior registration of the trade mark “McCAFÉ”.
The Principal Assistant Registrar of Trade Marks upheld the opposition.
Tay Yong Kwang J dismissed Future Enterprises Pte Ltd’s appeal.
Court of Appeal dismissed the appeal.

7. Legal Issues

  1. Trade Mark Similarity
    • Outcome: The court found sufficient visual, aural, and conceptual similarities between the “MacCoffee” and “McCAFÉ” marks.
    • Category: Substantive
    • Sub-Issues:
      • Visual Similarity
      • Aural Similarity
      • Conceptual Similarity
  2. Likelihood of Confusion
    • Outcome: The court agreed with the lower court's finding that there was a likelihood of confusion on the part of the public.
    • Category: Substantive
  3. Prior Unregistered Rights
    • Outcome: The court rejected the argument that Future Enterprises' prior unregistered right to the “MacCoffee” mark should restrict McDonald's rights.
    • Category: Substantive

8. Remedies Sought

  1. Registration of Trade Mark

9. Cause of Actions

  • Trade Mark Opposition

10. Practice Areas

  • Trade Mark Registration
  • Trade Mark Opposition

11. Industries

  • Food and Beverage

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Reef Trade MarkUK Trade Mark RegistryYes[2003] RPC 5United KingdomCited for the principle that an appellate court should show reluctance to interfere with findings of fact in trade mark applications absent a material error of principle.
SC Prodal 94 SRL v Spirits International NVHigh Court of JusticeYes[2003] EWHC 2756 (Ch)England and WalesCited for the principle that an appellate court should not overturn a decision of the Trade Mark Registry simply because it might have decided the case differently.
Sunrider Corporation v Vitasoy International Holdings LtdHigh Court of JusticeYes[2007] EWHC 37 (Ch)England and WalesCited for endorsing the approach that an appellate court should not disturb the findings of fact of a trade mark tribunal unless there is a material error of principle.
Wagamama Ltd v City Centre Restaurants plcUnspecifiedNo[1995] FSR 713UnspecifiedCited to support the idea that trade mark infringement is more a matter of feel than science.
The Polo/Lauren Co, LP v Shop-In Department Store Pte LtdUnspecifiedNo[2006] 2 SLR 690SingaporeCited to support the idea that trade mark infringement is a matter of perception.
Sprints Ltd v Comptroller of Customs (Mauritius)Privy CouncilNo[2000] FSR 814MauritiusCited regarding the establishment of trade mark proprietorship through use in other countries and international reputation.
Future Enterprises Pte Ltd v McDonald’s CorporationIntellectual Property Office of SingaporeYes[2005] SGIPOS 21SingaporeThe decision of the Principal Assistant Registrar of Trade Marks (PAR) who allowed the opposition of McDonald’s Corporation (“the respondent”) to the registration of the trade mark “MacCoffee”
Future Enterprises Pte Ltd v McDonald’s CorporationUnspecifiedYes[2006] 4 SLR 629SingaporeThe trial judge affirmed the findings of the PAR that, (a) there were sufficient visual, aural and conceptual similarities between the marks; (b) the goods of the parties were similar if not identical; and (c) there was a corresponding likelihood of confusion on the part of the public

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Trade Marks Act (Cap 332, 2005 Rev Ed)Singapore
Trade Marks Act (Cap 332, 2005 Rev Ed) s 4(2)Singapore
Trade Marks Act (Cap 332, 2005 Rev Ed) s 8(7)(a)Singapore
Trade Marks Act (Cap 332, 2005 Rev Ed) s 23(3)(b)Singapore
Trade Marks Act (Cap 332, 2005 Rev Ed) s 28(2)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Trade Mark
  • Registration
  • Opposition
  • Likelihood of Confusion
  • Prior Unregistered Rights
  • Instant Coffee Mix
  • McCAFÉ
  • MacCoffee
  • Composite Mark

15.2 Keywords

  • trade mark
  • mccafe
  • maccoffee
  • singapore
  • intellectual property
  • trade mark law

17. Areas of Law

16. Subjects

  • Trade Marks and Trade Names
  • Intellectual Property