Intellectual Property Outline - Cans DBcans.allardlss.com/.../Blom_Law_422_-_Intellectual_Property_Fall... · Neudorf+v+Nettwerk+Productions+Ltd+1999+BCSC+ ... (Viagra+Case)+

Intellectual Property Outline

................................................................................................................................................................INTRODUCTION* 4...............................................................................................................................................Policy*Considerations* 4

...............................................................................Introduction*to*Copyright,*Patent*and*Trademark*Law* 5........................................................................................................................................................................................Copyright+ 5...................................................................................................................................................................................Trademarks+ 5

.............................................................................................................................................................................................Patents+ 6

........................................................................................................................................................................COPYRIGHT* 7.................................................................................................................................................................Introduction* 7

.........................................................................................................................................Subsistence*of*Copyright* 7....................................................................................................................................................................................Authorship+ 9...................................................................................................................................................................................Originality+ 10

........................................................................................................................................................................................Fixation+ 10............................................................................................................................................................................................Works+ 11

...................................................................................Some*of*the*Rights*Comprising*Copyright*in*a*Work* 14.........................................................................................................................................................To+Reproduce+the+Work+ 14

...........................................................................................................................................To+Perform+the+Work+in+Public+ 14.......................................................................To+Communicate+the+Work+to+the+Public+by+Telecommunication+ 15

..........................................................................................................................................Moral*Rights*in*a*Work* 15...............................................................................................................................................Neighbouring*Rights* 16

.........................................................................................................................................Copyright+in+Sound+Recordings+ 16......................................................................................................................Copyright+in+a+Performer’s+Performance+ 17

..................................Right+to+Equitable+Remuneration+for+Performance+in+Public+of+a+Sound+Recording+ 18...............................................................................................Broadcaster’s+Copyright+in+a+Communication+Signal+ 18

.................................................................................................................................Ownership*and*Assignment* 19.........................................................................................................................................................................................General+ 19

.........................................................................................................................................................Terms+and+Registration+ 19.............................................................................................................................................................Infringement* 20

..........................................................................................................................................................................Literary+Works+ 20........................................................................................................................................................................Dramatic+Works+ 20...........................................................................................................................................................................Musical+Works+ 20............................................................................................................................................................................Artistic+Works+ 20

.......................................................................................................................................................Secondary+Infringement+ 21....................................................................................................................................................Authorizing+Infringement+ 21

...........................................................................................................................................................Fair+Dealing+Exception+ 21............................................................................................................................Statutory+Exceptions+to+Infringement+ 22

..................................................................................Copying+onto+an+Audio+Recording+Medium+for+Private+Use+ 22..................................................................................................................................Digital*Rights*Management* 23

.....................................................................................................................................................Criminal*Liability* 23..................................................................................................................Collective*Administration*of*Rights* 23

.............................................................................................................................................International*Aspects* 23

...................................................................................................................................................................PASSING*OFF* 24.............................................................................................................................................................Common*Law* 24

................................................................................................................................................Trade*Marks*Act*s.*7* 25

................................................................................................................................................................TRADE*MARKS* 26......................................................................................................................................Meaning*of*“Trade*Mark”* 26

..................................................................................................................................................................................................Use+ 26......................................................................................................................................To+Distinguish+Wares+or+Services+ 27

Ava$Aslani$$ LAW$422$Intellectual$Property

1

................................................................................................................................Registration*of*Trade*Marks* 27.................................................................................................................................................Conditions+for+Registration+ 27..................................................................................................................................................Procedure+for+Registration+ 27

.............................................................................................................................Trade+Marks+that+are+Not+Registrable+ 28......................................................................................................................Confusion+with+a+Registered+Trade+Mark+ 30

..............................................................................................................................................................Distinguishing+Guise+ 31.............................................................................................................................................................CertiYication+of+Marks+ 32

..........................................................................................................................................................................Distinctiveness+ 32.........................................................................................................................................................Entitlement+to+Register+ 33

..........................................................................................................................................Licensing*and*Transfer* 33.....................................................................................................................................................................................Licensing+ 33........................................................................................................................................................................................Transfer+ 33.............................................................................................................................................................Infringement* 34

..........................................................Depreciating*the*Value*of*Goodwill*Attaching*to*the*Trade*Mark* 34....................................................................................................................................................................Remedies* 34

.............................................................................................................................................................International* 35

...........................................................................................................................................................................PATENTS* 36......................................................................................................................Procedure*for*Obtaining*a*Patent* 36

..............................................................................................................................................................Patentability* 37.........................................................................................................................................Subject+Matter+of+the+Invention+ 38

.........................................................................................................................................................................................Novelty+ 39.....................................................................................................................................................................Non[Obviousness+ 39

.................................................................................................................APPENDIX*A:*OVERVIEW*&*CHECKLIST* 40

.............................................................................................................................APPENDIX*B:*IMPORTANT*CASES* 44....................................................................................................................................................................Copyright* 44

.................................................................................................................................Subsistence*of*Copyright* 44...............................................................................................Neudorf+v+Nettwerk+Productions+Ltd+1999+BCSC+ 44

..............................................................................................................................Neugebauer+v+Labieniec+2009+FC+ 44...............................................University+of+London+Press+Ltd+v+University+Tutorial+Press+Ltd+1916+UK+ 44

......................................................................CCH+Canadian+Ltd.+v.+Law+Society+of+Upper+Canada+2004+SCC+ 45...........................................................................Canadian+Admiral+Corp.+Ltd.+v.+Rediffusion+Inc+1954+Ex+CR+ 47

.........................................Nichols+v+Universal+Pictures+Corporation+1930+US+Circuit+Court+of+Appeals+ 48...................................Exxon+Corporation+v+Exxon+Insurance+Consultants+International+Ltd+1982+UK+ 49

.................................................Bulman+Group+Ltd.+v.+"One+Write"+Accounting+Systems+Ltd.+1982+FCTD+ 50................................Tele[Direct+(Publications)+Inc.+v.+American+Business+Information+Inc.+1997+FCA+ 51

.....................................................................................................................Robertson+v+Thomson+Corp+2006+SCC+ 51

.....................................................................................................................CA+s.+13(4):+Assignments+and+licences+ 53.......................................................................Apple+Computer+Inc.+v.+Macintosh+Computers+Ltd.+1999+SCC+ 54......................................................................Delrina+Corp.+v.+Triolet+Systems+Inc.+1993+ONGD+2002+ONCA+ 55

....................................................................................................................................................................Re:+sound+case+ 56.........................................................................Cuisenaire+v.+South+West+Imports+Ltd.+1968+Ex+Ct+1968+SCC+ 57

.............................................................................Some*of*the*Rights*Comprising*Copyright*in*a*Work* 58..............................................................Ladbroke+(Football)+Ltd.+v.+William+Hill+Football+Ltd.+(H.L.+1964)+ 58

.........................................................................................................Canadian+Admiral+v+Rediffusion+1954+Ex+Ct+ 58..............................................................................SOCAN+v.+Canadian+Assn.+of+Internet+Providers+2004+SCC+ 59

............................................................................................Entertainment+Software+Assn.+v.+SOCAN+2012+SCC+ 60...............................................................................................Rogers+Communications+Inc.+v.+SOCAN+2012+SCC+ 61

...........................................................................................................Snow+v.+The+Eaton+Centre+Ltd.+1982+ONHC+ 61..........................................................................Théberge+v.+Galerie+d’art+du+Petit+Champlain+inc.+2002+SCC+ 61

...............................................University+of+London+Press+Ltd.+v.+University+Tutorial+Press+Ltd.+(supra)+ 62.........................................................Preston+v.+Twentieth+Century+Publishers+Ltd.+1990+FCTD+1993+FCA+ 63


2

.....................................................................................Roy+Export+Co.+Establishment+v.+Gauthier+1973+FCTD+ 64......................................................................................................KafYka+v+Mountain+Side+Devts+Ltd+1982+BCSC+ 64

...........................................................................................Euro[Excellence+Inc.+v.+Kraft+Canada+Inc.+2007+SCC+ 65..........................................................................CCH+Canadian+Ltd.+v.+Law+Society+of+Upper+Canada+(supra)+ 68..........................................................................CCH+Canadian+Ltd.+v.+Law+Society+of+Upper+Canada+(supra)+ 69

.................................................................................................................................SOCAN+v.+Bell+Canada+2012+SCC+ 70.....................................................................................Alberta+(Education)+v.+Access+Copyright+(S.C.C.+2012)+ 71

..................................................................................................................................................................Passing*Off* 72.................................................................Erven+Warnink+BV+v.+J.+Townend+&+Sons+(Hull)+Ltd.+1979+UKHL+ 72

...................................................Trademarks+Act+s.+11.14:+Prohibited+Adoption+of+Indication+for+Wines+ 73..................................................................................................Ciba[Geigy+Canada+Ltd.+v.+Apotex+Inc.+1992+SCC+ 75

...............................................................................Walt+Disney+Productions+v.+Triple+Five+Corp.+1994+ABCA+ 76............Law+Society+of+B.C.+v.+Canada+Domain+Name+Exchange+Corp.+2004+BCCA+aff’d+2005+BCCA+ 78

...........................................................................................................Kirkbi+AG+v.+Ritvik+Holdings+Ltd.+2005+SCC+ 80...............................................................................................................................................................Trademarks* 83

...................................................................................................................................Meaning*of*Trade*Mark* 83................................................................Clairol+Int’l+Corp.+v.+Thomas+Supply+&+Eqpt.+Co.+Ltd.+1968+Ex+CC+ 83

........................................................Canadian+Shredded+Wheat+Co.+v.+Kellogg+Co.+1938+UK+PC+(from+ON)+ 84..................................................Tommy+HilYiger+Licensing+Inc.+v.+International+Clothiers+Ltd.+2004+FCA+ 86

............................................................................................................................Registration*of*Trade*Mark* 87.........................................................................Standard+Oil+Co.+v.+Registrar+of+Trade+Marks+(Ex.+C.C.+1968)+ 87............................................................................Ontario+Teachers+Pension+Plan+Board+v.+Canada+2012+FCA+ 88

.................................................Consorzio+del+Prosciutto+di+Parma+v.+Maple+Leaf+Meats+Inc.+2001+FCTD+ 88.................Ontario+Assn.+of+Architects+v.+Assn.+of+Architectural+Technologists+of+Ontario+2002+FCA+ 89

......................................................Lake+Ontario+Cement+Ltd.+v.+Registrar+of+Trade+Marks+(F.C.T.D.+1976)+ 91.......................................................................................................Mattel+Inc.+v.+3894207+Canada+Inc.+SCC+2006+ 92........................................................................................................TMA+s.+6(1):+When+mark+or+name+confusing+ 92

.............................................................................................................................................................TMA+s.+6(2):+Idem+ 93.....................................................................................................................................TMA+s.+6(5)+What+to+Consider+ 94

..................................................................................McDonald’s++Corp.+v.+Coffee+Hut+Stores+Ltd.+FCTD+1994+ 95................................................................................Dominion+Lock+Co.+v.+Schlage+Lock+Co.+(Regr.+T.M.+1961)+ 96

......................................................................................Philip+Morris+Inc.+v.+Imperial+Tobacco+No+1+1987+FCA+ 96..........................................................................................Masterpiece+Inc.+v.+Alavida+Lifestyles+Inc.+2011+SCC+ 98

.................................................................................................................................Licensing*and*Transfer* 100..................................................................................................Eli+Lilly+&+Co.+v.+Novopharm+Ltd.+(F.C.A.+2001)+ 100

.....................................................................................................................................................Infringement* 101.................................................................Philip+Morris+Products+S.A.+v.+Marlboro+Canada+Ltd.+2012+FCA+ 101

...................................................................................................Depreciating*the*Value*of*the*Goodwill* 102.................................................................Veuve+Clicquot+Ponsardin+v.+Boutiques+Cliquot+Ltée+2006+SCC+ 102

......................................................................................................................................................................Patents* 104......................................................................................................................................................Patentability* 104

..............................................Teva+Canada+Ltd+v+PYizer+Canada+Inc+2012+SCC+2012+SCC+(Viagra+Case)+ 104..................................................................................................................Subject*Matter*of*the*Invention* 109

...................................................................................Shell+Oil+Co.+v.+Canada+(Comm’r+of+Patents)+1982+SCC+ 109...........................................................................................................Lawson+v.+Comm’r++of++Patents+1970+Ex+Ct+ 110

...............................................................................Tennessee+Eastman+Co.+v.+Comm’r+of+Patents+1972+SCC+ 110...............................................................................................................................Mayo+v+Prometheus+2012+USSC+ 111

.........................................................................Schlumberger+Canada+Ltd.+v.+Comm’r+of+Patents+1982+FCA+ 112................................Re+Application+of+International+Business+Machines+Corp.+1984+PAR+&+Comm’r+ 112

..........................................................................Amazon.com+Inc.+v.+Canada+(Attorney+General)+2011+FCA+ 113.....................................................................................................................Harvard+College+v.+Canada+2002+SCC+ 116

...........................................................................................................Monsanto+Canada+v+Schmeiser+2004+SCC+ 117..........................................................................................Apotex+Inc+v+SanoYi[Synthelabo+Canada+2008+SCC+ 119


3

INTRODUCTION

POLICY*CONSIDERATIONS

Why*do*we*have*IP*law*at*all?*Two*views:

Negative+(a)+Restricts+creativity

• Free+Ylow+of+ideas+is+a+good+thing+and+IP+laws+restrict/controls+it+too+much• More+prevalent+in+copyright+and+patent+that+deal+with+ideas• For+society+to+advance,+individuals+must+take+good+ideas+and+work+on+them…IP+restricts+this• i.e.+to+distribute+copies+of+an+invention/book,+you+must+pay

(b) Preserves+western+geopolitical+dominance• Geopolitically,+IP+rights+tend+to+be+held+by+big+companies+from+the+western+world,+thus+protecting+the+

interests+of+rich+companies/countries• This+prevents+useful+life[saving+knowledge+from+being+available+to+the+poor

Positive+(a) To+protect+certain+economic+interests

• Patents:+protects+your+right+to+exploit+something+you’ve+invented• Trademarks:+protects+your+right+to+use+a+brand,+or+identify+your+products/services+in+a+particular+way+• Copyright:+protects+your+right+to+exploit+what+you+have+created+(literary,+artistic,+dramatic,+musical)• The%economic%bene,its%of%protecting%IP%are%hard%to%calculate,%but%are%certainly%believed%to%exist%

(e.g.%in%drug%patents).

(b) To+foster+invention+and+creation+• There+is+a+lot+of+literature+on+this:+to+what+extent+does+IP+actually+promote+generation+of+this?++• To+what+extent+does+protecting+drugs+actually+promote+the+research+and+development+of+new+

medicines?+• Actually+proving+that+patent+protection+leads+to+the+development+of+stuff+is+difYicult• Problem:+there+are+now+so+many+patents+around+that+its+hard+to+do+anything+without+bumping+into+

them+–+this+is+because+patents+have+been+generously+awarded+• When+put+to+the+test,+you+Yind+that+many+patents+are+invalid,+because+in+order+to+have+a+patent,+it+

has+to+be+for+something+new,+but+there+tends+to+be+a+lot+of+overlap+in+patents+• Patent+protection+has+become+a+commodity+in+itself+• There+are+arguments+that+the+public+interest+is+not+really+being+served+by+this+system+• There+is+an+ongoing+debate+about+whether+the+existing+system+is+over/under[protecting+and+if+it+is+

in+fact+balancing+the+interests+of+the+inventor+vs+the+interests+of+the+public+

IP*law*requires*public*policy*balancing*between*two*broad*objectives:

IP+law+represents+a+balance+between+private+interests+(mostly+economic)+in+being+able+to+control+what+happens+to+the+thing+you+create,+and+public+interests+in+the+free+Ylow+of+ideas,+competition,+etc.+So+you+only+receive+rights+for+a+period+of+time,+as+rights+are+not+perpetual:• Patents+become+public+knowledge+despite+a+monopoly• Copyright+limited+to+the+life+of+the+author+plus+a+certain+number+of+ideas• Trademarks+run+until+the+monopoly+no+longer+becomes+unique

(a) Public*interests+• Freedom+of+information,+ideas,+expression,+competition,+exchange+of+ideas,+to+create,+invent• Encourage+creation/invention+(copyright+&+patent)

(b) Private*interests+• Realizing+economic+value+of+what+you+have+created• Private+interest+in+being+able+to+control+how+much+of+your+product+goes+on+market,+or+the+ability+to+

keep+it+off+market• Right+to+prevent+theft,+copying,+plagiarism+• Promote+investment+of+time+and+money+in+creation+of+new+works,+publications,+etc.+


4

INTRODUCTION*TO*COPYRIGHT,*PATENT*AND*TRADEMARK*LAW

COPYRIGHT

Copyright+gives+the+creator+of+an+original+work+exclusive+rights+for+a+certain+time+period+in+relation+to+that+work,+including+its+publication,+distribution+and+adaptation;+after+which+time+the+work+is+said+to+enter+the+public+domain.+It+applies+to+any+expressible+form+of+an+idea+or+information+that+is+substantive+and+discrete+and+includes+"moral+rights"+of+the+creator+of+a+work,+such+as+the+right+to+be+credited+for+the+work.+

Core*Ideas:*

• You+have+a+right+to+stop+others+from+using+the+product+of+your+intellectual+effort• It's+a+set+of+rights+in+relation+to+reproduction,+translating,+performing+in+public,+etc.• Includes+limited+control+over+the+potential+moneymaking+uses+of+your+product• Moral+rights+include+the+right+to+preserve+the+integrity+of+the+work…ie:+stop+mutilation+of+work• Length+is+life+of+the+author+plus+50+years+(70+years+for+Europe+and+USA)

Amendment*of*the*CA:

One+of+the+reasons+the+government+has+been+trying+to+amend+the+Copyright+Act:+to+be+able+to+sing+on+to+international+treaties.+All+of+the+IP+areas+are+very+heavily+internationally+coordinated+–+not+uniform,+but+they+all+subscribe+to+one+of+the+major+IP+treaties+requiring+all+countries+to+protect+copyright+to+a+certain+minimum+level.+2+recent+international+treaties,+sponsored+by+the+World+Intellectual+Property+Organization+(WIPO):+(1)+WIPO%Copyright%Treaty+and+(2)+WIPO%Performances%and%Phonogram%Treaty,+WPPT+(protects+what+copyright+traditionally+did+not+protect,+the+performer’s+right+to+people+making+copies+of+his/her+performance)+–+this+creates+a+“neighbouring+right”+(not+a+true+copyright)+to+a+performance+and+a+sound+recording.+One+of+the+attempts+to+amend+the+Copyright+Act+was+to+fully+subscribe+to+the+WPPT.+So+part+of+it+was+to+bring+us+in+line+with+what+other+countries+have+already+done.+

The+other+part+wasn’t+required+by+treaty+but+was+subject+of+heavy+lobbying,+was+to+put+a+stop+to+people+putting+digital+locks+on+digital+material.+After+3+failed+attempts,+the+last+bill+did+pass:+Bill%CD11%Copyright%Modernization%Act%(not$yet$in$force,$but$will$be$very$soon).+

The*amendments*of*the*Copyright*Act*is*an*example*of*the*public*policy*balancing*between*the*interests*of*copyright*holders*and*the*interests*of*those*who*want*to*copy*material*and*use*it.*

TRADEMARKS

A+trademark+or+trade+mark,+identiYied+by+the+symbols+(™+and+®),+is+a+distinctive+sign+or+indicator+used+by+an+individual,+business+organization+or+other+legal+entity+to+identify+that+the+products+and/or+services+to+consumers+with+which+the+trademark+appears+originate+from+a+unique+source+of+origin,+and+to+distinguish+its+products+or+services+from+those+of+other+entities.+

The+underlying+policy+for+trademarks+is+regulation+of+the+market+and+policing+the+fact+that+the+public+has+a+right+to+be+able+to+choose+based+on+brands+and+not+be+fooled+or+misled+–+it+polices/regulates+the+legitimate+the+use+of+brands.+

Core*Ideas:

• Includes+right+to+use+the+mark+in+association+with+deYined+wares+(articles+for+sale)+or+services• Thus+it's+an+exclusive+right+to+use+particular+mark+in+association+with+a+commercial+activity• Registration+gives+an+individual+exclusivity+across+Canada• Length+is+perpetual,+as+long+as+it's+being+used+and+trademark+registry+fee+is+paid• Use+it+or+lose+it+–+once+you+stop+using+your+brand,+your+trademark+loses+its+validity• Your+brand+has+to+remain+distinctive• Generic+terms+cannot+be+trademarked+–+public+policy:+keeping+words+that+are+generic+in+the+public+domain• Successful+brands+are+always+at+risk+(ex.+Kleenex)+–+the+minute+that+people+call+every+tissue+Kleenex,+the+

brand+loses+its+validity+under+the+law+because+it+has+lost+its+distinctiveness+• The+“TM"+mark+on+trademark+brands+is+to+avoid+decaying+of+the+trademark+term+by+general+use+


5

PATENTS

A+patent+is+a+set+of+exclusive+rights+granted+by+a+state+to+an+inventor+or+his+assignee+for+a+Yixed+period+of+time+in+exchange+for+a+disclosure+of+an+invention.+

Core*Ideas:*

• Patents+include+protection+over+inventions• Includes+the+sole+right+to+make,+use,+or+vend+the+invention• Even+if+you+invent+Yirst,+only+the+person+registering+the+person+Yirst+gets+patent+rights• Thus+includes+the+right+to+exclude+others,+including+bona+Yide+parallel+inventors• Length+includes+20+years+(I+think)

Note:$Patents+are+limited+in+time,+but+trademarks+are+forever.+Thus,+there+are+attempts+to+protect+something+using+a+trademark+instead+of+a+patent+(ex.+Lego+case).+SCC+has+rejected+this:+you+can’t+get+indirectly,+via+trademark+law,+what+you+are+not+entitled+to+get+directly+via+patent+law.+So*you*can’t*use*trademark*law*as*a*second*string*to*get*a*more*extensive*protection*than*patent*law.*

Policy*aspect:*the+balances+that+are+built+in,+the+fact+that+the+protection+of+the+right+is+to+a+certain+point+and+no+further+–+the+law+is+vigilant+about+not+allowing+those+walls+to+be+broken+down+by+misuse+or+by+extending+too+far+a+different+form+of+intellectual+property.+


6

COPYRIGHT

INTRODUCTION

Copyright+is+a+creation+of+statute.+Whatever+common+law+rights+may+have+existed,+with+respect+to+the+copying+or+adaptation+of+created+works,+are+nulliYied+by+CA%s.%89.

The+shape+of+Canadian+copyright+law+is+substantially+derived+from+Canada’s+obligations+under+the+Berne%Convention%of%1886+as+revised+up+to+the+Paris%Act%of%1971.++

The%Copyright%Modernization%Act%amendments%of%2012,+when+they+are+brought+into+force,+will+update+the+Act+to+the+standard+of+the+WIPO%Copyright%Treaty+(WCT)+and+the+WIPO%Performances%and%Phonograms%Treaty%(WPPT).

SUBSISTENCE*OF*COPYRIGHT

CA%s.%5+creates+copyright+and+deYines+the+territorial+application+of+the+Act.+It+contains+deYinitions+of+“works”+(“original+literary,+dramatic,+musical+and+artistic+work”)+which+links+back+to+the+deYinition+in+s.+2.+It+also+identiYies+(by$criteria$derived$from$Bern%Convention%Art.%3%and%5)+which+territorial+connections+(citizenship$of$the$author,$etc.)+deYine+the+works+protected+under+the+Canadian+statute+(s.%5(1)(a)).+

We$have$a$work,$is$it$covered$by$the$act?$–$look$at$section$5:$Is$the$author$a$citizen$of$a$treaty$country?$Where$was$the$work$Airst$published?$If$the$work$is$caught$by$the$Act$(which$almost$everything$is),$then$section$5$says$“copyright$shall$subsist.”$What$“copyright”$means$is$deAined$in$section$2$

Copyright%Act%s.%5:%conditions%for%obtaining%copyright

5. (1)+Subject+to+this+Act,+copyright+shall+subsist+in+Canada,+for+the+term+hereinafter+mentioned,*in*every*original*literary,*dramatic,*musical*and*artistic*work+if+any+one+of+the+following+conditions+is+met:

(a) in*the*case*of*any*work,+whether+published+or+unpublished,+including+a+cinematographic+work,+the+author+was,+at+the+date+of+the+making+of+the+work,+a+citizen+or+subject+of,+or+a+person+ordinarily+resident+in,+a+treaty+country;

(b) in*the*case*of*a*cinematographic*work,+whether+published+or+unpublished,+the+maker,+at+the+date+of+the+making+of+the+cinematographic+work,(i) if+a+corporation,+had+its+headquarters+in+a+treaty+country,+or(ii) if+a+natural+person,+was+a+citizen+or+subject+of,+or+a+person+ordinarily+resident+in,+a+treaty+

country;+or

(c) in*the*case*of*a*published*work,+including+a+cinematographic+work,(i) in+relation+to+subparagraph+2.2(1)(a)(i),+the+Yirst+publication+in+such+a+quantity+as+to+satisfy+the+

reasonable+demands+of+the+public,+having+regard+to+the+nature+of+the+work,+occurred+in+a+treaty+country,+or

(ii) in+relation+to+subparagraph+2.2(1)(a)(ii)+or+(iii),+the+Yirst+publication+occurred+in+a+treaty+country.

Copyright%Act%s.%2:%de,initions%

“copyright”+means+the+rights+described+in:(a) section+3,+in+the+case+of+a+work,+–+this$is$the$biggie(b) section+15+and+26,+in+the+case+of+a+performer’s+performance,(c) section+18,+in+the+case+of+a+sound+recording,+or(d) section+21,+in+the+case+of+a+communication+signal+


7

Note:$there+are+4+classiYications+of+“works”+in+CA+–+they+are+all,+in+different+ways,+compositions:+(a)+literary+works+(b)+dramatic+works+(includes+theatre,+ballet,+movies)+(c)+artistic+works+(includes+visual+arts)+(d)+musical+works+

Note:$“work”+refers+to+the+composition,+not+what+somebody+has+done+with+it+(so+it+refers+to+the+choreographer’s+work,+not+the+dancer).+Performer’s+performance,+sound+recording,+communication+signal+are+not+considered+“works”,+but+they+are+things+to+which,+over+the+years,+the+law+has+given+“neighbouring*rights”+–+they+are+not+real+copyright+works,+but+they+are+neighbouring+rights+because+they+create+a+monopoly+of+sorts,+and+what+exactly+is+included+in+that+monopoly+is+outlined+in+the+relevant+sections+

CA%s.%3+lists+all+the+rights+you+have+if+you+have+a+copyright+for+a+work.+“copyright”*in+relation+to+a+work+means+the+sole+right+to:+produce,+reproduce,+perform*in*public,+and+publish*the+work+(or+any+substantial+part).+

Copyright%Act%s.%3:%Copyright%in%works

3.+(1)+For+the+purposes+of+this+Act,+“copyright”,+in*relation*to*a*work,+means+the+sole*right+to+produce+or+reproduce+the+work+or+any+substantial+part+thereof+in+any+material+form+whatever,+to+perform+the+work+or+any+substantial+part+thereof+in+public+or,+if+the+work+is+unpublished,+to*publish+the+work+or+any+substantial+part+thereof,+and+includes+the+sole+right(a) to+produce,+reproduce,+perform+or+publish+any+translation+of+the+work,+(b) in+the+case+of+a+dramatic+work,+to+convert+it+into+a+novel+or+other+non[dramatic+work,(c) in+the+case+of+a+novel+or+other+non[dramatic+work,+or+of+an+artistic+work,+to+convert+it+into+a+dramatic+

work,+by+way+of+performance+in+public+or+otherwise,(d) in+the+case+of+a+literary,+dramatic+or+musical+work,+to+make+any+sound+recording,+cinematograph+Yilm+or+

other+contrivance+by+means+of+which+the+work+may+be+mechanically+reproduced+or+performed,(e) in+the+case+of+any+literary,+dramatic,+musical+or+artistic+work,+to+reproduce,+adapt+and+publicly+present+

the+work+as+a+cinematographic+work,(f) in+the+case+of+any+literary,+dramatic,+musical+or+artistic+work,+to+communicate+the+work+to+the+public+by+

telecommunication,(g) to+present+at+a+public+exhibition,+for+a+purpose+other+than+sale+or+hire,+an+artistic+work+created+after+

June+7,+1988,+other+than+a+map,+chart+or+plan,(h) in+the+case+of+a+computer+program+that+can+be+reproduced+in+the+ordinary+course+of+its+use,+other+than+

by+a+reproduction+during+its+execution+in+conjunction+with+a+machine,+device+or+computer,+to+rent+out+the+computer+program,+and

(i) in+the+case+of+a+musical+work,+to+rent+out+a+sound+recording+in+which+the+work+is+embodied,and*to*authorize*any*such*acts.

CA%s.%15%and%26+give+the+performer+an+economic+stake+in+what+happens+to+the+performance.+Gives+the+performer+sole+right+to+record,+etc.+and+protects+against+recording/broadcasting+without+authority.+You+are+not+talking+about+a+work,+but+a+performance+–+so+you+can’t+deYine+copyright+the+same+way.+

These$rights$are$layered$on$top$of$one$another:$If$I$copy$a$recording$of$a$song,$I$am$infringing$the$rights$of$the$composer$of$the$song$(s.$3)$because$I$am$reproducing$the$musical$work.$At$the$same$time,$I$may$be$infringing$the$performer’s$copyright$in$the$performance$(s.$15/26).$I$could$also$be$infringing$the$maker’s$right$in$the$recording$itself.$So,$one$act$of$copying$can$infringe$multiple$rights$Theory$behind$this:$they$all$have$a$legitimate$economic$claim,$they$have$all$produced$value$of$some$sort.$So,$there$is$straight$copyright$in$a$work$and$then$there$are$neighbouring$copyrights$in$performances,$etc.


8

AUTHORSHIP

Determining+who+the+author+is+or+the+authors+are+is+crucial+in+determining+not+only+who*owns*copyright*(the$author$is$usually$the$Airst$holder$of$the$copyright)+but+also+the*term*of*the*copyright+(which$is$based$on$the$death$of$the$author).+

Copyright%Act%s.%13:%,irst%ownership%of%copyright%

Ownership*of*copyright

13.+(1)+Subject+to+this+Act,+the*author*of*a*work*shall*be*the*eirst*owner*of*the*copyright+therein.

Engraving,*photograph*or*portrait

13.+(2)+Where,+in+the+case+of+an+engraving,+photograph+or+portrait,+the+plate+or+other+original+was+ordered+by+some+other+person+and+was+made+for+valuable+consideration,+and+the+consideration+was+paid,+in+pursuance+of+that+order,+in+the+absence+of+any+agreement+to+the+contrary,+the+person+by+whom+the+plate+or+other+original+was+ordered+shall+be+the+Yirst+owner+of+the+copyright.

Work*made*in*the*course*of*employment

13.+(3)+Where+the+author+of+a+work+was+in+the+employment+of+some+other+person+under+a+contract+of+service+or+apprenticeship+and+the+work+was+made+in*the*course*of*his*employment*by+that+person,+the+person+by+whom+the+author+was+employed+shall,+in+the+absence+of+any+agreement+to+the+contrary,+be+the+Yirst+owner+of+the+copyright,+but+where+the+work+is+an+article+or+other+contribution+to+a+newspaper,+magazine+or+similar+periodical,+there+shall,+in+the+absence+of+any+agreement+to+the+contrary,+be+deemed+to+be+reserved+to+the+author+a+right+to+restrain+the+publication+of+the+work,+otherwise+than+as+part+of+a+newspaper,+magazine+or+similar+periodical.+[s.$13(3)$is$an$exception$to$s.$13(1)$which$says$the$author$is$the$Airst$owner$of$the$copyright]

Work*of*Joint*Authorship

Distinctions+between+“collective+works”+and+“works+of+joint+authorship”+and+“compilation”:+

Some+works+are+a+compilation/collection+in+which+you+can+identify+who+wrote+each+piece.+Whoever+puts+a+collective*work*together+has*a*copyright*in%the%collection+(but+the+author+of+a+work+retains+copyright+in+the+individual+work).+You+can+also+have+a+copyright+in+a+compilation+(a+compilation+has+to+be+a+compilation+of+things,+which+by+themselves+are+not+a+“thing”).

But+for+joint+authorship,+you+have+two+or+more+authors+whose+work+is+not+distinct,+so+there,+the+copyright+is+jointly*held+(although$not$necessarily$50/50).

Joint+authorship+insinuations+can+be+difYicult.+Unless+you+have+it+all+legally+agreed+beforehand,+you+may+get+legal+disputes+about+who+actually+is+a+joint+author+in+the+work+and+the+law+has+to+determine+whether+they+contributed+original+content,+and+if+so,+how+much.+

While+older+Canadian+cases+considered+intention*to+be+joint+authors+(Neudorf%v%Nettwerk%Productions%1999*BCSC,#although$Neudorf$had$made$original$contributions$to$musical$product,$there$was$no$mutual$intent$for$him$to$be$joint$authors$with$McLaughlin),+the+Federal+Court+has+held+that+intention+is+not+necessary,+joint+authorship+is+a+factual*question:*was+there+enough+contribution+of+original+content+by+the+other+person+to+make+him+a+joint+author?+(Neugebauer%v%Labieniec%2009*FCTD,+courts$more$likely$to$follow$this$FC$decision).+

Copyright%Act%s.%2:%de,initions

“collective*work”*means:(a) an+encyclopedia,+dictionary,+year+book+or+similar+work,(b) a+newspaper,+review,+magazine+or+similar+periodical,+and+(c) any+work+written+in+distinct+parts+by+different+authors,+or+in+which+works+or+parts+of+works+of+

different+authors+are+incorporated;(cont’d)


9

“compilation”*means:+(a) a+work+resulting+from+the+selection+or+arrangement+of+literary,+dramatic,+musical+or+artistic+works+

or+of+parts+thereof,+or(b) a+work+resulting+from+the+selection+or+arrangement+of+data;

“Work*of*joint*authorship”+means+a+work+produced+by+the+collaboration+of+two+or+more+authors+in+which+the+contribution*of*one*author*is*not*distinct+from+the+contribution+of+the+other+author+or+authors.

ORIGINALITY

CA%s.%5%states+that+“copyright+shall+subsist+in+every+original…+work”+(using+Bern$Convention+language).+

University%of%London%Press%case+set+a+low+bar+for+what+constitutes+a+literary+work+and+for+what+made+a+work+“original”+holding+that+it+is+original+as+long+as+it+is+not+copied+(i.e.+the+expression+is+in+an+original+or+novel+form)+(University%of%London%Press%v%University%Tutorial%Press%1916*UK,*mathematics$exam$is$original).+

CCH+case+however,+set+the+bar+higher+by+requiring+that+the+author+have+contributed*substantial*original*skill*and*judgment*(“skill*and*judgment*test”)+(CCH%Canadian%v%Law%Society%of%Upper%Canada%2004*SCC,*case$headnotes$are$original$because$they$require$an$exercise$of$skill$and$judgment).+It+did+not+go+as+far+as+the+US+position+in+Feist,+that+a+modicum+of+creativity+is+required+for+a+work+to+be+original.+The+SCC+emphasized+that+the+copyright+is+a+balance+between+the+interests+of+owners+and+the+interests+of+users+–+and+users+have+rights+to+use+copyright+material+in+certain+ways.+

Note:*the+“skill+and+judgment”+test+draws+a+distinction+between+input+(how$much$time$and$expense$you$put$into$a$work)+and+reward+(the$extent$of$copyright$protection).+Reward+is+not+proportional+to+input+because+what+copyright+protects+is+not+the+investment+but+the+original+expression.+So+the+“skill+and+judgment”+test+cuts+out+works+that+may+be+the+product+of+enormous+resources/expense+but+required+no+skill+and+judgement+in+assembling+or+arrangement.

Copyright%Act%s.%5:%Conditions%for%subsistence%of%copyright

5.+(1)+Subject+to+this+Act,+copyright+shall+subsist+in+Canada,+for+the+term+hereinafter+mentioned,+in*every*original+literary,+dramatic,+musical+and+artistic+work…+

FIXATION

Berne%Convention%Art.%2(1),+which+is+replicated+in+the+deYinition+of+“every*original…work”+(CA%s.%2),+makes+it+clear+that+works*are*to*be*protected*no*matter*what*their*form.+The+Berne+Convention+allows+individual+states+to+deYine+to+what+extent+works+must+be+Yixed,+but+the+Act+doesn’t+do+so,+except+to+say+that+a+work+that+is+communicated+to+the+public+by+telecommunication+is+Yixed+even+if+it’s+Yixed+at+the+time+of+its+communication+(CA%s.%3(1.1)),+which+implies+Yixation+is+relevant.+

Note:$Canadian%Admiral%Crop%held+that+Yixation+(in+some+material+form)+was+a+requirement+for+copyright+protection+(Canadian%Admiral%Crop%v%Rediffusion%1954*Ex*Ct,$telecasts$were$not$protected$by$copyright$because$they$were$not$Aixed).+If+this+case+happened+today,+CA%s.%3(1.1)%would+change+the+result.+

Copyright%Act%s.%3(1.1):%Simultaneous%,ixing%of%works%communicated%by%telecommunication

(1.1)+A+work+that+is+communicated+in+the+manner+described+in+paragraph+(1)(f)+[to$communicate$the$work$to$the$public$by$telecommunication]+is+Yixed+even+if+it+is+Yixed+simultaneously+with+its+communication.


10

WORKS

You+can’t+copyright+an+“idea,”+you+can+only+copyright+an+“expression.”+

Literary*Works


“literary*work”*includes+tables,+computer+programs,+and+compilations+of+literary+works;

TEST:*a+“literary+work”+is+an+expression+(Nichols)+which+is*intended*to*communicate*information+or+instruction+or+pleasure+in+the+form+of+literary+enjoyment+(Exxon).+

The+question+is:+What+exactly+are+the+elements+in+which+you+have+copyright?+i.e.+at+what+point+are+you+copying+substantial+elements+of+a+work+such+that+you+are+infringing+on+the+copyright+of+the+work+(as+opposed+to+simply+being+inspired+by+the+idea)?

• You+have+copyright+in+the+literal*text*• You+have+copyright+in+the+nonhliteral*aspects*of*work+(such+as+plot+and+characters)+but+to$a$point:+

you+have+to+be+able+to+show+that+they+were,+in+fact,+clearly+copied• You+do+not$have+copyright+in+the+broader*symbols*or*ideas*they+represent+

“Nobody+has+ever+been+able+to+Yix+that+boundary,+and+nobody+ever+can.”+i.e.+this+is+a+matter+of+judgment,+(Nichols%v%Universal%1930*US*Circuit*CA,+Abie’s$Irish$Rose,$cheesy$play$about$a$Jewish$and$Catholic$family).+

You+cannot+copyright+a+single,*invented*word.*A+literary+work+has+to+be+something+which+was*intended*to*afford*either*information*or*instruction,*or*pleasure*in*the*form*of*literary*enjoyment,+i.e.+it+must+be+about+the+message,+not+the+medium.$If+the+point+of+the+words+is+to+communicate+something+(information,+enjoyment,+etc.),+then+it+is+a+literary+work+but+if+it+is+merely+a+means+to+a+mechanical+end,+then+it+is+not+a+literary+work+(Exxon%Corporation%v%Exxon%Insurance%1982*UK,+the$word$Exxon$in$itself$does$not$communicate$anything,$it$is$meaningless,$therefore$not$a$literary$work,$can’t$be$copyrighted).

When+you+are+dealing+with+a+device+that*uses*words*to*perform*a*particular*function,+it+may+meet+the+test+for+“literary+work”+if*it*communicates*enough*verbal*information,+i.e.+the+literary+aspect+outweighs+the+use+of+the+device+(Bulman%v%One%Write%1982*FCTD,+writing$on$forms$conveys$information$so$it$is$a$literary$work,$device$to$produce$multiple$copies$of$forms$is$an$expression,$literary$aspect$of$forms$outweighs$use$of$forms$as$bookkeeping$devices;$criticism:$you$end$up$allowing$a$monopoly$on$that$particular$device,$so$it$effectively$protects$the$functional$aspect,$which$is$not$the$job$of$copyright).

Note:$Hollinrake%v%Trussel%1984+(cardboard$pattern$sleeves)+was+on+the+other+side+of+the+line:+the$device$aspect$took$precedence$over$the$literary$aspect,$the$words$were$just$an$accessory$to$the$device.$

Compilations

TeleDDirect%addressed+the+“originality”+question+in+the+context+of+compilations+of+data,+applying+a+test+closer+to+the+US+“minimum+degree+of+creativity”+test,+but+the+CCH+“skill+and+judgment”+test+would+probably+have+had+the+same+result.+

In+the+context+of+compilations,+you+have+copyright+not+in+the+data$itself,+but+in+the+selection*or*arrangement+of+that+data+(TeleDDirect%v%American%Business%Information%1997*FCA,*phonebook$case,$what$ABI$took$from$Tele]Direct$was$just$the$data$listed$within$the$columns,$which$involved$no$original$selection$or$arrangement).

Collective*Works

In+the+context+of+a+collective+work+or+compilation,+the+owner+of+the+copyright+in+collective+work+of+other+people’s+work+does+not$have+the+right+to+reproduce+and+telecommunicate+the+work+in+a+digital+medium+that+changes+the+way+people+can+access+the+individual+works+within+the+compilation+(Robertson%v%Thomson%Corporation%2006*SCC,+court$split$5]4$on$metaphysical$question,$majority$held$that$online$services$went$beyond$concept$of$“media$neutrality”$because$the$collective$work$was$not$put$online$as$such,$but$in$a$different$form,$the$Globe$did$not$put$the$newspaper$into$the$online$database,$they$put$the$articles).


11

Computer*Programs

Computer+programs/software+don’t+Yit+comfortably+anywhere+in+the+system+of+intellectual+property.+There+is+a+dual+aspect+to+software+because+the+program+is+a+purely+functional+instrument+but+it+works+via+instructions+and+text,+so+it+does+constitute+a+literary+work.+But+because+it+is+not+there+to+be+“read,”+confusion+arises+as+to+what+exactly+is+the+expression+being+protected.

Patents:*the+problem+is+that+most+software+is+just+a+sequence+of+mathematical/logical+operations+(algorithms).+Patent+law+is+problematic+because+writing+a+program+is+not+really+an+invention.+So+patent+law+has+said+that+software+is+not+an+invention+(although$if$your$new$thing$involves$some$kind$of$novel$application$of$software$PLUS$hardware,$then$the$whole$thing$could$be$an$invention).+

Copyright:*software+is+a+“literary+work”+–+it+is+a+set+of+instructions+and+in+theory+you+could+write+it+all+out+(Apple%v%Macintosh%1999*SCC,*there$are$ideas$involved$in$the$program,$but$it$is$an$expression).+

The+hard+part+is+proving+that+your+software+was+copied.+Software+is+protected+against+non[literal+copying+only+to+the+extent+that+the+owner+can+show+elements+as+to+which+the+programmer+(a)+didn’t+take+it+from+elsewhere+and+(b)+had+a+choice+whether+to+use+that+particular+element+to+make+an+operation+possible+(not$easy$to$do).+

In+determining+whether+a+software+program+was+“copied,”+the+nonhoriginal*features+(those+taken+from+other+software+or+those+that+must+be+included+for+the+software+to+perform+a+particular+operation)+have+to+be+identiYied+so+that+only*reproduction*of*original*features*is*considered+(Delrina%v%Triolet%Systems%1993*ONGD*2002*ONCA,*programmer$allegedly$copying$his$own$earlier$software,$but$every$non]literal$similarity$was$explained$by$the$fact$that$it$was$in$the$public$domain$to$write$it$that$way,$or$that$you$had$to$write$the$program$that$way$to$get$it$to$work).+

The+“abstractionheiltrationhcomparison”*test+is+a+way+to+Yilter+out+the+non[original+features+(Delrina):+(1) Abstraction:+You+have+to+describe+what+it+is+in+the+structure/look/feel+in+the+user+interface+or+

whatever+–+what+is+it+that+you+say+is+original?+What+are+the+elements+we+are+talking+about?(2) Filtration:*Filter+out+whatever+is+not+original+to+the+author+OR+is+what+dictated+by+functional+

considerations.+The+theory+being:+you+can’t+claim+copyright+in+programming+steps+that+are+necessary+to+perform+a+function.+What+is+left+is+the+abstract/non[literal+elements+that+were+original+to+the+author

(3) Comparison:*Then+you+compare+the+infringing+program+with+the+original+to+see+if+the+residue+of+the+original+elements+has+been+duplicated

You$have$to$draw$a$distinction$between$when$somebody$is$doing$“parallel%programming”$because$copyright$doesn’t$give$you$a$complete$monopoly,$it$gives$a$monopoly$of$your$original$expression.$You$want$your$software$to$perform$certain$functions,$but$anybody$who$is$writing$a$program$for$that$function$is$going$to$write$the$program$the$same$way.$If$someone$sits$down$and$independently$writes$an$original$expression$that$is$a$lot$like$your$original$expression,$you$can’t$do$anything$about$that$(unlike$patent$law).$

So$you$Ailter$out$everything$that$isn’t$original$to$the$author$and$the$features$that$are$purely$dictated$by$function.$This$is$why$it$is$very$hard$to$copyright$software:$literal$copying$is$easy$to$avoid,$and$non]literal$“copying”$is$hard$to$get$to$apply.$In$principle$it$can$be$copyright$protected,$but$in$practice$not$so$much.$

Copyright%Act%s.%2:%de,inition

“literary*work”+includes+tables,+computer+programs,+and+compilations+of+literary+works

Copyright%Act%s.%3(1)(h):%copyright%in%works

3.+(1)+For+the+purposes+of+this+Act,+“copyright”,+in+relation+to+a+work,+means+the+sole+right+to+produce+or+reproduce+the+work+or+any+substantial+part+thereof+in+any+material+form+whatever,+to+perform+the+work+or+any+substantial+part+thereof+in+public+or,+if+the+work+is+unpublished,+to+publish+the+work+or+any+substantial+part+thereof,+and+includes*the*sole*right

(h)+in*the*case*of*a*computer*program+that+can+be+reproduced+in+the+ordinary+course+of+its+use,+other+than+by+a+reproduction+during+its+execution+in+conjunction+with+a+machine,+device+or+computer,+to+rent+out+the+computer+program,


12

Cinematographic*Works

In+connection+with+movies,+the+act+distinguishes+between+movies+that+have+a+dramatic*character*(has+interest+as+a+sequence)+and+movies+that+don’t.+CA%s.%11.1%applies+to+movies+with+no*dramatic*character.*

For+purposes+of+deciding+how*long*copyright*persists*in*a*movie,+you+have+to+know+who+the+author+is.+Typically+they+will+decide+who+will+be+treated+as+the+author+and+then+they+register+the+copyright+in+the+movie+and+designate+the+author+(CA%s.%37:+registration$is$optional$but$it$does$exist;$CA%s.%53:%the$effect$of$registration$is$simply$that$it$is$evidence$of$the$particulars$entered$in$it:$information$found$in$the$register$of$copyright$is$presumed$to$be$true$and$is$evidence$of$that$truth).

Making+a+sound+recording+part+of+the+soundtrack+requires+consent+because+of+the+copyright+in+the+musical+work+itself+and+the+maker’s+copyright+in+the+sound+recording,+but$given$that$consent,*further*public*performance*or*telecommunication*of*the*soundtrack*does*not*infringe*any*right*of*the*composer*or*the*recording*under+CA%s.%19+(right$to$remuneration)+because+that+part+of+the+soundtrack+is+not+a+sound+recording+as+deYined+in+CA%s.%2+(“sound$recording”…$excludes$any$soundtrack$of$a$cinematographic$work$that$is$an$integral$part$of$the$cinematographic$work)+(Re:%Sound,+sound$recording$copyright]owner$does$not$get$royalties$every$time$the$movie$is$played).

Copyright%Act%%s.%2:%de,initions

“cinematographic*work”+includes+any+work+expressed+by+any+process+analogous+to+cinematography,+whether+or+not+accompanied+by+a+soundtrack;

Artistic*Works

Some+intellectual+creations+just+can’t+be+Yitted+into+the+concept+of+“work”+as+framed+in+the+Berne%Convention%or+the+Copyright%Act%because+they+are+neither+copyright+works+nor+patentable+inventions.+Some+(e.g.+plant+varieties+and+integrated+circuit+topographies)+have+IP+statuses+of+their+own,+but+Cuisenaire’s+teaching+device+did+not.+Fashion+clothes+offer+a+similar+example,+where+value+is+created+but+there+is+no+copyright.+

One+aspect+of+the+problem+is+basically+the+limitation+on+the+meaning+of+“artistic”+as+explained+in+Cuisenaire:+the+intent+has+to+be+to+make+something+for+its+aesthetic+appeal+rather+than+for+use+(Cuisenaire%v%South%West%Imports%1968*Ex*Ct*1968*SCC,+teaching$blocks$cannot$be$artistic$because$they$were$never$meant$to$be$enjoyed$aesthetically$–$the$main$function$was$not$aesthetics).

Note:*

CA%s.%5(1)+Subject+to+this+Act,+copyright+shall+subsist+in+Canada,+for+the+term+hereinafter+mentioned,+in*every*original*literary,*dramatic,*musical*and*artistic*work…

CA%s.%2:+“every*original*literary,*dramatic,*musical*and*artistic*work”+includes+every+original+production+in+the+literary,+scientiYic+or+artistic+domain…+

“every%original%production%in%the%scienti,ic%domain”$does$not$create$a$residual$category$of$productions$in$the$scientiAic$domain$which$are$not$covered$in$those$areas;$it$is$simply$amplifying/clarifying$what$is$in$the$four$categories$(literary,$dramatic,$musical$and$artistic$work)$but$as$a$matter$of$statutory$construction,$it$does$not$expand$copyright$protection$beyond$those$four$categories$(Cuisenaire).


"artistic*work"+includes+paintings,+drawings,+maps,+charts,+plans,+photographs,+engravings,+sculptures,+works+of+artistic+craftsmanship,+architectural+works,+and+compilations+of+artistic+works;

"architectural*work"+means+any+building+or+structure+or+any+model+of+a+building+or+structure.


13

Dramatic*Work*

Very+little+turns+on+the+difference+between+dramatic+and+literary+works.+Dramatic+works+include+choreographic+works.+The+separate+deYinition+of+dramatic+work+embraces+works+that+are+not+straight+“literary”+but+put+on+a+show+–+including+dance,+etc.


“dramatic*work”*includes(a) any+piece+for+recitation,+choreographic+work+or+mime,+the+scenic+arrangement+or+acting+form+of+

which+is+Yixed+in+writing+or+otherwise,+(b) any+cinematographic+work,+and+(c) any+compilation+of+dramatic+works;+

Musical*Works

Very+broad+deYinition.+Note:$Musical+works+do+not+need+to+be+hand[written+to+be+copyright[protected.


"musical*work"*means+any+work+of+music+or+musical+composition,+with+or+without+words,+and+includes+any+compilation+thereof.

SOME*OF*THE*RIGHTS*COMPRISING*COPYRIGHT*IN*A*WORK

The+speciYic+rights+outlined+in+CA%s.%3(1)+are+sub[categories+of+the+basic+rights;+the+list+is+not+exhaustive.+

Copyright%Act%s.%3(1):%Copyright%in%works

3(1)+For+the+purposes+of+this+Act,+“copyright”,+in+relation+to+a+work,+means*the*sole*right*to*produce*or*reproduce*the*work*or*any*substantial*part*thereof*in*any*material*form*whatever,*to*perform*the*work*or*any*substantial*part*thereof+in+public+or,+if+the+work+is+unpublished,+to+publish+the+work+or+any+substantial+part+thereof…+

TO*REPRODUCE*THE*WORK

The+reproduction+right+covers+reproduction+of+any+substantial+part.+That+“substantial*part”*can*be*the*nonhliteral*elements*(Landbroke%v%William%Hill%1964*UKHL,$in$this$case,$the$selection$and$arrangement$of$types$of$lists$of$football$matches;+also:$by$protecting$the$setup$of$the$football$coupon$as$a$literary$work,$copyright$law$indirectly$protects,$to$some$extent,$a$business$method;$similar$to$Bulman;$there$were$enough$literary$aspects$to$the$device$to$allow$copyright$protection.)$So*copyright*allows*you*to*protect*a*business*method*if*the*setup*is*linked*to*a*literary*work*of*some*kind.+

TO*PERFORM*THE*WORK*IN*PUBLIC

The+performance+right+applies+to*“in*public”+performance.+The+line+for+what+is+“public”+is+not+very+clear:+basically,+anything+that+can’t+be+described+as+private,+in+the+sense+of+domestic,+is+treated+as+public+(including+performances+in+private+clubs+etc.)+(Canadian%Admiral%v%Rediffusion%1954*Ex*Ct).+

Note:+“performance”+includes+showing+a+Yilm+or+playing+a+recording;+it+doesn’t+have+to+be+live+performance+(CA%s.%2%deAinition$of$“performance”).


14

TO*COMMUNICATE*THE*WORK*TO*THE*PUBLIC*BY*TELECOMMUNICATION

Telecommunication*requires*“communication.”*Until+recently,+everyone+thought+“communicate”+meant+to+send+anything+over+the+internet.+SCC+has+said,+with+respect+to+s.%3(1)(f),+“communicate”+must+be+interpreted+as+being+more$than$just$sending$something+(via+the+internet+or+otherwise).+

Distinction*between*“downloading”*and*“streaming”:*Downloading*is*not*caught*by*the*“telecommunication*right”+because+it+is+a+question+of+the+reproduction+of+works+rather+than+the+performance+of+works+(“communication”+being+classiYied+as+an+aspect+of+the+performance+right)+(ESA%v%SOCAN%2012*SCC,+communication$by$telecommunication$does$not$include$a$copy$being$sent$because$the$work$is$not$communicated;*technology%neutrality:%allowing$customers$to$download$is$an$alternative$delivery$method$and$should$not$attract$fees$given$that$supplying$the$Ailes$by$a$disk$or$some$other$means,$not$over$the$internet,$would$not$be$caught;$Rogers%v%SOCAN%2012*SCC,+also$found$that$downloading$copies$was$not$caught).+

HOWEVER:*the+Act+has+been+amended+to+add+CA%s.%2.4(1.1)+For+the+purpose+of+this+Act,+“communication”+of+a+work+to+the+public+by+telecommunication+includes*making*it*available*to*the*public*in*a*way*that*allows**member*of*the*public*to*have*access*to*it*(so$SOCAN$can$probably$take$another$crack$at$this$now).+

Copyright+law+extends,+or+can+be+made+to+extend+by+the+tariffs+approved+by+the+Copyright+Board,+to+Internet+communications+that+have+a+real*and*substantial*connection*with*Canada,+which+may+involve:+an+origin+in+Canada,+a+reception+in+Canada,+a+server+in+Canada,+or+some+combination+of+those+and+other+factors+(SOCAN%v%Canadian%Association%of%Internet%Providers%2004*SCC).

Internet*Service*Providers*are*not*themselves*infringing+(because+of+the+exclusion+from+the+deYinition+of+telecommunication+in+CA%s.%2.4(1)(b)),+and+were+not*authorizing*infringement+either,+just+because+they+were+aware+that+their+systems+might+be+used+to+communicate+copyright+material+(SOCAN).

Copyright%Act%s.%3(1)(f):%to%communicate%the%work%to%the%public%by%telecommunication

3(1)+For+the+purposes+of+this+Act,+“copyright”,+in+relation+to+a+work…+includes+the+sole+right

(f) in+the+case+of+any+literary,+dramatic,+musical+or+artistic+work,+to*communicate*the*work*to*the*public*by*telecommunication

MORAL*RIGHTS*IN*A*WORK

Moral*rights*got+into+the+system+via+amendments+to+the+Bern%Convention+in+the+1920s+because+of+this+idea+in+civil+law+that+a+copyright+should+reYlect+the+author’s+“moral+rights+in+a+work”+(it+was+a+natural/human+rights/creativity+basis)+whereas+in+common+law,+copyright+started+out+as+a+way+of+regulating+the+publishers+(it+was+a+commercial+basis).+

Moral+rights+do+not+belong+to+the+copyright+holder,+they*belong*to*the*author+and+cannot+be+transferred+or+assigned+but+they+can*be*waived.+

A+literary,+artistic,+musical+or+dramatic+work+can+be+distorted,+mutilated+or+modiYied+in+any+number+of+ways+when+they+are+reproduced,+but+there’s+no+claim+unless*the*change*is*prejudicial*to*the*author’s*honour*or*reputation,+which+is+a+hurdle+the+author+has+to+get+over+(Tidy%v%Trustees%of%the%Natural%History%Museum%1995*UK,+reproductions$of$the$artist’s$dinosaur$drawings$in$museum$catalogue$not$shown$to$have$affected$his$reputation$among$those$who$bought$the$catalogue).+

The+“prejudice”+will+readily+be+found+if+the+artist+has+a+halfway*reasonable*objection*(Snow%v%Eaton%Centre%1982*ONHC,+ribbons$tied$around$the$necks$of$Alying$geese$in$Eaton$Centre,$artist$got$injunction;$note:$prejudice$would$now$be$deemed$to$exist$under$CA%s.%28.2(2)$because$it$was$a$sculpture$that$was$modiAied).+

Apparently,+the+“deemed*prejudice”+in+CA%s.%28.2(2)+only+applies+to+modiYications+of+original*paintings,*sculptures,*etc.+(otherwise+any+reproduction,+practically,+would+be+deemed+prejudicial),+whereas+actual+prejudice+under+CA%s.%28.2(1)%can+occur+through+reproductions+that+distort+etc.


15

Distinction*between*economic*rights*(copyright)*and*moral*rights:*There+is+a+difference+between+the+copyright+owner+and+the+user+(purchaser)+–+once+you+have+bought+a+work,+you+are+entitled+to+do+with+it+what+you+want+(Théberge%v%Galerie%Petit%Champlain%2002*SCC,$poster$artist$didn’t$want$his$posters$being$imprinted$onto$canvases.$Majority:$user$was$not$making$additional$copies,$so$it$was$not$an$infringement$of$the$reproduction$right$(economic$right),$Theberge’s$complaint$was$complaining$about$the$use$of$the$posters$after$they$had$been$sold$–$this%was%taking%economic%rights%too%far%and%would%hamper%the%rights%of%the%user/purchaser%to%do%with%the%object%what%they%like).+

The+Théberge+case+divided+the+SCC+based+on+their+views+of+what+the+proper+extent+of+the+copyright+owner’s+economic+rights+was,+in+relation+to+the+author’s+moral+rights.+The+majority+took+the+view+that+no+“reproduction”+took+place+and+the+artist’s+objection+was+really+a+moral+rights+kind+of+thing,+because+he+wanted+to+control+the+use+to+which+the+posters+of+his+paintings+were+put+by+the+people+who+bought+them.+There’s+lots+of+good+stuff+in+that+case+about+the+balance+between+the+creator+and+the+user+etc.

Copyright%Act%s.%14.1:%moral%rights

14.1+(1)+The+author+of+a+work+has,+subject+to+section+28.2,+the*right*to*the*integrity*of*the*work*and,+in+connection+with+an+act+mentioned+in+section+3,+the+right,+where+reasonable+in+the+circumstances,+to*be*associated*with*the*work*as+its+author+by+name+or+under+a+pseudonym+and+the+right+to+remain+anonymous.

Copyright%Act%s.%14.2:%term%of%moral%rights

The+term+is+the+same+as+copyright+(life+of+author+++50+years).

Copyright%Act%s.%28.2:%infringement%of%moral%rights

28.2+(1)+The+author’s+right+to+the+integrity+of+a+work+is+infringed+only+if+the+work+is,+to*the*prejudice*of*the*honour*or*reputation+of+the+author,

(a) distorted,+mutilated+or+otherwise+modiYied;+or(b) used+in+association+with+a+product,+service,+cause+or+institution.

Where*prejudice*deemed28.2+(2)+In*the*case*of*a*painting,*sculpture*or*engraving,*the+prejudice+referred+to+in+subsection+(1)+shall*be*deemed+to+have+occurred+as+a+result+of+any+distortion,+mutilation+or+other+modiYication+of+the+work.+[this$one$is$probably$talking$about$modifying$the$original$work]+

Note:$distortion$does$include$reproducing$something$in$a$distorted$form.$NEIGHBOURING*RIGHTS

Neighbouring+rights+are+labeled+as+copyrights+for+drafting+reasons,+but+are+actually+conceptually+different.+There+is+a+different+set+of+rights+for+each+of+the+four+categories+of+neighbouring+rights+–+they+are+tailor[made+rights.+They+give+the+copyright+owners+certain+rights+in+the+subject$matter$of$the$copyright+but+they+are+not+the+same+as+the+s.+3+rights+given+in+a+work.+

COPYRIGHT*IN*SOUND*RECORDINGS

Once+a+sound+recording+is+recorded,+the+production+company+has+a+separate+right+from+the+artist.+The+most+important+right+is+the+right*to*reproduce*the*sound*recording:*this+gives+the+recording+company+an+independent$copyright+which+is+layered+with+the+author’s+copyright.+So$if$anyone$makes$a$copy$of$the$sound$recording,$it$is$(a)$a$reproduction$of$the$musical%work$AND$(b)$a$reproduction$of$the$sound%recording

Copyright%Act%s.%18:%copyright%in%sound%recordings

18.+(1)+Subject+to+subsection+(2),+the+maker+of+a+sound+recording+has+a+copyright+in+the+sound+recording,+consisting+of+the+sole+right+to+do+the+following+in+relation+to+the+sound+recording+or+any+substantial+part+thereof:(a) to+publish+it+for+the+Yirst+time,+(b) to*reproduce*it*in*any*material*form,+and+(c) to+rent+it+out,

and+to+authorize+any+such+acts.


16

COPYRIGHT*IN*A*PERFORMER’S*PERFORMANCE*

With+the+expansion+of+the+performer’s+rights,+the+reproduction+of+a+sound+recording+of+a+musical+work+implicates+the+rights+of:+(a) the+author*of*the*work+(i.e.+the+composer+and+lyricist)+because+the+work+is+being+reproduced+(CA%s.%3(1))+

and+an+additional+sound+recording+is+being+made+of+it+(CA%s.%3(1)(d))(b) the+performer+who+now+has+the+sole+right+to+reproduce+a+sound+recording+of+the+performance+(CA%s.%

15(1.1)(b))+(c) the+maker*of*the*sound*recording*who+has+the+sole+right+to+reproduce+the+sound+recording+in+any+

material+form+(CA%s.%18(1)(b)).

Note:$a*video*recording+of+the+work+is+a+reproduction+of+the+work+(so+needs+the+author’s+consent),+and+it+is+a+eixation+of+the+performance+(so+needs+the+performer’s+consent,+CA%s.%15(1.1)(a)(iii)),+but*there*is*no*neighbouring*right*in*it+(because+it+itself+is+a+cinematographic+work+and+so+the+author+of+it+has+a+regular+copyright).+Reproductions+of+the+video+therefore+implicate+the+rights+of+the+author+(because+it’s+another+reproduction+of+the+work)+but*not*the*rights*of*the*performer+(because+the+reproduction+right+in+s.%15(1.1)(b)+relates+only+to+sound+recordings,+and+sound+recordings+do+not+include+the+soundtrack+of+cinematographic+works+(CA%s.%2,+“sound+recording”,+and+the+recent+Re:%Sound+case).+

So$the$most$important$right$is$that$if$you$are$going$to$record$the$performance,$you$need$not$only$the$permission$of$the$composer$of$the$musical$work$but$the$performer$has$to$agree$to$any$live$broadcast$(CA%s.%15(1.1)(a))$and$has$to$agree$to$any$Aixation$at$all$(video,$sound$recording,$etc.)$but$once$it$is$Aixed$in$a$sound%recording,$there$are$additional$rights$based$on$reproduction$of$the$sound$recording$(CA%s.%15(1.1)(b)),$renting$out$(CA%s.%15(1.1)(c)),$making$available$by$telecommunication$(CA%s.%15(1.1)(d)),$and$the$distribution$of$the$sound$recording$(CA%s.%15(1.1)(e))$–$all$of$these$extra$rights$attach$to$sound$recordings$but$not$video.$

Video$recording$is$a$Aixation$(so$you$can$veto$the$Aixation/recording$of$it)$but$it$is$not$a$sound$recording$–$once$a$video$recording$is$made,$the$sound$recording$rights$don’t$attach.

Note:$under$s.$15(1),$which$in$most$cases$will$also$apply$to$the$performance$in$addition$to$s.$15(1.1),$the$performer$has$the$sole$right$to$reproduce$unauthorized$Aixations$(not$just$sound$recordings),$and$so$would$have$a$right$to$stop$the$copying$of$a$bootleg$video,$but$not$a$video$made$with$consent.$ $ $ (cont’d)Note:*CA%s.%15(1)+sets+out+the+rights+that+were+there+since+1997,+reYlecting+the+Rome%Convention,+whereas+CA%s.%15(1.1)+reYlects+the+the+WPPT+version+of+the+rights+(applies+if+it+is+a+WPPT+country).+

Copyright%Act%s.%15(1.1):%copyright%in%a%performer’s%performance

15.+(1.1)+Subject+to+subsection+(2),+a+performer+has+a+copyright+in+the+performer's+performance,+consisting+of+the+sole+right+to+do+the+following+in+relation+to+the+performer’s+performance+or+any+substantial+part+thereof:

(a) *if*it*is*not*eixed,+(i) to+communicate+it+to+the+public+by+telecommunication,+(ii) to+perform+it+in+public,+where+it+is+communicated+to+the+public+by+telecommunication+otherwise+

than+by+communication+signal,+and+(iii)to+Yix+it+in+any+material+form,+

(b) if*it*is*eixed,+(i) to+reproduce+any+Yixation+that+was+made+without+the+performer's+authorization,+

[signi,icance:%this%gives%the%performer%control%over%what%happens%to%the%sound%recording%that%is%made%of%that%performance]

(ii) where+the+performer+authorized+a+Yixation,+to+reproduce+any+reproduction+of+that+Yixation,+if+the+reproduction+being+reproduced+was+made+for+a+purpose+other+than+that+for+which+the+performer's+authorization+was+given,+and+

(iii)where+a+Yixation+was+permitted+under+Part+III+or+VIII,+to+reproduce+any+reproduction+of+that+Yixation,+if+the+reproduction+being+reproduced+was+made+for+a+purpose+other+than+one+permitted+under+Part+III+or+VIII,+and+


17

(c) to+rent+out+a+sound+recording+of+it,+

(d)to+make+a+sound+recording+of+it+available+to+the+public+by+telecommunication+in+a+way+that+allows+a+member+of+the+public+to+have+access+to+the+sound+recording+from+a+place+and+at+a+time+individually+chosen+by+that+member+of+the+public+and+to+communicate+the+sound+recording+to+the+public+by+telecommunication+in+that+way;+and+[unclear%whether%that%is%going%to%cover%,iles?%–%this%may%or%may%not%allow%the%performer%to%control%downloading/etc.%but%allows%them%to%control%online%streaming%of%their%performance]

(e) if+it+is+Yixed+in+a+sound+recording+that+is+in+the+form+of+a+tangible+object,+to+sell+or+otherwise+transfer+ownership+of+the+tangible+object,+as+long+as+that+ownership+has+never+previously+been+transferred+in+or+outside+Canada+with+the+authorization+of+the+owner+of+the+copyright+in+the+performer’s+performance.+[performer%has%the%sole%right%to%decide%how%the%hard%copy%performance%is%going%to%be%distributed%when%it%is%sold%anywhere%for%the%,irst%time]

and+to+authorize+any+such+acts.

RIGHT*TO*EQUITABLE*REMUNERATION*FOR*PERFORMANCE*IN*PUBLIC*OF*A*SOUND*RECORDING

This+is+a+shared+right+between+the+performer+and+the+recording+company+which+attaches+to+the+public+performance+or+telecommunication+to+the+public+of+the+musical+work.

CA%s.%19:%If+a+sound+recording+is+published,+the+performer+and+maker+are+entitled+to+be+paid+equitable+remuneration+for+its+performance+in+public+or+its+communication+in+public+by+telecommunication+except+for+the+“making+available”+right.+CA+s.+19(2)+says+how+you+pay+this+equitable+remuneration+(you+pay+it+to+the+collective+society+(SOCAN)).+

It+is+not+a+copyright,+rather+a+“perhplay*compensation.”+Once+you+have+agreed+that+your+performance+can+be+broadcast,+then+you+have+given+your+consent+and+they+can+play+it+any+number+of+times.+This+provision+says+they+don’t+have+to+ask+your+permission+every+time+but+they+have+to+pay+you+something+every+time+they+run+it.+

BROADCASTER’S*COPYRIGHT*IN*A*COMMUNICATION*SIGNAL*

CA%s.%21:%A+broadcaster+has+an+independent+right+in+the+broadcast+as+deYined+–+means+anybody+recording+the+broadcast+would+be+infringing+the+broadcaster’s+copyright+because+the+right+the+broadcaster+has+includes+the+right+to+Yix+the+signal.+

When%you%put%all%these%rights%together,%the%music%industry%is%very%complicated.%Example:%

• If+a+singer+stands+up+and+sings+a+song,+that+is+a+performance+in+public+–+so+you+have+to+get+a+licence+• If+you+sing+it+without+a+licence,+you+are+infringing+the+owner’s+right+in+the+song+• If+someone+makes+an+unauthorized+recording+of+your+song+(you+are+the+singer),+that+is+an+infringement+of+

the+performer’s+copyright+in+the+performance+AND+it+is+an+infringement+of+the+copyright+owners+of+the+composition+(caught+by+s.+3+and+s.+15)

• If+there+is+a+sound+recording+made,+the+performer+gets+more+rights+because+they+control+telecommunication+of+the+sound+recording,+etc.

• If+a+sound+recording+is+made,+then+the+maker+of+the+sound+recording+also+has+copyright+in+the+recording+• So+a+sound+recording+has+several+layers+of+copyright:

• Composer’s+copyright• Performer’s+copyright• Sound+recording+maker’s+copyright+


18

OWNERSHIP*AND*ASSIGNMENT

GENERAL

The+writing*requirement+applies+to+the+validity+of+any+assignment+or+grant+of+an+interest+(i.e.+exclusive+licence),+and+registration+is+necessary+to+ensure+that+the+assignment,+even+if+initially+valid,+doesn’t+get+nulliYied+by+a+subsequent,+registered+assignment+by+the+same+assignor+(CA%s.%57(3)).+

University%of%London%Press+illustrates+the+writing+rule:+the+University+had+made+a+written+assignment+to+the+Press,+but+the+examiners+had+not+made+a+written+assignment+to+the+University.+The+result+was+that+the+University+did+not+have+a+legal+assignment+of+copyright+from+the+examiners+(no+writing)+but+did+have+an+equitable+assignment,+which+is+a+binding+obligation+to+assign.+The+Press,+as+assignee+of+the+University+of+London’s+rights,+stood+in+the+University’s+shoes+in+relation+to+the+equitable+assignment+from+the+examiners.+That+meant+the+Press+had+a+right+to+sue+the+University+Tutorial+Press+for+infringement+of+the+copyright+in+the+exams,+but+since+it+was+not+the+owner+of+the+copyright+at+law,+just+in+equity,+it+could+only+sue+University+Tutorial+Press+by+joining+the+actual+owners,+the+examiners,+as+plaintiffs+(they+couldn’t+refuse+to+be+joined+because+they+had+bound+themselves+to+assign+copyright+to+the+University+of+London.)

Copyright%Act%s.%13(4):%assignment%

13+(4)+The+owner+of+the+copyright+in+any+work+may+assign+the+right,+either+wholly+or+partially,+and+either+generally+or+subject+to+limitations+relating+to+territory,+medium+or+sector+of+the+market+or+other+limitations+relating+to+the+scope+of+the+assignment,+and+either+for+the+whole+term+of+the+copyright+or+for+any+other+part+thereof,+and+may+grant+any+interest+in+the+right+by+licence,+but+no*assignment*or*grant*is*valid*unless*it*is*in*writing*signed*by*the*owner*of*the*right*in+respect+of+which+the+assignment+or+grant+is+made,+or+by+the+owner's+duly+authorized+agent.

TERMS*AND*REGISTRATION

If+there+is+an+assignment,+there+is+a+great+advantage+to+registering+the+copyright,+because+that+allows+you+to+register+the+assignment.+This+is+important+because+if+an+assignment+is+not+registered,+it+is+void+to+a+subsequent+assignment+(CA%s.%57(3)).+You+are+free+to+sue+the+assignor+for+breach+of+contract+but+you+will+not+be+entitled+to+the+assignment+itself.+

Registration+of+copyright+also+means+that+the+information+on+the+register+is+evidence+of+the+facts+(CA%s.%53(1)),+i.e.$who$is$the$owner,$who$is$the$author,$etc.+This+is+signiYicant+because+it+is+the+owner*of*the*copyright*who+is+entitled+to+remedies+for+infringement+(CA%s.%34(1))

In+addition+to+the+evidential+value+of+registration,+there+are+also+the+presumptions+in+s.%34.1,+which+apply+if+the+subsistence+of+copyright,+or+ownership+of+it,+is+put+in+issue+in+legal+proceedings.+There’s+a+presumption+of+subsistence+of+copyright+and+a+presumption+that+the+author+(or+performer,+etc.)+owns+it+(CA%s.%34.1(1)),+and+there’s+a+presumption+that+a+person+who+is+named+on+the+work+as+the+author+is+the+author,+and+if+the+author’s+true+name+isn’t+given+but+the+name+of+a+publisher+is,+that+publisher+is+presumed+to+own+the+copyright+(CA%s.%34.1(2)).


19

INFRINGEMENT

Copyright%Act%s.%27:%Infringement

Infringement%generally27.+(1)+It+is+an+infringement+of+copyright+for+any+person+to+do,+without+the+consent+of+the+owner+of+the+copyright,+anything+that+by+this+Act+only+the+owner+of+the+copyright+has+the+right+to+do.

Secondary%infringement(2)+It+is+an+infringement+of+copyright+for+any+person+to

(a) sell+or+rent+out,(b) distribute+to+such+an+extent+as+to+affect+prejudicially+the+owner+of+the+copyright,(c) by+way+of+trade+distribute,+expose+or+offer+for+sale+or+rental,+or+exhibit+in+public,(d) possess+for+the+purpose+of+doing+anything+referred+to+in+paragraphs+(a)+to+(c),+or(e) import+into+Canada+for+the+purpose+of+doing+anything+referred+to+in+paragraphs+(a)+to+(c),

a+copy+of+a+work,+sound+recording+or+Yixation+of+a+performer’s+performance+or+of+a+communication+signal+that+the+person+knows+or+should+have+known+infringes+copyright+or+would+infringe+copyright+if+it+had+been+made+in+Canada+by+the+person+who+made+it.

LITERARY*WORKS

In+the+Preston+case,+the+judge+decided+that+there+was+no+substantial+part+of+“Space+Pets”+reproduced+in+the+Return+of+the+Jedi,+and+that+even+if+the+Ewok+characters+could+be+said+to+have+been+reproduced,+there+is+no+copyright+in+the+concept+of+the+Ewok+characters+(Preston%v%Twentieth%Century%1990*FCTD*aff’d*1993*FCA).

DRAMATIC*WORKS

In+Roy%Export,+the+focus+was+on+the+infringer’s+proYits+(Roy%Export%v%Gauthier%1973*FCTD,*these$works$didn’t$actually$infringe$copyright$because$they$were$legally$made$outside$Canada$with$the$consent$of$somebody$who$had$the$copyright$in$the$other$country$but$would$have$infringed$copyright$if$it$had$been$made$in$Canada$by$the$person$who$made$it).+

MUSICAL*WORKS

The+interesting+musical+infringement+cases+are+where+you+say+this+melody+in+your+song+is+so+close+to+the+melody+in+my+song+that+you+are+infringing.+This+is+where+experts+testify+as+to+what+makes+a+song+catchy+–+it’s+the+problem+of:+“have+you+copied+a+substantial+portion+of+the+song?”+

Musical+works+is+also+an+area+where+subconscious+copying+comes+up.+If+it+can+be+proven+that+you+in+fact+heard+the+plaintiff ’s+song+and+it+was+running+through+your+head+and+you+subconsciously+copied+it+–+if+they+are+too+alike+that+you+must+have+copied+it.+

ARTISTIC*WORKS

In+Kaf,ka+the+court+sought+to+work+out+not+what+the+defendant+gained,+but+what+the+plaintiff+had+lost+in+terms+of+Yinancial+and+potential+enhancement+of+his+reputation+(Kaf,ka%v%Mountain%Side%1982*BCSC).+

Note:$a+public+display+of+artistic+work+can+be+infringement+even+if+it+is+not+for+sale+or+hire+(CA%s.%3(1)(g))

Note:$pictures+of+architectural+works+(buildings)+are+theoretically+infringement+of+copyright,+but+CA%s.%32.2(1)%provides+an+exception+to+this:+the+building+plans+are+protected+but+the+building+itself+is+not.+


20

SECONDARY*INFRINGEMENT

The+EruoDExcellence%case+was+an+attempt+to+use+secondary+copyright+infringement+to+control+parallel+marketing+(Euro%Excellence%v%Kraft%Canada%2007*SCC).+

Because+the+two+dissenting+judges+disagreed+with+both+sets+of+majority+reasons,+and+because+neither+set+attracted+more+than+four+of+the+seven+majority+judges,+there+was+actually+a+5[4+majority+against+both+the+Rothstein+line+and+the+Bastarache+line.+

Rothstein’s+turned+on+the+inability+of+an+exclusive+licensee+to+sue+the+licensor/owner+for+infringement+(an+inability+deduced+from+the+terms+of+the+Act).+Bastarache+expressly+disagreed+with+that+line,+invoking+instead+an+implicit+distinction+between+selling+or+importing+a+copy+of+a+work+as+such,+and+selling+or+importing+a+copy+of+a+work+that’s+incidental+to+the+object+or+service+actually+being+sold/imported.+

The+Bastarache+reasoning+would+apply+even+if+Kraft+Canada+had+actually+be+an+assignee,+rather+than+an+exclusive+licensee,+of+the+Canadian+copyright+in+the+logos,+whereas+the+Rothstein+reasoning+would+say+that+that+makes+all+the+difference.+

Con,licting%decision,%but%basically,%an%exclusive%licensee%can't%sue%the%copyright%owner%for%infringement.

CA%s.%27(2):+infringement+by+dealing+with+or+importing+infringing+works+for+commercial+purposes.

AUTHORIZING*INFRINGEMENT*

Authorizing+infringement+is+where+someone+is+authorizing+somebody+else+to+do+the+infringing.+Anyone+who+authorizes+a+third+party+to+infringe+is+also+infringing+themselves.+

However,+merely*providing*an*instrument+by+which+a+third+party+may+infringe+copyright+does*not*authorize*the+third+party+to+do+so,+for+the+purposes+of+the+“authorization”+aspect+of+infringement+in+CA+s.+3(1)+(CCH%Canadian%v%Law%Society%of%Upper%Canada%2004*SCC).

Copyright%Act%s.%3(1):%Copyright%in%works

3(1)+For+the+purposes+of+this+Act,+“copyright”,+in+relation+to+a+work,+means+the+sole+right+to+produce+or+reproduce+the+work+or+any+substantial+part+thereof+in+any+material+form+whatever,+to+perform+the+work+or+any+substantial+part+thereof+in+public+or,+if+the+work+is+unpublished,+to+publish+the+work+or+any+substantial+part+thereof…+and*to*authorize*any*such*acts.

FAIR*DEALING*EXCEPTION*

The+“fair+dealing+exception”+was+previously+presumed+to+be+very+narrow+(for$research/private$study).+However,+the+CCH+case+took+a+generous+approach+to+fair+dealing.+

Two*step*analysis:*(1) Is+the+dealing+within+the+statutory+purpose?(2) If+it+is,+was+the+dealing+fair?+–+using+a+6+factor+test:

(a) Purpose:*What+is+the+purpose+of+the+dealing?+What+kind+of+private+research/study+is+it+for?(b) Character:*What+is+the+character+of+the+dealing?+Are+you+making+many$copies+of+the+work?+How+is+it+

infringing+the+copyright?+(c) Amount:+What+is+the+amount+of+the+dealing?+The+more+you+take,+the+less+it+looks+like+fair+dealing.+(d)Alternatives*to*dealing:*Is+there+another+way+to+get+the+work/information+that+would+be+

reasonable?(e) Nature*of*the*work:+Is+the+work+of+such+a+nature+that+what+you+are+doing+is+really+going+to+hurt+it?(f) Effect*of*the*dealing*on*the*work:+Are+you+really+undercutting+the+economic+potential+of+the+

copyright+work?+(this$one$is$critical)• Note$however:$In$many$cases,$the$concern$of$the$copyright$owner$may$not$be$money$–$it$may$be$

loss$of$exclusiveness,$etc.,$there$may$be$other$values$in$play$


21

“Research”+is+now+pretty+broad+as+a+category.+It+includes+professional*research+(CCH%v%LSUC%2004*SCC,+commercial$activity$can$be$considered$private$research:$photocopying$cases$can$be$fair$dealing),+consumer*investigation*of*products*on*offer+(SOCAN%v%Bell%2012*SCC,%iTunes$preview$case:$sampling$of$music$is$fair$dealing),+and+studying*in*school+(Alberta%v%Access%Copyright%2012*SCC,*fair$to$consider$teachers$as$working$for$the$students,$not$for$themselves,$what$they$are$doing$is$assisting$the$study$of$the$student`).+

The$6$factors$are$used$in$each$of$the$cases,$and$which$of$them$is$critical$depends$on$the$circumstances.$The%ultimate%question%is%how%the%bene,it%the%dealing%generates%for%the%dealer%balances%against%the%detriment%it%imposes%on%the%copyright%owner,%detriment%here%being%more%than%just%a%,inancial%question.

CA%s.%29:+fair+dealing+for*the*purpose*of*research,*private*study,*education,*parody*or*satire+does+not+infringe+copyright.

CA%s.%29.1:%fair+dealing+for*the*purpose*of*criticism*or*review+does+not+infringe+copyright+if+the+source/author+is+mentioned.+

CA%s.%29.2:%fair+dealing+for+the+purpose+of+reporting+or+news+summary+does+not+infringe+copyright+if+the+source+/author+is+mentioned.+

STATUTORY*EXCEPTIONS*TO*INFRINGEMENT*

CA%s.%29.21+is+a+“mash[up”+provision+designed+to+allow+end+users+to+be+creative+for+non[commercial+uses.+It+takes+things+that+would+otherwise+infringe+and+says+it+is+not+infringement+if+you+add+something+new+–+there+is+a+low+threshold+for+the+creation+of+new+work.+

It+is+not+infringement+of+copyright+for+an+individual+to+use+an+existing+work+or+other+subject+matter+(reference$to$performance,$etc.)+or+a+copy+of+one,+which+has+been+published+or+otherwise+made+available+to+the+public,+in+the+creation+of+new*work*and+for+the+individual+to+use*and+disseminate*it+if:+it+is+for+a+nonhcommercial*purpose+(refers$to$purpose$of$the$use,$not$the$purpose$of$the$creation)+(s.%29.21(1)(a)),+the*source*is*credited*(s.%29.21(1)(b)),+there+are+reasonable+grounds+to+believe+the+original*work*was*not*itself*infringing*copyright+(s.%29.21(1)(c))+and+there+are+no*substantial*adverse*effects,+Yinancial+or+otherwise,+on+the+exploitation+or+potential+exploitation+of+the+exist+work,+or+on+a+market+for+it+(s.%29.21(1)(d)).

The$motive$behind$this$is$to$respond$to$the$public$policy$argument$that$the$law$of$copyright$is$holding$back$creativity$because$it$prevents$taking$an$existing$work$and$making$something$new$of$it.$But$this$provision$only$applies$if$the$new$work$doesn’t$undermine$the$value$of$the$original$one.$

CA%s.%29.22:%reproduction+for+private+purposes+CA%s.%29.24:+backup+copiesCA%s.%31.1:%network+services

These$provisions$were$put$in$partly$to$say,$look,$we$are$expanding$user$rights$and$the$reason$the$government$wanted$to$say$this$is$because$at$the$same$time,$it$was$beeAing$up$copyright$owners’$rights$on$the$digital$rights$management$side$–$this$was$politically$controversial.

COPYING*ONTO*AN*AUDIO*RECORDING*MEDIUM*FOR*PRIVATE*USE*

This+provision+was+an+exception+in+the+Act+saying+that+copying+onto+blank+cassette+tapes+was+not+infringement+because+a+levy+on+the+tapes+included+the+royalties+to+the+music+industry+into+the+price+of+the+cassettes+(CA%ss.%79–82).+The+FCA+decided+that+these+provisions+did+not+extend+to+copying+onto+digital+memory+because+that+is+not+a+blank+audio+recording+medium+within+the+meaning+of+the+Act.+


22

DIGITAL*RIGHTS*MANAGEMENT*

CA%s.%41.1–41.27:+general+prohibition+against+circumventing+technological+protection+measures.+Digital+rights+management+was+legally+protected+for+the+Yirst+time+in+the+2012+amendments,+and+

Circumventing+a+technological+protection+measure+is+deemed*infringement.+It+is+a+civil+wrong+and+the+remedies+for+it+are+the+same+as+the+remedies+for+infringing+a+copyright+(CA%s.%41.1(2)).+The+liability+for+circumventing+technological+protection+measures+(TPMs)+is+not+subject+to+the+fair+dealing+exceptions;+it’s+subject+only+to+the+narrow+exceptions+in+the+provisions+after+s.%41.1.

Criticism$of$this:*You+are+allowing+copyright+owners+to+do+indirectly+what+they+are+not+allowed+to+do+directly+–+which+is+to+stop+people+of+making+use+of+their+works+in+fair+dealing.+

There+are+people+who+say+this+isn’t+so+bad+because+the+market+is+going+to+take+care+of+this+–+they+have+a+right+to+lock+everything+up+but+that+won’t+be+good+for+business+–+so+the+market+will+take+care+of+this+

CRIMINAL*LIABILITY*

The+criminal+offences,+for+knowingly+dealing+with+infringing+copies+as+set+out+in%s.%42+now+extend+to+knowingly+(it$has$to$be$intentional)+circumventing+TPMs+for+commercial*purposes.

Note:$s.%27%(secondary$infringement)+that+is+triggered+if+you+do+these+things+(selling,+renting,+etc)+if+you+knew+or+ought+to+have+known+that+it+infringed+copyright;+whereas+on+the+criminal+side+(s.%42),+you+have+to+knowingly+do+it+(higher$standard).+

COLLECTIVE*ADMINISTRATION*OF*RIGHTS*

The+function+of+these+societies+is+to+licence+people+to+use+the+works+and+a+mechanism+by+which+they+can+do+that+is+to+propose+a+tariff+to+the+copyright+board+who+then+has+to+approve+it+or+not+

SOCAN+is+one+of+several+collective+societies+which+handle+requests+for+reproduction+of+works+of+individual+copyrights+and+has+a+legal+right+to+propose+a+set+of+tariffs.+SOCAN+represents+composers,+authors,+music+publishers,+etc.+SOCAN+submits+a+proposed+set+of+tariffs+to+the+Copyright+Board+(a+statutory+body)+who+consider+the+proposal+for+the+tariff+and+decide+whether+it+is+authorized+by+law.+Decisions+of+the+Copyright+Board+can+be+appealed+to+FCA+up+to+SCC.

INTERNATIONAL*ASPECTS

Canada+is+obliged+to+extend+national+treatment+to+works+by+authors+from+treaty+countries+and+that+is+why+all+these+provisions+are+in+the+act+that+say+copyright+applies+if+the+author+is+Canadian+or+from+another+country.

CA%s.%2:%“Berne+Convention+country”,+“Rome++Convention++country”,++“treaty++country”,+++“UCC++country”,++“WCT+country”,+“WPPT+country”,+“WTO++Member”CA%s.%5(1):+conditions+for+subsistence+of+copyright;+works+by+a+citizen+or+ordinary+resident+of+a+treaty+country;+works+Yirst+published+in+a+treaty+country+CA%s.%5(2):%Minister’s++power++to++extend++copyright++to++works++by++citizens++or++residents++of,++or+++works+Yirst+published+in,+other+countries


23

PASSING*OFF

COMMON*LAW

The+tort+of+passing+off+has+grown+into+a+general+remedy+if+you+market+your+stuff+using+a+particular+name/look+and+somebody+else+who+then+markets+their+stuff+using+that+or+a+similar+indicator,+you+are+hurt+by+this+because+the+public+is+being+confronted+by+another+product+which+is+not+yours+which+thereby+undercuts+the+marketability+of+your+product.+What+you+can+stop+people+doing+in+passing+off+is+using+a+shape/colour/name+that+the+public+associates+with+you+–+you+have+to+prove+that+they+associate+it+uniquely*with*you.*

Camel%Hair%Belting%was+the+Yirst+case+which+said+passing+off+can+apply+even+to+words+that+describe+the+product+BUT+the+key+was+that+you+have+to+show+that+the+public$does$in$fact$associate$the+product+with+the+maker,+i.e.+when+they+saw+camel+hair+belting,+they+thought,+“that’s+belting+made+by+X.”

Warnink+conYirmed+that+there+could+be+goodwill+in+an+identiYier+that+did+not+(unlike%a%tradeDmark)+indicate+a+unique+source+for+the+goods,+but+did+indicate+the+distinctive$nature$of+the+goods+(Erven%Warnick%v%Townsend%&%Sons%1979*UKHL,+“Avocaat”$brandy,$it’s$not$that$Avocaat$comes$from$a$speciAic$geographical$location,$but$rather$that$it$has$a$speciAic$recipe).+All+those+in+the+business+of+selling+the+“genuine”+article+shared+in+this+goodwill+and+could+claim+against+someone+who+used+the+identiYier+for+their+“false”+(i.e.+not+falling+in+the+distinctive+class)+article.

Elements*for*passing*off:(1) There+has+to+be+goodwill+or+reputation+attached+to+the+goods/services+(goodwill$is$the$key)(2) There+is+a+misrepresentation+by+the+defendant+that+is+likely+to+lead+the+public+to+believe+that+the+

defendant’s+goods/services+are+those+in+which+the+plaintiff+has+the+goodwill+when+they+aren’t(3) You+must+demonstrate+damage+(note:+you+don’t+have+to+prove+that+you+actually+lost+money,+all+you+have+to+

prove+is+that+the*public*is*being*confused*about*your*particular*product*–+that+in+itself+is+damage+because+you’ve+lost+exclusivity+and+loss+of+exclusivity+means+loss+of+control)

(Diplock+J+deYines+the+tort+in%Warnink,%uses$5$elements,$but$courts$have$gone$back$to$the$original$3$elements).

Note:$Passing+off+is+the+only+thing+that+protects*goodwill*in*any*form*of*marketing*identieication,+which+may+be+vested+in+one+particular+trader+or+a+group+(whereas+trademark+is+about+protecting+the+source+from+which+a+product+originates).+Therefore,+this+sort+of+passing+off+has+never+moved+beyond+alcohol+because+there+are+so+few+products+the+names+of+which+has+this+sort+of+cache+and+where+you+can+say+it’s+only+this+product+that+is+made+in+this+particular+way+that+can+have+this+particular+name.

CibaDGeigy+was+particularly+concerned+with+who*are*the*“public”*to*be*considered+in+deciding+whether+there+is+goodwill+in+the+particular+identiYier+among+“the+public”,+and+whether+“the+public”+are+liable+to+be+confused+or+misled+by+the+misrepresentation+(CibaDGeigy%v%Apotex%1992*SCC,$the$identiAier,$in$that$case,$being$the$colour$and$shape$of$the$tablets;$despite$the$way$prescription$drugs$are$sold$in$Canada,$the$patient$was$seen$as$having$a$role$in$deciding$whether$to$take$tablets$from$one$source$(brand]name$supplier)$or$another$(generic),$and$so$to$be$considered$as$part$of$the$public).

Walt%Disney+illustrates:+(a)+the+geographic*dimension*of*goodwill+(there+must+be+goodwill+within+the+jurisdiction+where+passing[off+is+said+to+have+taken+place,+even+if+the+business+to+which+the+goodwill+attaches+is+located+outside+the+jurisdiction)+(b)+the*nature*of*the*evidence*that*can*be*used*to+show+goodwill+and+confusion,+and+(c)+the*nature*of*the*damage*for+which+passing[off+is+a+remedy+(not+just+lost+business,+but+loss+of+control+over+the+business’s+reputation)+(Walt%Disney%v%Triple%Five%1994*ABCA,*(1)$goodwill$resides$in$name$Fantasyland$(2)$there$is$misrepresentation$(3)$actual$damage$is$presumed$once$you’ve$shown$goodwill$has$been$affected$by$misrepresentation,$damage$for$loss$of$control$over$the$trademark;$so$goodwill$can$reside$in$Canada$even$if$the$actual$business$resides$elsewhere).+

(cont’d)


24

Note:%Confusion+was+held+not+to+exist+with+respect+to+the+Fantasyland+Hotel+because+the+services+were+different;+the+public+would+not+assume+that+a+hotel+was+connected+with+Disney+just+because+it+bore+the+name+Fantasyland+(this+is+a+Yinding+of+fact,+or+mixed+fact+and+law,+and+may+or+may+not+be+right+on+the+facts).

Domain%Name%case+widened+the+scope+of+passing+off+by+holding+that+domain+names+are+a+part+of+the+law+of+trademarks+(Law%Society%of%BC%v%Canada%Domain%Name%Exchange%Corp%2004*BCCA+aff ’d*2005*BCCA).

Note:$intention*to*mislead*is+not+required+to+prove+passing+off,+but+it+is+not+irrelevant+either.+

In+order+to+succeed+in+passing+off,+you*have*to*show*actual*confusion,+not+just+potential+confusion+(but+you+don’t+need+evidence,+if+you+can+infer+that+a+substantial+number+of+people+probably+are+confused,+that’s+good+enough,+but+there+must+be+a+real+inference+that+confusion+is+actually+happening).+

TRADE*MARKS*ACT*S.*7

TradeDMarks%Act%s.%7:%prohibitions

7.+No+person+shall(a) make+a+false+or+misleading+statement+tending+to+discredit+the+business,+wares+or+services+of+a+

competitor;(b) direct+public+attention+to+his+wares,+services+or+business+in+such+a+way+as+to+cause+or+be+likely+to+

cause*confusion+in+Canada,+at+the+time+he+commenced+so+to+direct+attention+to+them,+between+his+wares,+services+or+business+and+the+wares,+services+or+business+of+another;

(c) pass+off+other+wares+or+services+as+and+for+those+ordered+or+requested;(d) make+use,+in+association+with+wares+or+services,+of+any+description+that+is+false+in+a+material+respect+

and+likely+to+mislead+the+public+as+to(i) the+character,+quality,+quantity+or+composition,(ii) the+geographical+origin,+or(iii)the+mode+of+the+manufacture,+production+or+performance

of+the+wares+or+services;+or(e) do+any+other+act+or+adopt+any+other+business+practice+contrary+to+honest+industrial+or+commercial+

usage+in+Canada.

Kirkbi+case+upheld+the+federal+authority+to+legislate+on+trade[marks+in+general+and+passing+off+via+unregistered+trade[marks+(TMA%s.%7(b))+in+particular.+

Courts+will+not+recognize+goodwill+in+the+appearance*of*a*utilitarian*feature*because+that+would+mean+goodwill+was+enjoyed+by+the+functional+aspects+of+the+product,+not+just+its+appearance+as+an+aesthetic+or+recognition+factor+(Kirkby%v%Ritvik%2005*SCC,+the$look$of$the$MegaBlocks$was$distinctive$of$Lego,$court$refused$to$recognize$goodwill$in$the$appearance$of$a$utilitarian$feature$of$the$lego$blocks).+

This+reYlects+a+general*policy*of+law+that+you+can’t+acquire+a+monopoly+of+a+“function”+–+you+can’t+claim+goodwill+in+a+distinctive+appearance+of+your+product+to+the+extent+that+that+appearance+is+dictated+by+the+need+for+the+product+to+perform+a+certain+function.+

The*standard*of*confusion*for*passing*off:*actual+confusion+(i.e.$people$shown$actually$to$be$confused)+is+not+the+test,+a*likelihood*of*confusion+will+sufYice+in+the+sense+that+the+misrepresentation+is+likely+to+lead+at+least+a+signiYicant+number+of+people+to+assume+the+“false”+products+or+services+are+“true”+ones+(see$s.%7(b):+“be+likely+to+cause+confusion”).+

Compare+that+with+the+standard+of+confusion+as+deYined+in+TMA%s.%6(2),+which+turns+on+whether+the+use+of+the+two+marks+“in+the+same+area+would+be+likely+to+lead+to+the+inference”+that+the+wares+or+services+originated+with+the+same+person.+That’s+a+test+of+hypothetical*confusion,+whereas+TMA%s.%7(b)%is+likely+premised+on+real+confusion+(even+if+inferred+from+being+likely+to+occur+under+the+circumstances).


25

TRADE*MARKS

MEANING*OF*“TRADE*MARK”*

Validity+of*a*trademark*depends+on+use+(you+can’t+register+unless+you+have+used+the+trade[mark+or+deAine$the$use+of+a+proposed+trade[mark),+registrability,+distinctiveness*(TMA%s.%18),+and+the+registrant*being*the*person*“entitled*to*register”+(TMA%s.%18;%TMA%s.%16,$conAlict$between$the$registrant$and$somebody$else$already$using$an$unregistered$trademark$that’s$confusingly$similar$to$the$would]be$registered$mark).+

“Use”*is+what+the+whole+thing+turns+on:+to$register,$you$have$to$prove$use;$to$keep$things$on$the$register,$you$have$to$show$continued$use;$use$also$comes$in$when$you’re$claiming$that$your$trademark$has$been$infringed.$What+the+trademark+gives+you+is+the+right+to+exclusive*use+(TMA%s.%20).+

Trade%Marks%Act%s.%2:%de,initions

“tradehmark”+means(a) a+mark+that+is+used+by+a+person+for+the+purpose+of+distinguishing+or+so+as+to*distinguish*wares*

or*services*manufactured,+sold,+leased,+hired+or+performed+by+him+from+those+manufactured,+sold,+leased,+hired+or+performed+by+others,

(b) a+certiYication+mark,(c) a+distinguishing+guise,+or(d) a+proposed+trade[mark;

Trade%Marks%Act%s.%18:%when%registration%invalid

18.+(1)+The+registration+of+a+trade[mark+is+invalid+if(a) the+trade[mark+was+not+registrable+at+the+date+of+registration,(b) the+trade[mark+is+not*distinctive*at+the+time+proceedings+bringing+the+validity+of+the+

registration+into+question+are+commenced,+or(c) the+trade[mark+has+been+abandoned,

and+subject+to+section+17,+it+is+invalid+if+the+applicant+for+registration+was+not+the+person+entitled+to+secure+the+registration.

USE*

Clairol+distinguishes+between+use*of*a*trademark*to*distinguish+A’s+wares/services+from+B’s,+which+is+the+key+to+the+right+of+exclusive+use+in+s.%20,+and+the+use*of*a*trademark*in*such*a*way+(not+necessarily+as+a+trademark)+so*as*to*depreciate*the*goodwill*attached*to*a*registered*trademark+under+s.%22+(Clairol%v%Thomas%Supply%&%1968*Ex*CC,+no$infringement$on$exclusive$use$of$trademark$under$s.$20$because$they$are$not$purporting$to$misrepresent$product$as$coming$from$Clairol,$but$there$was$depreciation$of$goodwill$under$s.$22).+

JB$suggests$that$the$ban$on$comparative$statements$on$packages$of$wares$(though$not$in$advertising$wares,$because$of$meaning$of$“use”$in$s.$4)$probably$goes$further$than$s.$22$was$intended$to$go;$thinks$it’s$really$aimed$at$lowering$the$esteem$of$the$public$for$the$mark,$not$just$attracting$business$away$from$the$mark’s$owner.

Trade%Marks%Act%s.%4:%when%deemed%to%be%used

4.+(1)+A+trade[mark+is+deemed+to+be+used+in*association*with*wares+if,+at+the+time+of+the+transfer+of+the+property+in+or+possession+of+the+wares,+in+the+normal+course+of+trade,+it+is+marked+on+the+wares+themselves+or+on+the+packages+in+which+they+are+distributed+or+it+is+in+any+other+manner+so+associated+with+the+wares+that+notice+of+the+association+is+then+given+to+the+person+to+whom+the+property+or+possession+is+transferred.

Idem$(2)+A+trade[mark+is+deemed+to+be+used+in+association+with+services+if+it+is+used+or+displayed+in+the+performance+or+advertising+of+those+services.


26

TO*DISTINGUISH*WARES*OR*SERVICES

To*use*words*“as*a*trademark”:*A+mark+that+describes+the+wares+or+services+can+only+function+as+a+trade[mark+if*it*looks*to*the*public*as*a*brand*name,+not+just+as+the+description+of+the+product+(Shredded%Wheat%v%Kellogg%1938*UKPC*(from$ON),+called$their$product$“Shredded$Wheat”$for$decades$but$found$to$have$no$trademark$rights$in$the$words$because$they$had$never$used$those$words$so$as$to$distinguish$their$products,$so$other$sourced$products$could$use$it$to$describe$the$product).+The+same+issue+was+in+play+in+CibaDGeigy+because+Geigy’s+claim+depended+on+showing+that+the+public+saw+the+colour+and+shape+of+the+pills+not+just+as+indicating+their+therapeutic+purpose+but+also+as+indicating+they+were+Geigy’s+drug+as+distinct+from+anybody+else’s.

Note:*the+test+for+infringement+is+whether+the*casual*consumer,*someone*in*a*hurry+would+be+confused+(Tommy%Hil,iger%v%International%Clothiers%2004*FCA,+would$an$appreciable$proportion$of$the$public$see$this$as$a$TH$shirt?$Based$on$evidence$there$was$confusion,$therefore$there$was$infringement).+

REGISTRATION*OF*TRADE*MARKS

CONDITIONS*FOR*REGISTRATION

(1)+The*mark*must*be*a*trademark+as+deYined+in+TMA%s.%1+• This+means,+among+other+things,+that+it+must+actually+be+used+(not+necessarily+in+Canada)+to+

distinguish+the+applicant's+wares+and+services+from+the+wares+and+services+of+others• Alternatively,+if+the+application+is+for+a+proposed+trademark,+it+must+be+proposed+so+to+be+used• Details+of+the+actual+use+and+the+proposed+use+must+be+given+in+the+application+(see+s.%30(b)+and+(e)),+

including+the+speciYic+wares+or+services+in+association+with+which+the+mark+has+been+used

(2)+The*mark*must*be*registrable*within+the+meaning+of$TMA%s.%12(1)+• Basically,+it+must+not+fall+into+one+of+the+classes+of+unregistrable+marks+listed+in+s.%12(1)

(3)+The*applicant*must*be*the*person*entitled*to*registration+as+provided+by+TMA%s.%16

(4)+Even*if*registration*takes*place,*it*may*be*invalid+under+TMA%s.%18

PROCEDURE*FOR*REGISTRATION*

Major*steps*involved*in*registration*are:

(1) Choosing*the*trademark+(2) Conducting*a*search*of*the*register*of*trade*marks+

• See+TMA%s.%26%(register+of+trade+marks)+and+TMA%s.%28+(indexes+to+the+register)(3) Filing*an*application+

• See+contents+set+out+in+TMA%s.%30%(just+sets+out+all+things+that+must+be+Yiled+with+the+Registrar)(4) Examination*of*the*application*by*the*Registrar*of*Trademarks+(5)Register*may*refuse+(TMA%s.%37(1))+if+

(a) the+application+does+not+conform+to+the+requirements+of+section+30,(b) the+trade[mark+is+not+registrable,+or(c) the+applicant+is+not+the+person+entitled+to+registration+of+the+trade[mark+because+it+is+confusing+

with+another+trade[mark+for+the+registration+of+which+an+application+is+pending,+[i.e.$another$application$for$same$or$confusingly$similar$mark$is$still$pending]

(6) Registrar*advertises*the*application+• Goes+onto+the+Canada+Gazette+or+the+internet

(7) Opponents*can*challenge*trademark+• They+may+raise+defects+in+documentation,+problems+with+registration,+or+whether+the+individual+is+

entitled+to+register+the+mark+(protection$for$unregistered$trademarks$if$being$“used”$by$someone$else)(8) Board*hears*case,*and*can*appeal*to*Federal*Court+

• Onus+on+applicant+to+show+it+meets+registration+requirements(9) Receive*certieicate*of*trademark++

• Must+use+it+within+3+years(cont’d)


27

An+opponent+is+restricted+to+persons+who+have+a+confusingly*similar+mark+due+to+conYlict+with+a+particular+mark+(TMA%s.%17(1)).+However,+anybody+can+challenge+the+distinctiveness+of+the+mark+because+there's+no+capacity+in+the+mark+to+distinguish+it+from+the+wares/services+of+others.+

Also+note+that+registrability+(confusingly$similar)+is+determined+at+the+time+of+registration.+However,+marks+that+are+properly+registered+may+face+distinctiveness+challenges+post[registration+if+it+acquires+qualities+that+make+it+lose+its+distinctiveness.+

TRADE*MARKS*THAT*ARE*NOT*REGISTRABLE*

Registrability+is+governed+by+TMA%s.%12:+a+trademark+is+registrable+if+it+is+not:+• Primarily+merely+the+name+or+surname+of+an+individual+(s.%12(1)(a);%Standard%Oil)• Clearly+descriptive+or+deceptively+misdescriptive+(in+English+or+French)+(s.%12(1)(b);%Ontario%Teachers;%

Consorzio%del%Prosciutto%di%Parma)• The+name+of+wares+or+services+(in+any+language)+(s.%12(1)(c))• Confusing+with+registered+mark+(s.%12(1)(d))• A+prohibited+mark+(s.%12(1)(e))• Confusion+with+an+unregistered+mark+is+NOT+in+there+–+that’s+not+an+issue+of+registrability,+it+is+an+issue+of+

who+is+entitled+to+register

Important:%public+perception+is+the+touchstone+in+each+of+those+grounds.+

TMA%s.%12(2):+A+trade[mark+that+is+not+registrable+by+reason+of+paragraph+(1)(a)+or+(b)+is+registrable+if+it+has+been+so+used+in+Canada+by+the+applicant+or+his+predecessor+in+title+as+to*have*become*distinctive+at+the+date+of+Yiling+an+application+for+its+registration.

Primarily*merely*name*or*surname

What+is+“primarily”+a+surname+depends+on+how+people+would+perceive+it+(Standard%Oil%v%Registrar%of%Trade%Marks%1968*Ex*Ct,+FIOR$is$an$Italian$last$name,$but$it$is$not$very$common).+

Trade%Marks%Act%s.%12:%when%trademark%registrable%

12.+(1)+Subject+to+section+13,+a+trade[mark+is+registrable+if+it+is+not(a) a+word+that+is+primarily+merely+the+name+or+the+surname+of+an+individual+who+is+living+or+has+died+within+

the+preceding+thirty+years;

Clearly*descriptive*or*deceptively*misdescriptive

If+it+is+a+description,+it+is+either+true+or+false:+it’s+either+“clearly+descriptive”+or+“deceptively+misdescriptive.”+This+is+purely+a+matter+of+discretion+–+how+the+registrar+thinks+the+public+would+react+(Ontario%Teachers%Pension%Plan%Board%v%Canada*2012*FCA,+wanted$to$register$“Teachers”$for$pension$plan,$registrar:$word$“Teachers”$is$descriptive$of$what$you$do;$Consorzio%del%Prosciutto%di%Parma%v.%Maple%Leaf%Meats%Inc.%2001*FCTD;*Italian$consorzio$argued$that$Maple$Leaf’s$“Parma”$prosciutto$was$misdescriptive$(Parma$is$a$city$in$Italy$that$produces$“authentic”$prosciutto),$judge:$Canadians$don’t$know$Parma$is$a$place$in$Italy,$in$the$Canadian$market,$Parma$designates$one$source,$Maple$Leaf,$and$there$is$no$confusion,$there$is$no$loss$of$distinctiveness).+


12.+(1)+Subject+to+section+13,+a+trade[mark+is+registrable+if+it+is+not(b) whether+depicted,+written+or+sounded,+either+clearly+descriptive+or+deceptively+misdescriptive+in+the+

English+or+French+language+of+the+character+or+quality+of+the+wares+or+services+in+association+with+which+it+is+used+or+proposed+to+be+used+or+of+the+conditions+of+or+the+persons+employed+in+their+production+or+of+their+place+of+origin;


28

Names*of*wares*or*services

This+one+is+seldom+litigated+–+if+it’s+the+name,+in+any+language,+of+the+wares+or+services,+as+distinct+from+being+descriptive+of+their+quality+or+character,+it’s+not+registrable+and+that+is+NOT+subject+to+the+exception+of+acquired+distinctiveness+under+s.+12(2).


12.+(1)+Subject+to+section+13,+a+trade[mark+is+registrable+if+it+is+not(c) +the+name+in+any+language+of+any+of+the+wares+or+services+in+connection+with+which+it+is+used+or+proposed+

to+be+used;

Prohibited*marks*


12.+(1)+Subject+to+section+13,+a+trade[mark+is+registrable+if+it+is+not(e) +a+mark+of+which+the+adoption+is+prohibited+by+a+denomination+the+adoption+of+which+is+prohibited+by+

section+10.1;

TMA%s.%9:%ofeicial*mark*privilege+is+given+to+the+armed+forces,+to+universities,+and+to+public+authorities+and+is+exercised+simply+by+giving+notice,+via+the+Registrar,+of+the+adoption+of+the+ofYicial+mark.+An+ofYicial+mark+pre[empts+the+adoption+of+that+mark,+or+a+similar+mark,+by+anyone+in+connection+with+a+business,+which+means+that+it+operates+prospectively+only,+i.e.+to+future+adoptions;+it+doesn’t+invalidate+use+that’s+already+occurring.

SO:$TMA%s.%9+is+a+completely+separate+system+from+the+registration+of+the+mark,+it+bypasses+usual+grounds+of+opposition+“opposition”+(illustrated+in+Ontario%Assn%of%Architects)+and+being+“the+person+entitled+to+register.”+You’ve+adopted+it,+notice+is+given,+it’s+yours.+And+from+the+moment+it+gets+public+notice,+the+prohibition+in+s.%9(1)+kicks+in.+Note:%it’s$not$a$confusion$test,$it’s$a$resemblance$test.

Twohpart*test*for*what*is*a*“public*authority”*under%TMA%s.%9:+(1)+governmental*control*(2)+public*beneeit*(Ontario%Assn%of%Architects%v%Assn%of%Architectural%Technologists%of%Ontario%2002*FCA,+Tech$Assn$was$not$a$public$authority:$they$met$public$beneAit$criteria$(assuring$quality$standards$for$architectural$technologists)$but$were$not$subject$to$government$control,$whereas$Arch$Assn$was$subject$to$governmental$control$and$exercised$regulatory$powers$over$the$profession$which$were$much$more$extensive$than$Tech$Assn).

Trade%Marks%Act%s.%9:%prohibited%marks%(symbols%of%government,%of,icial%marks,%etc.)

9+(n)+any+badge,+crest,+emblem+or+mark(i) adopted+or+used+by+any+of+Her+Majesty’s+Forces+as+deYined+in+the+National+Defence+Act,(ii) of+any+university,+or(iii)adopted+and+used+by+any+public+authority,+in+Canada+as+an+ofYicial+mark+for+wares+or+services,

in+respect+of+which+the+Registrar+has,+at+the+request+of+Her+Majesty+or+of+the+university+or+public*authority,+as+the+case+may+be,+given+public+notice+of+its+adoption+and+use;

Note:%TMA%s.%11.18(2)+overrides+the+ban+on+adopting+a+PGI+(protected+geographical+indication)+as+a+TM,+if+the+PGI+has+in+fact+become+the+common+name+in+Canada+for+a+wine+or+spirit.+Not+clear+how+far+that+goes.

Note:$prosciutto+makers+of+Parma+ultimately+failed+to+get+an+ofYicial+mark+for+PARMA+with+the+ducal+crown,+allowing+the+registration+of+Maple+Leaf’s+PARMA+design+mark+and,+in+the+course+of+it,+deciding+the+issue+that+was+left+open+in+the+FCA+decision+noted+at+p.+169,+namely,+that+the+Consorzio+wasn’t+controlled+by+the+Canadian+government+and+so+wasn’t+a+public+authority+for+the+purpose+of+TMA+s.+9(1)(n).


29

http://laws-lois.justice.gc.ca/eng/acts/N-5

http://laws-lois.justice.gc.ca/eng/acts/N-5

Disclaimer*of*rights*to*exclusive*use*of*portion*of*trademark

Unregistrable+material+(i.e.$because$it’s$descriptive,$etc)+can+be+incorporated*into*a*larger*mark*(whether+multi[word,+like+Coca[Cola+or+Bred+Garden,+or+a+one[word+design+mark+like+the+Premier+design+considered+in+Lake%Ontario%Cement)+by+the+registrant+disclaiming*the*exclusive*right+to+the+disclaimed+matter+apart+from+the+trade[mark+(TMA%s.%35).+

The+crucial+question+is+whether*the*mark*as*a*whole*is*distinctive.+For+that+purpose+one+has+to+disregard+the+disclaimed+word(s),+because+if+the+mark’s+distinctiveness+stems+from+them+(i.e.+the+disclaimed+words+dominate+the+mark),+it+means+that+the+design+elements,+or+additional+words,+aren’t+signiYicant+contributors+to+distinctness+(Lake%Ontario%Cement%v%Registrar%of%Trade%Marks%1976*FCTD,+register$distinguishes$between$word$marks$and$design$marks;$the$Premier$design$is$distinctive$because$people$will$recognize$the$design,$so$they$get$the$exclusive$use$of$that$composite$trademark,$but$they$don’t$get$the$exclusive$use$of$the$word$“Premier”).+

CONFUSION*WITH*A*REGISTERED*TRADE*MARK

“Confusion”*is*the*key*concept+that+deYines+the+breadth+of+protection+that+a+trademark+gets.+A+registered*trademark*allows+you+to+oppose+the+registration+of+any+trademark+that+would+be+confusing+with+it+(TMA%s.%12(1)(d)).+An+unregistered*trademark+allows+you+to+oppose+the+registration+of+any+confusing+trademark+that+the+applicant+started$using$after$you$started$using$yours$(TMA%s.%16(1)).+Once+you+have+registered,+your+monopoly+extends+to+any+mark+that’s+confusing+with+yours+(TMA%s.%20).+

The+Mattel+case+is+a+good+case+on+confusion,+because+it+decides+that+“famous”+marks+are+not+subject+to+any+privileged+treatment.+They+can+“leap+over”+the+differences+between+wares+(i.e.+a+mark+used+for+one+type+of+wares+or+services+can+be+confusing+with+a+mark+used+only+for+a+quite+different+kind+of+wares+or+services),+but+it’s+a+question+of+fact+whether+they+actually+leap+over+that+chasm+(Mattel%v.%3894207%Canada%2006*SCC,+Matel’s$argument:$Barbie$is$so$famous$that$people$would$assume$“Barbie’s”$restaurant$was$associated$with$Barbie;$held:$would$people$conclude$that$the$Barbie$restaurant$has$some$critical$connection$with$the$Barbie$dolls?$No,*nature$of$the$wares$are$too$different$(TMA%s.%6(5))).

The+fact+that+the+applicant’s*intention*was*to*derive*an*advantage+from+the+fame+of+the+Barbie+trademark+is+irrelevant+(even+if+they+intended+to,+if+in+fact+there’s+no+confusion,+they+can+register).+

The*standard*by*which*confusion*is*judged:+the+“casual+consumer+somewhat+in+a+hurry+test.”

Trade%Marks%Act%s.%6(1):%When%mark%or%name%confusing

For+the+purposes+of+this+Act,+a+trade[mark+or+trade[name+is+confusing+with+another+trade[mark+or+trade[name+if+the+use+of+the+Yirst+mentioned+trade[mark+or+trade[name+would+cause+confusion+with+the+last+mentioned+trade[mark+or+trade[name+in+the+manner+and+circumstances+described+in+this+section.

Trade%Marks%Act%s.%6(2):%Idem

The+use+of+a+trade[mark+causes+confusion+with+another+trade[mark+if+the+use+of+both+trade[marks+in+the+same+area*[this$test$is$hypothetical$confusion;$note:$refers$to$geographical$area]*would+be+likely*to*lead*to*the*inference+that+the+wares+or+services+associated+with+those+trade[marks+are+manufactured,+sold,+leased,+hired+or+performed+by+the+same+person,+whether+or+not+the+wares+or+services+are+of+the+same+general+class.

Trade%Marks%Act%s.%6(5):%what%to%consider

In+determining+whether+trade[marks+or+trade[names+are+confusing,+the+court+or+the+Registrar,+as+the+case+may+be,+shall+have+regard+to+all+the+surrounding+circumstances+including

(a) the+inherent+distinctiveness+of+the+trade[marks+or+trade[names+and+the+extent+to+which+they+have+become+known;

(b) the+length+of+time+the+trade[marks+or+trade[names+have+been+in+use;(c) the+nature+of+the+wares,+services+or+business;+[this$is$where$Mattel’s$opposition$failed](d) the+nature+of+the+trade;+and(e) the+degree+of+resemblance+between+the+trade[marks+or+trade[names+in+appearance+or+sound+or+in+the+

ideas+suggested+by+them.


30

Even+a+powerful+brand+has+limits:+not+everything+that+reminds+you+of+the+powerful+brand+is+confusing+with+it+(illustrated+in+McDonald’s%v%Coffee%Hut%1994*FCTD,%Coffee$Hut$wanted$to$use$“McBeans”;$s.$6(5)$analysis:$nature$of$the$wares$and$services:$McDonalds$not$known$particularly$for$coffee$and$tea,$just$burgers,$held:%there$is$no$confusion).+

Criticism:+You+can+make+an+argument+that+they+are+focussing+too+much+on+how+the+brands+are+actually+being+used+and+not+on+how+they+could+be+used.+Once+it+got+on+the+register,+Coffee+Hut+stores+have+a+right+to+use+McBeans+for+any+and+all+wares+or+services+that+are+listed+–+that’s+what+registration+is.+So+there+is+nothing+stopping+Coffee+Hut+stores+from+using+McBeans+for+a+coffee+and+tea+place+like+Starbucks+–+which+would+get+them+closer+to+McDonald’s.+What+the+bean+stores+look+like+is+not+so+relevant+to+the+registrability+of+the+mark+because+you+have+to+look+at+what+the+mark+would+allow+them+to+do,+not+just+what+they+are+doing+so+far.+

Note:+argument+that+there+was+a+“family”+of+marks+that+expanded+the+range+of+marks+that+might+be+confusing+with+it+was+not+accepted+on+the+facts+(McDonald’s+did+have+a+family+of+marks+but+there+were+also+other+marks+that+used+“Mc”).

DISTINGUISHING*GUISE

The+deYinition+of+“trademark”+includes+a+“distinguishing+guise”+(TMA%s.%2).

Distinguishing*guises*are*registrable+if+they+have+actually+become+distinctive+through+use+and+so+long+as+the+exclusive+right+to+the+guise+doesn’t+“unreasonably+limit”+(nice,$Alexible$language)+the+development+of+any+art+or+industry.+

So*eirst*question*is:+has+the+distinguishing+guise+become*distinctive+so+that+it+has+acquired+a+connotation+of+the+source+of+the+product+rather+than+merely+being+the+look+of+the+product+(TMA%s.%13(1)(a);+this$was$the$problem$of$the$colour$of$the$pills$in$CebaDGeigy$case).

Second:*you+must+evaluate+whether+the+shape+is+so+intrinsic+to+the+thing+that+the+exclusive+use+of+that+distinguishing+guise+would+unreasonably*limit*the*development*of*any*art*or*industry*(TMA%s.%13(1)(b)).

Dominion%Lock%illustrates+both+requirements:+(Dominion%Lock%v%Schlage%Lock%1961*Regr*TM,*Schlage$wanted$to$register$the$shape$of$a$key$as$a$distinguishing$guise;$held:%shape$not$distinctive$of$Schalge,$and$it$would$unreasonably$limit$the$key$blank$and$key$replacement$industry$because$it$would$put$a$stop$to$a$practice$that$was$already$very$well$established).


“tradehmark”+means+(a) +a+mark+that+is+used+by+a+person+for+the+purpose+of+distinguishing+or+so+as+to+distinguish+wares+or+

services+manufactured,+sold,+leased,+hired+or+performed+by+him+from+those+manufactured,+sold,+leased,+hired+or+performed+by+others,+

(b) a+certiYication+mark,+(c) a*distinguishing*guise,+or+(d) a+proposed+trade[mark;


“distinguishing*guise”+means(a) a+shaping+of+wares+or+their+containers,+or+(b) a+mode+of+wrapping+or+packaging+wares+

the+appearance+of+which+is+used+by+a+person+for+the+purpose+of+distinguishing+or+so+as+to+distinguish+wares+or+services+manufactured,+sold,+leased,+hired+or+performed+by+him+from+those+manufactured,+sold,+leased,+hired+or+performed+by+others;

(cont’d)


31

Trade%Marks%Act%s.%13:%conditions%for%registrability%of%distinguishing%guise%

This+section+modiYies/adds+to+the+general+registrability+rules+(but+all+the+other+rules+still+apply)

13(1)+A+distinguishing+guise+is+registrable+only*if(a)++it+has+been+so+used+in+Canada+by+the+applicant+or+his+predecessor+in+title+as*to*have*become*distinctive*at*the*date*of*eiling*an*application*for*its*registration;+and+

(b)++the+exclusive+use+by+the+applicant+of+the+distinguishing*guise+in+association+with+the+wares+or+services+with+which+it+has+been+used+is+not+likely+unreasonably+to+limit+the+development+of+any+art+or+industry.+

13(2)+No+registration+of+a+distinguishing+guise+interferes+with+the+use+of+any+utilitarian*feature+embodied+in+the+distinguishing+guise.

13(3)+The+registration+of+a+distinguishing+guise+may+be+expunged+by+the+Federal+Court+on+the+application+of+any+interested+person+if+the+Court+decides+that+the+registration+has+become+likely+unreasonably+to+limit+the+development+of+any+art+or+industry.

CERTIFICATION*OF*MARKS

The+purpose+of+certiYication+marks+is+not+as+an+indication+of+source+but+an+indication*of*standard.+CertiYication+marks+can+be+registered+(TMA%s.%23).+In+order+to+register+a+certiYication+mark,+you+must+not+actually+yourself+be+producing+the+wares+or+performing+the+services+in+association+with+which+the+mark+is+used,+but+you+can+license*others*to*use*it.*

So$the$licence$is$owned$by$some$kind$of$trade$association$as$some$kind$of$guarantee$of$quality$and$licensed%to$individual$businesses$for$use$that$mark$on$their$wares/services.


“certieication*mark”+means+a+mark+that+is+used+for+the+purpose+of+distinguishing+or+so+as+to+distinguish+wares+or+services+that+are+of+a+deeined*standard*with+respect+to

(a)++the+character+or+quality+of+the+wares+or+services,+(b)++the+working+conditions+under+which+the+wares+have+been+produced+or+the+services+performed,+(c)++the+class+of+persons+by+whom+the+wares+have+been+produced+or+the+services+performed,+or+(d)++the+area+within+which+the+wares+have+been+produced+or+the+services+performed,+

from+wares+or+services+that+are+not+of+that+deYined+standard;

DISTINCTIVENESS

Distinctiveness+is+one+of+the+essential+grounds+for+the+validity+of+a+trademark+under+TMA%s.%18.+The+critical+thing:+it+is+judged+as+of+the+time+it+is+challenged+so+it+can+change+over+time.+You+can+acquire+distinctiveness,+but+you+can+also+lose+it+(if+it+gets+diminished+to+a+certain+point+where+it+doesn’t+distinguish+your+wares+or+services+from+others).

Philip%Morris%v%Imperial%Tobacco+held+that+Imperial+Tobacco’s+registered+Marlboro+mark+could+not+have+lost+distinctiveness+because+no+other+product+on+the+Canadian+market+used+the+brand,+besides+Imperial+Tobacco.+It’s+true+that+US+Marlboro+was+much+more+famous,+but+since+(thanks+to+Imperial+Tobacco’s+assiduous+efforts)+no+US+Marlboros+could+be+bought+in+Canada+unless+you+were+Ylying+out+of+Canada,+there*was*no*loss*of*distinctiveness*in*the*actual*marketplace,+as+distinct+from+people’s+minds+(Philip%Morris%v%Imperial%Tobacco%No%1%1987*FCA,+US$Marlboro$wanted$to$come$into$Canada,$argued$Canada$Marlboro$had$lost$distinctiveness$because$US$Marlboros$were$more$famous$so$Marlboro$could$not$be$distinctive$of$Imperial$Tobacco,$argument$failed).

The+policy+background+was+that+registration+gives+you+a+monopoly+of+the+use+of+the+mark+in+Canada,+and+if+you+carefully+preserve+that+monopoly,+you+should+not+Yind+your+registration+sideswiped+by+“spillover”+publicity+from+abroad.


32

ENTITLEMENT*TO*REGISTER*

TMA%s.%16+governs+conYlict+between+a+mark+that+you+want+to+register/have+registered+and+an+unregistered+mark+that+is+confusing.

The+person+applying+to+register+a+trademark+is+entitled+to+secure+the+registration+unless+at+the+date+where+they+Yirst+used+it,+or+made+it+known,+it*was*confusing*with*a*trademark*that*had*been*previously*used*in*Canada*or+made+known+in+Canada+by+any+other+person+(s.%16(1)(a),%you$want$to$register$something$and$an$opponent$pops$up$and$says$we$were$Airst$in$the$market$Airst$with$our$brand$and$it$is$confusing).+

But+the+person+who+applied*to*register*a+trademark+(i.e.+for+proposed+use)+gets+priority+over+someone+else+who*has*started*using*it+(TMA%s.%16(1)(b),*so$if$when$you$Airst$started$using$your$mark,$somebody$had$applied$to$register$that$mark$for$proposed$use,$you$can’t$register$it).

The+person+applying+to+register+a+trademark+is+entitled+to+secure+the+registration+unless+the+proposed+mark+is+confusing*with*a*trade*name+(i.e.+the+name+of+a+business)+(TMA%s.%16(1)(c)).

The+only+person+with+standing+to+oppose+registration+is+the*person+who+was+there+Yirst+(i.e.$third$parties$can’t$come$along$and$say$your$mark$is$invalid$because$someone$else$was$using$it$Airst)+(TMA%s.%17(1)).

Once+you’ve+been+on+the+register+for+5*years,+you’re+safe+(TMA%s.%17(2)).+

Masterpiece+is+now+the+authoritative+exposition+of+entitlement+to+register+under+TMA%s.%16+(Masterpiece%v%Alavida%Lifestyles%2011*SCC).+

It+emphasized+that+the*test*for*confusion,+in+deciding+whether+an+“older”+(in+the+Canadian+market)+unregistered+mark+was+confusing+with+a+registered+mark,+is+a*hypothetical*one*that*assumes*the*marks*are*used*in*the*same*geographical*area.+

It+is+also+one+of+several+cases+that+stresses+that,+in*a*confusion*analysis,*you*have*to*look*at*how*a*registered*mark*can*be*used,*not*at*how,*until*now,*it*is*actually*used.+If+it’s+a+word+mark,+the+registrant+can+display+the+word+in+any+way,+and+so+even+if+it’s+currently+used+in+a+non[confusing+way+you+have+to+recognize+that+the+registrant+is+free+to+use+it+in+other+ways.+

The*standard*of*confusion*is+the+“casual*consumer,*somewhat*in*a*hurry”+test.+It+also+notes+that+a+confusing*“eirst*impression”+isn’t+cured+by+the+fact+that+the+consumer+could+Yigure+out+afterwards+that+the+marks+represent+distinct+sources+for+the+wares/services.

LICENSING*AND*TRANSFER*

LICENSING

Once$you$license$somebody$else$to$use$your$trademark,$then$there$are$goods$on$the$market$which$emanate$from$two$different$sources:$you$and$your$licensee$–$that$would$technically$eliminate$your$mark’s$distinctiveness.$

TMA%s.%50%is+designed+to+ensure+that+licensing+your+trademark+to+somebody+else+doesn’t+cause+the+mark+to+lose+distinctiveness+because+there+are+now+two+sources+for+the+wares/services+identiYied+by+the+mark.+

The+essence+is+the+licensor’s*control*over*the*quality*and*character*of*the*wares/services+identiYied+by+the+mark.+Use+by+a+licensee+is+deemed+for+all+purposes/has+the+same+effect+as+use+by+the+licensor+provided+that+the+licensor+retains+direct+or+indirect+control+over+the+character+or+quality+of+the+wares+or+services+(Eli%Lilly%v%Novopharm%2001*FCA,+historically$licences$had$to$be$registered,$s.$50$now$applies$to$any$licence$that$exists$in$fact).

TRANSFER

TMA%s.%48(1):+A+trade[mark,+whether+registered+or+unregistered,+is*transferable,*and*deemed*always*to*have*been*transferable,+either+in+connection+with+or+separately+from+the+goodwill+of+the+business+and+in+respect+of+either+all+or+some+of+the+wares+or+services+in+association+with+which+it+has+been+used.

Transfers$don’t$have$to$be$in$writing$but$if$it$is$a$transfer$of$a$registered$trademark,$then$the$transfer$has$to$be$registered.$Whether$there$is$a$transfer$is$just$a$question$of$contract$law.$


33

INFRINGEMENT*

There+are+2+sections+about+infringement:+TMA%s.%19+gives+to+the+owner+of+a+registered+trademark+the+exclusive*right*to*the*use+throughout+Canada+of+the+trademark+in+respect+of+those+wares+or+services+(but+does+not+protect+against+use+of+a+“confusing”+mark).+TMA%s.%20+expands+the+ambit+of+the+monopoly+to+confusing+marks.+

What*constitutes*infringement*under*TMA*s.*19:*use+of+a+design+mark+(the$entire$package$design$used$for$Philip$Morris’s$“no]$name”$cigarettes,$not$just$the$design$elements$Philip$Morris$had$registered)+can+be+confusing+with+a+word+mark,+not+only+if+the+design+illustrates+the+word,+but+also+if+the+design+evokes*a*psychological*association*with*the*word+(as$Philip$Morris’s$rooftop$design$evoked$“Marlboro”$in$the$mind$of$the$consumer)+(Philip%Morris%v%Marlboro%Canada%2012*FCA).

Veuve%Clicquot+failed+on+the+infringement+side+because+the+dress+store’s+use+of+their+registered+mark+(Cliquot)+was+held+not+to+be+confusing+with+Veuve+Clicquot’s+famous+champagne+brand+(Veuve%Clicquot%v%Boutiques%Cliquot%2006*SCC).+

Trade%Marks%Act%s.%20:%infringement%of%registered%trade%mark

(1)+The+right+of+the+owner+of+a+registered+trade[mark+to+its+exclusive+use+shall+be+deemed*to*be*infringed+by+a+person+not+entitled+to+its+use+under+this+Act+who+sells,+distributes+or+advertises+wares+or+services+in+association+with+a+confusing*tradehmark+or+trade[name…+

DEPRECIATING*THE*VALUE*OF*GOODWILL*ATTACHING*TO*THE*TRADE*MARK

Four*elements*of*s.*22:*(1) Is*there*use*of*the*plaintiff’s*trademark?+To$show$that$there$is$use$of$the$mark,$you$have$to$show$that$

people$would$recognize$the$mark$(or$at$least$sort$of$think$it$was$the$mark).+(2) Is*there*goodwill?+There$has$to$be$goodwill$in$that$mark.$(3) Is*the*consumer*going*to*connect*the*use*with*the*goodwill?+So$the$way$in$which$it$is$used$has$to$have$

an$impact$on$the$goodwill(4) Is*that*connection*going*to*depreciate*the*trademark?*There$had$to$be$a$likelihood$of$depreciation.$

Veuve%Clicquot+also+failed+on+the+s.%22+“depreciating+the+value+of+goodwill”+side,+because,+owing+to+the+lack+of+association+between+the+two,+the+dress+store’s+use+of+the+mark+“Cliquot”+did+not+amount+to+use+of+Veuve+Clicquot’s+mark+at+all+(Veuve%Clicquot%v%Boutiques%Cliquot%2006*SCC,$Airst$and$third$of$four$elements$of$s.$22$were$not$present).

Clairol+distinguishes+between+use*of*a*trademark*to*distinguish+A’s+wares/services+from+B’s,+which+is+the+key+to+the+right+of+exclusive+use+in+s.%20,+and+the+use*of*a*trademark*in*such*a*way+(not+necessarily+as+a+trademark)+so*as*to*depreciate*the*goodwill*attached*to*a*registered*trademark+under+s.%22+(Clairol%v%Thomas%Supply%&%1968*Ex*CC,+no$infringement$on$exclusive$use$of$trademark$under$s.$20$because$they$are$not$purporting$to$misrepresent$product$as$coming$from$Clairol,$but$there$was$depreciation$of$goodwill$under$s.$22).+

JB$suggests$that$the$ban$on$comparative$statements$on$packages$of$wares$(though$not$in$advertising$wares,$because$of$meaning$of$“use”$in$s.$4)$probably$goes$further$than$s.$22$was$intended$to$go;$thinks$it’s$really$aimed$at$lowering$the$esteem$of$the$public$for$the$mark,$not$just$attracting$business$away$from$the$mark’s$owner.

REMEDIES*

The+usual+IP[type+remedies+apply.+Infringement+is+the+basic+wrong+that+can+be+committed+under+the+Act+(leaving+aside+s.%7+torts+of+passing+off).+The+civil+remedies+you+can+get+are:+(a)+injunctions+(b)+damages.+


34

INTERNATIONAL*

Canada+is+a+party+to+the+Convention%of%Union%of%Paris%for%the%Protection%of%Industrial%Property,%which+plays+a+role+in+TMA%s.%14%regarding+foreign*registered*trademarks.+The+Act+provides+that+if+you+have+a+trademark+registered+in+another+country+of+the+union+(i.e.$a$country$that$is$also$a$party$to$this$treaty),+you+get+a+certain+advantage+in+getting+your+mark+registered+in+Canada.+

An+owner+of+a+foreign[registered+mark+can+register+it+in+Canada*free*of*some*of*the*s.%12*registrability*rules*(e.g.$those$about$descriptive/misdescriptive);+the+preferential+rules+are+in%s.%14.

TMA%s.%14:%Notwithstanding+section+12,+a+trade[mark+that+the+applicant+or+the+applicant’s+predecessor+in+title+has+caused+to+be+duly+registered+in+or+for+the+country+of+origin+of+the+applicant+is+registrable+if,+in+Canada,

(a) it+is+not*confusing*with*a*registered*tradehmark;(b) it+is+not+without+distinctive+character,+having+regard+to+all+the+circumstances+of+the+case+including+

the+length+of+time+during+which+it+has+been+used+in+any+country;(c) it+is+not+contrary+to+morality+or+public+order+or+of+such+a+nature+as+to+deceive+the+public;+or(d) it+is+not+a+trade[mark+of+which+the+adoption+is+prohibited+by+section+9+or+10.

The+“making*known”+aspect+also+protects+both+registered+and+unregistered+foreign+trade[marks+that+become+“well+known”+in+Canada+as+per%s.%5.+A+foreign+trademark+that+has+a+market+recognition+in+Canada+(s.%5)+is+deemed+to+have+been+made+known+in+Canada+(TMA%s.%16).+


35

PATENTS

A+patent+provides+a+monopoly+that+is+very+extensive,+barring+anybody+but+the+patent+owner+from+making,+constructing,+using+or+vending+the+invention.+

Patent%Act%s.%2:%de,initions

“invention”+means+any+new+and+useful+art,+process,+machine,+manufacture+or+composition+of+matter,+or+any+new+and+useful+improvement+in+any+art,+process,+machine,+manufacture+or+composition+of+matter+[“composition$of$matter”$brings$in$all$the$drugs];

Once+you+have+your+patent,+no+one+else+can+make+it,+construct+it,+use+it,+or+sell+it+to+others+to+be+used+without+your+permission.+It+is+an+absolute*monopoly.*The+justiYication+is+that+if+you+didn’t+give+people+that+incentive+from+having+the+monopoly,+they+wouldn’t+invent+things.

You+get+a+patent+for+20+years*from*date%of%,iling+(PA%s.%28.1%“claim%date”)+but+your+monopoly*protection+starts+from+date%of%granting%of%patent.+So+there+is+a+gap:+a+period+between+when+you+apply+and+receiving+the+patent+(and+the+20+years+is+running)+but+you+haven’t+yet+received+the+patent.+But+once+the+patent+has+been+granted,+you+can+reclaim+compensation+for+use+of+the+patented+invention+if+the+person+using+it+knew+there+was+a+patent+pending+(explains“patent$pending”$marks).+

Patent%Acts.%42:%grant%of%patent

Every+patent+granted+under+this+Act+shall+contain+the+title+or+name+of+the+invention,+with+a+reference+to+the+speciYication,+and+shall,+subject+to+this+Act,+grant*to*the*patentee+and+the+patentee’s+legal+representatives+for+the+term+of+the+patent,+from*the*granting*of*the*patent,+the+exclusive+right,+privilege+and+liberty+of+making,+constructing+and+using+the+invention+and+selling+it+to+others+to+be+used,+subject+to+adjudication+in+respect+thereof+before+any+court+of+competent+jurisdiction.

PROCEDURE*FOR*OBTAINING*A*PATENT

PA%ss.%27(1)–(2)+set+out+the+procedure+for+obtaining+a+patent.+

The+application+for+a+patent+must+contain+a+petition+and+a+specieication+(PA%s.%27(2)).+

The+specieication+of+an+invention+must+include:+(1) Disclosure:+

(a) Correctly+and+fully+describe+what+the+invention+actually+does$(PA%s.%27(3)(a))(b) Set*out*the*steps+in+a+process+or+method+of+constructing+so+that+a+person+skilled*in*the*art*or*

science*[this$is$the$standard]+is+able+to+recreate+the+invention+using+only+the+information+in+the+speciYication+(PA%s.%27(3)(b);$Teva).++

(2) Claim:*the+speciYication+must*end*with*a*claim:*what$it$is$that$you$are$actually$claiming$the$sole$right$to$(PA%s.%27(4)).

specieication*=*disclosure*+*claims

“bargain*theory”*of*patent*law:+in+return+for+the+monopoly,+the+patentee+has+to+disclose+the+invention+(by+the+application’s+becoming+public+after+18+months+under+PA%s.%10).+That+is+an+aspect+of+the+public+beneYit+from+the+patent:+the+public+learns+about+the+invention+earlier+than+they+otherwise+might.

Teva+case+illustrates+the+strict*requirement*of*disclosure.+It’s+irrelevant+that+everybody+knew+later+on,+that+sildenaAil+was+the+compound+in+Viagra.+That+does+not+cure+the+fact+that+when+the+patent+was+applied+for,+a+person+reading+that+speciYication+could+not+have+replicated+the+invention+without+a+“minor+research+project”+to+Yigure+out+which+of+claim+6+and+claim+7+was+the+one+that+worked,+which+the+disclosure+should+not+require.

(cont’d)


36

Patent%Acts.%27(1):%Commissioner%may%grant%patents

The+Commissioner+shall+grant+a+patent+for+an+invention+to+the+inventor+or+the+inventor’s+legal+representative+if+an+application+for+the+patent+in+Canada+is+Yiled+in+accordance+with+this+Act+and+all+other+requirements+for+the+issuance+of+a+patent+under+this+Act+are+met.

Patent%Acts.%27(2):%application%requirements

(2)+The+prescribed+application+fee+must+be+paid+and+the+application+must+be+Yiled+in+accordance+with+the+regulations+by+the+inventor+or+the+inventor’s+legal+representative+and+the+application+must+contain+a+petition+and+a+specieication*of*the*invention.

Patent%Acts.%27(3):%speci,ication

The+speciYication+of+an+invention+must(a) correctly+and+fully+describe+the+invention+and+its+operation+or+use+as+contemplated+by+the+inventor;+(b) set+out+clearly+the+various+steps*in*a*process,+or+the*method*of*constructing,+making,+compounding+or+

using+a+machine,+manufacture+or+composition+of+matter,+in+such+full,+clear,+concise+and+exact+terms+as+to+enable+any+person+skilled+in+the+art+or+science+to+which+it+pertains,+or+with+which+it+is+most+closely+connected,+to+make,+construct,+compound+or+use+it;

(c) in+the+case+of+a+machine,+explain+the+principle+of+the+machine+and+the+best+mode+in+which+the+inventor+has+contemplated+the+application+of+that+principle;+and

(d) in+the+case+of+a+process,+explain+the+necessary+sequence,+if+any,+of+the+various+steps,+so+as+to+distinguish+the+invention+from+other+inventions.

Patent%Acts.%27(3):%claims(4)%The+speciYication+must*end*with*a*claim*or*claims*deeining+distinctly+and+in+explicit+terms+the+subject[matter+of+the+invention+for+which+an+exclusive+privilege+or+property+is+claimed.

PATENTABILITY

In*order*to*have*a*valid*patent,*your*invention*has*to*be*(PA%s.%2;%PA%s.%28.2):(1) Novel:*There+must+not+be+descriptions+of+your+invention+before+you+apply+for+your+patent.+Compare+the+

invention+with+“prior+art”+which+is+the+literature+that+is+out+there+(2) Nonhobvious:+A+combination+is+patentable+BUT+if+a+person+skilled+in+the+art+could+have+come+up+with+that+

combination+because+it+is+so+obvious,+then+it+is+not+a+valid+patent+(PA%s.%28.3).(3) Useful:*It+must+serve$a$purpose$–+and+it+must+be+known+to+serve+that+purpose+at$the$time$of$the$application.

Note:+in+order+to+meet+the+utility+requirement,+you+have+to+EITHER+(a)+know+that+the+invention+works+(i.e.+have+evidence+that+it+works)+OR+(b)+it+must+be+useful+as+a+matter+of*sound*prediction*(we+don’t+know$that+it+works+but+we+have+every+reason+to+think+that+it+works)+(SCC+in+Wilka+case?).+

The*doctrine*of*sound*prediction:+a+patent+for+an+invention+not+yet+known+for+sure+to+be+useful+is+still+valid+if+the+factual+basis+relating+to+its+utility+(a+basis+that+must+be+disclosed)+enables+a+person+skilled+in+the+art+to+make+the+“sound+prediction”+that+it+will+work.+This$allows$you$to$apply$for$a$patent$when$you$are$close$to$proving$that$it$works$but$haven’t$quite$proven$it$yet.$

The+“claim*date”+is+the+point+in+time+as+of+which+novelty,+obviousness+and+utility+are+determined+(i.e.+the+patent+must+be+a+valid+one+as+of+that+date).

PA%s.%28.1+ensures+that+an+applicant+who’s+submitted+an+application+in+another+treaty+country+(Patent%Cooperation%Treaty)+within+the+last+12+months+can+claim+priority+for+its+Canadian+application+based*on*the*date*of*the*prior*foreign*application.+PA%s.%28.4%says+that+if+you+made+2+or+more+foreign+applications+(at+any+time),+you+must+use+the+earliest+Yiling+date+of+those+applications.+That+means+that+you+have+to+get+your+Canadian+application+in+within+12+months+of+the+Yirst+foreign+Yiling+you+made+in+a+treaty+country.


37

Teva%v%P,izer%2012%SCC:%The+Viagra+patent+was+held+to+be+invalid+due+to+inadequate*disclosure.+The+inadequacy+was+that+the+one+claim+representing+a+valid+invention+(claim+7,+the+compound+that+was+effective)+was+not+described+in+the+disclosure+in+such+a+way+as+to+enable+“a+person+skilled+in+the+art”+to+replicate+the+invention.+That+hypothetical+person+would+not+have+known+why+the+“especially+preferred”+compounds+were+chosen,+nor+would+they+know+whether+it+was+the+single+compound+in+claim+6+or+claim+7+that+represented+the+drug+that+actually+had+been+shown+to+work.+

SUBJECT*MATTER*OF*THE*INVENTION*

The+basic+divide+in+subject+matter+is+between+ideas+and+inventions+(cf.+ideas+and+expression+in+copyright).+A+mere+scientiYic+principle+or+abstract+theorem+is+not+patentable+(PA%s.%27(8)).+An+invention+must+be+something*more*than*the*idea,+but+exactly+how+much+“more”+is+the+difYicult+question.

General*Criteria

The+new*use*of*known*compounds+for+plant+growth+regulators+has+been+held+to+be+an+invention,+even+if+the+only+discovery+was+how+to+use+particular+compounds+for+new+purposes+(Shell%Oil%v%Comm’r%of%Patents%1982*SCC,$it$doesn’t$matter$whether$the$composition$is$old$or$new$because$what$is$novel$in$both$cases$is$the$use$–$and$you$can$patent$a$new$use,$it$doesn’t$matter$if$the$compound$was$known$beforehand).+

Mere*Scientieic*Principle*or*Abstract*Theorem*

PA%s.%27(8):%no+patent+for+any+mere*scientieic*principle*or*abstract*theorem.+If+all+you+have+is+a+concept+–+that+is+not+patentable,+you+have+to+have+something+which+is+a+way+of+using+that+concept+for$something.$+

The$fuzzy$part:$I$have$a$concept,$and$this$concept$is$useful$because$you$can$do$things$with$it.$But$is$the$mere$fact$that$you$can$do$something$with$a$concept,$does$that$make$it$patentable?$Usually$the$answer$is$No.

Professional*Skills*or*Methods,*Schemes*or*Plans*

The+application+of+an+idea+which+is+simply+a+matter*of*professional*skill*cannot+be+the+subject+of+a+patent+(Lawson%v.%Comm’r%%of%%Patents%1970*Ex*Ct,+application$of$the$idea$was$not$in$a$new$use$of$something,$but$simply$a$new$pattern$by$which$land$could$be$subdivided$which$court$regarded$as$a$matter$of$professional$skill).$

Medical*Treatment*

Methods*of*medical*treatment*could+not+be+patented,+partly+because+it+would+enable+patents+to+be+obtained+indirectly+for+medicinal+drugs,+which+at+the+time+were+not+patentable+as+products;+only+the+process+to+make+the+drugs,+if+novel,+was+patentable+(Tennessee%Eastman%v%Comm’r%of%Patents%1972*SCC).+

Note:*Whether+the+ban+on+patenting+medical+treatment+is+still+good+law+is+open+to+question.+Public+policy+argument+that+we+don’t+want+people+to+get+monopoly+of+a+medicine+doesn’t+apply+anymore+so+does+it+still+make+sense+that+we+don’t+want+to+let+people+have+a+monopoly+over+a+medical+treatment+if+it+is+novel?+However,+if+the+method+of+treatment+is+really+the+skill+of+the+doctor+(i.e.+is+a+matter+of+professional+skill),+it+would+be+non[patentable+anyway+on+the+Lawson+principle.

Mayo%Collaborative%Services%v%Prometheus%Labs%2012%USSC:+held+no+patent+could+be+granted+for+a+method+of+gauging+the+correct+dosage+of+a+drug,+because+it+amounted+to+nothing+more+than+using*a*law*of*nature*(admittedly+newly+discovered)+to+achieve+certain+results,+using+well+known+techniques.

Information*Technology

Computer*programs,+no+matter+how+complex+are+treated+as+not+patentable+because+they+consist+essentially+of+a+series+of+instructions+designed+to+get+the+computer+to+take+certain+steps,+and+instructions+as+such+are+not+an+invention+(Schlumberger%v%Comm’r%of%Patents%1982*FCA+and+Re%Application%of%IBM%1984).+

However,*if+the+instructions+interact+with+the+computer+(or+any+other+hardware+equipment)+to+produce+a+computer+that+functions+in+a+new+way+(as+distinct+from+functioning+as+usual+to+perform+a+new+task+according+to+the+program’s+instructions),+it+may+qualiYies+as+an+invention+(IBM).


38

Business*Methods

Amazon.com%upheld+the+eligibility+of+business*methods,+in+principle,+to+be+patented,+but+said+that+in+order+to+qualify+as+an+invention+the+method+had+to+“be+something+with+physical+existence,+or+something+that+manifests+a+discernible+effect+or+change.”++It+was+not+enough+that+it+perform+a+practical+task,+because+an+abstract+idea+is+no+less+abstract+for+being+put+to+practical+use.+Merely+using+a+computer+does+not+qualify+a+method+as+an+invention+(Amazon.com%v%Canada%2011*FCA,+patent$was$issued$leaving$it$unclear$how$far$those$statements$will$actually$be$applied$by$CIPO$in$assessing$applications$for$business$methods).+

Note*re*“physicality”*requirement:*because+a+patent+cannot+be+granted+for+an+abstract+idea,+it+is+implicit+in+the+deYinition+of+invention+that+patentable+subject+matter+must+be+something+with+physical+existence+or+something+manifests+a+discernible+effect+or+change+(but$a$change$in$what?)+–+JB+agrees+though+it+is+vague.+

Living*Matter

The+mere+fact+that+something+is+alive+doesn’t+make+it+non[patentable+–+Patent+OfYice+allows+patents+for+inventions+with+regard+to+unicellular+organisms.+

There+is+nothing+in+the+Act+that+says+you+can’t+patent+a+living+creature.+A+genetically+modiYied+animal+is+a+composition*of*matter+(mostly+of+natural+origin+but+nevertheless+been+modiYied+by+human+agency)+and+therefore+falls+within+the+deYinition+of+“invention”+in+PA%s.%2.%

However,+the+SCC+split+5[4+regarding+the+emphasis+given+to+the+qualitative+difference+between+an+invention+that+is+living+matter,+and+an+invention+that+is+not.+Majority:+allowing+a+monopoly+on+a+living+creature+would+present+practical+and+theoretical+difYiculties+which+the+Patent+Act+isn’t+set+up+to+deal+with.+Minority:+the+statute+is+open[ended,+and+you+should+not+worry+about+the+fact+that+it+is+a+living+thing+(Harvard%College%v%Canada%2002*SCC).+

However,+the+SCC+has+given+biotechnology+a+degree+of+patent+protection+(not+far+short+of+what+Harvard+was+seeking+by+patenting+the+mouse)+by+recognizing+that+a*genetically*modieied*cell*is*patentable+and+that+the+invention+extends+to+the+cell+when+incorporated+in+living+matter+(Monsanto%Canada%v%Schmeiser%2004*SCC).

A$number$of$the$problems$that$troubled$the$majority$in$Harvard$(an$invention$that$replicates$itself,$the$potential$impact$on$agriculture,$the$borderline$between$plant$or$animal$and$human$matter)$arise$just$the$same$under$the$principle$in$Monsanto.$

NOVELTY*

Apotex%v%Sano,i%deals+with+novelty+(whether+the+invention+has+been+previously+disclosed+so+has+to+have+become+available+to+the+public)+and+obviousness+(whether+the+invention,+though+not+previously+disclosed,+was+nevertheless+a+straightforward,+“non[inventive”+variation+of+what+was+already+known).

Prior*disclosure+has+to+involve+not+only+knowledge+but+enablement+(the+ability+to+make+the+invention)+(Apotex%v%Sano,iDSynthelabo%2008*SCC).

NONhOBVIOUSNESS

An+invention+could+be+obvious+even+though+the+“person+skilled+in+the+art”,+who+is+not+inventive,+would+have+had+to+do+some+(but+not+too+much)+trial+and+error+in+order+to+conYirm+how+to+arrive+at+the+variant.+If+more+than+routine+trial+and+error+would+have+been+needed+(and$in$that$case$it$was$needed$in$fact),+the+new+thing+is+not+an+obvious+variant+of+an+existing+invention,+but+a+new*invention+(Apotex%v%Sano,iDSynthelabo%2008*SCC,*the$“selection”$of$the$particular$isomer$of$the$particular$compound$was$a$new$invention$compared$with$the$genus$of$compounds$covered$by$the$earlier$patent)


39

APPENDIX*A:*OVERVIEW*&*CHECKLIST

COPYRIGHT

I. Subsistence*of*copyright:*we$have$a$work,$is$it$covered$by$the$Act?+1. CA%s.%5:%copyright$shall$subsist$in…original$literary,$dramatic,$musical$and$artistic$works

B. Authorship:+Who$is$the$author?$(who$owns$copyright$+$term$of$copyright)1. CA%s.%13:+Yirst+ownership+of+copyright+–+author2. Joint+authorship+vs.+collective+works

C. Originality:+1. CA%s.%5:+“copyright$subsists$in$every$original$work”2. TEST:*“skill+and+judgment+test”+(CCH)

D. Fixation:+1. CA%s.%2:+works+are+to+be+protected+no+matter+what+their+form2. CA%s.%3(1.1):+work+communicated+by+telecommunication+is+Yixed+even+if+it+is+Yixed+at+time+

of+communicationE. Works:+

1. TEST:*“literary+work”+is+an+expression+(Nichols)+which+is*intended*to*communicate*information+or+instruction+or+pleasure+in+the+form+of+literary+enjoyment+(Exxon).a) Single,+invented+work:+doesn’t$meet$test$for$“literary$work”;$can’t$copyright$(Exxon)b) Device+that+uses+words+to+perform+a+function:+may$meet$test$for$“literary$work”$if$it$

communicates$enough$verbal$information$(Bulman:$worked;%Hollinrake:%didn’t$work)c) Compilations:+copyright$in$original$selection/arrangement,$not$in$data$(TeleDDirect)d) Collective+works:+no$right$to$reproduce$work$in$medium$that$changes$the$way$people$

can$access$the$individual$works$(Robertson,%online$Globe$database)e) Computer+programs:+software$is$a$literary$work$(Apple%v%Mac)

(1) “abstraction[Yiltration[comparison+test”+(Delrina)f) Cinematographic+works:+registration$for$evidence$purposes;$soundtrack$in$movieg) Artistic+work:+intent+has+to+be+to+make+something+for+aesthetic+appeal+(Cuisenaire)h) Dramatic+work:+includes$works$that$are$not$straight$“literary”i) Musical+works:+broad$deAinition

II. Rights*comprising*copyright*in*a*work*(CA%s.%3)A. To*reproduce*the*work:+

1. Covers+reproduction+of+“substantial+part”+–+can+be+non[literal+elements+(Landbroke)B. To*perform*the*work*in*public:++

1. Basically+anything+that+can’t+be+described+as+private+is+treated+as+public+(Cdn%Admiral)C. To*communicate*the*work*to*the*public*by*telecommunication:

1. +Telecommunication+requires+“communication”+–+more+than+just+sending$something+a) Distinction+between+downloading+and+streaming+(ESA%v%SOCAN)

(1) But+note:+Act+has+been+amended+to+catch+downloading+(CA%s.%2.4(1.1))b) ISP+are+not+themselves+infringing+and+are+not+authorizing+infringement+(SOCAN)

III. Moral*rights+(CA%s.%14.1)A. Author’s+right+to+integrity+of+work+is+infringed+if+work+is+distorted,+etc.+to*the*prejudice*of*the*

honour*or*reputation*of+the+author+(CA%s.%28.2)

IV. Neighbouring*rights++A. Sound+recordings+(CA%s.%18)B. Performer’s+performance+(CA%s.%15(1.1))C. Equitable+remuneration+for+performance+in+public+of+a+sound+recording+(CA%s.%19)D. Broadcaster’s+copyright+in+a+communication+signal+(CA%s.%21)

V. Ownership*and*assignment++A. Writing+requirement+(CA%s.%57(3));+Registration+is+evidence+of+the+facts+(CA%s.%53(1))


40

VI. Infringement*(CA%s.%27)++A. Literary+works+(Preston)B. Dramatic+works+(Roy%Export)C. Musical+works+(you$stole$my$catchy$melody)D. Artistic+works+(Kaf,ka)E. Secondary+infringement+(Euro%Excellence)F. Authorizing+infringement+(CA%s.%3(1);%CCH)G. Fair+dealing+exception:+two[step+analysis+(CCH)

1. Is+the+dealing+within+the+statutory+purpose?++a) CA%s.%29:%research,+private+study,+education,+parody,+satireb) CA%s.%29.1:%criticism,+review+c) CA%s.%29.2:+reporting+or+news+summary

2. If*it*is,*was*the*dealing*“fair”?+a) 6*factors:+(a)+purpose+(b)+character+(c)+amount+

(d)+alternatives+to+dealing+(e)+nature+of+the+work+(f)+effect+of+the+dealing+on+the+workH. Statutory+exceptions:+creation$of$new$work$for$non]commercial$purpose+(CA%s.%29.21)


41

PASSING*OFF

I. Common*law:+A. Must+be+a+shape/colour/name+that+the+public+associates+uniquely*with+youB. Does+not+need+to+indicate+source$for+the+goods,+but+distinctive$nature+of+the+goods+(Warnick)C. Elements+(Warnick):+

1. There+has+to+be+goodwill+(this$is$the$key)2. There+is+a+misrepresentation+by+D+likely+to+lead+public+to+believe+D’s+goods+are+the+P’s+3. There+must+be+damage+(not+necessarily+that+you+lost+money,+loss+of+exclusivity+counts)

II. Trademarks*Act*s.*7:+A. Tort+of+passing+off+for+trademark[protected+goods+only+(source$not+distinctive$nature)

TRADEMARKS

I. Meaning*of*trademark*(TMA%s.%2;%TMA%s.%18)A. Use:+must+have+used+the+trademark+or+deAine$the$use$of+the+proposed+trademarkB. To*distinguish*wares*or*services:+the+mark+must+look+to+the+public+as+a+brand+name+not+just+

a+description+of+the+product+

II. Registration:+A. Conditions+for+registration+

1. Mark+must+be+a+trademark+(TMA%s.%2)2. Mark+must+be+registrable+(TMA%s.%12)3. Applicant+must+be+person+entitled+to+registration+(TMA%s.%16)4. Registration+may+be+invalid+if+(TMA%s.%18)

a) Trademark+not+registrable+(under+s.%12)+at$date$of$registrationb) Trademark+not+distinctive+at$date$of$proceeding$bringing$validity$into$questionc) Trademark+has+been+abandoned+

B. Procedure+for+registration+(see$p.$28)C. Trademarks*not*registrable+(TMA%s.%12)+at$time$of$registration

1. Primarily+name+or+surname+2. Clearly+descriptive+or+deceptively+misdescriptive3. Names+of+wares+or+services+4. Prohibited+marks+(see+also+TMA%s.%9)5. Disclaimer+of+rights+to+exclusive+use+of+portion+of+trademark+(s.%35;%Lake%On%Cement)

D. Confusion*with*a*registered*trademark+(TMA%s.%6)1. TEST:+“casual+consumer,+somewhat+in+a+hurry+test”

E. Distinguishing+guise+F. CertiYication+marks+G. Distinctiveness+(TMA%s.%18)+at$time$of$proceeding$bringing$validity$into$questionH. Entitlement*to*register+(TMA%s.%16)

1. ConYlict+between+a+mark+that+you+want+to+register/have+registered+and+an+unregistered*mark*that*is*confusing.+

III. Licensing*and*transfer:++A. Licensing+(TMA%s.%50)+B. Transfer+(TMA%s.%48(1))

IV. Infringement+(TMA%s.%19;%TMA%s.%20)

V. Depreciating*the*value*of*the*goodwill+(TMA%s.%22)A. Four+elements:+

1. Is+there+use+of+the+P’s+trademark?2. Is+there+goodwill?3. Is+the+consumer+going+to+connect+the+use+with+the+goodwill?4. Is+that+connection+going+to+depreciate+the+trademark?


42

PATENTS

I. Procedure*for*obtaining*a*patent:++A. Application+must+contain+(PA%s.%27(2)):+

1. Petition2. Specieication:+which+must+include:+

a) Disclosure*(strict$requirement:$Teva):(1) Description+of+what+the+invention+actually+does$(PA%s.%27(3)(a))(2) Steps+in+a+process+that+a+person+skilled$in$the$art+could+recreate+(PA%s.%27(3)(b))

b) Claim:*what$is$it$you$are$claiming$the$sole$right$to?$(PA%s.%27(4))II. Patentability:++

A. Subject*matter*of*the*invention:*1. Mere+scientiYic+principle+or+abstract+theorem+not+patentable+(PA%s.%27(8))2. Professional+skills+or+methods,+schemes+or+plans+not+patentable+(Lawson)3. Methods+of+medical+treatment+not+patentable+(Tennessee%Eastman)+–+good$law?4. Computer+programs+not+patentable+(copyright+protection)+(Schlumberger;%IBM)

a) BUT:+software+++hardware+may+qualify+(IBM)5. Business+methods+are,+in+principle,+patentable+(Amazon.com)6. Living+matter+technically+not+patentable+(Harvard%Mouse)+

a) BUT:+a+genetically+modiYied+cell+is+patentable+and+the+invention+extends+to+the+cell+when+incorporated+in+living+matter+(Monsanto)

B. Novelty:+must+be+new+1. Involves+knowledge+++enablement+(Apotex)

C. Nonhobviousness:+it+must+not+be+obvious+1. Could+be+obvious+even+if+a+person+skilled+in+the+art+with+no+imagination+would+have+had+to+

do+some+(but+not+much)+trial+and+error+to+conYirm+how+to+arrive+at+the+variant+(Apotex)D. Useful:+it+must+serve+a+purpose

1. Must+be+known+to+serve+that+purpose+OR+2. Must+be+useful+as+a+matter+of+sound*prediction*(Wilka)


43

APPENDIX*B:*IMPORTANT*CASES

COPYRIGHT

SUBSISTENCE*OF*COPYRIGHT

Neudorf%v%Nettwerk%Productions%Ltd%1999%BCSC

• Facts:+Lawsuit+brought+against+singer/songwriter+Sarah+McLaughlin+by+a+man+that+she+worked+with+on+her+album+

• The+album+was+very+successful+• Mr.+Neudorf+claimed+that+he+owned+part+of+the+copyright+in+the+album+because+he+was+a+joint+author+with+

McLaughlin+–+his+position+was+that+he+contributed+original+musical+elements+to+some+of+the+songs+on+the+album

• McLaughlin+agreed+that+Neudorf+had+helped+her+with+the+album+but+it+did+not+amount+to+joint+authorship+–+her+position:+he+did+help+and+guide+her+as+an+advisor,+and+yes+there+are+elements+in+some+of+the+songs+that+resulted+from+his+contribution+but+that+does+not+amount+to+him+being+a+joint+author+

• Issue:*The+judge+had+to+look+at+the+facts/law+to+determine+what+it+is+that+makes+someone+a+“joint+author”

• Experts+testiYied+to+the+composition+of+the+songs,+etc.+• There+had+to+be+a+Yinding+of+fact+as+to+who+contributed+what• Judge+found+that+there+were+original+contributions+by+Neudorf+to+the+rhythm+of+the+song,+the+verse+vocal+

melodies,+speciYic+drum+parts,+and+4+bars+of+melody+• On+one+song+particularly,+there+was+quite+a+contribution+to+the+vocal+melody+• And+Neudorf’s+contribution+was+melded+in+with+McLaughlin’s+

• Held:*What+was+missing+was+the+intent+to+be+joint+authors+–+he+was+looking+for+some+kind+of+agreement+between+Neudorf+and+McLaughlin+that+they+would+be+joint+authors+• Although+he+made+original+contributions+to+the+musical+product,+there+was+no+mutual+intent+for+him+to+

be+joint+authors+with+McLaughlin+• This+was+controversial+

Neugebauer%v%Labieniec%2009%FC%

• Federal+Court+disagreed+with+the+Neudorf+case• What+the+British+and+older+Canadian+cases+said+was:+intent+is+necessary• Federal+Court:+it+is+a+factual+question+–+was+there+enough+contribution+of+original+content+by+that+other+

person+to+make+him/her+joint+author+–+we+don’t+need+this+added+intent+• So+it+is+still+not+a+very+clear+picture+• Courts+more+likely+to+follow+this+Federal+Court+decision

University%of%London%Press%Ltd%v%University%Tutorial%Press%Ltd%1916%UK

• Raised*the*question:*Is*a*Mathematics*exam*original?• The+Yight+was+between+the+University+of+London+Press+(ULP),+which+was+claiming+as+an+assignee+of+

copyright+–+they+published+collections+of+old+exams+• Is+there+copyright+in+these+exams?+• The+issue+was+raised+because+the+students+who+wrote+the+exams+handed+them+to+some+enterprising+

person+who+collected+these+old+exams+–+and+they+published+an+unauthorized+collection+of+University+of+London+exams+(with+some+comments+on+the+exam+questions)+

• The+ULP,+as+an+assignee+of+the+copyright,+sued+this+independent+publisher+of+the+UL+exams+(UTP)+• Argued:+you+can’t+do+this,+the+copyright+in+those+exams+belongs+to+ULP+

• Note:$There+was+some+question+as+to+whether+the+authors+of+the+exams+who+were+contracted+by+the+University+(weren’t+even+employees)+had+in+fact+assigned+their+copyright+to+the+university,+which+in+turn+assigned+it+to+the+ULP+


44

• What+is+of+interest+to+us:+was+there+any+copyright+in+those+papers?+• The+TJ+decided+what+the+signiYicance+of+the+statutory+language+of+“originality”+was• Argument:+there+is+nothing+original+about+routine+mathematics+exams,+they+are+just+exams,+not+like+books,+

etc+–+all+these+arguments+are+swept+aside+because+what+copyright+catches+is+pretty+well+anything

• So*what*is*“original”?• First+question:+are+these+things+“literary+works”?+–+TJ+says,+yes,+because+they+are+in+writing+(that’s+all+

literary+means)+• Then,*the*question*is:*is*it*“original”?*–*the*Act*doesn’t*require*that*the*expression*must*be*in*an*

original*or*novel*form*but*that*the*work*must*not*be*copied*from*another*work*–*that*it*should*originate*from*the*author*

• So*a*very*minimal*concept*of*originality*–*originality*is*a*minimal*threshold*–*note:%the*CCH*case*modieies*this*somewhat*but*still*same*concept

• If+you+put+it+together+yourself,+then+it’s+your+work,+it’s+original+to+you+• The+only+problem+is:+what+if+putting+it+together+really+is+just+a+mechanical+exercise+• TJ:+Historically,+the+copyright+legislation+didn’t+refer+to+literary+works+but+rather+referred+to+books+and+

there+were+cases+in+which+lists+were+protected+• So+this+case+is+the+baseline+for+originality+

CCH%Canadian%Ltd.%v.%Law%Society%of%Upper%Canada%2004*SCC

• The+law+publishers+made+a+lot+of+money+selling+law+reports+–+because+everybody+had+to+have+them+• Now,+this+industry+has+collapsed+because+of+online+ofYice+to+law+reports+• So+the+publishers+were+Yighting+to+protect+the+printed+law+reports+–+which+is+kind+of+a+thing+of+the+past+

now,+but+the+law+publishing+industry+wanted+to+establish+their+copyright+in+the+whole+range+of+legal+publications+and+they+were+getting+concerned+that+it+was+getting+way+too+easy+for+people+to+distribute+this+stuff,+etc.+

• So+they+picked+they+Law+Society+of+Upper+Canada+• One+of+the+main+services+of+the+LSUC:+they+would+provide+photocopies+of+the+law+reports+for+lawyers+• The+law+publishers+argued:+this+is+eroding+our+market+because+lawyers+who+would+otherwise+have+to+buy+a+

law+report+are+getting+by+by+having+the+library+(LSUC)+make+photocopies+for+them+–+so+they+wanted+to+put+a+stop+to+this+

• Some+works+that+were+photocopied:• Cases+with+headnotes+• Case+summaries+• Textbook+• Etc.+

• Argument:+the+library+was+infringing+their+copyright+because+it+was+doing+a+number+of+things+that+section+3+says+the+publishers+have+the+sole+right+to+do+• Making+the+photocopies+is+an+infringement+because+they+are+reproducing+(where+they+are+doing+the+

photocopying+themselves,+they+are+the+ones+who+are+reproducing)+• Also:+by+supplying+these+photocopiers+that+the+users+could+use,+the+library+was+authorizing++individual+

lawyers+to+make+copies+of+copyright+materials+–+and+that+is+contrary+to+CA%s.%3

• Also:+the+library+is+communicating+the+work+to+the+public+by+telecommunication+(when+they+faxed+a+copy+to+the+lawyer)+

• And:+the+library+is+committing+secondary*infringement+(CA%s.%27(2))+–+it+is+basically+“trafYicking”+in+infringement+

• 27(1)+catches+infringement+generally+–+if+a+person+does+anything+that+the+Act+says+only+the+copyright+holder+can+do+


45

• 27(2)+adds+speciYic+laws+–+secondary+infringement+is+aimed+at+commercial+“trafYicking”+of+infringement+

• Argument+in+CCH+case:+the+library+is+selling+copies+to+lawyers• The+arguments+all+hinged+on+the+proposition+that+what+the+library+was+copying/faxing+was$in$fact+

subject+to+copyright• The+LSUC’s+position+was+that+none+of+this+was+subject+to+copyright+–+law+is+free+

• They+couldn’t+deny+copyright+for+things+like+the+textbooks+• But+when+it+came+to+case[based+works,+here+was+the+argument

• For+cases,+i.e.+“Reasons+for+Judgment”,+the+publishers+usually+do+a+little+bit+of+editorial+work+–+they+add+parallel+citations,+they+clean+up+the+formatting+(headings,+etc.),+they+add+a+headnote+(summary+of+the+case),+and+they+add+“catchlines”+

• How+much+of+this+is+subject+to+copyright?+–+it+all+turned+on+what+is+“original”+

• The+Law+Society+said,++this+isn’t+original,+all+they+are+doing+is+processing+law+of+cases,+making+indexes+of+them,+making+summaries+of+them,+etc.+

• Main+argument+was+based+on+an+American+case+about+a+phone+book+(Feist%case)+• Phone+books+were+being+copied+by+publishers+with+better+pictures,+etc.+• Lawsuit+was+brought+for+copying+the+information+in+the+phone+book+• The+US+Supreme+Court+said+there+was+no+copyright+in+the+phone+book+because+it+wasn’t+original+–+

main+point:+you+can’t+have+copyright+in+information/fact+–+it+is+not+original+(ex.+where+people+live,+their+phone+number,+etc.)+

• The+phonebook+argued+that+it+was+original+to+them+because+they+had+put+it+all+together+–+it+was+an+original+compilation+of+facts

• USSC+said:+yeah,+but+there+was+no+creativity+–+all+you+did+was+take+all+of+your+subscribers+and+put+them+in+alphabetical+order

• That’s+not+original,+it+is+purely+mechanical+–+there+was+no+selection+involved,+you+are+not+exercising+any+judgment,+you+are+not+classifying+–+you*cannot*acquire*copyright*in*facts/raw*data

• So+the+USSC+has+said+that+phone+books+(standard+listing)+are+not+original• Note:$Yellow+pages+might+be+a+different+story+–+but+even+then+you+would+only+get+copyright+in+the+

categories,+not+in+the+information$itself+

• So+this+was+the+argument+used+by+the+Law+Society,+arguing+that+the+law+publishers+were+not+doing+anything+creative

Reasoning

• The+British+are+on+one+end+of+the+spectrum:+they+say+originality+is+just+a+matter+of+whether+you+expended+labour+or+resources+in+putting+it+together+(the+sweat+of+the+brow)+–+what+attracts+copyright+is+the+fact+that+it+took+work+to+make+it+

• Our+SSC+said+that+is+too+liberal+a+standard+because+it+would+over[protect+pure+assembly+–+the+mere+fact+that+it+took+work+and+resources+to+accumulate+this+information+does+not+give+copyright+protection+to+that+information+

• But+the+SCC+didn’t+like+the+US’s+“creativity”+standard+either+because+that+is+imposing+a+standard+that+is+too+demanding+

Ratio

• What*this*case*is*useful*for*on*the*point*of*“originality”*is*that*the*SCC*emphasizes*that*the*copyright*is*a*balance*between*the*interests*of*owners*and*the*interests*of*users*–*and*users*have*rights*to*use*copyright*material*in*certain*ways*

• In+drawing+the+line+on+what+is+subject+to+copyright+and+what+is+not,+you+have+to+try+to+balance+these+interest+


46

• So+the+SCC+settles+on+a+compromise:+skill*&*judgment*test+–+“original”+means+that+it+took+skill+and+judgment+to+make+it+• Includes+compilations+–+if+it+took+skill+and+judgment+to+make+the+compilation+

Application

• Applying+it+to+the+works+that+the+law+publishers+were+Yighting+about+–+does+it+take+skill+and+judgment?+Do+the+contributions+made+by+the+law+publishers+reYlect+skill+and+judgment?+–+most+of+them+did+

• Re+the+headnotes:• The+Federal+CA+had+said+headnotes+were+not+original+because+they+were+summaries+of+the+case+but+

SCC+said:+a+summary+is+an+exercise+of+skill+and+judgment+• So+a+headnote+on+a+case+decision+is*original+because+it+requires+exercise+of+skill+and+judgment+

• But+the+court+drew+the+line+at+the+Reasons+for+Judgment+themselves+–+the+law+publishers+do+not+have+copyright+in+the+particular+edition+of+the+Reasons+for+Judgment+(including+the+parallel+citations,+formatting+Yixes,+cross[references,+etc.)+(para%35%of%the%judgment)+• Contribution+to+the+actual+Reasons+for+Judgment+is+too+trivial+to+warrant+copyright+protection+–+all+you+

are+doing+is+routine+editorial+work+

• What+is+under+the+surface+here:+these+law+publishers+are+trying+to+claim+copyright+in+what+they+never+produced+–+they+got+all+this+stuff+free+from+the+courts+

• This*is*an*important*case*on*threshold*of*what*makes*something*“original”*–*there*has*to*be*substantial,*original*skill*&*judgment*involved*–+becomes+important+when+dealing+with+compilations+of+data+(because+the+whole+originality+is+assembling+the+contents+itself)

Canadian%Admiral%Corp.%Ltd.%v.%Rediffusion%Inc%1954%Ex%CR

Facts

• What*you*had*was*a*telecasting*of*a*live*event• The+alleged+copyright+infringement:+someone+had+piped+the+telecast+(the+signal)+into+people’s+homes+• Could+CAC+(who+had+taken+assignment+of+the+copyright)+claim+copyright+in+the+telecast+so+that+the+further+

distribution+of+the+telecast+was+itself+an+infringement+of+copyright+• The+concern+was+that+someone+was+making+money+off+of+their+telecast

Held*

• These+telecasts+are+not+copyright+at+all+because+they+are+not+Yixed+(in+some+material+form)

• The+Bern$Convention+has+a+broad+deYinition+of+what+is+subject+to+copyright:+“every+original+literary,+dramatic,+musical,+and+artistic+work”+(deYined+in+Article+2):+

• Article%2(1):+The+expression+“literary+and+artistic+works”+shall+include+every+production+in+the+literary,+scientiYic+and+artistic+domain,+whatever+may+be+the+mode+or+form+of+its+expression,+such+as+books,+pamphlets+and+other+writings;+lectures,+addresses,+sermons+and+other+works+of+the+same+nature;+dramatic+or+dramatico[musical+works;+choreographic+works+and+entertainments+in+dumb+show;+musical+compositions+with+or+without+words;+cinematographic+works+to+which+are+assimilated+works+expressed+by+a+process+analogous+to+cinematography;+works+of+drawing,+painting,+architecture,+sculpture,+engraving+and+lithography;+photographic+works+to+which+are+assimilated+works+expressed+by+a+process+analogous+to+photography;+works+of+applied+art;+illustrations,+maps,+plans,+sketches+and+three[dimensional+works+relative+to+geography,+topography,+architecture+or+science.

• This+Bern$Convention+deYinition+is+reproduced+(word+for+word)+in+the+deYinition+section+of+the+Copyright$Act$–+it+deYines+the+phrase+“every+original+literary,+dramatic,+musical+and+artistic+work”+(uses+the+same+language+of+the+Bern$Convention


47

• CA%s.%2:+“every+original+literary,+dramatic,+musical+and+artistic+work”+includes+every+original+production+in+the+literary,+scientiYic+or+artistic+domain,+whatever+may+be+the+mode+or+form+of+its+expression,+such+as+compilations,+books,+pamphlets+and+other+writings,+lectures,+dramatic+or+dramatico[musical+works,+musical+works,+translations,+illustrations,+sketches+and+plastic+works+relative+to+geography,+topography,+architecture+or+science;

• Note:$There+is+nothing+about+Yixation+here+–+the+judge+reads+it+in+

• The+waters+are+muddied+by+section%3(1.1)%of%the%Copyright%Act%–+this+does+capture+a+live+telecast+if+it+is+being+recorded+as+it+is+being+broadcast;+it+is+a+work+that+is+being+telecommunicated+to+the+public

Nichols%v%Universal%Pictures%Corporation%1930%US%Circuit%Court%of%Appeals

Facts

• Nichols+had+written+a+very+successful+play,+“Abie’s+Irish+Rose”• It+was+a+cheesy+play+about+a+Jewish+family+and+a+Catholic+family+and+misunderstandings,+etc.

• The+lawsuit+was+between+the+woman+who+had+written+this+play+and+the+producers+of+a+movie+with+a+vaguely+similar+plot[line+called+“The+Cohens+and+the+Kellys”

• Nichols+sued+the+producers+of+this+movie+for+infringing+her+copyright+in+“Abie’s+Irish+Rose”+–+she+argued+that+it+was+a+ripoff+of+her+play+(which+it+was+in+one+sense)+

Issue

• The+problem+is+that+it+is+not+enough+to+say,+“they+got+the+idea+from+me”+–+they+have+to+get+the+expression+from+her+

• This+case+deals+with+that+dilemma:+Where+do+you+draw+the+line?+When+are+you+copying+a+work+(as+opposed+to+merely+copying+an+idea)?+• Strict+copying+obviously+falls+under+copyright• Immaterial+changes+(i.e.+just+tweaking+the+work)+still+fall+under+copyright+• But+as+you+change+the+work+more+and+more,+at+some+point,+there+has+to+be+a+line+where+you+are+no+

longer+reproducing+the+original+but+simply+getting+inspiration+from+it• From$the$judgment:+“Nobody+has+ever+been+able+to+Yix+that+boundary,+and+nobody+ever+can.”+–+i.e.+this+is+a+

matter+of+judgment,+you+can’t+draw+that+line+precisely

Reasoning*

• You+can+conceive+of+a+work+in+progressively+more+abstract+terms+–+every+time+you+remove+details,+it+becomes+more+abstract+

• From$the$judgment:+“If+Twelfth+Night+were+copyrighted,+it+is+quite+possible+that+a+second+comer+might+so+closely+imitate+Sir+Toby+Belch+or+Malvolio+as+to+infringe,+but+it+would+not+be+enough+that+for+one+of+his+characters+he+cast+a+riotous+knight+who+kept+wassail+to+the+discomfort+of+the+household,+or+a+vain+and+foppish+steward+who+became+amorous+of+his+mistress.+These+would+be+no+more+than+Shakespeare's+“ideas”+in+the+play+,+as+little+capable+of+monopoly+as+Einstein's+Doctrine+of+Relativity,+or+Darwin's+theory+of+the+Origin+of+Species.+It+follows+that+the*less*developed*the*characters,*the*less*they*can*be*copyrighted;*that*is*the*penalty*an*author*must*bear*for*marking*them*too*indistinctly.”

• All+these+two+plays+have+in+common+is+the+idea+of+a+Jewish+family+and+a+Catholic+family+–+but+the+characters+are+distinct,+the+plot+is+different+(although+the+general+ideas+are+the+same,+misunderstandings,+etc.,+they+are+reconciled+by+the+love+of+a+grandchild)+

• What+similarity+there+is,+is+not+enough+to+amount+to+copying+of+the+play+

• At*what*point*are*you*copying*substantial*elements*of*a*work*such*that*you*are*infringing*on*the*copyright*of*the*work*(as*opposed*to*simply*being*inspired*by*the*idea)?*–*i.e.*what*exactly*are*the*elements*in*which*you*have*copyright?*


48

• You*have*copyright*in*the*literal*text• You*have*copyright*in*the*characters*and*the*plot*–*but*to*a*point*• You*don’t*have*copyright*in*the*broader*symbols*or*ideas*they*represent

• One$QCCA$case$about$ripping$off$a$concept$for$a$children’s$show:$France%Animation%SA%v.%Robinson%2011*QCCA*• The+authors+of+a+projected+children’s+TV+series,+Robinson+Curiosité+(which+was+never+produced)+sued+

the+makers+of+a+TV+cartoon+series,+Robinson+Sucroë,+for+having+copied+the+++characters+and+some+graphic+elements+from+the+plaintiffs’+proposal,+which+the+defendants+had+seen

• The+defendants+were+found+liable+of+infringement+because+they+had+taken+the+characters+so+exactly+and+made+them+even+look+similar+(talks+about+graphic$resemblance)+to+the+concepts+

• Litigation$in$England$about$the$Da$Vinci$Code:+• A+couple+of+people+who+had+written+a+book+years+before,+called+The+Holy+Blood+and+the+Holy+Grail,+said+

Dan+Brown+had+copied+from+their+book• They+were+able+to+show+that+Mrs.+Brown+had+read+the+book+• They+could+point+to+points+of+similarity+but+in+the+end,+they+lost+• What+it+turned+on+was:+What+do+these+similarities+add+up+to?+Do+they+add+up+to+copying?+(it+was+

argued+that+they+copied+a+central+theme+of+the+book)+• Both+TJ+and+CA+said:+Yes,+you+can+point+to+all+these+points+of+similarity,+but+they+don’t+add+up+to+a+

central+theme• You+can’t+say+that+the+Da+Vinci+Code+took+anything+substantial+from+the+earlier+book+–+it+didn’t+take+

the+plot• All+you+can+say+is,+there+are+some+things+that+occur+in+both+books+and+it+may+well+be+that+they+

thought+of+it+from+reading+your+book,+but+you+have+to+show+that+they+copied+more+than+that+

So:

• You*can’t*copyright*an*idea,*you*can*copyright*an*expression*• Expression*includes*plot*and*character*but*you*have*to*be*able*to*show*that*the*plot*and*the*

characters*were*in*fact,*clearly*copied*

Exxon%Corporation%v%Exxon%Insurance%Consultants%International%Ltd%1982%UK

• Supposedly+meaningless+in+any+language,+good+target+for+trademark• Small+insurance+corporation+started+using+Exxon,+sued+for+passing+off+–+this+turns+on+whether+Exxon+is+

distinctive+• They+appealed+a+decision+denying+that+they+had+copyright+in+the+word+“Exxon”+• They+argued+its+literary+because+it’s+got+letters+and+its+work+because+we+put+a+lot+of+work+into+coming+up+

with+this+work+and+it’s+original+because+no+one+had+thought+of+it+before• Therefore+it+is+an+original+literary+work+• In+a+sense+it+is,+but+what+copyright+protects+is+not+necessarily+what+you+put+the+most+effort+into+• The+question+was+can+you+have+copyright+in+a+single+word?+

• You+can’t+copyright+a+common+word,+but+this+word+was+newly+created+by+the+company

• They+could+have+gotten+protection+through+trademark/“passing+off”+but+all+trademark+protects+is+from+people+who+use+your+brand+to+“pass+off”+their+own+products+as+yours+–+it+gets+at+companies+using+your+customer’s+goodwill+if+they+are+linking+it+to+your+company

• However,+if+Exxon+had+copyright+in+the+word,+NO+ONE+COULD+USE+THE+WORD+without+infringement+(though+fair+use+exceptions,+etc.)

• So*question:*can*a*single*word*be*an*original*literary*work*

• Court+looks+at+an+earlier+case:+Hollinrake%v%Trussel+–+an+1894+case+that+comes+up+frequently• Involved+a+cardboard+sleeve+template+for+dress+making+–+it+had+words/instructions+on+it+


49

• Someone+put+out+a+similar+device+and+the+people+who+produced+this+thing+originally+tried+to+claim+copyright+in+the+language/words+printed+on+the+template+–+they+argued+it+was+an+original+literary+work+

• Court+of+Appeal+said+that+is+not+a+literary+work+because+it+is+merely+a+mechanical+tool+• What+is+underlying+this:+you+are+trying+to+use+copyright+to+protect+something+which+you+should+be+using+a+

patent+to+do+–+you+want+to+stop+people+from+making+the+cardboard+sleeve+template,+not+the+words+–+and+that+is+not+the+job+of+copyright,+that+is+the+job+of+patent+

• You+can’t+use+copyright,+which+offers+much+more+extensive+protection+for+a+longer+period+of+time,+just+because+there+happen+to+be+words+on+this+thing+

• Back*to*Exxon*case:*court*says*a*literary*work*has*to*be*something*which*was*intended*to*afford*either*information*or*instruction,*or*pleasure*in*the*form*of*literary*enjoyment*

• i.e.*It*must*be*about*the*MESSAGE,*not*the*MEDIUM• If*the*point*of*the*words*is*to*communicate*SOMETHING*(information,*enjoyment,*etc.),*then*it*is*a*

literary*work*but*if*all*it*is*is*a*means*to*a*mechanical*end*–*then*it*is*not*a*literary*work

• Here,+the+word+(Exxon)+in+itself+communicates+nothing+–+it+is+meaningless,+it+doesn’t+communicate+information+or+pleasure+or+enjoyment+

• It+is+not+a+literary+work+• SO:+you+cannot+copyright+a+single+invented+word+

• Because+it+would+enable+you+to+get+better+protection+than+what+trademark+law+would+give+you+• Note:$logos,+however,+are+artistic+works,+and+so+you+can+claim+copyright+in+it

• Note:$“passing+off”+is+the+use+of+anything+(word,+colour,+etc)+that+identiYies+a+product+or+service+–+comes+from+common+law+

• Note:$“work”+includes+the+title,+but+may+not+be+just+the+title

Bulman%Group%Ltd.%v.%"One%Write"%Accounting%Systems%Ltd.%1982*FCTD

• Re:+paper+business+forms+for+accounting+purposes• The*issue*in*the*case*was*that*they*had*some*ingenious*system*which*functioned*as*a*device*to*

produce*multiple*copies• Someone+copied+their+ingenious+forms+and+Bulman+sued+for+copyright+infringement• The+other+side+argued+there+is+no+monopoly+in+business+forms+• FC+allowed+the+claim+–+saying:+writing+on+forms+conveyed+information,+so+it+was+a+literary+work+for+the+

purposes+of+copyright• FC+says+they+copied+an+expression,+not+an+idea+

• So+these+are+right+on+the+borderline+• In*one*sense*you*are*dealing*with*a*device*(that*are*meant*to*be*used*for*particular*purposes)*but*

because*it*is*a*paper*record,*that*communicated*enough*verbal*information*that*the*court*thought*it*did*meet*the*test*

• If+you+just+have+a+piece+of+paper+that+says,+“write+here:”+presumably+that’s+minimal+but+because+there+were+a+lot+more+headings,+etc.,+there+was+a+lot+of+content+–+it’s+true+that+it+has+a+function+but+the+essence+of+what+is+on+the+paper+is+a+piece+of+literary+work+even+if+the+piece+of+paper+functions+as+a+device+

• But+you+end+up+allowing+a+monopoly+on+that+particular+form/way+of+organizing+paper+–+what+it+protects+effectively+is+the+functional+aspect+(which+is+not+the+job+of+copyright)+

• A+similar+problem+exists+with+software+because+it+too+has+a+double+aspect+–+it+conveys+information+but+it+is+also+a+thing+that+does+a+job/produces+a+particular+result+


50

TeleDDirect%(Publications)%Inc.%v.%American%Business%Information%Inc.%1997%FCA

• Another+phonebook+case• Tele[Direct+published+Bell+Canada’s+yellow+pages+directories• American+business+information+used+the+information+in+its+own+directory• It+was+admitted+that+Yellow+Pages+had+copyright+in+the+yellow+pages+directory+as+a+whole+because+it+

qualiYies+as+a+compilation• A+compilation+means:+

(a) a+work+resulting+from+the+selection+or+arrangement+of+literary,+dramatic,+musical+or+artistic+works+or+of+parts+thereof,+or

(b) a+work+resulting+from+the+selection+or+arrangement+of+data;

• So+“compilation”+can+also+include+a+compilation+of+DATA,+not+just+of+other+works• It+will+usually+be+a+literary+work,+because+it+is+not+artistic,+musical,+or+dramatic

• So*the*phone*directory*was*a*compilation*and*a*compilation*focuses*on*selection*or*arrangement*–*THAT’s*what*you*have*copyright*in,*not*the*DATA*itself,*but*the*selection*or*arrangement*of*that*data*

• The+Yight+here+was+that+American+Business+Information+said:+we+concede+that+Tele[Direct+had+copyright+in+the+yellow+pages+as+a+whole+(it+is+a+compilation+and+it+is+original+because+it+is+arranged+in+a+particular+way)+but+all+we+have+copied+is+the+RAW+DATA+–+the+listings+under+a+particular+heading+

• Question:+is+copying+the+data+under+a+particular+heading+infringing+Tele[Direct’s+copyright+–+are+you+taking+a+substantial+part+of+the+selection+and+arrangement+that+yellow+pages+have+made?

• They+get+into+this+problem+that+CCH+also+dealt+with+–+what+is+original?+• They+say+this+was+original+• Just+taking+the+stuff+that+Bell+gives+you+and+putting+it+in+alphabetical+order+within+a+category+–+where+is+the+

original+contribution+of+Tele+Direct?+• Merely*putting*it*into*alphabetical*order*is*not*original*in*the*selection*or*arrangement*• TelehDirect*obviously*put*in*resources*in*putting*the*yellow*pages*together*but*as*far*as*the*inh

column*information,*that*was*not*original*to*them*–*it*was*not*an*original*selection*or*arrangement*of*stuff*

• Goes*back*to:*what*is*worth*copying*is*presumably*worth*protecting*–*but*this*is*not*always*necessarily*true*

• It+was+worth+the+time+to+copy+the+product,+but+that+doesn’t+mean+it+was+worth+protecting• SO:*the*contents*of*the*compilation*were*fair*game,*even*if*the*compilation*itself*was*not

• The+CCH+case+altered+the+approach+to+“originality”+–+would+the+CCH+skill+and+judgment+test,+had+it+been+applied+here,+made+any+difference?+

• Don’t+think+so+–+what+skill+and+judgment?+You+got+a+bunch+of+info+and+put+it+in+alphabetical+order+

Collective*Works

Robertson%v%Thomson%Corp%2006%SCC

• Distinction*between*compilation/collective*work*and*the*contents*of*it*• Robertson+one+of+the+freelance+authors+who+had+written+articles+for+the+Globe+(not+employed+by+the+

Globe),+which+then+did+some+editorial+work+on+the+articles+and+printed+them+as+part+of+the+newspaper• DeYinition+of+a+collective+work+includes+a+newspaper+(and+other+similar+periodicals)+

• SCC+starts+out+saying+a+newspaper+is+a+collective+work+but+it+is+also+a+compilation+• So+you+have+layers+of+copyright+and+because+the+individual+articles+are+copyright+to+the+author+of+the+

article+(note:+if+it+is+a+staff+writer,+then+it+is+the+Globe’s+copyright,+but+if+it+is+a+freelance+author,+then+it+is+the+author’s+copyright+in+the+individual+article+but+the+Globe’s+copyright+in+the+collective+work)+

• This+case+was+a+class+action+on+behalf+of+these+freelance+authors+on+the+basis+that+the+Globe+had,+without+paying+for+it,+put+these+articles+into+a+couple+of+electronic+forms:


51

• 2*online*databases+(Globe+Online+and+another+more+general+Canadian+periodical+index)+–+so+you+could+go+online+and+search+for+articles+dealing+with+a+particular+subject+

• CD*Rom

• Authors+said+that+by+putting+the+articles+into+a+database,+the+Globe+was+infringing+their+copyright+in+the+individual+articles

• The+Globe+had+2+arguments+to+the+contrary:+• We+have+copyright+in+the+newspaper+and+that+includes+reproducing+the+newspaper+in+electronic+form+

–+authors+argued:+we+okayed+publishing+it+as+a+newspaper+article,+but+we+didn’t+okay+publishing+the+individual+article+as+part+of+a+database

• You+authors+gave+us+an+implied+licence+to+do+this+–+authors+argued:+that+has+to+be+in+writing+according+to+the+Act+(court+said+no+to+this)+

• The+main+problem+in+the+case+was:+how+far+does+the+Globe’s+copyright+in+the+collective+work/compilation+–+how+far+does+that+authorize+them+to+republish+the+paper+in+digital+form+

• The+court+split+5[4+on+this+on+a+metaphysical+ground+• Majority*view:*the+nature+of+the+newspaper+has+been+lost+once+you+put+the+articles+in+a+database+–+you+

can’t+call+it+a+newspaper+anymore+because+the+articles+aren’t+connected+to+each+other+in+the+same+issue,+what+you+retrieve+is+an+individual+article+• The+Glove+did+not+put+the+newspaper+into+the+database,+they+put+the+articles+

• Minority*view:+you+are+attaching+too+much+importance+to+form+• Obviously+an+online+database+works+in+a+particular+way+and+if+you’re+going+to+put+a+newspaper+into+

online+form,+this+is+the+way+you+do+it• The+fact+that+the+articles+aren’t+connected+to+each+other+in+the+same+way+doesn’t+change+the+

newspaper?

• Interesting%theoretical%point:%media%neutrality%• Copyright+law+goes+back+to+1886+–+we+protect+works+no+matter+what+the+mode/form+of+expression+–+

this+means+that+if+a+work+is+transferred+form+one+mode+to+another,+you+don’t+lose+your+copyright+–+it’s+the+same+work+

• And+the+minority+was+saying,+just+because+the+paper+has+now+been+absorbed+into+an+online+database+and+is+now+accessible+article+by+article

• The+newspaper+is+doing+what+it+is+entitled+to+do+–+which+is+putting+it+in+a+different+medium+• Majority+says,+no,+you+can’t+call+that+a+newspaper+anymore+–+it’s+a+different+collection+of+articles,+it+has+

lost+its+identity+as+a+newspaper+

• It$is$a$metaphysical$question:$when+is+a+newspaper+no+longer+a+newspaper?• Majority+view:+it+is+no+longer+a+newspaper+when+it+is+in+an+online+database+where+the+articles+are+

individually+accessible+• Minority+view:+it+continues+to+live+as+a+newspaper+in+the+online+database+• They+all+agreed+that+the+CD[Roms+were+within+the+Globe’s+rights+because+they+actually+recorded+issues+

of+the+paper+and+you+retrieved+the+information+as+such+–+so+you+got+an+ISSUE+of+the+Globe+• Note:+how+you+access+the+information+makes+a+difference+–+so+if+you+had+to+navigate+through+to+Yind+

the+article+you+were+looking+for,+that+may+have+been+accepted+–+you+would+still+be+getting+to+the+individual+work+via+the+collective+work+–+it+would+have+retained+its+identity+

• Note$re$media$neutrality:$it+is+a+valid+concept+–+that+rights+should+not+change+if+the+media+changes+• But+the+problem+is+that+sometimes,+transferring+it+to+a+new+medium+allows+the+work+to+be+used+in+a+

different+way+and+addresses+a+different+market• It+gets+difYicult+to+say+that+it+is+the+same+work+


52

• The+point+is:+media+neutrality+is+Yine+but+it+still+has+to+be+the+same+kind+of+work,+particularly+if+it+changes+the+way+you+use+the+work,+then+you+can+say+the+transfer+to+another+medium+has+really+done+something+so+that+it+is+not+the+same+work+anymore

• The+law+of+copyright+deals+with+economic+issues:+is+it+fair+to+give+freelance+authors+a+new+right,+recognize+that+they+have+an+additional+right+• The+way+copyright+solves+this+is+the+conceptual+distinction+between+a+newspaper+and+a+database+of+

articles+• It*basically*sets*out*who*has*to*bargain*with*who*for*what?*Is*it*the*newspaper*who*has*to*get*

permission*of*the*authors*or*is*it*the*authors*who*should*bargain*to*get*more*money*because*newspapers*can*use*their*articles*in*this*way

• The+Glove+had+argued:+even+if+the+authors+had+copyright+in+these+articles+and+even+if+we+have+used+the+article+as+an+article,+the+authors+gave+us+an+implied+licence+to+do+that+

CA%s.%13(4):%Assignments%and%licences

13(4)+The+owner+of+the+copyright+in+any+work+may+assign+the+right,+either+wholly+or+partially,+and+either+generally+or+subject+to+limitations+relating+to+territory,+medium+or+sector+of+the+market+or+other+limitations+relating+to+the+scope+of+the+assignment,+and+either+for+the+whole+term+of+the+copyright+or+for+any+other+part+thereof,+and*may*grant*any*interest+in+the+right+by+licence,+but+no+assignment+or+grant+is+valid+unless+it+is+in*writing*signed*by*the*owner*of*the*right*in+respect+of+which+the+assignment+or+grant+is+made,+or+by+the+owner’s+duly+authorized+agent.

• The+authors+argued+there+can’t+be+an+implied+licence+because+an+assignment+has+to+be+in+writing+(s.+13+of+the+statute+–+talks+about+assignments+and+licences)

• So+the+Globe+argued+that+it+was+JUST+a+licence,+not+a+“grant+of+an+interest”+

• So+when+is+a+licence+a+grant+of+an+interest?+• What+does+a+grant+of+interest+mean?+–+it+means+you+get+a+property[like+right+in+the+copyright+

• The+SCC+clutched+onto+CA%s.%13(7):%exclusive%licence

13(7)+For+greater+certainty,+it+is+deemed+always+to+have+been+the+law+that+a+grant+of+an+exclusive*licence+in+a+copyright+constitutes+the+grant+of+an+interest+in+the+copyright+by+licence.

• If+it+speciYically+says+an+exclusive*licence+is+a+grant+of+an+interest,+then+you+can+infer+that+the+grant+of+a+non[exclusive+licence+is+not+a+grant+of+interest+

• On+this+basis,+the+Globe’s+argument+that+“they+gave+us+a+licence”+was+really+that+“they+gave+us+a+non[exclusive+licence”+

• SCC+says+it+doesn’t+have+to+be+in+writing+because+it+is+not+an+exclusive+licence+• Its+only+when+you’re+giving+an+exclusive+licence+that+its+validity+depends+upon+putting+it+in+writing+

• It+would+be+grossly+inconvenient+if+all+implied+licences+were+required+to+be+in+writing+

• SO+SCC+SAYS:+it’s+only+when+you’re+giving+an+exclusive*licence+that+its+validity+depends+on+it+being+in+writing+and+signed+

• One$further$point:$should+the+staff+writers+of+articles+be+included+as+part+of+the+class+–+do+they+have+a+potential+claim+too?+• Because+they+are+staff+writers,+the+copyright+in+their+individual+articles+would+be+in+the+employer+


53

• s.%13(4)%Work%made%in%the%course%of%employment(3)+Where+the+author+of+a+work+was+in+the+employment+of+some+other+person+under+a+contract+of+service+or+apprenticeship+and+the+work+was+made+in+the+course+of+his+employment+by+that+person,+the+person+by+whom+the+author+was+employed+shall,+in+the+absence+of+any+agreement+to+the+contrary,+be+the+Yirst+owner+of+the+copyright,+but+where+the+work+is+an+article+or+other+contribution+to+a+newspaper,+magazine+or+similar+periodical,+there+shall,+in+the+absence+of+any+agreement+to+the+contrary,+be+deemed+to+be+reserved+to+the+author+a+right*to*restrain+the+publication+of+the+work,+otherwise+than+as+part+of+a+newspaper,+magazine+or+similar+periodical.

• SCC+says+in+order+to+trigger+this+provision,+you+have+to+make+a+demand+that+the+newspaper+not+publish+it+–+otherwise+the+newspaper+can+do+what+it+wants

Apple%Computer%Inc.%v.%Macintosh%Computers%Ltd.%1999%SCC

• This+is+the+only+SCC+decision+on+copyright+of+computer+programs• AfYirms+that+the+computer+program+is+treated+as+a+literary+work+

• Question+1:+Is+it+a+literary+work?+• Question+2:+Was+it+copied?

Facts

• Macintosh+Computers+put+out+a+clone+of+apple+by+simply+replicating+the+computer+chip+in+the+apple+computer

• SCC+says+what+was+on+the+chip+reYlects/is+the+embodiment+of+the+operating+system+of+the+computer+–+it+encodes+a+program+in+material+form+and+by+duplicating+the+chip,+you+have+duplicated+the+program+and+therefore+you+have+reproduced+a+literary+work+contrary+to+s.+3+of+the+Copyright+Act

• Defence+relied+on+the+American+doctrine+of+merger+of+idea+and+expression+• The+idea+includes+simply+the+ability+to+perform+a+task• The+American+cases+say,+if+the+expression+is+simply+what+you+need+to+perform+the+idea,+then+you+can’t+

have+copyright+in+it+because+we+can’t+give+you+a+copyright+in+expression+without+giving+you+a+monopoly+in+the+idea+

• Argument+by+the+defence:+this+chip+that+we+copied+was+all+“idea”+–+its+a+way+of+performing+certain+tasks+–+we+copied+the+idea,+not+the+expression+because+there+is+no+expression+in+this+chip+–+the+court+doesn’t+accept+this+

• Court*said*it*may*be*that*there*are*ideas*involved*in*the*program,*but*it’s*an*expression*

• CA%s.%64.2(1)%Application%of%Act%to%topographies:%This+Act+does+not+apply,+and+shall+be+deemed+never+to+have+applied,+to+any+topography+or+to+any+design,+however+expressed,+that+is+intended+to+generate+all+or+part+of+a+topography.

• If+the+issue+is+copying+the+design+of+an+integrated+chip,+it+is+not+copyright+• If+it+reproducing+the+topography+of+the+chip,+it+isn’t+copyright,+it+is+dealt+with+under+the+Integrated+Circuit+

Topography+Act

• See+CA%s.%64(2)%

• You’ve+created+a+feature+with+an+artistic+look+and+someone+applies+that+feature+to+a+useful+article+because+they+have+to+use+that+design+to+achieve+a+utilitarian+function+(i.e.+form+is+dictated+by+function)+

• If+I+use+a+design+to+produce+a+useful+article,+and+it+happens+to+copy+your+design+but+it+is+dictated+by+the+function+I+want+to+perform,+I’m+not+infringing+copyright+

• The+idea+is:+Copyright+shouldn't+give+somebody+a+monopoly+of+a+THING+or+the+ability+to+produce+a+THING+–+so+if+a+work,+somehow+or+other,+is+allegedly+infringed+because+somebody+has+applied+to+a+useful+article+features+that+are+dictated+solely+by+a+utilitarian+function,+section%64.1+says+that+is+not+an+infringement+even+if+otherwise,+it+is+a+reproduction+of+your+work+


54

• Ex.$An+industrial+designer+has+designed+a+particular+shape+that+uniquely+performs+a+function+and+anyone+who+wants+to+create+that+function,+they+have+to+reproduce+that+shape+(a+funnel?)

• If+you+design+something+that+is+inherent+in+the+function+of+an+article,+you+designed+it+for+functional+reasons+and+anyone+who+wants+the+article+to+perform+that+function+has+to+use+that+design,+you+can’t+stop+them+from+reproducing+that+useful+feature+

• This+is+hinged+on+the+idea+that+the+feature+is+dictated+by+the+design+

Delrina%Corp.%v.%Triolet%Systems%Inc.%1993%ONGD%2002%ONCA

• The+alleged+infringer+of+the+software+was+the+same+guy+who+had+written+the+original+software+• He+worked+for+a+company,+Corollian?+(his+then[employer)+but+then+he+produced+another+program+to+do+

exactly+the+same+thing+(the+program+was+a+performance+monitoring+for+an+hp+computer)+• His+employer+claimed+they+had+copyright+in+the+original+program+and+his+new+program+copied+that+original+

program• The+problem+was+proving+it+–+particularly+hard+since+the+author+and+the+infringer+are+the+same+person+–+

you+have+to+distinguish+between+what+he+actually+“copied”+and+what+he+simply+came+up+using+his+skills+with+because+that+is+the+way+he+works

• Couldn’t+prove+it+–+they+couldn’t+show+that+he+had+taken+the+original+program+and+tweaked+it+• His+argument+was:+I+wrote+the+program+from+scratch+but+obviously+it+would+look+similar+to+the+Yirst+one+

• Next+claim:+if+you+didn’t+copy+line+by+line,+you+nevertheless+copied+the+non[literal+elements,+the+look+and+feel,+the+structure,+the+user+interface

• The+allegation+is:+you+didn’t+copy+my+work+but+you+copied+elements+in+it+–+enough+elements+that+you+copied+a+substantial+part+of+the+work+

• The+problem+was+showing+that+this+guy+had+taken+elements+of+the+original+program+–+and+they+have+to+be+elements+that+were+ORIGINAL+elements+

• This+is+the+difYiculty+with+software+–+software+is+an+accumulation+of+earlier+programming+knowledge+and+you+have+to+sort+out,+what+did+this+programmer+contribute+in+his+work?+

• The*court*goes*through*a*3hstep*process*(that*the*American*court*came*up*with)*to*sort*out*what*is*actually*subject*to*copyright*

1. Abstraction• You+have+to+describe+what+it+is+in+the+structure/look/feel+in+the+user+interface+or+whatever+–+

what+is+it+that+you+say+is+original?• What+are+the+elements+we+are+talking+about?

2. Filtration• Filter+out+whatever+is+not+original+to+the+author+OR+is+what+dictated+by+functional+considerations+• The+theory+being+–+you+can’t+claim+copyright+in+programming+steps+that+are+necessary+to+

perform+a+function+• If+everyone+who+wanted+to+perform+that+function+would+have+to+use+those+steps+–+that+would+

give+you+a+copyright+in+the+actual+operation+–+can’t+do+that+• By+then+you+have+a+residue+• What+is+left+is+the+abstract/non[literal+elements+that+were+original+to+the+author

3. Comparison+• Then+you+compare+the+infringing+program+with+the+original+to+see+if+the+residue+of+the+original+

elements+has+been+duplicated+

• All+an+elaborate+way+to+say+you+are+only+infringing+if+you+copy+original+elements+so+we+have+to+sort+out+what+are+the+original+elements+–+to+do+that,+we+take+out+the+elements+that+we+can+say+are+not+


55

original+and+what+is+left+is+what+you+can+claim+copyright+in

• Argument+for+the+defence+was+there+is+no+copyright+in+things+like+user+interface+because+they+are+all+function+–+judge+doesn’t+buy+that,+says+there+is+copyright+in+things+like+look+and+feel+and+user+interface+to+the+extent+that+they+are+original+and+not+dictated+by+functional+requirements+

• It+is+POSSIBLE+to+protect+these+aspects+but+not+the+functional+aspects+• On+principle+he+agreed+it+is+subject+to+copyright+• But+expert+said:+he+didn’t+copy+this+because+you+HAVE+to+write+it+that+way+to+get+it+work+the+way+you+want+

it+to+–+so+it+goes+to+function+• So*all*of*those*features*are*explained*by*the*fact*that*anyone*who*was*writing*a*program*to*do*what*

the*program*was*supposed*to*do*had*to*write*it*that*way

• The*judge*says:*if*there*is*alternative*ways*of*programming*something*to*perform*the*same*function,*then*you*CAN*have*copyright*if*you*think*of*a*new*way*to*write*a*program*to*do*that*function*–*because*you*are*not*locking*up*function*

• But*if*there*is*alternative*functions*(ways*of*getting*the*screen*to*enlarge,*ex),*then*the*programming*that*is*necessary*to*doing*it*one*way*can’t*be*subject*to*copyright*if*that*is*the*ONLY*way*you*can*write*it*

• The+fact+that+there+are+alternative+FUNCTIONS+doesn’t+open+up+copyright+because+each+function+itself+can+only+be+written+in+one+way

• You+have+to+sift+out+the+things+that+the+author+had+a+CHOICE+in+• Every*nonhliteral*similarity*was*explained*by*the*fact*that*it*was*in*the*public*domain*to*write*it*

that*way,*or*that*you*had*to*write*the*program*that*way*to*get*it*to*work*

• Judge+found+that+programmer+was+not+copying+from+his+earlier+work+and+it+demonstrates+that+they+don’t+have+copyright+in+those+elements+

• Shows+you+the+difYiculty+in+showing+infringement+in+programming+

• CA+upholds+on+everything+

More*on*Delrina:*the*CA*Decision

• One+of+the+arguments+Delrina+made:+the+judge+failed+to+consider+whether+the+author+of+the+program+had+“unconsciously+copied”+his+earlier+program+• CA+discusses+unconscious+copying+

• Another+argument+by+Delrina:+the+judge+made+a+mistake+in+breaking+up+the+original+program+into+its+component+parts,+and+then+asked+whether+there+was+copyright+in+each+part,+rather+than+looking+at+the+whole+• CA+says+if+he+had+done+this,+that+would+be+incorrect,+as+that+would+ignore+that+the+aggregation+of+the+

parts+itself+can+give+rise+to+copyright,+so+it+would+be+wrong+to+divide+it+up+–+but+the+CA+said+the+TJ+didn’t+do+that

Re:%sound%case

• Case+that+deals+with+movie+soundtracks• Resound+represents+composers+and+recording+companies+• Special+right+in+s.+19+of+the+Act+that+if+a+sound+recording+is+communicated+to+the+public+by+

telecommunication,+then+both+the+composer+and+the+owner+of+the+copyright+in+the+sound+recording+have+the+right+to+remuneration+for+that+distribution+

• So+there+is+money+in+being+a+sound[recording+maker+–+you+do+have+copyright+in+the+sound+recording+

• What+is+a+sound+recording?+–+s.+2+


56

• It+excludes+any+soundtrack+of+a+cinematographic+work+that+is+an+integral+part+of+the+cinematographic+work+

• Resound+fought+this:+argued+that+movie+makers+are+using+existing+sound+recordings+in+the+soundtrack+but+according+to+this+deYinition,+once+it+is+in+a+soundtrack,+it+ceases+to+be+a+sound+recording

• They+argued:+once+a+sound+recording+it+is+always+a+sound+recording,+even+if+it+is+used+in+a+cinematographic+work+that+the+section+was+not+meant+to+include+existing+sound+recordings+

• SCC*said:*If*you’re*a*sound*recording*copyright*owner,*and*a*movie*company*comes*to*you*to*use*your*song*in*a*movie,*you*do*not*get*royalties*for*every*time*the*MOVIE*is*played

• You$lose$your$rights$to$it$as$a$sound$recording,$so$no$royalties$when$the$movie$is$played$–$because$of$this,$the$recording$copyright$owner$may$demand$more$money$upfront$–$used$as$a$bargaining$chip$

Cuisenaire%v.%South%West%Imports%Ltd.%1968%Ex%Ct%1968%SCC

• Blocks+or+something+used+as+a+way+to+teach+children+arithmetic+• Cuisenaire+wanted+to+get+money+for+the+fact+that+his+stuff+was+being+used+all+over+the+world+• He+tried+to+argue+copyright+• Problem+is:+copyright+in+what?+• In+Australia:+started+out+saying+I+have+copyright+in+the+book+that+describes+how+to+use+these+things+–+the+

book+had+pictures+in+it+and+he+argued+the+blocks+themselves+were+reproductions+of+the+pictures+–+the+court+didn’t+buy+this+

• In+Canada:+he+argued+I+have+copyright+in+the+blocks+• What+are+they?+Are+they+a+literary+work?+Are+they+artistic?+–+Only+possibility• But+the+problem+was:+can+you+call+something+artistic+that+wasn’t+meant+to+be+art?+

• Stormtrooper+case:+it+is+not+a+sculpture+because+it+was+not+meant+to+be+an+object+of+art+• Court*said*these*blocks*cannot*be*artistic*because*they*were*never*meant*to*be*enjoyed*

aesthetically*–*the*main*function*was*not*aesthetics• So+they+are+not+artistic+works+• Also:+deYinition+of+artistic+work+• They+tried+to+argue+they+were+works+of+artistic+craftsmanship+–+judge+said+there+may+be+craftsmanship+

involved+but+they+are+not+artistic+• Then+they+focused+on+s.+5?+–+the+general+section+that+says+copyright+shall+subsist+in+every+original+work+–+

that+expression+had+a+separate+deYinition+in+the+deYinitions+section+• The+lawyer+focused+on+“every+original+production+in+the+scientiYic+domain”

• In+the+end,+the+question+to+answer:+does+that+deYinition+enlarge+what+is+included+in+the+4+categories?+–+is+there+some+kind+of+residual+category+of+scientiYic+works,+productions+in+the+scientiYic+domain+which+are+not+covered+in+those+areas+

• Judge+says:+I+just+can’t+read+it+that+way+–+it+is+amplifying/clarifying+what+is+in+those+4+categories+but+as+a+matter+of+statutory+construction,+it+does+not+EXPAND+copyright+protection+beyond+those+4+categories+

• He+produced+something+of+value,+but+what+he+created+was+not+a+work,+it+wasn’t+an+industrial+design+(has+to+be+ornamentation+that+is+applied+to+an+industrial/manufactured+object,+like+a+design+for+clothing),+it+is+not+patentable,+it+is+not+trademark[able+

• So+he+was+basically+screwed


57

SOME*OF*THE*RIGHTS*COMPRISING*COPYRIGHT*IN*A*WORK

Ladbroke%(Football)%Ltd.%v.%William%Hill%Football%Ltd.%(H.L.%1964)

• Case+about+football+betting+coupons• Big+business+in+Britain,+with+bookies+just+about+everywhere• There+were+two+big+chains+of+betting+shops+suing+each+other• Ladbroke+started+trying+to+use+football+betting+coupons+similar+to+those+used+by+William+Hill• William+Hill+tried+to+use+copyright+to+protect+their+betting+forms,+which+were+partly+a+way+of+doing+

business+and+partly+a+marketing+device+• But+Ladbroke+didn’t+copy+the+CONTENTS+of+the+lists,+but+they+copied+everything+but+the+contents+–+stye+

and+layout,+etc.

• The+question+before+the+court:+is+this+an+infringement+in+William+Hill’s+copyright?

• The+argument+was+that+it+isn’t+an+original+literary+work• House+of+Lords+said+it+WAS+because+it+was+a+compilation• They+applied+the+same+logic+from+Robertson+case+• The+originality+is+the+selection+and+arrangement+of+the+information• Information+may+change+week[to[week,+but+the+format,+etc.,+didn't• This+took+skill,+judgment,+and+labour• If+originality+went+into+making+the+form,+you+can’t+parse+out+the+sections+of+it

• So+the+question+really+was+had+William+Hill+copied+a+substantial+part?• One+of+the+arguments+that+Ladbroke+made+to+say+they+hadn’t+copied+a+substantial+part+was+that+this+

wasn’t+the+original+part+–+the+original+part+was+the+picking+of+the+matches,+etc.+–+so+they+were+trying+to+separate+out+the+reason+why+it+was+laid+out+that+way+from+the+content+

• Court+said:+you+can’t+separate+the+thinking+behind+the+selection+or+arrangement+–+so+if+originality+went+into+choosing+the+various+items+listed,+then+that’s+good+enough+to+give+it+copyright+

• So+what+it+boiled+down+to+was:+by+copying+the+way+the+coupon+was+organized+and+the+types+of+lists,+etc.+had+Ladbroke+copied+a+substantial+part+of+the+William+Hill+coupon+

• Answer:+Yes+they+had+copied+a+substantial+part+because+they+took+what+was+the+selection+and+arrangement+that+William+Hill+had+worked+out+–+so+they+took+what+was+original+

• It+was+also+argued+that+this+was+contrary+to+freedom+of+trade,+you+were+limiting+competition+–+the+court+didn’t+buy+this+

• They+said+Ladbroke+had+to+come+up+with+a+new+coupon+

• So*another*illustration*that*where*there*is*enough*literary*aspect*to*the*device,*it*is*protected*by*copyright

• So*business*methods*might*be*patentable*but*if*they*are*linked*to*a*literary*setup,*you*can*likely*use*copyright*to*protect*it*

• So*copyright*allows*you*to*protect*a*business*setup*if*your*business*setup*is*linked*to*a*literary*work*of*some*kind*

Canadian%Admiral%v%Rediffusion%1954%Ex%Ct

• Facts*Canadian+Admiral+got+exclusive+rights+to+broadcast+live+home+and+taped+away+Alouettes+games• Rediffusion+picked+up+P's+football+games+by+antenna+and+"rediffused"+them+to+its+own+subscribers• P+didn't+get+paid+for+this,+and+sought+declaration+it+owned+copyright+in+the+live+"telecast+productions"• D+argued+no+copyright+subsisted+in+any+of+the+telecasts+sponsored+by+P,+and+if+it+did,+no+infringement• B:+a+lot+of+the+copyright+law+has+changed+since+1954…but+problem+of+"live+broadcast"+still+relevant• Issue:+Are+live+broadcasts+Yixed+works+that+are+protected+by+copyright?• Held:*No,+for+Rediffusion+(but+there+was+an+infringement+of+copyright+in+Yilms)• Analysis:*Admiral+was+the+registered+owner+of+copyright+in+the+games


58

• Under+old+s.20+(now+s.34.1),+there+is+a+statutory+presumption+that+copyright+subsists…puts+the+onus+on+the+infringer+to+prove+there+is+no+copyright+in+the+work

• Also,+under+old+s.36+(now+s.33),+a+registered+owner+of+copyright+shall+be+prima+facie+evidence+that+copyright+subsists+in+the+work+and+that+the+person+is+the+registered+owner+of+the+work

• s.3:+"copyright"+as+sole+right+to+do+or+authorize,+the+acts+there+speciYied+in+relation+to+the+"work"• Infringement+is+anything+without+the+consent+of+the+owner+that+is+the+sole+right+of+CY+owner• Therefore,+no+matter+how+"piratical"+the+taking+by+one+person+of+the+work+of+another+may+appear+to+be,+

such+taking+cannot+be+an+infringement+of+the+rights+of+the+latter+unless+copyright+exists+in+that+"work"+under+the+provisions+in+s.3

• Copyright+is+a+negative+right+to+prevent+the+appropriation+of+labours+of+an+author+by+another• All+works+included+in+the+deYinitions+of+"artistic+work"+and+"literary+work"+must+be+printed,+reduced+to+

writing,+or+otherwise+graphically+produced+or+reproduced• Therefore,+for+copyright+to+subsist+in+a+"work",+it+must+be+expressed+to+some+extent+at+least+in+some+

material+form,+capable+of+identiYication,+having+more+or+less+permanent+endurance• Here,+neither+the+producer+nor+any+of+his+assistants,+while+producing+the+live+telecasting+of+games+played+

in+Montreal+had+Yixed+anything+in+writing• Live+telecasts+aren't+cinematographic,+aren't+artistic+or+literary+either…they're+events• An+event+is+not+a+work+because+it's+not+Yixed• Impossible+to+Yix+or+plan+anything+in+advance+of+a+live+football+game+due+to+unpredictability• Therefore,+just+as+selecting+does+not+create+copyright+because+it+is+not+an+expression+of+thoughts,+selection+

of+scenes+by+producer+had+nothing+to+do+with+what's+going+on+the+football+Yield• However,+Yilm+telecasts+of+away+games+were+made+from+cinematographic+Yilms+and+were+"works"• They+were+Yixed+and+could+be+protected• D+also+didn't+infringe+P's+copyright+by+communicating+the+work+by+radio+communication• Ratio:*No+copyright+subsists+in+live+spectacles,+as+by+their+very+nature+nothing+can+be+planned+in+advance+

or+Yixed+in+writing+or+in+any+other+manner+whatsoever+to+attract+copyright+protection

SOCAN%v.%Canadian%Assn.%of%Internet%Providers%2004%SCC

• The+copyright+board+was+concerned+about+the+internet+transmission/communication+of+copyright+works+by+electronic+means

• BUT+the+internet+is+international/global+–+so+what+does+it+catch?+Is+it+communications+that+are+received+by+people+in+Canada?+Or+does+it+involve+people+downloading+things+in+Canada?+Or+does+it+involve+a+server+in+Canada

• The+copyright+board+opted+for+the+server+criteria+–+if+the+server+is+in+Canada,+you+have+to+pay+the+tariff• One+issue:+is+the+power+of+the+copyright+system+restricted+when+it+comes+to+internet+communication+to+

communications+over+a+Canadian+server?• Dependent+issue:+if+there+is+infringement+happening,+who+is+liable?+• The+content+provider/uploader+is+clearly+infringing+but+is+the+internet+service+provider+infringing?+Are+

they+somehow+complicit?+• They+argued+that+they+are+innocent+intermediaries+–+statutory+basis:+s.%2.4(1)(b):%(b)+a+person+whose+only+

act+in+respect+of+the+communication+of+a+work+or+other+subject[matter+to+the+public+consists+of+providing+the+means+of+telecommunication+necessary+for+another+person+to+so+communicate+the+work+or+other+subject[matter+does+not+communicate+that+work+or+other+subject[matter+to+the+public;

• Therefore,+they+argued+they+are+not+communicating+the+work,+just+providing+the+means+

• SOCAN+argued+they+were+doing+more+than+just+providing+the+means,+they+were+temporarily+storing+the+stuff+on+their+systems+and+that+went+beyond+just+providing+the+means+

• SO+this+case+was+about+territorially,+what+was+caught+• And+speciYically+what+is+the+liability+of+the+ISP+


59

• This+is+a+big+deal+for+copyright+owners+because+they+can’t+get+a+hold+of+the+people+who+actually+uploaded+the+material,+but+they+can+go+after+the+ISPs

Reasoning*

• Epoch+conYlicts+decision+• IP+is+typically+territorially+restricted+• Canadian+copyright+law+applies+IN+CANADA,+and+obviously+nowhere+else• With+physical+copying,+this+is+easy+to+deal+with,+but+• However,+the+radio,+tv,+and+internet+make+this+tricky+–+when+are+you+considered+to+be+doing+something+in+

Canada?• Internet+raises+a+further+problem+as+the+origin+may+be+anywhere,+the+recipient+may+be+anywhere,+and+it+

simply+may+pass+through+Canada+via+server+

• Canadian+law+can+properly+reach+any+communication+that+has+a+real*and*substantial*connection*with+Canada

• It+means+it+doesn’t+necessarily+have+to+have+a+server+in+Canada,+it+just+needs+to+have+a+real+and+substantial+connection

• So+Canadian+tariff+can+be+applied+to+any+content+as+long+as+you+can+say+there+is+a+real+and+substantial+connection+to+Canada+

• They+are+saying+it+is+okay+for+the+copyright+board+to+approve+any+tariff+that+applies+to+communications+that+have+a+real+and+substantial+connection+to+Canada+

• They+leave+it+to+the+board+to+Yigure+out+what+communication+should+be+caught+

• So+it+opens+up+the+reach+of+the+copyright+laws+to+include+internet+communications+that+are+connected+to+Canada+

• It+all+depends+on+how+things+are+connected,+and+how+the+tariff+is+framed• In+practical+terms,+it+is+very+hard+to+go+after+foreign+content+providers+

• Are+the+ISPs+caught,+or+are+they+protected+by+s.%2.4(1)(b)?• They+are+protected,+fact+that+there+is+a+cache+of+the+Yile+is+also+not+relevant+and+does+not+take+them+

outside+of+the+protection• The+cache+is+just+to+smooth+trafYic+Ylow,+not+make+a+copy+of+the+Yile• Caching+is+content+neutral• Just+because+the+system+can+potentially+be+used+by+infringers+doesn’t+mean+we’re+going+to+hold+them+

liable• Note:$authorized$infringement$–$at$the$very$end$of$s.%3%“…right$to$authorize$such$acts”

• It+might+be+different+if+the+ISP+gets+notice+from+a+copyright+owner+that+something+is+being+transmitted+through+the+system+and+they+do+nothing+about+it

Entertainment%Software%Assn.%v.%SOCAN%2012%SCC

• Around+the+same+problem+• There+were+video+games+which+were+being+sold+online+and+simply+downloaded+online+• The+video+games+included+embedded+musical+works+• SOCAN+said+we+want+to+have+a+tariff+on+all+of+the+video+games+that+have+SOCAN+protected+music+and+are+

communicated+by+telecommunication+• The+video+game+people+argued+they+are+just+allowing+people+to+download+the+video+games,+that’s+not+

communication+of+the+musical+work+• They+said+they+had+already+paid+for+the+right+to+reproduce+the+music+as+part+of+the+game+–+which+they+had+

(that+goes+through+a+different+collector+–+for+reproducing+rights)+–+they+paid+once+to+make+a+copy+of+the+music+and+selling+and+now+you+are+making+us+pay+again+because+of+the+way+it+is+being+delivered+to+the+customer


60

• If+it+was+being+delivered+in+a+disc,+there+would+be+no+basis+for+them+to+ask+for+a+second+tariff+but+it+was+just+because+it+happens+to+be+going+over+the+internet,+they+wanted+to+try+to+tariff+it+

• Tried*to*argue*TRANSMISSION*over*the*internet*did*not*qualify*as*PERFORMANCE*via*telecommunication

Reasoning

• SCC+said+this+is+not+communication+to+the+public+by+telecommunication+IF+what+is+happening+is+that+you+are+simply+sending+them+a+permanent+copy+rather+than+allowing+them+to+play+the+game+over+the+internet

• They+develop+this+theory+on+the+basis+of+the+history+of+s.+3+and+the+history+of+that+particular+provision+s.+3(f)+–+they+said:+the+original+provision+(dealt+with+radio)+was+meant+to+catch+music+being+played+over+the+radio,+then+they+expanded+the+section+and+changed+the+wording+was+changed+to+“telecommunication”+to+include+cable+

• This+is+a+performance+right,+and+what+it+was+meant+to+catch+music+being+played+over+cable,+it+was+not+meant+to+catch+COPIES+of+the+work+being+sent+by+internet+because+that+is+not+a+performance,+it+is+a+reproduction+

• The+Act+should+be+technologically*neutral+–+so+it+shouldn’t+make+any+difference+whether+the+provider+of+the+video+game+puts+it+on+a+disc+and+sells+the+disc+or+allows+users+to+download+it+off+the+server+–+it+is+alternative+modes+of+delivery+of+the+SAME+thing

• The+distinction+between+reproduction+right+and+performance+right+runs+all+the+way+through+the+Act+and+applies+to+the+way+these+collective+societies+are+organized+

• This+was+on+the+reproduction+side,+not+on+the+performance+side+• Therefore,*COMMUNICATION*by*telecommunication*does*not*include*if*a*copy*of*it*is*sent*because*

the*work*is*NOT*COMMUNICATED*

• This+removes+from+the+grasp+of+SOCAN+a+good+deal+of+trafYic+in+digital+media• If+you’re+downloading+copies,+it+isn’t+a+live+performance

Rogers%Communications%Inc.%v.%SOCAN%2012%SCC

• Involving+the+same+tariff+involving+streaming/downloading+musical+works+• The+question+was:+where+individual+copies+of+a+work+are+being+sent+to/downloaded+by+INDIVIDUAL+users,+

that+is+NOT+transmission+to+the+public+• More+of+a+footnote,+as+the+amendments+have+basically+taken+care+of+this+issue+

Held*

• Also+decided+that+downloading+copies+was+not+caught+–+the+tariff+could+not+catch+downloading+copies+–+because+that+was+not+communicating

Snow%v.%The%Eaton%Centre%Ltd.%1982%ONHC

• Eaton+Centre+case+of+geese• For+Christmas,+they+tied+red+ribbons+around+the+necks+of+the+Ylight+of+geese+in+the+Eaton+Centre+‘• The+artist+sued+for+an+injunction+because+he+was+offended• Note:+this+was+before+we+had+“deemed+prejudice”+in+the+Act• The+judge+says:+if+the+artist+thinks+he+is+prejudiced,+I+see+no+reason+to+disbelieve+him+• A+lot+of+leeway+was+given+to+the+artist+• Today,+the+“deemed+prejudice”+would+apply+

Théberge%v.%Galerie%d’art%du%Petit%Champlain%inc.%2002%SCC

• Not+really+a+moral+rights+case,+but+focuses+on+the+distinction+between+economic+rights+(copyright)+and+moral+rights

• Theberge,+an+artist,+is+known+for+his+colourful+umbrellas,+etc.+–+they+make+great+posters+


61

• He+sold+his+rights+to+various+poster+manufacturers+for+this+purpose+

• There+was+an+outYit+which+used+this+process+to+attach+the+ink+from+the+poster+onto+canvas+–+so+it+becomes+a+photo+canvas,+looks+more+like+a+painting+

• Theberge+was+upset+by+this+and+launched+a+lawsuit+• He+got+an+order+for+the+seizure+of+these+posters

• Was+transferring+the+picture+to+canvas+an+infringement+of+his+rights?+• Note:+he+was+both+the+copyright+holder+and+the+moral+right+holder+• He+claimed+that+these+canvases+are+reproductions+of+his+work,+and+so+were+infringing+his+rights+–+they+can+

buy+all+the+posters,+but+they+can’t+transfer+the+picture+onto+a+canvas+because+that+is+a+reproduction• The+whole+case+turned+on+whether+that+process+of+putting+the+picture+onto+canvas+was+reproduction+

• Majority+interpreted+reproduction+as+“making+another+copy”+–+and+they+never+made+another+copy,+they+just+modiYied+the+copy+they+had+purchased+

• Minority+judgment+said+this+was+a+reproduction+because+they+are+producing+the+artistic+work+again+in+a+new+form+

• But+they+go+back+to+Yirst+principles+–+they+focus+on+the+fact+that+the+law+distinguishes+between+economic+and+moral+rights

• They+said+what+Theberge+is+complaining+about+is+that+a+physical+reproduction+of+his+work+has+been+modiYied

• He*objected*because*he*saw*the*reproduction*as*being*outrageous/degrading*–*the*majority*said*what*he*is*really*complaining*about*is*his*moral*rights*–*he*was*concerned*about*the*use*that*was*being*made*of*a*copy*of*his*work*AFTER*after*it’s*been*sold

• There+is+a+difference+between+the+copyright+owner+and+the+USER+(purchaser)+–+once+you+have+bought+the+poster,+you+are+entitled+to+do+with+it+what+you+want+

• It+is+not+an+an+infringement+of+the+reproduction+right+because+you+are+not+making+additional+copies,+you+are+using+one+copy+and+doing+something+with+it

• They+do+say+MAYBE+there+is+a+moral+rights+issue+here+because+some+of+the+canvas+backed+copies+didn’t+have+Theberge’s+signature+on+it+which+was+on+the+original+image+–+maybe+he+could+complain+about+that+

• But+what+he+was+complaining+about+was+taking+economic+rights+too+far+and+would+hamper+the+rights+of+the+user/purchaser+to+do+with+the+object+what+they+like+

University%of%London%Press%Ltd.%v.%University%Tutorial%Press%Ltd.%(supra)%

• Remember+the+case+about+the+guys+who+published+the+university+math+exams+–+University+of+London+Press+(the+assignee)+argued+they+had+copyright+in+those+exams+–+question+was+was+there+copyright+in+those+exams?+Answer+was+yes+–+they+were+original+works+

• Question+now+is:+who+owned+the+copyright?+

• Remember:+Robertson+case+–+newspaper+argued+that+the+authors+had+given+an+implied+licence+–+one+of+the+legal+arguments+was+that+can’t+be+because+any+licence+has+to+be+in+writing

• SCC+said+no,+you+can+have+an+implied+licence+which+does+not+need+to+be+in+writing+because+s.+13(4)+only+talks+about+an+assignment+or+the+grant+of+an+INTEREST+in+the+right

• So+the+question+was:+would+giving+the+Globe+permission+to+put+your+article+in+a+database,+would+that+be+a+grant+of+an+interest?+

• The+answer:+No,+because+of+this+subsection+(7)+For+greater+certainty,+it+is+deemed+always+to+have+been+the+law+that+a+grant*of*an*exclusive*licence+in+a+copyright+constitutes+the+grant+of+an+interest+in+the+copyright+by+licence.

• Well+grant+of+an+interest+does+not+include+anything+short+of+exclusive+licences+


62

• So+Re+s.+13(4)+–+an+assignment+of+copyright+or+grant+of+an+interest+in+copyright+(i.e.+an+exclusive+licence)+MUST+BE+IN+WRITING+TO+BE+VALID

• In*this*case,*this*had*not*been*complied*with,*the*authors*had*not*assigned*their*right*to*the*Press*but*they*had*agreed*previously*that*they*WOULD*assign*and*

• So*Peterson*J*said:*that*means*that*the*Press*is*the*EQUITABLE*assignee*(a*binding*promise*to*assign*in*the*future*gives*an*equitable*right*to*the*person*to*which*you*assigned*it*to*make*you*assign*it)*–*so*they*kind*of*have*a*right*but*it*is*equitable*because*the*assignment*hasn’t*actually*happened

• What*it*means*is*that*if*Press*wants*to*assert*its*rights*as*equitable*assignee,*it*can*do*that,*but*it*has*to*join*the*legal*copyright*owners*as*parties*to*the*lawsuit*because*the*Press*doesn’t*HAVE*the*right*in*law,*they*have*the*right*TO*GET*IT*

• Note:+the+UNIVERSITY+had+assigned+its+rights+to+the+press+so+the+argument+was,+we+have+the+copyright+because+these+guys+are+employees+–+on+the+facts,+it+was+decided+they+weren’t+employees,+they+were+freelance+

Preston%v.%Twentieth%Century%Publishers%Ltd.%1990%FCTD%1993%FCA

• Space+Pets+case• Infringement+example+• The+problem+is:+has+there+been+substantial+copying?+• It+was+proven+that+there+was+a+script,+the+problem+was:+was+it+ever+seen+by+George+Lucas?• There+was+a+factual+question+whether+the+script+had+ever+gotten+to+Lucas+• But+there+WAS+a+script• Somebody+had+copyrighted+the+script+and+the+question+was,+did+the+movie+copy+a+substantial+part+(s.+3)++• Preston+was+really+proud+of+his+ewoks+–+he+was+struck+by+the+fact+that+the+creatures+in+the+Return+of+the+

Jedi+were+called+ewoks+–+it+was+the+exact+name+he+had+given+his+characters• He+said:+they+stole+the+concept+of+ewoks+from+me• There+is+no+copyright+in+the+name+“ewoks”+–+they+claimed+they+had+come+up+with+the+name+independently+• Assuming+that+Lucas+had+seen+the+script,+is+it+plausible+to+say+that+the+movie+copied+a+substantial+part+of+

the+script?• All+you+had+was+the+name+ewok+(for+which+there+was+an+explanation)+and+there+was+the+nature+of+the+thing+

(furry+creatures)+• So+there+were+similarities+between+the+space+pets+and+the+creatures+int+he+movie• Judge+says:+it+just+isn’t+distinctive+• At+best,+Lucas’s+Yilm+uses+a+same+generic+type+–+a+cute+looking+furry+creature+that+lives+in+space+is+not+

something+you+could+copyright+(it’s+an+idea+–+you+can’t+copyright+an+idea)++• He+said+there+was+no+substantial+reproduction+

• At+the+very+best,+Preston+could+say,+Lucas+must+have+seen+my+Space+Pets+and+was+inspired+by+it+somehow+–+but+that+is+not+breach+of+copyright+

• If+he+had+copied+the+name+and+some+speciYic+characteristics,+you’d+be+getting+closer+to+the+line+but+other+than+that+there+is+no+infringement

• One+other+thing:+Preston+is+suing+in+Canada+(FC)+–+what+basis+is+there+for+the+jurisdiction+of+the+Canadian+court?+

• The+assumption+here+is+that+there+is+infringement+going+on+in+Canada+through+either+reproduction+or+performance+of+Preston’s+work


63

• Preston+case+about+whether+there+had+been+any+copying+of+the+Space+Pets+screenplay• FCA:+No+there+was+no+original+expression+that+was+copied+–+the+most+that+you+might+say+was+taken+was+the+

name+of+ewoks+or+the+concept+of+ewoks+(which+is+not+subject+to+copyright+–+it+is+too+generic)

Roy%Export%Co.%Establishment%v.%Gauthier%1973%FCTD

• Infringement+of+copyright+in+a+dramatic+work• Deals+with+the+distinction+between+Canadian+and+foreign+copyright+and+the+fact+that+you+legitimately+

acquire+something+abroad+doesn’t+protect+you+against+allegations+of+infringement+in+Canada+• Gauthier+had+bought+copies+of+2+Charlie+Chaplin+Yilms+–+he+rented+his+Yilms+to+clubs,+etc.+• Somehow+the+owners+of+the+Canadian+copyright+in+these+Yilms+got+wind+of+it+• On+the+copyright+register,+for+the+registration+of+the+Yilms+–+registration+is+evidence+of+the+copyright+–+

showed+Roy+Export+as+the+copyright+owner+• Gauthier+had+bought+this+copy+from+an+American+seller+–+it+is+taken+as+fact+that+the+Yilm+was+in+public+

domain+in+the+US+–+it+went+out+of+copyright+in+1953+• So+in+the+US,+these+could+be+circulated+freely+• You+can+HAVE+the+copy+but+you+can’t+do+anything+listed+in+s.+3+–+one+is+to+rent+out+the+work+• And+he+did+rent+it+out+a+few+times+–+that+was+the+basis+of+complaint+from+Roy+–+asked+for+cease+and+desist+• He+was+told+to+stop+but+he+did+it+again+–+so+he+had+knowledge+that+he+was+doing+it• They+found+him+liable+for+a+number+of+violations+including+the+secondary+infringement+provision+• s.%27(2)%It+is+an+infringement+of+copyright+for+any+person+to

(a) sell+or+rent+out,+(b) distribute+to+such+an+extent+as+to+affect+prejudicially+the+owner+of+the+copyright,(c) by+way+of+trade+distribute,+expose+or+offer+for+sale+or+rental,+or+exhibit+in+public,(d) possess+for+the+purpose+of+doing+anything+referred+to+in+paragraphs+(a)+to+(c),+or+(e) import+into+Canada+for+the+purpose+of+doing+anything+referred+to+in+paragraphs+(a)+to+(c),+

a+copy+of+a+work,+sound+recording+or+Yixation+of+a+performer's+performance+or+of+a+communication+signal+that*the*person*knows*or*should*have*known*infringes*copyright*or+would+infringe+copyright+if+it+had+been+made+in+Canada+by+the+person+who+made+it.

• So+the+last+bit+is+that+–+there+are+works+which+don’t+actually+infringe+copyright+because+they+were+legally+made+outside+Canada+with+the+consent+of+somebody+who+had+the+copyright+in+the+other+place+but+WOULD+have+infringed+copyright+if+it+had+been++made+in+Canada+by+the+person+who+made+it+

• Refers+to+a+copy+made+by+someone+who+in+Canada+does+not+have+the+copyright,+although+they+may+have+copyright+somewhere+else+

• Called+secondary+infringement+because+it+is+triggered+by+the+fact+that+there+is+a+copy+that+WOULD+infringe+copyright+

• So+if+you+have+an+infringing+copy,+then+it+is+an+infringement+of+the+copyright+owner’s+rights+if+that+copy+is+distributed+by+various+ways+((a)–(e))+–+getting*at*trafeicking*infringing*copies

• s.+3+talks+about+what+the+copyright+owner+has+the+sole+right+to+do+• You+can’t+rent+out+sound+recordings+of+a+musical+work,+or+computer+programs,+but+in+the+case+of+Yilms,+

what+you+mustn’t+do+is+perform+them+in+PUBLIC+or+authorizing+a+public+performance+(this+is+what+Gauthier+was+in+trouble+for)+and+he+was+in+trouble+for+secondary+infringement

• They+mainly+wanted+to+curtail+the+circulation+of+the+movie+

Kaf,ka%v%Mountain%Side%Devts%Ltd%1982%BCSC

• On+Bay+street+in+Horseshoe+Bay+• Mr.+KaYka+was+the+son+of+the+architect• His+dad+and+mother+owned+this+lot+on+Bay+street+in+Horseshoe+Bay+–+they+wanted+to+tear+down+the+house+

and+build+something+new+• KaYka+Sr+had+tried+to+get+the+plans+approved+from+the+authorities+


64

• KaYka+Jr+drew+up+a+plan+and+took+it+to+the+committee+and+got+it+approved+• Then+his+parents+decided+to+sell+the+lot+with+the+old+house+on+it• They+sold+it+to+a+developer+• What+arose+on+the+block+was+a+strong+resemblance+to+the+units+that+KaYka+Jr+had+designed+• The+developer+had+tried+other+proposals+which+were+rejected+so+they+came+up+with+a+proposal+which+was+

based+on+KaYka+Jr’s+plans+• Basically,+the+house+(not+to+mention+the+plans+for+building+the+house)+really+were+derived+from+Kakfa’s+

plans• So+he+sues+• The+house+hadn’t+sold+yet+so+he+couldn’t+go+after+the+proYits+because+the+developer+hadn’t+made+any+proYit+• Court+said+the+plan+was+a+copy+of+KaYka’s+plan+because+there+was+a+strong+resemblance+–+the+basic+

arrangement+of+the+spaces+int+he+building+and+the+basic+conYiguration+was+based+on+his+idea+–+so+it+was+substantially+copied+

• They+tried+to+argue+that+his+plans+weren’t+original+because+anyone+could+have+come+up+with+that+–+but+this+didn’t+work+because+a+lot+of+people+HAD+tried+but+they+had+all+been+refused+by+the+planning+committee+

• So+it+was+obvious+that+KaYka’s+plans+did+something+that+none+of+the+others+did+–+so+it+was+original+• So+it+was+original+and+it+was+copied+• The+house+was+an+infringing+house+• What+to+give+for+damages+because+there+could+not+be+an+assessment+of+proYits+–+the+house+hadn’t+been+sold+• Court+starts+with:+what+is+a+reasonable+fee+that+KaYka+would+normally+have+charged+for+doing+a+design+like+

this+–+$7,000+• But+he+didn’t+do+full+design+–+only+main+conceptual+points+• Decided+reasonable+fee+for+what+he+DID+do+was+about+$2,500+• But+he+factors+in+that+by+hijacking+his+plans+they+had+deprived+him+of+the+chance+to+enhance+his+reputation+

by+a+successful+design+• So+they+rewarded+another+$4,000+on+top+for+that+element+• Also+element+of+punitive+damages+

• Good*example*of*how*damages*are*assessed*for*infringement*• You*basically*took*for*nothing*what*you*otherwise*would*have*had*to*pay*for*–*what*is*it*that*you*

normally*would*have*had*to*pay*for*it?*–*not*a*bad*measure*of*the*loss*that*the*plaintiff*had*suffered*because*their*work*was*appropriated*for*your*beneeit

• And*if*they*can’t*go*after*the*proeit*you*made,*they*have*to*go*after*the*loss*you*suffered• In*this*case,*he*lost*potential*enhancement*of*his*reputation*

• Presumably+you+could+also+argue+moral+rights+(right+to+be+associated+with+the+work)

EuroDExcellence%Inc.%v.%Kraft%Canada%Inc.%2007%SCC

• Its+one+of+these+cases+that+is+on+the+frontier+of+copyright+law+• This+is+a+case+about+parallel+marketing+of+high+end+chocolate+bars+–+Toblerone,+etc.+• Toblerone+is+Swiss+–+the+other+one+is+Belgian+• Kraft+bought+the+makers+of+both+chocolate+bars+and+Kraft+Canada+became+the+sole+distributor+in+Canada+of+

these+chocolate+bars• Euro+Excellence+(QC+company)+had+for+a+while+been+the+sole+distributor+of+the+chocolate+bars+until+Kraft+

came+in• They+went+and+bought+the+chocolate+bars+from+a+European+source+–+somehow+EE+came+by+these+chocolate+

bars+and+sold+them+• Kraft+got+pissed+off+because+they+were+undercutting+the+business+of+Kraft+Canada+• The+technical+problem+for+Kraft+was+that+they+were+legally+acquired+chocolate+bars+in+Europe+and+there+is+

no+infringement+of+trademark+going+on+because+the+trademark+on+the+bars+is+CORRECT+(trademark+violation+is+saying+a+product+comes+from+a+source+when+it+actually+doesn’t)+–+trademark+law+does+not+protect+channels+of+distribution,+it+only+protects+use+of+a+trademark+


65

• They+argued:+both+these+chocolate+bars+bear+a+logo,+so+what+we’ll+do+is+we+will+work+with+copyright+because+if+we+make+Kraft+Canada+the+exclusive+licensee+for+the+copyright+in+Canada,+then+Kraft+Canada+can+stop+EE+from+peddling+infringing+copies+under+s.+27(2)+

• Logic:+KC+is+vested+with+an+exclusive+licence+with+respect+to+these+logos+–+they+are+artistic+works+(no+question)+–+the+logo+is+on+every+chocolate+bar

• The+argument:+every+chocolate+bar+is+a+copy+of+the+logo+and+it+is+an+infringing+copy+and+because+it+is+an+infringement+of+copyright+to+offer+for+sale+infringing+copies,+Kraft+Canada+can+put+a+stop+to+EE’s+gambit+of+circumventing+the+exclusive+distributorship+by+importing+this+stuff+

• The+problem+they+had:+in+order+to+succeed+with+this+argument,+they+can’t+accuse+EE+of+reproducing+the+works+(because+they+weren’t+reproducing,+etc.+–+they+were+just+selling+them)+

• So+the+question+is:+does+that+amount+to+a+secondary+infringement?+Are+they+selling+the+logo?+• Are+they+distributing+it+so+as+to+prejudicially+affect+the+copyright+• Further+are+they+importing+into+Canada+the+logos+for+the+purpose+of+doing+(a),+(b),+or+(c)+–+if+they+are+you+

can+get+them+on+secondary+infringement+

• Question:+COULD+Kraft+Canada+as+an+exclusive*licensee+(the+owner+was+Kraft+Switzerland+and+Kraft+Belgium)+say+that+EE+is+importing+into+Canada+a+copy+of+a+work+that+they+know+or+should+have+known+infringes+copyright+or+would+infringe+copyright+in+Canada+if+it+was+made+in+Canada+by+the+person+who+made+it

• In+fact+these+logos+did+not+infringe+copyright+because+they+were+made+on+the+copyright+owner+• So+the+argument+would+have+to+rely+on+the+second+part+–+that+it+WOULD+infringe+copyright+if+it+was+made+in+

Canada+by+the+person+who+made+it+

• Well+who+is+the+person+who+made+it?+–+Kraft+Switzerland+and+Kraft+Belgium+

• So+the+question+is:+can+you+say+that+a+logo+(an+artistic+work)+would+infringe+copyright+would+infringe+copyright+if+they+were+made+in+Canada+by+KS+and+KB?+

• The+argument+was:+yes+they+would+be+–+because+they+would+be+infringing+the+exclusive+rights+of+KC+

• Judgment+split

• Dissent*view:*EE+loses,+Kraft+wins+because+these+logos,+had+they+been+made+in+Canada+by+KS+and+KB,+they+would+infringe+copyright+because+the+exclusive+licensee+(KC)+has+been+given+the+grant+of+the+interest+in+copyright+–+back+to+Robertson+case+–+status+of+a+licensee+–+an+EXCLUSIVE+licensee+is+a+grantee+of+an+interest+in+the+copyright+

• They+are+granted+an+exclusive+right+in+the+copyright+therefore+even+though+it+is+their+parent+companies+doing+it,+those+companies+would+be+infringing+KC’s+copyrights

• All+agree+that+EE+succeeds+and+KC+can+do+anything+

• Rothstein*view*+*2:+s.+27(2)+is+not+satisYied+because+as+against+the+exclusive+licensee,+KS+and+KB+are+not+infringing+–+if+KS+and+KB+were+to+produce+the+logos+in+Canada,+KC+couldn’t+sue+them+because+an+exclusive+licensee+cannot+claim+that+the+OWNER+of+the+copyright+infringes+–+it+is+a+breach+of+contract+but+it+is+NOT+an+infringement+of+their+rights/their+interest+in+the+copyright+for+the+owner+to+make+copies+

• s.%36.1:+section+that+says+what+right+the+owner+has+and+what+rights+other+people+have+in+relation+to+infringement+

• It+says+that+an+exclusive+licensee+has+the+right+to+sue+an+infringer+but+MUST++(para+33+of+judgment)+–+“Section+36(2)+further+suggests+that+an+exclusive+licensee+does+not+possess+a+full+property+interest+in+the+copyright.+Section+36(1)+enables+exclusive+licensees+to+sue+for+infringement,+but+s.+36(2)+states+that+where+“a+person+other+than+the+copyright+owner”,+namely+the+exclusive+licensee,+sues+for+infringement,+“the+copyright+owner+must+be+made+a+party+to+those+proceedings+...”.

• So+if+they+want+to+sue+for+infringement,+they+have+to+join+the+owners+onto+the+lawsuit+–+that+is+the+strongest+piece+of+evidence+that+you+can’t+sue+the+owner+


66

• Their+rights+to+sue+THIRD+parties+are+subject+to+bringing+the+owner+in+THEREFORE+they+can’t+sue+the+owner+

• SO:+Had+KS+and+KB+produced+these+works+in+Canada,+it+would+NOT+have+been+an+infringement+claim+by+KC+• So+Kraft+fails+because+they+can’t+show+the+hypothetical+primary+infringement+on+which+secondary+

infringement+is+based+

• Other*judgment,*Bastarach*+*3:+they+say+that’s+not+a+correct+interpretation+of+the+Act• They+get+to+the+same+result+by+a+totally+different+process+• They+said+the+whole+question+of+s.+27(2)+is:+are+these+guys+(EE)+IMPORTING+ARTISTIC+WORKS+into+Canada,+

are+they+proposing+to+sell/distribute+artistic+works+–+No,+they+are+doing+it+for+chocolate+bars+–+they+are+not+selling+the+work,+it+is+merely+attached+to+the+chocolate+bars+as+a+logo+

• The+artistic+work+that+is+the+subject+of+the+infringement+is+merely+incidental+to+the+chocolate+bars+–+they*read*into*s.*27(2)*the*qualieication/exception*that*it*doesn’t*apply*if*the*work*is*MERELY*INCIDENTAL*to*an*article*of*commerce*and*they*eind*some*support*for*this*in*Australian*law*(but*the*Australians*actually*have*this*in*their*Act)*

• It+does+seem+odd+that+you+can’t+prevent+the+distribution+of+the+chocolate+bars,+but+you+can+prevent+the+distribution+of+the+logo+–+what+are+you+gonna+do?+Cover+up+the+logo+on+the+chocolate+bars?+Really?+

• It+is+odd+that+what+is+really+a+Yight+about+distribution+channels+turns+into+a+Yight+about+artistic+works+–+so+Bastarach+says+let’s+be+real+about+this+–+we+have+to+read+s.+27(2)+as+being+about+actual+artistic+works,+not+something+that+is+merely+incidental+to+an+article+of+commerce

• So+same+result+–+s.+27(2)+is+not+infringed+–+because+it+is+not+selling+an+artistic+work+

• Fish+J:+agrees+with+Rothstein+but+had+it+been+necessary+to+do+so,+would+have+agreed+with+Bastarach+too+

• Ratio+of+the+case?+–+we+don’t+really+know+• They+are+5–4+against+the+Rothstein+interpretation+about+the+exclusive+licensee+versus+the+owner+(dissent+++

Bastarach+3)+

• But+it’s+also+5–4+AGAINST+Bastarach’s+view+–+2+dissenters+++Rothstein+++2+others+

• So+there+is+no+majority+for+any+proposition+except+the+result+

• The+Rothstein+interpreation+• For+Rothstein+everything+changes+for+Kraft+Canada+if+they+were+assignees+not+just+licensees+because+then+

they+COULD+sue+KS+and+KB+had+those+2+companies+done+anything+in+Canada+because+the+Canadian+copyright+owner+CAN+sue+their+own+corporate+friends

• They+could+have+gotten+around+the+Rothstein+argument+that+way+–+but+that+would+not+get+around+the+Bastarach+argument+

• Note:$Parliament+DID+do+something+about+this+in+the+case+of+Brooks?+–+there+is+a+speciYic+provision+related+to+copyright+in+books+because+of+the+structure+of+publishing+industry+

• The+same+publisher+would+normally+own+copyright+here+and+elsewhere+but+the+book+companies+have+separate+exclusive+distribution+rights+in+different+countries

• They+didn’t+want+contraband+books+being+an+issue+• So+there+is+a+provision+in+the+Act+which+(s.+27.1)+Subject+to+subsection+(3),+it+is+an+infringement+of+copyright+

in+a+book+for+any+person+to+import+the+book+where(a) copies+of+the+book+were+made+with+the+consent+of+the+owner+of+the+copyright+in+the+book+in+the+

country+where+the+copies+were+made,+but+were+imported+without+the+consent+of+the+owner+of+the+copyright+in+the+book+in+Canada;+and+

(b) the+person+knows+or+should+have+known+that+the+book+would+infringe+copyright+if+it+was+made+in+Canada+by*the*importer.+–+contra:+s.+27(2)+–+“if+it+had+been+made+in+Canada+by+the+person+who+made+it.”+


67

• So+you+can+have+an+infringement+if+importing+BOOKS+but+nothing+else+–+evidence+to+argue+that+it+was+the+will+of+Parliament+to+have+this+for+books+and+NOT+other+works

CCH%Canadian%Ltd.%v.%Law%Society%of%Upper%Canada%(supra)%

• Was+the+provision+of+the+photocopiers+in+the+library+“authorizing”+the+copiers+to+infringe+copyright?

• SCC*says*no*authorization*because*you*have*to*presume*that*people*will*use*the*photocopier*lawfully*–*they*won’t*presume*that*it*will*be*used*for*infringement*

• Yes*it*COULD*Be*used*for*infringement,*but*that*is*not*enough• The*mere*fact*that*they*use*the*photocopier*to*infringe*is*not*enough*to*constitute*authorizing*

infringement*• Unless*they*exercise*some*CONTROL,*the*mere*fact*that*they*are*providing*a*facility*doesn’t*make*

them*an*authorizing*infringement*• Authorized*infringement*requires*more*than*awareness,*it*requires*some*sort*of*active*

participationOctober+10,+2012

• The+library+were+providing+the+photocopiers+–+were+doing+it+conscientiously,+putting+up+a+copyright+notice,+etc.+–+all+of+this+helped+but+in+the+end+the+decision+turned+on+the+fact+that+you+can+use+a+copier+to+photocopy+anything,+which+may+or+may+not+be+copyright+

• So+if+people+only+photocopied+Reasons+for+Judgment+without+the+headnote,+there+would+be+no+infringement+

• An+English+case+(HL)+involving+a+video+recording+–+same+argument+was+made+–+that+it+was+authorizing+people+to+tape+TV+programs+• It+was+obvious+that+whatever+you+recorded+would+be+copyright+but+the+HL+said+we+cannot+presume+

that+people+are+going+to+break+the+law• Simply+providing+the+instrument+does+not+authorize+misuse+of+the+instrument+

• Interesting+feature+of+this+case:+having+decided+this,+they+said+we+don’t+need+to+consider+the+speciYic+exemption+in+the+Act+for+libraries+• There+is+an+exception+in+s.+30.3+

CA%s.%30.3%

No$infringement$by$educational$institution,$etc.30.3+(1)+An+educational+institution+or+a+library,+archive+or+museum+does+not+infringe+copyright+where:

(a) a+copy+of+a+work+is+made+using+a+machine+for+the+making,+by+reprographic+reproduction,+of+copies+of+works+in+printed+form;

(b) the+machine+is+installed+by+or+with+the+approval+of+the+educational+institution,+library,+archive+or+museum+on+its+premises+for+use+by+students,+instructors+or+staff+at+the+educational+institution+or+by+persons+using+the+library,+archive+or+museum;+and

(c) there+is+afYixed+in+the+prescribed+manner+and+location+a+notice+warning+of+infringement+of+copyright.

• Section+30.3+is+designed+to+allow+libraries+to+do+what+the+Osgoode+Library+did+–+but+the+effect+of+the+decision+is+to+say+that+they+can+do+this+anyway+• It+is+kind+of+meaningless,+because+you+don’t+have+to+comply+with+section+30.3

• They+have+been+expanding+user+rights+on+2+fronts+in+2012+Amendments• 1+–+the+speciYic+exceptions+in+favour+of+institutions• 2+–+they+have+also+expanded+fair+dealing+• And+these+two+are+not+quite+compatible


68

CCH%Canadian%Ltd.%v.%Law%Society%of%Upper%Canada%(supra)%

• This+case+surprised+everybody+with+the+generous+approach+it+took+to+fair+dealing+• The+old+description+of+fair+dealing+was+very+narrow+for+research/private+study• CCH+–+one+of+the+issues+in+the+case+was+whether+the+• The+question+was:+were+they+protected+by+fair+dealing+(the+library+who+was+photocopying+and+sending+the+• Can+the+library+say,+well+it’s+fair+dealing+because+we+are+just+doing+it+for+the+lawyer+• The+publishers+won+on+the+main+issue+of+originality+–+proved+that+apart+from+Reasons+for+Judgment,+they+

had+copyright+in+headnotes,+etc.+• Where+they+lost+on+whether+that+was+infringement+• So+yes+it+was+subject+to+copyright+but+the+SCC+said+this+is+not+infringement,+this+is+fair+dealing+• This+came+as+a+bit+of+a+surprise+–+nobody+thought+that+such+large+scale+copying+of+copyright+work+would+be+

okay+under+fair+dealing+–+ti+was+always+assumed+to+be+the+one+person+sitting+by+themselves+making+copies+• The+library+had+been+very+good+about+it+–+had+policies+that+they+would+only+do+certain+proportions+of+

larger+works,+or+only+individual+cases+–+so+it+was+moderate+but+nevertheless+it+went+on+on+a+ver+sizable+scale+and+the+publishers+said+we+are+losing+money+here+

• The+SCC+set+the+tone+for+all+of+this+when+they+• They+said,+well+the+Act+is+a+balance+between+owners+rights+and+users+rights+(para+48)+• You+shouldn’t+treat+these+things+like+fair+dealing+as+loopholes+or+as+minor+exceptions+to+the+overriding+

right+of+the+copyright+owner+–+they+are+there+for+a+reason+–+they+serve+a+public+purpose+–+they+represent+the+balance+between+private+interest+and+the+freedom+of+the+public+to+make+use+of+information,+etc.+

• So+they+set+the+stage+for+saying,+we+shouldn’t+interpret+provisions+like+fair+dealing+too+narrowly+• We+should+give+it+a+large+and+liberal+interpretation+• There*are*two*questions*under*the*fact:*

1. Is*the*purpose*for*which*the*copying*is*done*–*is*that*purpose*one*of*the*statutory*purposes?*

2. If*it*qualieies*as*research*and*private*study,*second*issue*is,*is*the*dealing*fair?*

• Was+the+purpose+of+what+the+library+was+doing+–+was+that+research+or+private+study+–+publishers+argued+these+are+not+scholars,+they+are+making+money+–+it+is+not+private+study+

• A+commercial+activity+couldn’t+be+private+study+–+SCC+did+not+accept+this+–+it+doesn’t+say+anywhere+that+it+is+non[commercial,+they+are+doing+research,+and+in+a+sense,+it+is+private+study+for+the+purpose+of+assisting+clients+

• So+the+lawyer’s+purpose+Yit+the+stat+exemption+–+the+library+was+entitled+to+invoke+that+purpose+as+a+defence+to+what+they+were+doing+

• They+were+photocopying+but+they+were+doing+it+on+behalf+of+the+lawyers+–+if+the+lawyers+could+do+it,+the+library+could+do+it+on+their+behalf+

• Was+the+dealing+fair?+• Denning:+It’s+all+a+matter+of+impression+for+the+Yinder+of+fact• Sometimes+taking+a+little+is+fair+dealing,+taking+a+lot+is+not,+sometimes+taking+a+lot+is+fair+dealing+–+it+all+

depends+• But+it+must+be+a+matter+of+impression• SCC+doesn’t+stop+there+–+they+resorted+to+the+ever[popular+checklist+(lawyers+love+checklists)+–+6+

factors+

1. Purpose• What+is+the+purpose+of+the+dealing+–+this+is+key:+Why+are+you+doing+it?+What+kind+of+private+research/

study+is+it+for?+• The+library+was+very+conscientious,+it+made+sure+that+copying+that+was+going+on+was+indeed+for+

lawyers’+research+


69

• The+purpose+of+the+dealing+was+favourable+–+it+was+being+directed+to+the+application+of+these+materials+to+research+

2. Character• You+have+to+look+at+the+character+of+the+dealing+–+how+you+deal+with+the+work+• Are+you+making+many+copies+of+the+work?+• How+are+you+infringing+the+copyright?+• They+were+Yine+here+because+they+were+only+doing+one+copy+at+a+time+

3. Amount+• The+amount+of+the+dealing+–+important+• How+much+are+you+taking?+• The+more+you+take,+the+less+it+looks+like+fair+dealing+• Here+the+dealing+was+not+disproportionate+• Reference+was+made+to+the+library’s+rules+about+only+one+case+at+a+time,+etc.+

4. Alternatives+to+the+dealing+• Do+you+really+need+to+copy+this+stuff+or+is+there+another+way+you+can+get+this+information+to+the+

lawyer?• Is+there+some+other+way+that+you+could+get+this+stuff+that+would+be+reasonable?+• Publishers+argued+you+could+buy+our+stuff+–+but+thats+not+really+practical+

5. Nature+of+the+work+• Is+the+work+of+such+a+nature+that+what+you+are+doing+is+really+going+to+hurt+it?

6. Effect+of+the+Dealing+on+the+Work+• Very+important+one+–+critical• Are+you+really+undercutting+the+economic+potential+of+the+copyright+work?• The+publishers+here+is+arguing+that+their+business+is+threatened+–+but+at+some+point,+they+asked+them:+

what+are+your+sales+like?+Have+your+sales+suffered+because+people+are+making+these+copies?+There+was+no+evidence+of+any+loss+of+sales+then

• They+couldn’t+show+that+the+dealing+hurt+their+business

• Note:$In+many+cases,+the+concern+of+the+copyright+owner+may+not+be+money+–+it+may+be+loss+of+exclusiveness,+etc.,+there+may+be+other+values+in+play+

• So+the+library+got+nada+–+because+it+is+all+fair+dealing+• This+is+a+signiYicant+result+because+it+meant+that+lawyers+could+(subject+to+the+limitations+in+place+in+

the+library)+get,+free+copies+of+the+law+publishers’+stuff+–+up+to+a+certain+threshold+–+it+was+fair+dealing+

• Note:$if+the+person+who+is+doing+the+dealing+was+doing+it+to+make+money,+that+would+be+a+game[changer+

SOCAN%v.%Bell%Canada%2012%SCC

• This+case+came+as+a+shock+to+the+copyright+owners+–+the+court+took+a+very+liberal+line• This+case+was+about+the+free+previews+of+music+that+you+can+download+(iTunes)+–+this+was+of+concern+to+

SOCAN+(performance+rights+people)+and+the+production+people+• They+were+worried+that+these+free+previews+were+undermining+the+market+for+paid+downloads

• The+copyright+board+had+refused+to+authorize+a+tariff+• Copyright+board+said+in+our+view,+a+preview+is+a+fair+dealing+

• SCC+decided+that+this+is+fair+dealing+


70

• Is+the+purpose+of+these+previews+research+or+private+study?• SOCAN+said:+this+is+not+research,+this+is+marketing+• Research+has+a+narrow+meaning+–+just+listening+to+a+music+track+isn’t+research+

• Court+said+you+have+a+medieval+idea+of+research,+there+is+no+such+restriction+here+as+it+doesn’t+need+to+lead+to+new+discoveries+or+grandiose+knowledge

• Any+ordinary+meaning+of+the+word,+when+you’re+Yiguring+out+if+you+want+to+buy+something,+it’s+research

• IT+IS+ABOUT+WHAT+THE+USER+IS+DOING,+NOT+WHAT+THE+PROVIDER+IS+DOING

• So:+liberal+interpreation+of+what+research+is+–+focus+on+what+the+user+is+doing,+not+what+the+provider+is+doing+

• Okay,+so+now+move+onto+fairness+–+again,+look+at+all+of+the+factors1. Purpose+–+focus+here+is:+is+the+activity+tailored+to+the+purpose?+2. Character*of*the*dealing+–+they+weren’t+making+copies,+as+the+sample+was+streamed,+not+recreated+3. Amount*–+here+is+where+SOCAN+came+to+the+table+with+stats+showing+that+there+was+a+lot+of+sampling+

being+done+• Court+said:+yes+there+is+a+lot+of+it+going+on+–+but+the+amount+of+the+dealing,+under+this+factor,+the+

amount+of+the+dealing,+you+should+just+look+at+what+the+relationship+is+between+the+dealing+and+the+INDIVIDUAL+work+

• The+mere+fact+that+they+were+doing+a+lot+of+it,+shouldn’t+factor+in+at+this+stage+–+because+that+has+already+been+taken+into+account+in+the+character+of+the+dealing+

• Mere+volume+doesn’t+make+it+bad+–+if+you’re+satisYied+that+the+CHARACTER+of+the+dealing+is+acceptable,+then+when+you+get+to+the+amount,+you+ask+how+much+is+the+amount+of+downloading+versus+the+work+itself

• Concern:+if+there+is+too+much+focus+on+the+aggregate+volume,+that+will+twirk+things+int+he+direction+of+the+copyright+owner+

4. Alternative*dealing*• Tried+to+argue:+we+can+make+them+buy+it+and+if+they+don’t+like+it,+give+a+return• Court+said+that+is+too+cumbersome+

5. Nature*of*the*work*–+is+it+the+kind+of+work+that+needs+to+be+disseminated+or+needs+to+be+kept+restricted+• Court+said+musical+work+needs+to+be+disseminated+so+what+they+are+doing+is+consistent+with+the+

nature+of+the+work+and+

6. The*effect*of*the*dealing*of*the*work*–+they+couldn’t+show+that+the+sampling+was+hurting+their+sales• In+fact,+if+anything+it+was+promoting+their+sales

• So+sampling+of+music+tracks:+fair+dealing+

Alberta%(Education)%v.%Access%Copyright%(S.C.C.%2012)%

• This+is+Access+Copyright+defending+one+of+the+last+bastards+of+the+paper[based+roles+which+is+the+school+room+

• They+wanted+to+boost+the+fees+that+the+schools+have+to+pay+them+because+they+thought+the+schools+were+doing+a+lot+of+photocopying+

• There+was+evidence+that+there+was+a+great+amount+of+photocopying+for+entire+classes+of+textbooks+• Access+Copyright+demanded+that+the+copyright+board+approve+a+tariff+to+compensate+

• This+is+the+one+that+came+as+a+shock+–+it+was+a+massive+amount+of+photocopying+

• What+it+turned+on:+the+copyright+board+said+these+are+short+extracts+from+books,+which+the+school+has+bought,+to+supplement+the+books+that+the+students+have+


71

• So+the+court+goes+through+the+2+steps:+1. Is+the+purpose+protected+by+fair+dealing+and+2. Is+it+in+fact+fair+dealing

1. Purpose+Is+the+purpose+here+private+study+or+research?+• Access+Copyright+said+it+is+not+because+the+teacher+is+doing+it+for+the+purpose+of+teaching+• The+pitch+was:+the+purpose+really+is+instruction+rather+than+study+• They+relied+on+case+law+of+commercial+publishers+who+had+published+study+notes+where+they+

reproduce+chunks+of+copyright+works+and+added+their+own+commentary+–+courts+in+England+held+against+them+because+they+said,+yes+the+people+who+use+your+notes+are+doing+it+for+private+study+but+YOU+are+in+it+for+the+money

• Majority*view:+this+is+not+a+case+where+the+dealing+is+with+an+ulterior+motive+of+the+dealer’s+own+–+its+fair+to+consider+the+teachers+as+working+solely+for+the+students+not+for+themselves+–+what+they+are+doing+is+to+assist+the+study+of+the+student+

• The+dissent+latches+onto+something+different+

2. Character+3. Amount+4. Alternatives+to+the+dealing+–+publishers+said+they+could+buy+the+books+–+majority+said+that+is+impractical+5. Nature+6. Effect+–+Here+they+had+evidence+that+their+sales+of+textbooks+had+slumped+by+20%

• But+the+court+said+there+could+be+a+lot+of+reasons+for+this+–+fewer+students,+more+online+students,+etc.+

• Court+said+they+are+not+prepared+to+second[guess+the+copyright+board+on+these+issues+

• This+is+a+major+decision+because+it+says+you+can+actually+photocopy+on+a+fairly+extensive+scale+as+long+as+you+do+it+in+limited+extracts,+it+is+all+covered+in+fair+dealing+

• This+is+one+of+the+reasons+why+many+universities+refuse+to+sign+on+with+Access+Copyright+

• What+is+unclear+is:+how+do+you+possibly+monitor+whether+what+the+schools+are+doing+is+actually+fair+dealing?+Because+of+all+of+these+factors+–+it+all+hinges+on+the+idea+that+they’re+only+copying+a+few+short+extracts+–+Well,+how+short?+How+far+can+you+go?

PASSING*OFF

Erven%Warnink%BV%v.%J.%Townend%&%Sons%(Hull)%Ltd.%1979%UKHL

• Probably+the+leading+case+on+the+limits+of+passing+off+• Its+an+unusual+one+–+most+of+the+unusual+ones+concern+booze+

• This+case+concerns+a+drink+called+Avocaat+(consisting+of+raw+eggs+and+brandy+wine+–+gross)+–+note:+Dutch+spelling

• Critical+thing:+it+is+a+product+made+by+a+number+of+manufacturers+• Warnink’s+had+about+75%+of+the+market,+but+there+were+other+manufacturers+as+well+

• The+manufacturers+got+together+and+complained+that+there+was+an+English+company+(Keelings)+which+was+putting+out+a+product+made+of+powdered+egg+and+some+sort+of+sherry+(tasted+similar)+–+used+to+be+called+something+else,+but+then+they+changed+the+name+to+Old+English+Avocaat+(spelled+the+Dutch+way)+

• Warnink’s+claimed+this+product+that+was+being+sold+as+Avocaat+isn’t+really+Avocaat+–+they+are+passing+it+off+as+if+it+were+the+real+thing+that+we+produce+


72

• Issue:+“passing+off”+in+the+old+cases+was+in+the+context+of+one+company+who+had+a+kind+of+distinctive+way+of+marking+his+products,+and+he+complained+because+somebody+else+had+picked+it+up+and+was+marking+their+product+the+same+way,+thereby+confusing+the+public+into+thinking+that+their+stuff+was+the+same+as+the+original+one+made+by+the+plaintiff+company+

• However,+this+was+a+group+of+people+complaining+about+a+competitor+who+was+coming+in• They+are+saying:+the+market+knows+our+product+as+something+distinctive+–+it+is+a+distinctive+recipe+and+it+is+

deception+(falls+within+passing+off+tort)+for+Keeling’s+to+call+their+drink+Avocaat+

• So+what+is+being+complained+about+here+is+not+deceiving+people+as+to+where+the+product+comes+from+(that+is,+which+producer+made+it)+but+what+the+product+is$

• Plaintiffs+claiming+Avocaat+means+something+speciYic+and+this+new+crap+is+not+Avocaat+–+and+that+counts+as+passing+off+–+the+public+is+being+deceived+into+buying+something+which+is+not+the+real+thing+

• Sidenote:$This+was+the+last+in+a+series+of+alcohol+cases+–+there+was+a+Champagne+case+and+a+Sherry+case:+• People+calling+sparkling+wine+“champagne”• The+people+making+real+champagne+in+Champagne,+France+• Concern:+in+the+English+market,+this+stuff+was+being+passed+off+as+champagne+and+it+wasn’t+• So+what+they+had+to+prove+is+that+champagne+means*something*specieic*to*the*market*• The+market+knows+that+champagne+means+something+speciYic,+i.e.+it+is+champagne+made+by+a+

particular+method+in+a+particular+region+of+France+• Anything+that+is+not+made+by+that+method+is+not+champagne+and+it+is+therefore+passing+off+to+call+it+

champagne+–+this+argument+succeeded+

• In+Canada,+they+lost+on+passing+off+(the+CA+said+Canadians+just+think+of+champagne+as+Yizzy+wine)+but+in+the+course+of+negotiations+with+europe+over+free+trade,+one+of+the+demands+was+that+canada+crack+down+on+this+champagne+stuff+and+not+allow+Canadian+producers+to+use+the+name+champagne

• There+is+a+section+in+the+Act+dealing+with+protecting+geographical+indications:+

Trademarks%Act%s.%11.14:%Prohibited%Adoption%of%Indication%for%Wines

11.14+(1)+No+person+shall+adopt+in+connection+with+a+business,+as+a+trade[mark+or+otherwise,(a) a+protected+geographical+indication+identifying+a+wine+in+respect+of+a+wine+not+

originating+in+the+territory+indicated+by+the+protected+geographical+indication;+or(b) a+translation+in+any+language+of+the+geographical+indication+in+respect+of+that+wine.

Prohibited+use(2)+No+person+shall+use+in+connection+with+a+business,+as+a+trade[mark+or+otherwise,

(a) a+protected+geographical+indication+identifying+a+wine+in+respect+of+a+wine+not+originating+in+the+territory+indicated+by+the+protected+geographical+indication+or+adopted+contrary+to+subsection+(1);+or

(b) a+translation+in+any+language+of+the+geographical+indication+in+respect+of+that+wine.

• Sherry+case:+sherry+marketers+said+it+was+passing+off+to+call+something+sherry+if+it+wasn’t+made+by+a+particular+method+

• All*the*cases*say:*it*turns*on*whether*in*fact*the*market*recognizes*the*product*as*a*distinct*thing

• They+won+this+case

• Then+there+was+a+Scottish+whiskey+case+(Scotch)+–+sued+someone+who+was+calling+their+stuff+Scotch+when+it+wasn’t+distilled+in+Scotland+

• They+managed+to+prove+that+to+those+in+the+market,+Scotch+whiskey+means+whiskey+distilled+in+Scotland+


73

• They+won+too+

• Industries+have+a+tremendous+stake+in+the+reputation+of+the+products+they+put+out+• These+alcohol+cases+turn+on+the+fact+that+certain+kinds+of+drink+have+a+certain+reputation+

CA*Reasoning*

• This+was+different+as+all+other+liquor+cases+involved+drinks+from+distinct+REGIONS• Champagne,+Scotch+–+geographically+tied+

• This+stuff+is+just+stuff+–+it+is+not+necessarily+come+from+Holland,+it+can+come+from+anywhere+and+still+be+legitimately+called+Avocaat+–+all+it+has+to+do+is+conform+to+a+generic+recipe+involving+eggs+and+spirits+–+and+that+isn’t+protected+by+passing+off+

• So+they+drew+the+line+at+a+name+of+a+product+that+has+nothing+to+do+with+a+region+

HL*Reasoning

• Horseshit+–+who+cares+about+whether+it+is+geographically+deYined+or+not?+• If+it+has+a+distinctive+meaning+to+the+public,+it+qualiYies+• They+pointed+that+the+people+who+market+Avocaat+were+quite+few+in+number+compared+to+people+who+

market+champagne+–+so+you’re+not+opening+up+passing+off+to+a+huge+industry+

• They+said,+passing+off+turns+on+whether+the+plaintiff(s)+have+goodwill+in+the+name,+Avocaat+• That+goodwill+can+be+infringed+by+putting+on+the+market+something+which+is+not+really+Avocaat+and+calling+

it+Avocaat+• The+people+who+market+the+real+stuff+–+their+goodwill+in+the+reputation+of+the+name+for+the+product+is+

damaged+by+the+stuff+on+the+market+which+is+called+by+the+same+name+but+is+not+in+fact+the+same+

• So+it+turns+on:+Is+there+goodwill+in+the+name+Avocaat?+

• Witnesses+come+in+and+say,+yeah+I+love+this+stuff,+I+know,+I’ve+been+drinking+it+for+years+–+I’ve+tasted+the+other+stuff+and+I+can+tell+the+difference+–+it+is+not+the+same+

• They+had+evidence+put+in+the+trial+on+this+to+satisfy+the+question:+does+Avocaat+actually+mean+something?+

• Note:$Trademark+is+usually+is+concerned+with+distinguishing+the+source+of+something+• The+normal+use+of+a+trademark+is+that+it+identiYies+a+supplier/the+source+of+the+goods/services• But+passing+off+is+broader+–+here+it+is+not+distinguishing+the+source+(ex.+there+is+a+Polish+Avocaat),+what+

we’re+protecting+is+the+goodwill+of+people+located+anywhere+who+make+this+stuff+that+Yits+into+this+category+• If+they+have+goodwill+in+the+name+(so+anyone+who+markets+the+stuff+in+England+qualiYies+as+a+plaintiff)+–+

their+economic+interest+is+damaged+by+having+a+product+on+the+market+which+is+not+the+real+thing+but+which+calls+itself+the+real+thing+

• Because+then+if+the+public,+if+they+have+a+bad+experience+with+the+Keeling’s+English+Avocaat+will+think+less+of+Avocaat+and+won’t+have+the+real+stuff+–+so+you+lose+control+over+your+identity+

• It*is*not*brand*identity*so*much*as*product*identity*• But+the+HL+said,+the+law+should+protect+that+• It+is+irrelevant+that+here+the+class+of+the+product+is+not+geographically+limited+• So+it+is+not+that+Avocaat+comes+from+a+speciYic+geographical+location,+but+rather+that+it+has+a+speciYic+recipe+• So+they+got+an+injunction+against+Keeling’s+

• Diplock+J+deYines+the+tort+–+he+says+there+are+5+elements+(until+then,+there+were+only+3+and+since+then,+courts+have+gone+back+to+3)+–+the+key+is:+1. There+has+to+be+goodwill+or+reputation+attached+to+the+goods/services+2. There+is+a+misrepresentation+by+the+defendant+that+is+likely+to+lead+the+public+to+believe+that+the+

defendant’s+goods/services+are+those+in+which+the+plaintiff+has+the+goodwill+when+they+aren’t3. You+must+demonstrate+damage+

• Note:+you+don’t+have+to+prove+you+actually+lost+money+


74

• All+you+have+to+prove+is+that+the+public+is+being+confused+about+your+particular+product+–+that+in+itself+is+damage+because+you’ve+lost+exclusivity+and+loss+of+exclusivity+means+loss+of+control

CibaDGeigy%Canada%Ltd.%v.%Apotex%Inc.%1992%SCC%

Background

• The+reason+that+Canada+is+a+country+in+which+the+generic+drug+industry+is+very+strong+–+goes+back+to+60s–80s+when+Canada+had+a+particularly+liberal+regime+for+drug+patents+in+the+sense+that+the+brand+name+was+not+protected+for+very+long+

• After+a+relatively+short+period+of+patent+protection,+in+the+name+of+keeping+public+health+costs+down,+a+generic+manufacturer+could+apply+for+a+compulsory+licence+to+make+the+product+–+they+couldn’t+call+it+by+the+brand+name+(because+that+is+trademark)+but+they+could+make+the+product+(whereas+under+classic+patent+law,+you+can’t+–+but+drugs+were+an+exception+to+this)

• So+in+Canada,+these+generic+drug+manufacturers+could+start+making+a+drug+that+was+relatively+new+to+the+market+and+they+built+up+a+huge+industry+this+way+

• The+US+was+unhappy+with+this+• When+we+entered+a+free+trade+agreement+with+them,+they+asked+us+to+get+rid+of+this+system+but+the+generic+

drug+industry+(the+2+companies)+still+prosper+and+still+make+a+lot+of+money+(now+they+have+to+wait+until+the+patents+expire)+

Facts

• This+case+has+to+do+with+a+hypertension+drug+produced+by+Ciba[Geigy+• When+the+patent+expired,+Apotex+put+out+pills+that+looked+just+like+the+brand+name+pills+–+same+shape+and+

colour+(which+originally+they+had+not+done+–+their+original+pills+looked+different)+• Ciba[Geigy+sued+• Argued+that+Apotex+was+passing+off+their+generic+drug+as+the+Ciba[Geigy+brand+name+product+• There+was+no+question+that+the+generic+brand+(as+far+as+the+relevant+active+ingredients)+was+the+same+as+

the+brand+name+product+–+identical+–+so+not+misrepresenting+what+their+product+IS+but+the+argument+was+they+are+misrepresenting+where+the+product+COMES+FROM+

• They+are+making+it+look+like+it+comes+from+Ciba[Geigy+and+the+public+will+be+deceived+

Issue

• The+question+was:+who+is+the+public?+

• Apotex+said+the+only+people+who+choose+which+pills+are+going+to+be+taken+by+patients+are+doctors+and+pharmacists+–+they+have+to+know+what’s+what+and+they+are+not+in+any+way+confused+by+the+shape+and+colour+of+the+pills+

• The+fact+that+a+patient+might+confuse+is+irrelevant+because+the+patient+is+not+the+purchaser+(this+is+a+heavily+regulated+product+and+it’s+not+like+the+patient+is+picking+the+product+out+by+its+appearance)+

• So+their+defence+was:+the+relevant+“public”+is+the+purchasing+public+and+here,+the+purchasing+public+is+not+the+patients,+it’s+the+people+in+the+medical+Yield+who+don’t+go+by+colour+and+shape+

• Note:$if$that’s$the$case,$why$did$they$want$to$make$the$pills$the$same$shape$and$colour$of$the$brand$name$at$all?$–$this$wasn’t$raised$

Reasoning*

• The+consumer,+even+under+the+highly+regulated+system+of+drugs,+has+even+a+limited+right+to+choose+whether+to+take+the+generic+or+brand+name+pill+

• And+the+patient+may+have+a+good+reason+because+the+generic+and+brand+name+pills+may+actually+differ+not+in+the+critical+ingredients+but+in+the+other+non[active+ingredients+–+so+some+patients+may+be+sensitive+to+those+differences+and+react+well+to+one+but+not+the+other+


75

• Knowing+what+it+is+that+they+are+getting+is+important+to+the+patient+for+a+number+of+reasons+–+it+is+a+basic+right+that+a+patient+should+know+what+they+are+taking+

• So+all+of+that+to+establish+that+although+the+actual+decision+is+the+doctor’s+to+prescribe,+and+the+pharmacist’s+to+Yill+the+prescription,+the+patient’s+awareness+of+where+the+pill+comes+from+still+matters+and+the+law+should+protect+it+

• So+Ciba[Geigy+might+have+goodwill+(depends+on+the+facts+–+to+be+determined)+on+the+shape+and+the+colour+of+the+product+in+order+to+distinguish+it+from+those+of+the+generic+competitor+

• This+is+the+leading+Canadian+passing+off+case+–+it+is+useful+for+the+discussion+of+what+the+tort+of+passing+off+is+about,+what+interests+are+served,+the+public+policies+behind+it,+etc.+and+also+the+speciYic+point+that+the+patients+are+a+relevant+portion+of+the+public+in+terms+of+deciding+where+the+goodwill+resides+and+whether+the+goodwill+is+affected+

• They+don’t+go+for+the+5[point+description+of+the+tort+given+by+Diplock+J+–+they+go+back+to+the+3+point+description:1. There+has+to+be+goodwill2. There+has+to+be+misrepresentation3. There+has+to+be+damage

• Passing+off+regulates+the+market+–+there+is+a+public+value+in+the+consumer+knowing+what+they+are+doing,+or+at+least+being+able+to+know+what+they+are+doing+and+what+product+they+are+getting+–+this+case+shows+that+even+in+a+highly+regulated+market,+this+is+still+at+work+

Walt%Disney%Productions%v.%Triple%Five%Corp.%1994%ABCA%

• Fantasyland+case+

Facts

• This+litigation+arose+when+they+expanded+the+West+Edmonton+Mall• They+were+going+to+call+one+area+Fantasyland+–+their+original+ad+said+something+like,+“It’s+just+like+

Disneyland”+• Walt+Disney+said:+you+can’t+refer+to+Disney+in+any+way,+shape+or+form+(that’s+our+brand)+and+you+can’t+call+it+

Fantasyland+because+that’s+our+thing+–+but+it’s+not+a+registered+trademark+in+Canada+because+there+is+no+Fantasyland+in+Canada+(there+is+one+in+Annaheim,+one+in+Orlando,+one+in+Europe)+so+they+are+not+doing+business+in+Canada+

• So+they+went+to+court+

• Meanwhile,+West+Edmonton+Mall+carried+on+using+the+name+Fantasyland+

• Disney+argued:+you+are+passing+off+this+tacky+mall+either+as+a+Disney+operation+or+as+having+some+“okay”+from+Disney+to+call+it+Fantasyland+–+the+public+is+going+to+assume+that+it+has+something+to+do+with+Disney,+or+at+least+some+of+the+public+would+–+the+issue+is+then:+How+many+people+will+think+this?+

Reasoning

• The+TJ+and+CA+agreed+(SCC+refused+leave+to+appeal)+–+Disney+is+right+• The+factual+basis+has+to+be+that+Disney+has+goodwill+in+Alberta+or+in+the+market+that+is+being+served+by+the+

West+Edmonton+Mall+–+that+they+have+goodwill+in+the+name+Fantasyland+(i.e.+the+public+associates+Fantasyland+with+Disney)+

• The+Yirst+issue+was:+there+is+no+Fantasyland+in+Canada+so+can+you+really+say+that+Disney+has+a+reputation+in+Canada?+–+that+was+relatively+easy+for+the+court+to+get+over+• Lots+of+Canadians+go+down+to+Disneyland+and+they+all+see+Fantasyland,+so+it’s+well+known+even+if+the+

actual+facility+is+not+in+Canada


76

• So+there+is+no+question+that+there+is+a+reputation+attached+to+the+Disney+theme+parks+in+Canada+

• But+then+the+question+is:+does+the+name+“Fantasyland”+trigger+the+Disney+response+in+the+public+mind?+• The+way+the+Disney+people+tried+to+prove+that+this+was+the+case+–+they+had+a+surveyor+organize+a+

public+survey+• They+stopped+people+and+asked,+“When+I+mention+the+word+Fantasyland,+what+is+the+Yirst+thing+you+

think+of?”• Many+people+answered:+Disneyland• But+in+the+Edmonton+area,+a+lot+of+people+said:+The+West+Edmonton+Mall+

• They+put+this+evidence+to+the+court+to+say+that+(a)+there+is+a+strong+connection+in+the+public+mind+between+the+word+“Fantasyland”+and+the+Disney+identity+and+(b)+it+also+proves+confusion+because+where+the+West+Edmonton+Mall+does+business,+it’s+already+changed+people+from+thinking+about+Disney+to+thinking+about+West+Edmonton+Mall

• At+CA,+they+tried+to+argue+that+TJ+didn’t+pay+a+lot+of+attention+to+the+survey+because+it+was+Ylawed+–+but+a+lot+of+these+cases+on+passing+off+are+about+public+impression+so+surveys+are+one+way+to+present+evidence+of+public+impression+

• So+the+court+reviews+the+elements+of+the+survey1. Well+you+have+to+survey+the+right+universe,+i.e.+the+right+“public”+and+they+thought+picking+out+

people+in+shopping+malls+was+as+good+a+way+as+any+2. And+it+has+to+be+the+right+kind+of+questions+(can’t+be+leading,+etc)+–+and+they+thought+a+word+

association+survey+was+appropriate+if+the+issue+was+whether+people+associated+Fantasyland+with+Disney+

• They+said+you+would+have+needed+a+different+kind+of+survey+if+the+question+had+been:+Does+Fantasyland+have+a+good+reputation+or+something+like+that+–+but+that+wasn’t+the+issue+

• So+for+the+purpose+for+which+the+survey+was+tendered,+it+was+adequate+–+so+there+is$evidence+of+goodwill+in+Canada+attaching+to+the+name+Fantasyland+

• The+West+Edmonton+Mall+argued+that+Fantasyland+was+a+generic+name,+and+there+was+no+goodwill+attaching+to+the+name+

• The+court+doesn’t+buy+this+–+the+word+Fantasyland+didn’t+exist+until+Disney+started+using+it+and+it+is+a+word+that+has+continued+to+be+associated+with+Disney+facilities+–+it+has+not+been+used+more+generally++

• So:+there+is+goodwill;+the+goodwill+resides+in+the+actual+name+Fantasyland+(1st*element)+

• 2nd*element:+Is+there+misrepresentation?+Yes+–+because+the+West+Edmonton+Mall+is+not+Disney+• It+doesn’t+have+to+be+a+misrepresentation+as+to+who+operates+the+mall+–+they+say+it’s+enough+if+people+

would+be+led+to+assume+that+there+is+some+authorization+or+licence+given+by+Disney+• And+the+reason+this+matters,+that+even+that+perception+might+be+harmful+to+Disney,+is+because+Disney’s+

reputation+is+on+the+line+whenever+people+go+to+a+place+they+think+Disney+has+okay[ed+• If+they+think+Disney+has+given+their+approval+to+a+facility+and+they+go+there+and+have+a+lousy+time,+they+

will+think+less+of+Disney+and+that’s+the+perceived+harm+

• 3rd*element:+actual+damage+is+presumed+• Once+you’ve+shown+there+is+goodwill+and+once+you’ve+shown+the+goodwill+has+been+affected+by+

misrepresentation,+then+you+have+proved+the+damage+• You+don’t+have+to+prove+dollar+loss+• The+damage+was+loss+of+control+over+the+trademark+

• Note:+they+place+a+good+deal+of+reliance+on+a+case+form+Ontario+called+Orchin+(sp?),+which+involved+an+Ontario+pest+control+company+calling+itself+Orchin+and+there+was+another+company+from+the+US+called+Orchid+which+took+care+of+pest+issues+and+they+stopped+the+Canadian+company+from+using+the+name+


77

• They+were+met+with+the+argument+that+you’re+not+in+the+Canadian+market+• The+Ontario+court+said,+yes+there+is+a+reputation+in+Canada+because+people+use+Orchin+in+the+US+• Also:+if+Orchid+at+some+point+wants+to+expands+its+business,+it+is+entitled+to+come+into+Canada+and+to+

protect+its+reputation+because+it+has+an+interest+in+possibly+being+able+to+access+the+Canadian+market+in+the+future+

• Illustrates*that*goodwill*CAN*reside*in*Canada*even*if*the*actual*business*resides*elsewhere

• One*more*point:*the+whole+case+turns+on+the+PUBLIC+being+confused+–+they+make+a+point+of+saying+it+doesn’t+have+to+be+the+whole+public,+and+it+doesn’t+have+to+be+total+confusion+–+it’s+enough+if+a+signiYicant+percentage+of+the+public+is+confused+–+and+if+there+is+substantial+confusion+arising,+that+is+sufYicient

• Note:+the+West+Edmonton+Mall+renamed+the+section+of+the+mall+that+they+had+called+Fantasyland+–+but+there+is+also+the+Fantasyland%Hotel

• But+the+Fantasyland+Hotel+was+operated+by+a+different+entity+than+the+Mall+so+Disney+had+to+sue+the+hotel+separately+for+passing+off+

• They+lost+against+the+hotel+• The+lawyers+for+the+hotel+argued+that+there+is+no+Fantasyland+Hotel+in+any+Disney+operation+• The+decision+is+that+calling+the+hotel+the+Fantasyland+Hotel+would+not+suggest+to+anybody+that+this+had+

anything+with+Disney+because+they+don’t+have+a+Fantasyland+Hotel+• TJ+held:+there+is+no+passing+off+here+because+you+don’t+have+goodwill+in+the+name+Fantasyland+as+applied+to+

hotels+

• What+this+reYlects+on+is+the+law+of+trademarks:+when+is+a+trademark+“confusing”+with+another+mark?+–+“Confusing”+is+when+in+the+marketplace,+the+ordinary+consumer+–+would+that+person+assume+from+the+fact+that+this+allegedly+confusing+mark+is+used+–+would+they+assume+that+those+goods+are+being+provided+directly+or+indirectly+by+the+same+people+that+have+the+brand+

• That+logic+is+what+was+behind+the+decision+for+the+Fantasyland+Hotel+• TJ*took*the*view*that*nobody*is*going*to*assume*that*the*Fantasyland*Hotel*has*anything*to*do*with*

Disney*because*it*is*totally*different*from*the*theme*park*• Note:+Disneyland+has+hotels+but+they+are+not+called+Fantasyland+hotels+

Law%Society%of%B.C.%v.%Canada%Domain%Name%Exchange%Corp.%2004%BCCA%aff’d%2005%BCCA

• There+is+a+host+of+domain+name+cases+in+the+Canadian+Reporter+–+they+are+mostly+disputes+about+the+registration+of+the+domain+name+which+are+taken+through+a+dispute+resolution+process+run+by++World+Intellectual+Property+Organization+(WIPO),+etc.

• The+internet+is+a+sort+of+public+institution+but+privately+run+–+the+registration+authority+is+a+private+entity,+it+makes+its+money+off+fees+–+and+it+says+if+you+want+to+register+your+domain+name+(ex.+there+is+a+national+one+for+“.ca”;+there+is+an+international+one+for+“.com”+and+“.org”)+–+anyway+you+register+with+them+with+a+contract+

• Part+of+the+contract+is+you+agree+to+a+dispute+resolution+mechanism+• The+disputes+typically+are+about+cyber[squatting+–+where+people+register+a+domain+name+that+is+

intentionally+very+similar+to+the+name+of+a+well[known+brand+• The+rules+of+the+registration+authority+usually+provide+a+remedy+for+this+

• But+nowadays,+people+go+to+ordinary+courts+to+get+a+registration+set+aside+• This+was+the+Law+Society+of+BC+that+got+annoyed+because+some+dude+had+registered+with+the+relevant+

authority+2+domain+names+lsbc.ca+and+lawsocietyoAbc.ca$• These+were+linked+for+a+while+to+a+porn+site+and+for+a+while+to+some+other+marijuana[related+sites+• The+law+society+thought+when+people+type+in+the+law+society+of+BC,+they+may+get+directed+to+these+

inappropriate+sites+–+so+they+sued+him+in+passing+off+


78

• They+did+this+on+the+basis+that+using+a+domain+name+that+is+too+close+to+a+well[known+name+is+itself+a+misrepresentation+to+the+public+

• The+interesting+thing:+the+public+is+not+being+misled+in+the+sense+that+they+are+buying+anything+relying+upon+the+name,+its+just+that+they+are+being+linked+to+websites+

• The+law+society+is+not+a+business,+it’s+a+regulatory+authority+–+is+it+entitled+to+sue+in+passing+off?+• Court+said+the+law+society+of+BC+has+goodwill+–+it’s+not+commercial+goodwill+but+it+is+goodwill+–+it+has+a+

reputation+which+is+important+to+it,+and+is+relevant+to+its+ability+to+perform+its+statutory+function+• So+non[commercial+entities+can+sue+in+passing+off+• Also:+they+have+goodwill+in+the+name+–+are+the+domain+names+this+guy+registered+misrepresentations+

to+the+public+that+harm+the+goodwill+of+the+Law+Society+of+BC+

• The+mere+fact+that+you+get+linked+to+a+website,+you+can+argue+well+that+doesn’t+really+reYlect+on+the+LSBC+because+they+are+having+a+tough+time+Yinding+their+website+

• On+the+other+hand,+a+company+with+a+reputation+relies+on+the+internet+so+people+can+get+access+to+its+website+and+these+similar+domain+names+hijack+people+who+are+trying+to+Yind+the+LSBC+–+and+that+is+a+form+of+misrepresentation+

• It’s+not+so+much+that+it+leads+them+to+think+that+some+other+business+is+connected+to+the+LSBC,+it’s+just+that+they’re+prevented+from+getting+to+the+website+of+the+LSBC+–+a+bit+of+a+stretch+but+it+Yits+because+it+is+using+the+name+of+the+LS+in+a+way+that+diminishes+the+goodwill+of+the+name+–+NOT+in+the+sense+that+some+competitor+is+picking+up+customers+at+the+LS’s+expense+but+in+the+sense+that+the+public+who+want+to+deal+with+LS+Yind+it+more+difYicult+–+and+that+in+a+general+way+may+affect+the+way+they+think+of+the+LS+

• The+idea+that+domain+names+are+a+part+of+the+law+of+trademarks+–+has+widened+the+scope+

• One+more+point:+court+said+intent+is+not+a+part+of+it+–+though+it’s+not+irrelevant+• If+you+Yind+that+somebody+did+intentionally+mean+to+mislead,+it+is+easier+to+Yind+against+them+• But+if+they+say+I+didn’t+realize/it+was+unintentional+–+passing+off+can+still+be+proven,+it’s+just+based+upon+

there+is+in+fact+misrepresentation+–+whether+or+not+it+was+intentional+doesn’t+decide+the+case+

• In+order+to+succeed+in+passing+off,+you+have+to+show+ACTUAL+confusion,+not+just+POTENTIAL+confusion+–+have+to+show+that+people+are+currently+being+confused+• So+if+you+have+2+restaurants+in+2+very+different+geographical+locations,+it+is+difYicult+to+prove+that+

people+are+getting+confused+because+restaurants+have+a+limited+radius+• However,+the+more+famous+the+restaurant,+the+stronger+the+argument+that+there+might+be+confusion+• HK%restaurant%case%–+found+it+was+confusing+because+a+lot+of+people+would+know+about+the+HK+

restaurant+and+would+assume+that+the+Richmond+restaurant+had+some+connection+with+it+

• Correction$re$“actual”$confusion+–+Law+Society+of+BC+case+said+you+don’t+need+“actual”+confusion• You+don’t+need+to+come+up+with+people+who+say+I+was+actually+confused+–+that’s+too+high+a+standard+• They+say+look+there+are+cases+where+obviously+people+are+likely+to+be+confused+–+this+was+one+of+them+• So+when+the+courts+say+you+don’t+need+actual+confusion,+courts+mean,+you+don’t+need+evidence+–+if+you+

can+infer+that+a+substantial+number+of+people+probably+are+confused,+that’s+good+enough+• But+there+must+be+a+REAL+inference+that+confusion+is+actually+happening+(you+don’t+have+to+prove+it+

but+you+do+have+to+be+able+to+say,+that+an+inference+can+be+made+that+having+a+restaurant+by+the+same+name+2+blocks+down+the+street+from+my+restaurant+is+going+to+confuse+people)

• This+is+a+major+difference+from+the+registered+trademark*system*–+because+a+registered+trademark+registered+in+Ottawa+gives+you+a+national+protection+for+the+mark+

• Registered+trademark+has+national+scope+• Passing+off+only+has+local+scope+(or+scope+as+large+as+your+goodwill)+

• Passing+off+is+a+bit+broader+than+trademark+because+it+does+protect+more+than+just+the+name•


79

Kirkbi%AG%v.%Ritvik%Holdings%Ltd.%2005%SCC

• This+case+had+to+do+with+s.+7(b)+–+you+must+not+direct+public+attention+to+his+wares,+services+or+business+in+such+a+way+as+to+cause+or+be+likely+to+cause+confusion+in+Canada,+at+the+time+he+commenced+so+to+direct+attention+to+them,+between+his+wares,+services+or+business+and+the+wares,+services+or+business+of+another

• This+is+a+pretty+good+description+of+the+tort+of+passing+off+–+the+whole+point+is+you+are+telling+the+public+something+about+your+wares+which+confuses+them+and+makes+them+think+your+wares+are+that+of+somebody+else+

• Note:+there+is+a+problem+with+s.+7+(courts+have+said+it+or+parts+of+it?+are+constitutionally+invalid)+–+because+it+sets+up+civil+wrongs+which+in+one+way+or+another+all+link+to+unfair+competition+–+BUT+anytime+the+federal+government+creates+civil+wrongs,+they+might+be+tromping+on+the+toes+of+the+provinces+who+have+jurisdiction+over+civil+rights+in+the+province+

• The+law+of+torts+is+a+provincial+matter+• And+here+is+a+federal+statute+which+includes+a+bunch+of+torts+• There+have+been+a+series+of+cases+in+which+pieces+of+s.+7+have+been+challenged+• Vapour%Canada%case+–+struck+down+s.%7(e)+discussed+in+Kirkbi+case+• And+there+is+doubt+as+to+whether+the+other+paragraphs+are+safe+

Facts

• This+case+is+part+of+the+drama+of+Lego+• Lego+built+its+business+under+patent+protection+–+they+patented+the+interlocking+studs+and+the+cylinders+at+

the+bottom+of+the+bricks++• For+20+years+or+so,+they+had+patent+protection+everywhere+for+the+design+of+the+bricks+• At+a+given+point,+the+patent+ran+out+and+people+started+producing+rival+bricks+including+these+guys+

• Lego+was+annoyed+because+competitors+showed+up+–+so+they+tried+to+Yight+them+on+trademark+

• The+problem+is:+there+isn’t+much+as+far+as+the+quality+of+the+product+when+it+comes+to+plastic+bricks+–++you+can’t+say+my+blocks+are+way+better+than+those+blocks+

• So+distinguishing+yourself+by+design+of+something+–+there+isn’t+much+there+• Distinguishing+yourself+by+quality+–+also+hard• So+you+have+to+go+with+brand+identiYication

• Kirkby+(the+Lego+holding+company)+had+a+run+at+this+and+it+tried+to+shut+down+the+Megablocks+people+

• They+argued:+the+public+is+being+confused+• When+they+see+those+blocks,+they+think+lego+(this+is+probably+true)+• But+the+problem+was:+are+they+passing+anything+off?+Because+what+s+it+that+is+allegedly+misleading+the+

public?+• Well+its+the+shape+of+the+block+–+it+looks+just+like+Lego+• Is+the+shape+of+the+block+–+can+you+say+that+that+constitutes+passing+off?+

• Before+you+even+get+to+that+issue,+you+have+the+constitutional+Yight+–+is+that+paragraph+(b)+under+which+the+claim+was+being+made

• Note:$why$did$they$use$the$Trade]Marks$Act$instead$of$the$law$of$passing$off?$• Because$then$it$would$come$from$the$Federal$Court$–$and$have$national$reach• The$Trade]Marks$Act$is$a$federal$law$and$falls$within$the$federal$court’s$jurisdiction$• This$is$why$the$court$had$to$plunge$into$the$constitutional$issue$–$they$upheld$it$because$they$said$this$is$

a$“pith$and$substance”$question$to$start$with$• They$had$to$decide$whether$the$Trade]Marks$Act$was$in$pith$and$substance$within$federal$

jurisdiction$–$Patent$Act$and$Copyright$Act$are$explicitly$within$federal$jurisdiction$in$the$Constitution$but$Trade]Marks$Act$is$not$mentioned$


80

• Is$Trade]Marks$a$valid$federal$subject?$–$Yes$Trade]Marks$is$valid$federal$legislation$under$the$General$Trade$and$Commerce$powers$–$the$key$to$which$is:$it$is$a$regulated$national$scheme$–$that$qualiAies$it$as$federal$legislation$because$it$is$not$something$that$the$provinces$could$do$on$their$own$

• And$then$they$say$this$piece$of$it$(s.$7(b))$is$okay$because$it$rounds$out$the$law$of$trademarks$because$it$provides$a$right$of$action$for$somebody$who$infringes$your$UNREGISTERED$trademark$because$the$Trade]Marks$Act$is$a$comprehensive$scheme$–$they$are$actually$regulating$what$you$can$use$as$a$trademark$without$registering$it$

• And$unregistered$trademarks$are$used$all$the$time$–$what$section$7$does$by$providing$a$federal$passing$off$claim$is$give$you$national$protection$of$unregistered$trademarks

• So$s.$7(b)$is$upheld$on$the$basis$that$it$is$really$about$trademarks$

• It$does$it$by$giving$the$user$of$an$unregistered$trademark$the$power$to$oppose$anybody$registering$a$mark$–$so$if$you’re$in$the$market$Airst$with$your$unregistered$mark,$you$have$protection$against$other$people$registering$the$same$mark$

• The+other+aspect+of+the+case:+can+the+Lego+company+say,+we+have+goodwill+in+the+way+in+which+the+Lego+brick+look?

• The+public+does+indeed+associate+the+look+with+Lego+because+of+the+patent+protection+they+had+• Is+this+a+misrepresentation?+–+well+yes+it+says+MegaBlocks+but+who+is+going+to+read+that?+

• So+you+get+the+argument:+well,+wait+a+minute,+you’re+claiming+passing+off+through+the+fact+that+we+make+the+bricks+to+do+the+same+thing+that+your+bricks+do+–+you’re+trying+to+keep+a+monopoly+of+the+product+even+though+your+patent+ran+out+years+ago+–+that’s+not+permissible+

• In+order+to+make+that+argument,+you+have+to+say,+the+looks+of+a+product+which+usually+can+be+the+basis+of+a+passing+off+action+(if+your+product+has+a+distinctive+look,+that+can+be+subject+of+a+passing+off+action)+but*that*doesn’t*extend*to*looks*which*are*purely*functional*–*i.e.*If,*in*order*to*do*the*function,*the*thing*has*to*look*that*way,*you*can’t*claim*that*that*is*a*trademark,*that*that*is*a*distinguishing*feature*for*the*purposes*of*the*statutory*tort*or*for*the*common*law*tort*of*passing*off*for*that*matter*

• So+this+gets+into+the+question,+well+what+does+trademark+law+protect?+–+similar+issue+comes+up+in+Copyright+(can+you+claim+copyright+in+programming+which+is+dictated+by+functional+considerations?)+–+and+the+answer+was+no,+if+it+is+dictated+by+functional+considerations,+you+can’t+say+it+is+original+expression+because+you’re+trying+to+get+a+monopoly+on+the+idea/the+function+

• It’s+the+same+policy+for+trademarks+–+trademarks+give+you+a+monopoly+of+the+use+of+your+LOOKS+in+relation+to+particular+products+–+if+the+look+is+dictated+by+the+function,+i.e.+form+follows+function,+then+giving+you+a+monopoly+of+the+look+would+give+you+a+monopoly+of+the+function/of+the+actual+product+

• And+this+is+something+the+SCC+said+the+system+cannot+accept+–+and+they+had+earlier+cases+about+the+Philips%electric%razor+which+has+a+triple+arrangement+of+cutting+pins+• Philips+uses+that+schematic+in+advertising+its+stuff+• A+competitor+tried+to+put+out+a+razor+with+a+similar+head+with+the+3+rotary+cutters+• Philips+tried+to+argue,+you+can’t+do+that+because+people+will+think+its+a+Philips+• The+court+said,+they+might+think+it’s+a+Philips+but+too+bad+–+you*cant*claim*trademark*in*a*functional*

feature*

• This+in+fact+is+reYlected+in+the+Act+because+the+deYinition+of+what*is*a*trademark+(what+counts+as+a+trademark+under+the+Act)+includes+a+“distinguishing+guise”*which+means:+(a)+a+shaping+of+wares+or+their+containers,+or+(b)+a+mode+of+wrapping+or+packaging+wares;+the+appearance+of+which+is+used+by+a+person+for+the+purpose+of+distinguishing+or+so+as+to+distinguish+wares+or+services+manufactured,+sold,+leased,+hired+or+performed+by+him+from+those+manufactured,+sold,+leased,+hired+or+performed+by+others

• And+you+can+register+a+distinguishing+guise+as+a+trademark,+the+Act+says+a+distinguishing+guise+is+registerable+(s.%13:%When%distinguishing%guises%registrable)+(and+it+puts+conditions+on+when+you+can+


81

register+it)+but+s.%13(2):%Effect%of%registration%–+says+No+registration+of+a+distinguishing+guise+interferes+with+the+use+of+any+utilitarian+feature+embodied+in+the+distinguishing+guise.

• Well+if+your+guise+is+nothing+BUT+a+utilitarian+feature,+then+your+registration+has+no+effect+

• So+the+idea+that+you+cannot+trademark+or+claim+trademark+protection+for+a+functional+element+is+there+in+the+Act,+but+it’s+there+in+the+Act+in+relation+of+a+registration+of+a+distinguishing+guise+

• So+Kirkby+is+arguing+this+is+an+unregistered+distinguishing+guise+which+is+different+and+is+not+caught+by+the+provisions+that+have+to+do+with+registration

• s.+7:+yes+those+MegaBlocks+look+like+Lego+but+they+don’t+claim+that+the+look+of+the+block+is+an+unregistered+trademark+

• In+the+Act,+the+distinguishing+guise+is+one+of+the+categories+of+trademark+and+but+for+the+functional+aspect,+the+look+of+the+blocks+would+be+a+distinguishing+guise+

• But+in+s.+13,+the+rules+for+registration+–+s.+13(2)+• This+reYlects+a+general+policy+of+law+that+you+can’t+acquire+a+monopoly+of+the+function+–+it+may+be+that+the+

function+gives+the+thing+a+look+and+the+look+comes+to+identify+the+use+but+you+can’t+trademark+a+function+• In+statutory+passing+off,+where+Kirkby+failed+–+they+more+or+less+applied+the+common+law+concepts:+• You+have+to+have+goodwill+in+the+particular+appearance+in+the+product+–+but+that+cannot+extend+to+looks+

that+are+merely+the+reYlection+of+the+function+because+that+would+extend+trademark+to+a+patent+and+give+you+a+monopoly+in+the+thing+itself+

• Philips%shaver%head%case:+Philips+could+not+be+the+only+company+that+was+entitled+to+put+3+rotating+heads+in+a+triangular+conYiguration+because+that+would+give+it+a+monopoly+of+a+particular+way+of+arranging+the+shaver+head

• It’s+all+how+you+deYine+the+function+• If+you+deYine+the+shaver+head+as+3+rotary+cutters+in+a+triangular+conYiguration,+the+form+follows+function+–+

can’t+claim+a+trademark+in+that+particular+function

• It+amounts+to+the+judge+saying+I+think+this+form+you+are+claiming+to+have+a+trademark+in+is+simply+the+outcome+of+a+particular+function+and+I+see+this+as+a+distinct+function+and+therefore+I+cant+protect+that+–+because+that+would+give+you+an+effective+patent+for+that+device+rather+than+a+trademark

• The*reason*you*shouldn't’*get*trademark*protection*for*a*patentable*thing:*a*patent*is*limited*time*thing,*whereas*trademarks*can*last*forever*–*would*overhprotect*you*

• At+the+end+of+the+decision,+they+talk+about+common+law+passing+off+(the+case+is+based+on+statutory+passing+off)+–+they+say+a+claim+in+common+law+passing+off+would+not+succeed+for+the+same+reason+because+the+goodwill+is+really+just+goodwill+in+a+funcitonal+arrangement+of+the+studs+in+the+bricks+(para+69)+–+“Under+the+modern+law+of+passing+off,+a+passing[off+action+by+the+appellant+was+bound+to+fail.+It+would+not+have+been+able+to+meet+the+Yirst+condition+of+the+action,+namely+that+there+be+goodwill+in+respect+of+the+distinctiveness+of+the+product.+The+alleged+distinctiveness+of+the+product+consisted+precisely+of+the+process+and+techniques+which+were+now+common+to+the+trade.+Again,+Kirkbi+could+not+overcome+another+form+of+the+functionality+problem.”

• They+have+told+us+this+rule+about+the+functionality+principle+applies+to+common+law+as+well,+not+just+to+statutory+s.%7(b)


82

TRADEMARKS

MEANING*OF*TRADE*MARK

Clairol%Int’l%Corp.%v.%Thomas%Supply%&%Eqpt.%Co.%Ltd.%1968%Ex%CC

• This+case+concerns+the+designation+of+the+colours+• Clairol+had+the+hair+dye+market+largely+to+itself+for+many+years+• Revlon+then+entered+into+the+market+and+they+marketed+their+stuff+very+aggressively+• Clairol+discovered+that+Revlon+were+putting+on+their+packages+a+comparison+chart+showing+which+Clairol+

colour+corresponded+to+which+Revlon+colour+–+and+it+mentioned+the+brand+“Clairol”+

• 1st+Argument:+Clairol+claimed+that+this+use+of+the+Clairol+name+on+the+Revlon+packaging+infringes+on+their+right+of+exclusive+use+• They+got+past+the+Yirst+hurdle+on+that+argument+that+their+right+of+exclusive+use+was+being+infringed+(s.%

20)+• Revlon+was+using+the+trademark+within+the+meaning+of+s.%4+because+it+was+on+the+package+• So+it+met+the+deYinition+of+“use”+as+deYined+in+s.+4+

• But+they+lost+on+this+issue+because+the+court+said:+yes,+they+were+using+it+but+they+weren’t+using+it+in+any+way+that+suggested+that+the+product+in+the+package+was+a+Clairol+product+–+they+were+saying+here+is+a+Revlon+product+and+here+is+how+you+can+tell+how+it+relates+to+the+Clairol+colours+

• So+they+said+that+this+is+not+a+“use”+of+the+Clairol+brand+as*a*trademark+–+they+are+using+it+as+a+word+but+they+are+not+using+it+as+a+trademark+because+they+are+not+suggesting+that+the+source+of+the+product+is+Clairol+

• So+they+lost+that+argument+• Held:*there*was*no*infringement*of*their*exclusive*use*of*the*trademark*

• 2nd+Argument:+Clairol+also+argued+s.%22(1)+of+the+Act:+Depreciation+of+goodwill22.+(1)+No+person+shall+use+a+trade[mark+registered+by+another+person+in+a+manner+that+is+likely+to+have+the+effect+of+depreciating+the+value+of+the+goodwill+attaching+thereto.

• What+this+section+is+meant+to+catch:+there+are+some+occasions+in+which+you+are+using+somebody+else’s+trademark+in+a+way+that+doesn’t+infringe+the+exclusive+use+provisions+(so+you’re+not+infringing+the+trademark)+but+you+are+still+using+it+in+a+manner+that+is+likely+to+have+the+effect+of+depreciating+the+value+of+the+goodwill+

• What+this+seems+to+be+aimed+at+is:+if+you+start+using+the+name+Louis+Vuitton+for+your+garbage+collecting+service+–+you+are+not+infringing+their+brand+because+their+trademark+is+deYinitely+not+registered+for+use+in+association+with+garbage+collection+and+no+person+would+assume+that+the+real+LV+had+anything+to+do+with+my+local+garbage+collection+service+but+now+LV’s+chic+brand+is+being+tainted+by+association+with+this+slimy+messy+business+–+this+is+what+s.+22(1)+is+meant+to+police+

• What+clairol+was+arguing+was:+we+are+within+that+section+(s.+22)• They+said,+you’re+using+the+trademark+and+the+effect+of+it+is+to+depreciate+the+value+of+the+goodwill+• Court+said+the+point+of+this+was+to+get+people+to+stop+using+Clairol+and+start+using+Loreal+• Blom+thinks+they+should+not+have+won+on+this+–+it’s+not+lowering+the+goodwill+of+the+Clairol+trademark,+

it’s+just+eating+into+their+business++

• The+effect+of+the+decision+is:+when+you+make+comparative+statements+and+you+disparage+the+competitor’s+product+with+their+brand+name,+you+are+infringing+s.+22+of+the+Act+

• When+is+something+being+used+as+™+rather+than+just+something+else+

• Note:+using+a+brand+in+an+advertisement+for+wares+is+not+using+it+within+the+meaning+of+s.+4+–+you+can+have+comparative+advertising+that+is+not+on+a+package+and+that+is+okay+


83

• In+this+case:+court+said+the+brochures+on+which+Loreal+was+comparing+to+Clairol+were+okay+–+they+were+not+caught+(there+was+no+“use”+of+the+Clairol+brand+in+the+advertising+because+mentioning+the+brand+in+advertising+for+wares+is+not+“use”+of+the+trademark+as+per+s.+4)+

• So+comparative+mention+of+brands+when+it+comes+to+wares+is+okay+–+it+is+not+caught+by+the+statutory+language+for+“use”+but+for+services+it+would+not+be+okay+because+that+is+caught+by+“use”+

• So:+the+concept+of+“use”+is+critical+–+and+it+is+interpreted+pretty+strictly

Canadian%Shredded%Wheat%Co.%v.%Kellogg%Co.%1938%UK%PC%(from%ON)

• The+Canadian+shredded+wheat+company+acquired+the+rights+of+the+American+company+• The+American+company+made+shredded+wheat+originally+using+a+patented+machine+(which+would+crush+

the+wheat+and+spit+it+out)+–+so+only+the+American+company+(and+later+the+Canadian+company)+had+the+right+to+make+the+stuff+

• For+years+after+the+patent+expired,+they+were+the+sole+shredded+wheat+producer+in+the+world+• And+then+Kellogg’s+starting+putting+out+a+product+which+they+called+shredded+wheat+–+called+Kellogg’s+

Shredded+Wheat+• Crisis+broke+out+and+Shredded+Wheat+sued+Kellogg’s+for+infringing+their+trademark+(and+it+had+been+

registered+as+a+trademark)+

• Kellogg’s+argued:+that+was+not+a+valid+registration+because+it+is+not+distinctive+of+the+product+put+out+by+the+Canadian+Shredded+Wheat+company+

• Canadian+Shredded+Wheat+company+argued:+how+can+it+not+be+distinctive+of+us?+We+have+been+producing+it+for+decades+

• What+the+argument+turned+on:+Shredded+Wheat+is+just+the+name+of+the+product+–+this+stuff+IS+just+shredded+wheat+

• They+argued+that+the+word+shredded+wheat+was+never+distinctive+

• Court+knocked+down+the+registered+trademark+because+Canadian+Shredded+Wheat+Company+had+patent+protection,+they+were+the+only+ones+who+could+make+shredded+wheat+so+of+course+during+that+period,+they++had+a+monopoly+of+the+product+and+therefore+they+also+had+a+monopoly+on+the+name+of+the+product+

• So+far+as+the+words+are+concerned,+all+it+is+is+a+description+of+the+product+• You+can+claim+that+the+public+came+to+see+it+as+distinctive+of+your+wares+when+you+were+the+only+one+on+the+

market+who+could+produce+it+(because+of+the+patent)+• But+even+after+the+patent+expired,+the+company+was+the+only+producer+of+shredded+wheat+for+20+years+

• The+PC+looked:+• How+were+you+using+the+brand?• Has+it+acquired+what+they+call+a+secondary+meaning+

• This+goes+all+the+way+back+to+the+camel%hair%belting%case%where+camel+hair+belting+(one+of+the+Yirst+passing+off+cases)+described+the+product+–+it+did+include+camel+hair+

• But+the+evidence+in+the+case+was+there+were+all+kinds+of+belting+manufacturers+and+they+all+named+their+belts+after+animals+

• So+the+case+turned+on+the+idea+that+the+public+assumed+that+camel+hair+belting+described+the+product,+but+it+was+a+brand+–+it+was+a+fancy+name

• So+the+facts+in+that+name+showed+that+what+was+in+fact+an+accurate+description+of+the+product+had+become+an+identiYier+not+just+of+belting+in+general+but+of+THAT+manufacturer+of+belting+in+particular+

• So+what+shredded+wheat+had+to+show+is+that+the+name+shredded+wheat+had+become+identiYied+in+the+public+mind+not+with+any+old+shredded+wheat+but+with+their+shredded+wheat+

• The+evidence+was+that+the+use+of+the+shredded+wheat+name+had+never+been+used+as+a+trademark+–+it+had+only+been+used+as+a+descriptor+


84

• Shredded+wheat+is+just+the+name+of+the+product+

• A+lot+of+the+evidence+they+look+at+was:+how+was+the+product+advertised?+• Was+it+advertised+under+the+name+shredded+wheat+as+a+brand+or+under+the+name+shredded+wheat+

simply+as+an+indicator+of+what+the+product+was+• “Nothing+is+nicer+than+a+shredded+wheat”+• They+said+look,+if+you+look+at+each+of+these+ads,+there+is+no+indication+that+the+name+shredded+wheat+

means+anything+other+than+a+description+of+the+product+–+this+is+our+shredded+wheat,+eat+it!+• Therefore,+it+is+not+distinctive+of+this+particular+supplier’s+product+–+it+does+not+distinguish+their+

shredded+wheat+from+anybody+else’s+shredded+wheat+• Anybody+else+can+accurately+say,+this+thing+that+we+are+making+is+shredded+wheat+–+they+are+not+

infringing+the+brand+

• Because+it+was+not+distinctive+of+the+source+of+their+shredded+wheat,+because+it+did+not+convey+a+brand+message+to+the+public,+it+was+not+a+valid+registered+trademark+

• Therefore+it+could+not+succeed+in+common+law+passing+off

Nintendo%1971%FCJ%

• Interlocutory+injunction+case+• Alleged+infringers+were+producing+this+product+that+you+could+use+with+Nintendo+to+change+parameters+of+

Super+Mario+game+• Nintendo+thought+this+was+not+good+for+business• Tried+to+argue+their+moral+rights+of+the+man+who+devised+Super+Mario+were+infringed+• Court+said+it+was+a+convincing+argument

• Another+point:+tried+to+say+that+these+people+(Camaerica?)+were+infringing+the+Nintendo+trademark+because+all+over+the+box+it+said+you+could+use+it+with+Nintendo+–+lost+on+that+one+because+just+like+Clairol,+they+were+using+Nintendo+on+the+package+to+suggest+that+Nintendo+made+the+thing+

• In+fact,+defendants+had+made+every+effort+to+inform+the+purchasing+public+that+their+product+was+a+product+of+Camaerica+and+not+Nintendo+–+the+words+“works+with+the+games+int+he+Nintendo+entertainment+system”+is+clearly+for+the+purpose+of+informing+the+consumer+that+the+product+works+with+the+Nintendo+game+–+it+is+nothing+more+than+a+description+

• They+had+also+put+on+the+package:+this+game+“is+a+product+of+Camerica+and+is+not+manufactured+or+distributed+or+endorsed+by+Nintendo”+–+they+had+made+it+very+clear+that+the+source+of+the+wares+were+not+Nintendo+

• Simple+example+of+where+you+can+refer+to+another+brand+on+your+package+–+it+IS+use+within+s.+4+but+not+used+to+distinguish+the+product+(your+brands+from+other+brands)+or+the+suggestion+that+you+made+it+

Musidor%1994%Aus%FCA

• Involved+a+recording+of+a+Rolling+Stones+concert+that+was+put+out+by+these+people+as+an+unauthorized+recording+of+the+Rolling+Stones+

• They+were+sued+by+the+company+that+owned+the+RS+rights+–+arguing+you+are+infringing+RS+trademark+• Court+said+well+actually+they+are+not,+they+are+not+suggesting+that+the+RS+company+is+in+any+way+

responsible+for+this+product,+it+says+unauthorized,+therefore+whatever+you+can+complain+about+is+not+trademark+infringement+–+may+be+copyright+but+not+TM+

• Example+of+what+it+means+to+use+the+mark+as+a+“mark”+

• Note:+in+the+Act,+where+words+are+descriptive+of+your+product,+you+cant+register+it+as+a+TM+because+it+says,+s.%12(1)(b)+you+can’t+register+if+the+TM+is+either+clearly+descriptive+or+deceptively+mis[descriptive+in+the+


85

English+or+French+language+of+the+character+or+quality+of+the+wares+or+services+…+–+so+that+would+cover+shredded+wheat+because+it+is+just+a+description+of+the+quality+fo+the+wares+

• There+is+another+provision+that+says+you+can’t+register+the+name+in+any+way+of+the+wares+or+services+• So+if+it+is+the+NAME+of+the+wares,+you+can’t+register+it+under+s.+12(1)(c)+–+any+language+• If+it+is+descriptive+or+mis[descriptive+of+the+character/quality+of+the+wares,+under+s.+12(1)(b)+–+English+or+

French+only+

• Note+also:+s.%12(2)%–+a+TM+that+is+not+registerable+under+(a)+(surnames,+etc.)+or+(b)+is+registerable+if+it+has+been+so+used+in+Canada+that+is+used+as+a+trademark+by+the+applicant+so+as+to+have+become+distinctive+at+the+date+of+Yiling+the+application+• So+a+descriptive+term+that+HAS+acquired+the+necessary+public+association+of+the+source+of+the+product,+

you+can+get+it+on+the+register+–+but+it+is+only+within+limits+• Somewhere+in+s.%37:+if+you+fall+under+this+exception,+the+Registrar+is+only+supposed+to+register+the+TM+

in+the+area+of+Canada+in+which+it+has+become+distinctive+

• Some+products+have+become+distinctive+–+one+of+them:+Off!• There+was+a+case+–+when+they+initially+registered+(Johnson+&+Johnson),+they+were+refused+on+grounds+

that+it+was+descriptive• Federal+Court+upheld+it+–+simply+describes+what+it+is+supposed+to+do+–+they+said+you+can+TM+as+a+design+

but+not+as+a+word+• But+later+they+did+get+it+on+the+register,+because+on+the+database,+SC+Johnson+registered+the+mark+in+

1981+for+wares:+category+1:+insect+repellents,+category+2:+candles+• Registrability:+recognized+under+s.+12(1)(b)+–+satisYied+the+registrar,+it+had+been+on+the+market+for+

years,+so+they+argued+actually+now+it+HAS+become+distinctive,+people+do+associate+Off!+with+our+product+and+not+just+generically+with+insect+repellents+

• If+they+could+only+prove+that+it+had+gotten+distinctiveness+in+the+Lower+Mainland,+then+the+mark+would+only+be+registered+for+exclusive+use+in+the+Lower+Mainland,+not+elsewhere

• See+s.%32%–+must+produce+evidence+to+Registrar+• The+Registrar+must+restrict+use+to+geographical+area+where+distinctiveness+is+proven

• As+you+can+get+evidence+that+your+TM+has+acquired+distinctiveness+in+other+parts+of+the+country,+then+you+can+expand+the+registration+for+that+

Tommy%Hil,iger%Licensing%Inc.%v.%International%Clothiers%Ltd.%2004%FCA

• Concerned+the+shirts+and+shorts+that+were+originally+made+in+Asia+for+Wal+Mart+to+be+sold+in+Wal+Mart,+of+the+TH+brand+–+so+they+were+equipped+with+the+crest+on+the+chest+

• Wal+Mart+didn’t+want+them+and+so+the+labels+on+the+shirts+were+ripped+off,+another+brand+was+put+on+the+labels,+and+they+were+sold+

• There+was+no+mention+of+the+HilYiger+name+at+all+• But+they+were+sold+under+a+different+brand+• TH+complained+of+TM+infringement+• Wanted+an+injunction+• Argued+those+crests+actually,+you+are+using+our+brand,+the+design+brand+as+a+TM+• International+Clothiers+said:+no,+we+bought+these+shirts+for+cheap,+no+reason+to+think+they+were+TH+and+our+

intentions+were+pure,+etc.+and+we+bought+them+in+good+faith+and+we+removed+the+labels+that+were+on+them+and+put+our+own+labels+on+them,+no+body+is+going+to+think+they+are+from+TH+and+we+didn’t+mean+any+harm+by+it+

• Issue:+are+they+using+it+as+a+trademark?+• They+never+INTENDED+to+use+it+as+a+TM+• One*point*the*case*gets*to:*it’s*not*a*matter*of*intention,*it’s*not*a*matter*of*whether*you*MEANT*to*

imply*that*these*shirts*were*TH*shirts,*its*what*the*consumer*would*INFER*• Notice:+these+are+shirts+that+don’t+have+any+labels+on+them,+their+labels+said+International+Clothiers+


86

• So+the+very+careful+consumer+would+say,+well+there+is+something+funny+about+these+shirts,+because+they+would+recognize+the+crest+of+TH+

• But*the*test*is*not*what*the*careful*student*of*trademarks*thinks,*its*what*the*casual*consumer*thinks*–*the*causal*consumer,*someone*in*a*hurry*–*would*this*an*appreciable*proportion*of*the*public*see*this*as*a*TH*shirt?*And*the*court*said,*it*depends*on*the*evidence*before*the*TJ*but*the*TJ*had*in*fact*said,*they*were*passing*off*but*they*were*not*infringing*the*trademark*

• The+basis+of+the+passing+off+conclusion+was+that+people+did+recognize+the+crest+as+a+TH+thing+and+therefore+to+put+out+shirts+which+were+not+TH+with+this+symbol+on+them+was+passing+off+in+the+classic+sense+

• Well+how+can+you+say+that+and+then+say+they+are+not+infringing+the+trademark?+The+whole+basis+of+passing+off+is+that+the+public+perceived+it+as+the+TH+brand+

• That+meant+that+they+were+infringing+the+TM+–+so+it+is+impossible+to+be+passing+off+using+a+TM+and+then+not+be+infringing+the+TM+

• So+they+were+using+the+TM+simply+because+that+is+how+the+public+perceived+it+• Based+on+evidence+that+it+was+distinctive+and+(para+41+of+FCA):+“One+must+necessarily+begin+with+the+fact+

that,+as+the+Trial+Judge+found,+the+appellants'+Crest+Design+trade[marks+had+by+November+1994+and+early+1995+acquired+distinctiveness+by+reason+of+their+continuous+use+in+the+marketplace+for+at+least+10+years.+Consequently,+the+trade[marks+served+to+indicate+to+consumers+that+the+appellants+were+the+source+or+origin+of+the+articles+of+clothing+with+which+the+marks+were+associated.”+

• As+the+Trial+Judge+also+found,+the+crest+design+featured+on+the+respondent's+shirts+and+boys'+shorts+sets,+save+for+minor+details,+was+very+similar+to+the+appellants'+Crest+Design+trade[marks.+Further,+the+respondent's+crest+design,+as+afYixed+to+its+shirts,+was+placed+in+the+same+position+on+the+breast+of+the+shirts+where+the+Crest+Design+trade[marks+were+placed+on+the+appellants'+shirts.+In+that+respect,+there+was+evidence+before+the+Trial+Judge+that+the+respondent+was+aware+of+the+common+practice+of+afYixing+a+logo+on+the+breast+of+a+shirt+or+a+sweater,+independently+of+a+brand[name,+for+the+purpose+of+indicating+the+source+of+a+garment.

• Ergo+there+was+confusion,+ergo+there+was+infringement+

• Noteworthy+that+the+TH+crest+design+is+similar+to+the+Dutch+Royal+coat+of+arms+

REGISTRATION*OF*TRADE*MARK

Standard%Oil%Co.%v.%Registrar%of%Trade%Marks%(Ex.%C.C.%1968)%

• President+Jacket+–+holding+in+favour+of+applicant• SO+wanted+to+register+FIOR+which+is+a+word+in+Italian+• The+problem+was:+registrar+said+there+are+Italians+who+have+this+name,+so+it+is+primarily+merely+a+name+or+

surname+• SO+said,+no+we+made+it+up,+it’s+the+acronym+for+something+Fluid+Iron+Ore+Reduction+• The+registrar+had+been+going+through+telephone+directories+and+they+had+found+2+people+in+San+Fran+

named+Fior+• The+decision+turns+on+the+fact+that+the+Act+doesn’t+say+you+can’t+register+a+word+that+is+somebody’s+

surname+somewhere+in+the+world,+it+says+you+can’t+register+it+if+it+is+PRIMARILY+MERELY+a+surname+• Question:*how*do*you*decide*what*is*primarily*a*surname?*• Jackets’s*approach*is:*it*depends*on*how*people*would*look*at*it*–*would*people*when*they*look*at*

FIOR*see*it*as*a*surname,*or*see*it*primarily*merely*as*a*surname?*• Answer+is+no,+Fior+is+kind+of+an+unusual+name+• So+it’s+okay,+it+can+be+a+surname+for+some+people+as+long+as+it’s+not+a+surname+that+is+recognizably+a+

surname+• So+can’t+register+Jones+or+Smith• But+a+very+unusual+name+may+be+okay+


87

• What+about+Johnson+&+Johnson,+Wendy’s,+Joey’s?+–+Yirst+names+are+maybe+not+caught+by+this+section?+• Might+also+be+saved+by+distinctiveness+though+–+if+it+has+acquired+distinctiveness,+like+McDonald’s

Ontario%Teachers%Pension%Plan%Board%v.%Canada%2012%FCA

• Wanted*to*register*Teachers*• The*registrar*said*no,*because*you*are*a*pension*plan*for*teachers*and*so*the*word*Teachers*is*

descriptive*of*what*you*do*• Upheld+by+FCA+• Logic+–+one+of+the+things+they+were+suggesting:+the+registrar+should+be+told+–+CA+says+no,+Parliament+has+

made+it+clear+that+the+registrar+is+not+to+advertise+the+mark+if+the+registrar+feels+that+the+mark+is+not+registrable+

• We+think+the+registrar+was+right,+it+is+descriptive+• Therefore,+the+word+teachers+describes+(para+46)+–+it+describes+a+highly+prominent+teacher+characteristic+

belonging+to+the+appellant+services+• A+few+paragraphs+before+that,+they+deal+with+the+issue:+they+said+come+one,+people+wouldn’t+think+that+far+

if+they+saw+the+brand+teachers,+they+wouldn’t+think+that+was+descriptive+because+you+have+to+sort+of+think+about+it+to+get+the+connection+with+the+services

• They+reject+this+(para+45)+a+reasonable+person+requires+neither+effort+nor+imagination+to+conclude+that+the+appellant’s+trademark+describes+the+character+of+services+

• So+this+is+not+a+sort+of+deep+connection+• So+it+was+descriptive,+not+registrable,+no+obligation+to+advertise+it+• They+are+still+using+it,+but+its+just+not+registrable+

Consorzio%del%Prosciutto%di%Parma%v.%Maple%Leaf%Meats%Inc.%2001%FCTD

• Involves+food+–+parma+case+• Actually+a+political+issue+with+Italy+• The+Italian+government+on+behalf+of+the+folks+in+Parma+• In+Italy+Prosciutto+di+Parma+is+associated+with+the+region+around+Parma+and+the+local+producers+have+

banded+together+and+formed+this+Consorzio+–+that’s+the+authentic+stuff+• One+of+their+constant+grievances:+that+Canada+years+and+years+ago+allowed+Parma+to+be+registered+as+a+

trademark+by+a+non[Italian+entity,+and+is+now+in+the+hands+of+Maple+Leaf+Foods,+which+sticks+Parma+on+things+like+Prosciutto+packages+

• So+Parma+brand+Prosciutto+• This+Consorzio+that+represents+the+authentic+–+because+the+whole+problem+is+authenticity+• What*they*want*is*a*protected*geographical*indication*for*meat,*but*there*is*no*such*thing*in*the*

law*(only*wines*and*spirits)*• So+what+they’re+trying+to+do+is+to+knock+out+the+TM+in+the+hands+of+ML+so+they+can+get+on+the+register+as+the+

authentic+owners+of+Parma+• They+brought+their+action+in+Federal+Court+on+this+arguing+among+other+things+that+the+mark+was+not+

registrable+because+it+was+deceptively+misdescriptive+• They+attacked+it+on+2+grounds:+that+it+wasn’t+registrable+at+the+time+of+registration+(which+was+in+1971)+and+

alternatively+said,+it+is+not+distinctive+now+• For*both*of*these,*their*problem*was*that*they*had*to*say*the*Canadian*public*would*recognize*that*

Parma*indicates*meat*from*Parma*in*Italy,*they*are*saying*it*is*descriptive*–*so*it*indicates*the*meat*is*from*Parma*when*in*fact*it*is*from*Saskatchewan*

• So+it+is+misdescriptive+• The+judge+said+Canadians+aren’t+aware+that+Parma+is+a+place+in+Italy+–+the+Consorzio+couldn’t+come+up+with+

enough+evidence+to+the+contrary+• Also+by+this+time,+it+had+been+on+the+register+for+30+years+and+that+kind+of+raises+the+bar+if+you+want+to+

knock+a+mark+off+–+if+it+has+been+used+and+widened+for+30+years+• Once+again+Canadian+casualness+about+these+things+triumphs

• For+the+distinctiveness+issue:+here+is+where+they+had+some+hope+


88

• In+1971+people+wouldn’t+associate+Parma+with+a+place,+but+today+people+are+more+savvy,+so+they+would+not+regard+Parma+as+distinctive+of+a+ML+product+because+they+would+associate+Parma+with+the+real+Prosciutto+from+Parma+–+therefore+there+is+confusion+as+to+source

• Once+again,+ignorance+of+the+Canadian+consumer+comes+to+the+rescue+• Judge+says,+I’m+not+satisYied+that+even+now+the+public+is+aware+where+Parma+is+and+in+fact,+ML+brought+

evidence+that+even+in+Italy,+people+didn’t+know+where+Parma+was+• Same+problem:+when+people+see+the+ML+mark,+they+don’t+think+of+Prosciutto+from+Parma+and+say+well+I’m+

not+sure+which+I’m+eating+• In*the*Canadian*market,*Parma*designates*one*source,*Maple*Leaf,*and*there*is*no*confusion,*there*

is*no*loss*of*distinctiveness• You+can+only+upset+this+sort+of+a+mark+if+other+products+circulate+in+the+Canadian+market+where+people+see+

the+word+Parma+and+then+it+becomes+a+generic+description+rather+than+a+brand+• So+if+the+Consorzio+Yloods+the+Canadian+market+with+authentic+Italian+Prosciutto+which+says+made+in+

Parma,+the+city+of+Parma,+then+you+might+build+enough+awareness+int+he+public+that+Parma+is+connected+with+Prosciutto+from+Parma+and+not+just+Prosciutto+from+ML+and+you+might+undermine+the+trade+mark+but+this+is+hard+to+do+

Ontario%Assn.%of%Architects%v.%Assn.%of%Architectural%Technologists%of%Ontario%2002%FCA

• It’s*a*useful*discussion*of*who*is*a*public*authority*for*this*purpose*• It’s+also+got+a+useful+discussion+(because+it+highlights+some+of+the+oddities+of+the+ofYicial+marks+system)+

they+said+well,+who+can+challenge+the+giving+of+notice+by+the+registrar+• The+process+is:+

• Public+authority+says+to+the+registrar,+give+notice+• Registrar+has+no+discretion+at+all+• There+is+no+question+of+the+registrar+having+to+check+whether+its+registrable,+etc.+• There+is+no+registrability+requirements+

• So+the+registrar+just+gives+notice+on+it+

• What+happened+here+was:+they+gave+notice+and+the+Association+of+Architectural+Technologists+of+Ontario+(which+was+distinct+from+the+Ontario+Association+of+Architects)+

• This+arose+when+the+AATO+got+the+registrar+to+give+notice+of+ofYicial+marks+• The+OAA+said+well,+if+you+register+this,+then+we+can’t+use+these+terms+for+anything+to+do+with+our+

association+• The+legislation+governing+the+technologists+speciYically+allowed+architects+to+use+these+terms+• They+wanted+to+challenge+the+registrar’s+decision+to+give+notice+of+the+AARO’s+marks• Procedurally,+problem+was:+how+do+they+do+this?+Because+there+is+no+opposition+process+• Issue:+procedural+question+• Resolved+itself+because+the+FCA+says+well+you+can’t+go+under+the+appeal+provision+of+the+Act+which+says+you+

can+appeal+any+decision+of+the+registrar+to+the+federal+court,+because+only+parties+can+appeal+and+you’re+not+a+party,+you+have+an+interest+but+you+are+not+a+party+to+the+registrar’s+original+decision

• So+they+went+by+way+of+judicial+review+• But+in+the+course+of+explaining+all+that+,+they+give+a+useful+run+down+of+what+makes+ofYicial+marks+so+

different+from+regular+marks+and+the+process+is+very+different+–+it+is+a+one[step+thing+• So+they+Yigured+out+that+the+proper+avenue+was+judicial+review+so+they+are+reviewing+the+registrar’s+

decision+for+reasonableness+and+the+question+then+was,+because+the+basis+of+the+challenge+was,+this,+Tech+Assn+is+not+a+public+authority+(phrase+used+in+the+Act)+

• There+has+been+some+case+law+on+this+–+the+main+case+they+refer+to:+Canadian%Olympic%Assn%which+gave+notice+of+adopting+a+bunch+of+ofYicial+marks,+and+that+was+challenged+on+the+basis+that+they+were+not+a+public+authority+

• Public*authority*is*broader*than*just*government• In*the*olympic*case,*they*came*up*with*2*criteria*–*governmental*control*and*public*beneeit


89

• The+Olympic+Assn+won+on+the+basis+that+they+were+subject+to+appreciable+government+control+not+directly,+but+indirectly,+and+that+their+work+was+done+for+public+beneYit+because+they+were+promoting+sport,+etc.+

• So+there+was+enough+–+the+critical+thing+was+governmental+control+–+and+there+was+enough+governmental+input+into+the+affairs+of+the+Olympic+Association+so+that+they+were+a+public+authority+

• But*in*this*case,*the*Tech*Association,*the*Federal*TJ*said*they*are*public*authority*because*they*are*a*non*proeit*association*and*they*are*doing*things*for*public*beneeit*and+they+are+controlled+by+government+because+they+are+entirely+a+creature+of+statute+–+were+incorporated+by+private+act+

• That+last+bit+was+what+the+FCA+thought+was+wrong+–+said+just+the+fact+that+you’re+created+by+legislation,+doesn’t+mean+that+you’re+subject+to+government+control+

• So*they*were*willing*to*buy*the*public*beneeit*part*(assuring*quality*standards*for*architectural*technologists)*

• But*they*failed*at*the*hurdle*of*government*control*• So+they+quashed+the+decision+of+the+registrar+and+said+that+the+4+marks+could+not+be+ofYicial+marks+because+

the+Tech+Association+was+not+a+public+authority+• UNLIKE*the*Arch*Association*which*was*a*public*authority*because*it*was*much*more*subject*to*

government*control*and*exercised*regulatory*powers*over*the*profession*which*were*much*more*extensive*than*those*of*the*Tech*Association*

• A+lot+of+the+cases+involving+ofYicial+marks+is+a+Yight+between+2+public+bodies+–+like+this+one+and+the+other+one:+The%Royal%Roads%Case• A+university,+Royal+Roads+told+the+registrar+to+give+notice+of+their+slogan,+you$can$get$there$from$here+–+

that+would+not+be+a+registrable+trademark+usually,+slogans+are+not+trademarks+• But+anything+can+be+an+ofYicial+mark• Then+Canada+Savings+Bonds+people+complained+–+we’ve+been+using+this+slogan+to+sell+savings+bonds+–+

you$can$get$there$from$here$• So+RR+shouldn’t+do+this+–+we+were+there+Yirst+• The+court+said+well,+unfortunately,+the+act+doesn’t+allow+for+this+sort+of+opposition+• So+RR+had+the+wit+to+give+notice+of+its+adoption+of+this+ofYicial+mark,+and+you+never+did+–+too+bad+so+sad+• HOWEVER,+they+then+got+into+a+discussion+of+what+constitutes,+in+the+business+of+annual+sales+

campaigns+for+savings+bonds,+what+constitutes+the+business+–+because+the+prohibition+is+no+person+shall+adopt+in+connection+with+a+business+–+and+the+Canada+Savings+Bonds+people+had+been+using+the+slogan+for+each+successive+sales+campaign+for+savings+bonds+for+a+number+of+years+

• So+question+was:+could+they+keep+doing+this+for+future+sales+campaigns?+Or+was+each+annual+campaign+a+new+business?+

• Because+if+it+was+a+new+business+each+year,+s.+9+says+you+can’t+adopt+our+slogan,+the+one+that+we+have+on+the+books+as+an+ofYicial+mark+

• The+court+said,+selling+savings+bonds+is+kind+of+an+ongoing+thing,+it+may+be+annual+but+it’s+one+business+–+so+Canada+Savings+Bonds+can+go+on+using+the+slogan+as+long+as+they+keep+using+it+

• If+they+drop+it+though,+they’re+going+to+have+trouble+picking+it+up+again+

• The+other+case:+Maple%Leaf%Foods%2012*FC*416• The+Parma+Prosciutto+producers+that+we+saw+fail+to+knock+off+the+Parma+brand+that+ML+owned+because+

the+court+said+well+it+was+registrable+at+the+time,+it+was+not+in+any+way+descriptive+of+the+origin+of+the+meat,+people+didn’t+realize+it+was+a+place+–+it+was+still+descriptive+in+the+70s+anyway,+because+people+still+didn’t+realize+that+Parma+was+a+place+

• So+the+Consorzio+had+failed+to+knock+off+ML+as+invalid

• So+then+they+tried+to+adopt+it+as+an+ofYicial+mark+• They+gave+notice+to+the+registrar+of+trademarks+to+advertise+the+fact+that+the+Consorzio+had+adopted+

the+crown+thing+as+an+ofYicial+mark+and+the+word+Parma+• Their+aim+was+that+once+it+was+on+the+books+as+an+ofYicial+mark,+then+ML+could+not+adopt+it+for+any+new+

meat+products+–+because+it+would+contravene+s.+9+


90

• The+whole+problem+was:+is+this+Consorzio+a+public+authority+• The+registrar+gave+notice+as+if+it+were+• But+ML+got+judicial+review+of+the+matter+and+they+(this+year),+there+was+a+decision+in+the+Federal+Court+

that+said+• They+simply+said+it’s+not+even+clear+to+us+that+this+Consorzio+has+any+kind+of+public+status+in+Italy+but+it+

is+clear+in+the+evidence+that+a+public+authority+means+a+public+authority+that+is+Canadian,+not+a+foreign+public+authority+

• So+the+Parma+crown+was+knocked+off+as+an+ofYicial+mark+

Lake%Ontario%Cement%Ltd.%v.%Registrar%of%Trade%Marks%(F.C.T.D.%1976)

• It+is+premier+and+design+• It’s+the+word+Premier+and+the+design+which+has+a+large+letter+1P+in+a+parallelogram+–+what+is+registered+is+

this+whole+thing+• The+disclaimer:+the+right+to+the+exclusive+use+of+“Premier”+is+disclaimed+apart+from+the+trademark+• Because+otherwise,+Premier+is+descriptive+(it+means+good)+• The+other+position+taken+by+the+registrar:+it+was+not+registrable+because+it+was+misdescriptive+• Their+stuff+wasn’t+premier+• One+way+or+the+other+• The*decision*simply*said*it’s*okay,*you*can*disclaim*the*word*Premier*• They+said+they+would+be+worried+about+it+if+Premier+was+misdescriptive+because+they+don’t+think+you+can+

use+disclaimers+to+get+misdescriptive+stuff+into+a+trademark+–+so+they+weave+that+limitation+into+the+section+• But+Premier+–+nobody+would+be+misled+by+it• So+it’s+okay,+its+descriptive+but+it’s+been+disclaimed+and+what+remains• So+the+mark+as+a+whole+is+the+question+–+is+the+mark+as+a+whole+distinct+and+non[descriptive?+• And+the+answer+is+yes,+it+is+distinctive+because+people+will+recognize+the+design+and+so+they+get+the+

exclusive+use+of+that+composite,+trademark,+but+they+don’t+get+the+exclusive+use+of+the+word+Premier• So+the+register+distinguishes+between+word+marks+and+design+marks+for+that+reason+

• If+you+register+a+word+mark+successfully,+then+you+have+the+right+to+use+of+that+word+in+association+with+the+wares+or+services+

• If+you+register+a+design+mark,+then+you+have+a+monopoly+of+the+design+in+association+with+that+wares+and+services,+but+you+can+only+use+people+from+using+a+piece+of+that+design+if+it+would+be+confusing+with+the+design+and+so+if+it+wasn’t+for+the+disclaimer,+there+could+be+cases,+if+they+got+this+on+the+register+without+the+disclaimer,+the+owner+of+the+trademark+could+complain+about+other+people+who+labelled+their+concrete+products+Premier+because+they+could+argue+that+that+is+confusing+with+their+design+mark+

• So+that+is+the+point+of+the+disclaimer+–+it+prevents+them+from+complaining+about+anybody+using+the+word+Premier+in+connection+with+their+company+but+still+gives+them+a+trademark+in+connection+with+their+design+

• So*it*allows*you*to*get*stuff*on*the*register*which*is*distinctive,*so*long*as*it*is*distinctive,*so*it*allows*you*to*incorporate*words*into*the*brand*that*are*descriptive*–*and*you*can*just*disclaim*them*

• The+distinctiveness+of+the+brand+has+to+be+in+the+design+–+at+least+the+part+you’re+not+disclaiming+

• Case:+Canadian%Jewish%Review%Case%• Where+they+tried+to+register+the+trademark+of+the+title+of+the+review+and+that+was+said+to+be+clearly+

descriptive,+and+they+tried+to+disclaim+the+words+and+say+just+look+at+the+design+of+the+letters+• But+they+said+well+the+design+of+the+letters+is+just+writing+in+a+particular+script• This+is+a+case+where+the+disclaimer+didn’t+work+because+there+wasn’t+anything+left+over+after+the+

disclaimer,+because+the+allegedly+distinctive+appearance+was+really+just+a+particular+font+for+the+words+and+that+was+not+seen+as+distinctive+

• Another+example:+Bread%Garden


91

• Bread+Garden+is+on+the+register+for+use+in+association+with+wares+(restaurant,+bakery,+foods)+and+the+services+of+the+restaurant,+etc.+

• In+all+of+those+are+subject+to:+the+right+to+the+exclusive+use+of+the+word+bread+is+disclaimed,+apart+from+the+trademark,+in+association+with+restaurant,+food,+etc.+

• So+that+allowed+them+to+get+“Bread+Garden”+on+the+register+as+a+word+mark+because+the+phrase+as+a+whole+is+distinctive+although+the+word+bread+itself+was+itself+descriptive+

• But+the+word+“garden”+is+not+descriptive+–+that+word+alone+when+used+in+connection+with+bakeries+is+not+descriptive+

• If+someone+opens+up+a+place+called+Pastry+Garden,+you+can+complain+• What+about+Olive$Garden?+

• Re$“descriptiveness”+–+the+cases+go+pretty+far+to+say,+because+it’s+descriptive+of+the+quality+of+the+wares+or+services+

• The+distinctiveness+question+turns+on+the+impression+of+the+mark+as+a+whole+and+if+the+design+part+is+quite+modest,+but+the+words+are+the+big+thing,+then+they’re+going+to+say+well,+you+are+just+trying+to+get+a+monopoly+as+a+word+by+just+adding+a+design+here,+but+really+the+mark+works+because+it+is+a+word+

• Whereas+what+allowed+Lake+Ontario+Cement+to+succeed+is:+their+design+was+enough+of+the+visual+impression+of+the+mark+and+the+P+was+much+bigger+than+the+word+Premier,+so+they+weren’t+relying+on+the+word+to+give+it+the+distinctiveness+

• The+role+the+word+plays+in+the+design+is+critical+–+if+the+mark+is+dominated+by+the+word,+they’re+going+to+say+no,+there+really+isn’t+enough+design+to+make+it+distinctive+–+you+have+to+disregard+the+distinctiveness+of+the+word+to+see+if+the+mark+is+distinctive+

• Re$“font”+–+the+question+is+would+people+recognize+it+as+a+design+rather+than+a+font?

• It’s+the+overall+effect+of+the+mark+that+is+the+critical+factor+

• So+that’s+one+way+around+the+descriptive+prohibition

Mattel%Inc.%v.%3894207%Canada%Inc.%SCC%2006

• This+was+the+application+to+register+a+design+mark+for+Barbie’s+(it+got+on+the+register+as+a+result+of+this+decision)+

• Barbie+is+well+known+as+a+brand+run+by+Mattel+toys+• There+are+numerous+registrations+for+the+Barbie+brand+–+different+registrations+for+different+stuff:+Barbie+

lunch+bags,+Barbie+dolls,+Barbie+keychains,+etc.+–+every+time+Barbie+gets+new+accessories,+they+have+to+Yile+a+new+registration+for+association+with+new+wares

• Mattel+opposed+the+registration+of+this+brand+because+they+said+this+is+confusing+with+our+Barbie+brands+and+the+guts+of+their+argument+was:+our+brand+is+now+so+famous+that+it+transcends+categories+

• Because+look,+we+apply+it+to+all+this+stuff+–+anything+can+be+Barbie• It+is+true+that+we+haven’t+opened+a+restaurant+under+Barbie’s+but+people+would+still+assume+that+when+they+

see+Barbie+on+the+door+of+the+restaurant,+they+will+think+that+it+has+something+to+do+with+us+• One+of+their+arguments+was:+it+all+turned+on+the+deYinition+of+confusion+because+you’re+only+entitled+to+

object+to+a+trademark+if+it+is+confusing+with+yours+–+so+they+have+to+look+at+the+deYinition+of+confusing+(TMA+s.+6)

TMA%s.%6(1):%When%mark%or%name%confusing

For+the+purposes+of+this+Act,+a+trade[mark+or+trade[name+is+confusing+with+another+trade[mark+or+trade[name+if+the+use+of+the+Yirst+mentioned+trade[mark+or+trade[name+would+cause+confusion+with+the+last+mentioned+trade[mark+or+trade[name+in+the+manner+and+circumstances+described+in+this+section.


92

TMA%s.%6(2):%Idem

The+use+of+a+trade[mark+causes+confusion+with+another+trade[mark+if+the+use+of+both+trade[marks+in+the+same+area*[this*test*is*hypothetical*confusion]*would+be+likely+to+lead+to+the+inference+that+the+wares+or+services+associated+with+those+trade[marks+are+manufactured,+sold,+leased,+hired+or+performed+by+the+same+person,+whether+or+not+the+wares+or+services+are+of+the+same+general+class.

• This+last+bit+was+a+main+stay+of+Mattel’s+argument+–+the+intent+of+the+legislation+is+to+give+(the+policy+of+that+amendment)+to+allow+better+protection+to+famous+marks+–+the+court+accepts+that+that+was+true+–+the+idea+was+that+some+marks+are+so+well+known+that+people+will+assume+that+even+though+the+wares+for+which+somebody+is+applying+are+quite+a+different+type+from+the+wares+that+have+until+now+been+sold+under+that+mark,+the+mark+is+so+well+known+that+people+will+assume+it+is+associated+with+that+well[known+brand+

• So*the*more*famous*a*mark,*and*the*more*varied*the*stuff*to*which*the*mark*has*been*applied,*the*better*your*position*is*in*arguing:*when*people*see*a*new*product*with*this*mark*on*it,*they’re*going*to*assume*it*has*something*to*do*with*us*

• Their+argument+was:+Barbie+is+so+well+established,+it+is+such+a+household+word+that+even+though+it+is+not+known+for+restaurants+at+this+point,+still+people+would+assume+that+a+restaurant+might+be+connected+with+Barbie+

• The*test*is*“likely*to*lead*to*the*inference”*–*and*the*court*says,*that*doesn’t*mean*that*everybody*is*going*to*infer*that*they*come*from*the*same*source,*but*an*appreciable*number*of*the*public*is*going*to*infer*this*and*it*has*to*be*likely*

• It+has+to+be+likely+that+some+people+are+going+to+be+mixed+

• This+is+an+application+by+the+Barbie’s+restaurant+to+get+on+the+register,+and+Mattel+is+the+opponent,+so+the+onus+is+on+the+applicant+to+negate+confusion+–+they+have+to+prove+their+mark+is+not+confusing+with+the+Barbie+brand+

• When+they+start+out+on+this+case,+the+SCC+gives+it+a+policy+and+says+well,+what+makes+trademarks+different+from+patents+and+copyright+is+that+they+don’t+protect+anything+that+is+valuable+to+society,+like+creation+and+innovation,+they+just+protect+the+commercial+interest+–+it’s+true+there+is+a+public+interest+(confusion+in+the+marketplace)+but+they+say,+(para+22)+“Fairness+requires+consideration+of+the+interest+of+the+public+and+of+the+merchants,+and+the+beneYits+of+open+competition+as+well+as+the+interest+of+the+trademark+owner+in+protecting+its+investment+in+the+mark.+Care+must+be+taken+not+to+create+a+zone+of+exclusivity+and+protection+that+overshoots+the+purpose+of+trademark+law.”+

• So+they’re+getting+set+here+to+say,+we+love+famous+brands+but+we’re+not+going+to+over[protect+them+–+we’re+only+going+to+protect+them+as+far+as+there+really+is+a+reason+for+confusion+

• Mattel’s+problem+in+this+case+was+that+the+registrar+had+founded+and+nobody+had+dispelled+this,+that+people+simply+wouldn’t+assume,+they+were+satisYied+that+people+simply+would+not+assume+that+the+Barbie’s+restaurant+had+anything+to+do+with+Barbie+dolls+–+because+they+were+too+different+

• And+that+phrase,+“whether+or+not+the+wares+or+services”+are+of+the+same+general+class+–+the+SCC+said+that+phrase+is+true,+it+makes+it+clear+that+there+CAN+be+confusion+even+though+they’re+totally+different+classes+of+wares,+but+it+doesn’t+mean+that+you+don’t+check+whether+there+is+confusion+–+there+CAN+be,+but+IS+there?+

• Mattel’s+opposition+involved+saying:+when+the+public+sees+Barbie’s+restaurant,+they+think+Barbie+doll+and+they+think+the+restaurant+is+commercially+connected+to+Barbie+doll+

• And+the+facts+did+not+support+that+

• Mattel+put+in+survey+evidence+but+the+survey+is+rejected+because+it+was+rather+unimpressive+–+they+just+phoned+people+to+ask:+if+a+restaurant+is+called+Barbie’s,+might+it+have+something+to+do+with+the+Barbie+doll+–+they+said+that+is+too+vague,+and+everybody+would+say+yes+


93

• Barbie’s+fame+is+concentrated+in+this+domain+of+dolls+–+and+that+may+make+it+difYicult+to+extend+to+other+wares+

• Notice+what+the+court+does:+they+very+elaborately+apply+all+of+the+factors+which+are+in+s.+6(5)+

TMA%s.%6(5)%What%to%Consider

In*determining*whether*tradehmarks*or*tradehnames*are*confusing,*the*court*or*the*Registrar,*as*the*case*may*be,*shall*have*regard*to*all*the*surrounding*circumstances*including

(a) the*inherent*distinctiveness*of*the*tradehmarks*or*tradehnames*and*the*extent*to*which*they*have*become*known;

(b) the*length*of*time*the*tradehmarks*or*tradehnames*have*been*in*use;(c) the*nature*of*the*wares,*services*or*business;(d) the*nature*of*the*trade;*and(e) the*degree*of*resemblance*between*the*tradehmarks*or*tradehnames*in*appearance*or*sound*or*in*

the*ideas*suggested*by*them.

• Are+they+inherently+distinctive?+–+SCC+says+Barbie+is+a+girl’s+name,+it+is+not+inherently+distinctive+• The+extent+to+which+they+have+become+known:+yeah,+Barbie+dolls+are+very+well+known,+Barbie’s+restaurants+

have+a+local+reputation+in+Montreal+because+they+had+been+running+there+for+a+while• Length+of+time+–+Barbie+dolls+had+the+edge+there+• The+nature+of+the+wares+–+if+they+are+totally+different,+people+would+not+normally+assume+those+businesses+

would+be+connected+• The+nature+of+the+trade+–+wholesale+vs.+retail+• Degree+of+resemblance+–

• Of*these*factors,*the*nature*of*the*wares,*that’s*where*Barbie*doll*failed*because*dolls*are*different*from*restaurants*

• Also:*one*was*wares,*the*other*was*services*• And*the*marks*did*not*resemble*each*other*because*Barbie*restaurants*had*applied*to*register*the*

DESIGN*rather*than*the*word*Barbie*–*had*they*applied*only*to*register*the*word*mark*Barbie’s*in*connection*with*the*restaurant,*they*might*have*had*a*tougher*time*

• All+of+this+is+designed+to+assess+the+likelihood+that+people+will+assume+that+the+new+mark+is+going+to+be+confusing+with+the+old+one

• Mattel+said:+we+think+these+restaurant+people+really+set+out+to+capitalize+on+our+fame+–+they+called+their+restaurant+Barbie’s+because+they+somehow+wanted+to+create+an+association+in+the+public+mind+with+Barbie+dolls+–+and+they+actually+had+some+reason+to+suppose+that+might+be+so+because+the+restaurant+had+previously+applied+to+register+a+different+design+–+a+young+lady+with+a+B+–+there+is+a+bit+more+of+a+doll[like+suggestion+to+this+one+–+but+they+withdrew+that+

• So+Mattel+said+there+is+evidence+here+that+they+really+do+intend+to+make+the+suggestion+in+the+public+mind+

• SCC+said+this+is+not+about+intention+–+this+is+about+effect+• And+it+may+be+that+Barbie+restaurants+intended+people+to+think+about+the+doll+but+the+fact+is+that+on+the+

evidence,+it+doesn’t+make+people+think+about+the+doll,+not+in+the+sense+that+there+is+any+commercial+connection+

• So+even+if+you+mean+to+piggyback+on+the+goodwill+of+a+famous+brand,+you+can+get+away+with+it+as+long+as+you+don’t+actually+create+confusion+

• OR+you+could+also+fall+foul+of+s.+22+which+says+you+are+depreciating+the+value+of+the+goodwill+attached+to+the+brand+


94

• You+can+use+a+famous+name+as+long+as+it+does+not+create+confusion,+you+can+get+away+with+it+

• Two*other*things*about*this*case:*• 1–*what*is*the*standard*of*confusion• 2–*what*about*this*argument*that,*how*much*weight*is*there*to*be*given*to*the*fact*that*the*

nature*of*the*wares*is*different*when*you’re*dealing*with*really*famous*marks*

• On+the+Yirst+issue,+what’s+the+standard+that+the+court+applies+–+they+apply+the+casual+consumer+somewhat+in+a+hurry+test+(didn’t+play+a+particularly+big+role+int+his+case,+but+is+a+conYirmation+of+the+test)+–+(para+57)+–+we’re+not+looking+at+the+careful+and+diligent+purchaser+although+on+the+other+hand+we+are+not+looking+for+a+moron+in+a+hurry+

• Having+said+all+that,+he+agrees+that+in+assessing+the+likelihood+of+confusion,+we+are+looking+at+the+average+consumer,+giving+them+a+certain+amount+of+credit+

• The+standard+is+a+middle[ground+–+a+consumer+who+is+not+totally+whacked+out+but+not+a+consumer+who+is+super+diligent+

• It+also+depends+on+what+you+are+buying+–+you+pay+much+more+attention+to+the+niceties+when+we+are+looking+at+expensive+products+rather+than+more+generic+items+like+food+in+a+restaurant+–+so+that+factors+into+it+too+

• The+other+thing:+para+59+–+about+the+Pink%Panther%case%–+FCA+said+they+could+call+a+line+of+duty+products+as+Pink+Panther+and+Universal+Pictures+said+you’re+ripping+off+the+reputation+of+the+Pink+Panther+movies+

• Some+of+the+expressions+that+TJ+used+in+that+case,+which+said+it+is+almost+impossible+for+a+brand+no+matter+how+famous+to+get+over+the+difference+between+movies+and+beauty+products+in+that+case+–+SCC+doesn’t+buy+all+of+it+–+says+some+of+it+is+obiter+dicta+–+it+IS+possible+for+a+brand+to+be+over+the+difference+between+wares+and+so+on+–+so+it+is+not+quite+as+difYicult+as+some+of+the+expressions+in+the+PP+case+suggest+but+it+does+require+evidence+

• In+this+case+the+evidence+was+lacking

McDonald’s%%Corp.%v.%Coffee%Hut%Stores%Ltd.%FCTD%1994

Facts

• McDonalds+has+a+whole+family+of+Mc+products.• McDonalds+opposed+the+registration+of+McBeans.+• Their+argument:+if+you+have+a+whole+bunch+of+them,+any+new+“Mc”+mark+will+be+assumed+to+have+

something+to+do+with+your+family+of+marks.+• The+registrar+bought+their+argument,+but+only+for+actual+sales+of+coffee+and+tea.+

Held

• Coffee+Hut+wins

Reasoning

• In+the+appeal+the+federal+court+disagreed• Did+McBeans+meet+the+standard+of+confusion+with+McDonalds+and+McDonalds+brands?+

• Look+at+the+trademarks+act+and+look+at+the+factors• “Mc”+name+is+not+particularly+distinctive• Extent+that+they+became+known:+McDonalds+is+well+known.+McBeans+not+as+well+known• They+both+had+been+in+the+market+for+a+while+without+confusion• Nature+of+the+wares+and+services:+McDonalds+not+known+particularly+for+coffee+and+tea,+just+

burgers,+so+not+that+strong• The+degree+of+resemblance+not+that+strong• Court:+“On+the+facts+here+we+don’t+think+there+is+confusion”


95

• Blom:*You*can*make*an*argument*that*they*are*focussing*too*much*on*how*the*brands*are*actually*being*used*and*not*on*how*they*could*be*used*• Once*it*got*on*the*register,*Coffee*Hut*stores*have*a*right*to*use*McBeans*for*any*and*all*wares*

or*services*that*are*listed*–*that’s*what*registration*is*• So*there*is*nothing*stopping*Coffee*Hut*stores*from*using*McBeans*for*a*coffee*and*tea*place*

like*Starbucks*–*which*would*get*them*closer*to*McDonald’s• What*the*bean*stores*look*like*is*not*so*relevant*to*the*registrability*of*the*mark*because*you*

have*to*look*at*what*the*mark*would*allow*them*to*do,*not*just*what*they*are*doing*so*far*

• But+also:+McDonald’s+was+not+the+only+“Mc”+brand+around• McDonalds+did+have+a+family+of+marks+but+there+were+also+other+marks+that+use+“Mc”+

• You+have+to+look+at+registrability+at+the+time+of+the+application+to+register• There+was+an+argument+that+McBeans+was+not+distinctive+but+the+court+said+it+WAS+distinctive+

because+it+was+not+confusing+with+McDonalds

• So+even+a+powerful+brand+like+McDonalds+–+the+ambit+of+protection+is+still+limited+by+the+concept+of+confusion+

• If+the+consumer+can+discriminate+(i.e.+when+they+see+McBeans,+they+don’t+automatically+think+McDonald’s+is+connected)+–+that+is+enough+to+say+there+is+no+confusion

Dominion%Lock%Co.%v.%Schlage%Lock%Co.%(Regr.%T.M.%1961)%

Facts

• Schlage+lock+company+wanted+to+register+the+shape+of+a+key+as+a+distinguishing+guise• Dominion+Lock+Co+(a+coalition+of+manufacturers+of+key+blanks)+opposed:+

1. The+Schlage+key+is+not+distinctive+because+we+make+key+blanks+that+have+the+same+shape+2. If+you+give+Schlage+the+exclusive+use+of+that+shape,+then+you+are+inhibiting+the+key+blank+business+

because+we+then+won’t+be+able+to+make+keys+with+that+kind+of+top+

Reasoning*

• The+shape+not+distinctive+of+Schalge,+and+it+would+unreasonably+limit+the+key+blank+and+key+replacement+industry+because+it+would+put+a+stop+to+a+practice+that+was+already+very+well+established

• It+was+too+late+for+Schlage+to+say+we+want+exclusive+rights+to+this+key+type+

• Blom:+Anytime+an+industry+has+an+established+pattern+with+certain+colours+or+shapes,+that+sort+of+thing+would+be+caught+by+it

Philip%Morris%Inc.%v.%Imperial%Tobacco%No%1%1987%FCA

Facts

• Very+unusual+case+but+illustrates+what+distinctiveness+is+about+• This+case+is+about+the+Marlboro+wars

• Philip+Morris+owns+the+Marlboro+brand+and+has+marketed+it+over+many+years+in+a+variety+of+packages+(basically+the+same,+but+colours+changed)+

• The+original+package+used+an+old[fashioned+19th+century+looking+label+–+• Philip+Morris+was+the+name+of+the+original+English+company,+and+at+some+point+became+an+American+

company• At+some+point,+the+right+to+the+Marlboro+brand+in+Canada+passed+to+a+company+called+Tucket+who+seemed+

to+be+some+kind+of+agent+or+licensee+of+Philip+Morris+but+became+the+owner+of+the+trademark+in+Canada+–+but+somehow+all+documentation+of+this+disappeared


96

• Tucket+(which+was+later+bought+up+and+is+now+held+by+Imperial+Tobacco)+was+on+the+register+as+the+owner+of+the+trademark+in+Canada+

• Until+1970,+Imperial+Tobacco+used+this+original+package+(which+was+used+by+Philip+Morris+as+well)+–+it+was+used+in+Canada+much+longer+than+in+the+US+• In+the+US,+after+1955,+they+started+using+the+rooftop+package+• But+Imperial+Tobacco+kept+using+the+old[fashioned+package+until+1970+

• In+1970+they+started+using+a+different+package+• What+seems+to+have+happened+is+that+Marlboro+US+(Philip+Morris)+developed+the+Marlboro+man+(that+sexy+

rugged+man+pufYing+on+a+cigarette)+• This+was+so+successful+that+Marlboro+became+the+best[selling+cigarette+brand+in+the+world+

• Imperial+Tobacco+was+not+part+of+this+–+their+aim+was+to+sell+their+own+cigarettes+and+stop+Marlboros+from+coming+into+the+country• How+did+they+do+this?+• They+own+the+right+to+the+Marlboro+brand+in+Canada+so+they+kept+using+the+Marlboro+brand,+but+only+

modestly+• They+designed+their+Yirst+package+with+mountains,+etc.+–+kind+of+reminiscent+of+the+Marlboro+man’s+

homeland+–+so+there+was+a+hint,+but+no+real+connection+between+the+two+• Philip+Morris+gets+annoyed+and+manages+to+get+into+the+duty+free+stores+in+the+Canadian+airports+(for+

those+leaving+the+country)+–+and+the+sales+in+the+duty+free+stores+were+much+higher+than+actual+Canadian+Marlboro+cigarettes+in+Canada+

• Philip*Morris*einally*had*enough*–*they*brought*an*action*to*have*the*Marlboro*registration*expunged*on*the*ground*that*it*had*lost*distinctiveness*• Why*is*it*no*longer*distinctive?*• Because*American*Marlboros*are*so*wellhknown*to*every*Canadian*smoker*that*in*the*

marketplace,*American*Marlboros*are*much*more*famous*than*Canadian*Marlboros,*so*how*can*you*say*Canadian*Marlboros*are*so*distinctiveness*of*Imperial*Tobacco?*

Reasoning

• So:+has+it+ceased+to+be+distinctive?+• In+one+sense,+yes• But+in+another+sense,+the+problem+that+Philip+Morris+had:+when+the+consumer+sees+Marlboro+in+

magazines,+etc.,+it+is+the+American+brand+–+it+is+all+spillover+advertising+from+the+US+–+does+that+deprive+the+Canadian+brand+of+its+distinctiveness?

• FCA+says:+in+the+Canadian+market,+there+is+only+one+Marlboro+on+sale+and+that+is+the+Canadian+Marlboro+–+there+is+no+confusion+because+within+the+Canadian+market,+Marlboro+means+only+one+thing+–+it+means+the+Canadian+Marlboro+cigarettes+–+the+only+one+you+can+get+• Duty[free+stores+are+an+isolated+environment+–+basically,+they+don’t+count+• There+is+only+one+brand+that+is+in+circulation+in+the+Canadian+market+• So+you+can’t+say+that+it+has+lost+its+distinctiveness+in+the+Canadian+market+because+IT+IS+THE+ONLY+ONE+

IN+THE+CANADIAN+MARKET

• We+can’t+allow+the+registrant+of+a+brand+to+have+the+brand+invalidated+just+because…+• Note:$Every+time+Philip+Morris+wanted+to+come+into+the+Canadian+market,+Imperial+Tobacco+was+there+

saying+“No+way+Jose”• SO:+Imperial+Tobacco+has+been+on+the+register+for+many+years+AND+they+have+carefully+maintained+the+

brand++• Therefore,+how+can+a+registrant+who+is+VALIDLY+exercising+the+monopoly+rights+given+to+it+by+the+

registration+–+how+can+they+be+undermined+by+spillover+advertising+from+the+US?


97

• Whatever+the+public+perception+is+about+the+relative+fame+of+Canadian+vs+American+Marlboros+is+irrelevant+

• The+question+is:+is+the+brand+distinctive+of+the+Canadian+product+in+the+Canadian+market?+That+answer+is+yes,+because+it+is+THE+ONLY+brand+in+the+Canadian+market

• Other+cases+where+there+was+a+loss+of+distinctiveness:+

Masterpiece%Inc.%v.%Alavida%Lifestyles%Inc.%2011%SCC

Facts

• This+was+a+contest+between+growing+industry+of+retirement+homes+• There+were+2+outYits+that+had+the+brainwave+to+call+what+they+were+offering+Masterpiece+

• Masterpiece:+The+Art+of+Living+–+in+the+case+of+one+of+them+• Masterpiece+Living+–+in+the+other+

• They+were+in+different+parts+of+the+country+and+didn’t+know+about+each+other+• There+was+an+Alberta+outYit+Masterpiece+Inc.+that+was+using+Masterpiece+Living+but+had+not+registered+it+• They+had+been+using+this+for+some+years,+from+about+2001,+before+Alavida+(an+Ontario+company)+applied+to+

register+Masterpiece+Living+as+a+trademark+based+on+proposed+use+(so+it+was+a+proposed+trademark)+• In+2005+they+get+on+the+register+–+the+registrar+advertised+it,+no+one+opposed+it,+so+it+was+registered+

• Later+on+the+Alberta+company+learns+that+they+had+got+on+the+register+and+challenges+the+registration+–++brings+an+application+to+have+the+registration+expunged+on+the+ground+that+it+should+have+not+been+registered+because+as+of+the+date+that+they+applied+for+registration,+it+was+confusing+with+THEIR+brand,+which+was+already+on+the+market+in+Alberta

• i.e.+Alavaida+was+not+the+person+entitled+to+register+the+brand+

• The+question+was:+As+of+2005,+is+it+correct+to+say+that+Masterpiece+Living+was+confusing+with+Masterpiece+Inc.’s+Alberta[based+brand+

• This+case+raises+this+geographical+feature+–+Canada+is+considered+one+market+and+here+you+have+a+company+in+Ontario+and+a+company+in+Alberta+and+they+both+want+to+use+the+same+brand+–+how+do+you+settle+this,+given+that+the+prize+for+registration+is+a+nation[wide+monopoly?

SO:+• The+problem+is+that+the+Ontario+company+got+Masterpiece+Living+registered+and+the+Alberta+company+

which+had+the+trade+name+Masterpiece+Inc.+and+also+used+various+unregsitered+marks+which+included+Masterpiece:+The+Art+of+Living+

• It+missed+the+chance+to+oppose,+so+it+is+now+coming+after+the+Ontario+company+to+kick+it+off+the+register+• The+onus+is+on+them+to+now+show+that+it+is+confusing+AND+that+it+was+showing+this+mark+before+the+Ontario+

company+applied+to+register+(because+the+Ontario+company+had+not+actually+used+the+name,+it+was+a+proposed+trademark+–+s.+16(3)+says+the+opponent+wins+if+the+opponent+was+using+its+mark+before+the+application+was+made+for+the+proposed+mark)+• This+makes+sense,+because+if+you+apply+to+register+a+PROPOSED+mark,+you+should+get+priority+over+

anyone+who+comes+into+the+market+AFTER+you,+but+you+should+not+get+priority+over+someone+who+was+ALREADY+in+the+market+at+that+time+

• TJ*said:*I+don’t+think+there+is+confusion+here+because+really+they+look+pretty+different,+the+way+they+are+using+these+marks+and+anyway,+they+are+in+different+parts+of+the+country+• This+is+obviously+wrong+because+of+the+test+for+confusion+(s.+6(2))+• And+from+the+point+of+view+of+policy:+the+whole+concept+of+the+Act+is+it+is+for+the+national+market+• The+test+for+confusion+in+s.+6(2)+is:+if+the+use+of+the+trademarks+in+the+same+area+WOULD+be+likely+to+

lead+to+the+inference+that+the+wares+or+services+are+manufactured,+sold,+etc.+by+the+same+person,+


98

• It’s+a+hypothetical+confusion+test+–+so+you+can’t+discount+the+confusion+because+they+are+not+being+used+in+the+same+part+of+the+country+–+you+have+to+ask:+IF+they+were+being+used+in+the+same+part+of+the+country,+would+the+people+likely+infer+that+the+wares+or+services+associated+with+that+mark+are+by+the+same+person+

• Not+everyone+has+to+be+confused,+but+a+substantial+number+have+to+be+confused+(same+test+as+passing+off)+–+substantial+confusion+exists+if+a+substantial+number+of+people+in+the+market+are+likely+to+be+or+are+actually+shown+to+be+confused+about+the+source+of+the+wares/services+

Court*goes*through*a*canvas*of*issues*in*the*trademark*act:*

• Standard*of*confusion*–+this+is+a+test+we+already+know+from+the+Barbie+case+• It+is+the+casual+consumer+somewhat+in+a+hurry+• The+arguments+that+impress+the+lower+courts+but+didn’t+impress+SCC:+people+who+are+deciding+

whether+to+move+their+parent+into+a+retirement+home+really+think+about+it,+so+they+are+not+casual+consumers+in+a+hurry+–+they+are+deliberative+consumers+so+they+are+more+capable+of+distinguishing+the+marks+carefully+than+

• The+SCC+says:+it’s+wrong+to+ask+whether+they+would+sort+things+out+• The+test+here+is+not+whether,+after+encountering+the+marks,+confusion+would+be+dispelled+or+that+

they+could+work+it+out+• It+is+a+test+that+you+apply+when+they+Yirst+encounter+the+marks+• “It+is+confusion+when+they+ENCOUNTER+the+marks+that+is+relevant.+Careful+research+which+may+

later+remedy+the+confusion+does+not+mean+that+no+confusion+ever+existed+or+that+it+will+not+continue+to+exist+in+the+mind+of+consumers+who+did+not+carry+out+that+research.”

• They+are+saying:+the+confusion+exists+if,+when+you+Yirst+see+the+brand,+you+are+not+sure+whether+there+is+a+connection+or+not+–+and+you+can’t+get+over+that+by+saying,+well+in+due+course,+people+would+be+able+to+sort+it+out+

• Policy:+the+purpose+of+the+brand+is+to+get+your+attention+and+get+you+thinking+about+buying+and+once+you’re+on+the+track+of+thinking+about+buying+from+that+person,+the+damage+is+done,+in+a+way+

• The+point+of+brands+is+to+draw+you+in+–+and+the+fact+that+once+you’re+drawn+in,+you+get+a+clearer+picture,+that+doesn’t+quite+overcome+the+damage/loss+that+has+been+caused+by+the+confusion+from+the+point+of+view+of+the+person+who+would$have$gotten$your+business+IF+you+weren’t+confused

• The+actual+issue:+whether*there*was*actually*confusion?• Another+criticism+SCC+has+of+the+lower+courts:+the+lower+courts+treated+all+of+Masterpiece+Inc.’s+marks+

as+if+they+were+one+mark+and+asked+is+the+confusion+with+those$marks+• SCC+said+that+is+not+adequate,+you+have+to+look+at+each+of+them+separately+because+Masterpiece+

(Alberta)+is+entitled+to+get+the+Ontario+company+off+the+register+if+there+is+confusion+with+ANY+ONE+of+its+marks+–+so+if+you+look+at+the+marks+globally,+you+may+overlook+the+fact+that+there+is+confusion+with+one+of+the+marks+

• So+they+say:+what+you+do+is+you+take+the+mark+that+is+the+most+similar+to+the+Masterpiece+Living+(which+they+say+is+Masterpiece:+The+Art+of+Living)+–+and+you+apply+the+confusion+test+in+s.+6+to+Masterpiece+Living+(the+one+that+actually+got+on+the+register)+and+Masterpiece:+The+Art+of+Living+

• Conclude+that+people+would+be+confused+because+they+are+very+similar+services+being+used+• Going+through+the+criteria+in+s.+6(5):+

• The+inherent+distinctiveness+of+the+marks+–+neither+is+particularly+distinctive+• Length+of+time+–+one+was+there+for+a+few+years+before+the+other+one+applied+to+register+• Nature+of+the+wares+or+services+–+identical+practically• Nature+of+the+trade+–+same+thing• Degree+of+resemblance+–+fair+degree+of+resemblance:+“Masterpiece”+and+“Living”+features+in+both+

of+them+


99

• So+on+the+straight+confusion+test,+it+was+pretty+much+a+slam+dunk+once+you+focused+on+IF+they+were+used+in+the+same+area,+would+there+be+confusion+that+they+were+connected?

• SCC+says:+the+lower+courts+got+distracted+by+focusing+too+much+on+the+way+in+which+the+different+parties+ACTUALLY+USED+the+marks+• They+said+Alberta+company+was+using+it+as+one+of+a+number+of+marks+whereas+the+registered+

trademark,+Masterpiece+Living,+is+used+alongside+Alaveida+–+so+they+said+the+way+they+are+using+them,+they+don’t+look+that+much+alike+

• On+this+issue:+they+say+you+can’t+take+that+line+–+the+question+is+not+what+they+are+ACTUALLY+doing+with+the+mark+but+what+they+are+ENTITLED+to+do+with+it+once+it+is+on+the+register+–+they+can+use+it+any+way+they+want+

• They+can+use+it+in+any+font,+they+can+use+it+in+huge+letters,+etc.+• You+can’t+get+over+the+confusion+problem+by+saying+that+they+are+not+actually+using+it+in+a+confusing+

way+• The+question+is+COULD+they+use+it+in+a+confusing+way?+Because+once+it+is+on+the+register,+they+have+a+

right+to+use+it+however+they+want+(note:+it+is+a+word+mark,+it+is+not+a+design+mark)+• So+the+test+has+to+be+based+upon+the+most+confusing+use+they+MIGHT+make+

• Blom’s$comment$re$McDonalds:+that+they+focused+too+much+on+how+the+mark+was+being+used+as+opposed+to+how+it+could+be+used+(although+the+outcome+of+that+case+was+Yine+regardless)+

• The+point:+you+have+to+pay+attention+to+the+legal+rights+that+the+registration+of+the+mark+would+give+that+person+–+if+it+is+used+to+the+full+extent+of+the+legal+marks,+would+you+get+confusion+with+the+unregistered+marks+that+are+out+there+–+the+answer+here+was:+Yes+

• Another+feature:+this+conYlict+came+to+light+because+Alberta+company+applied+to+register+a+bunch+of+their+marks+and+the+registrar+turned+them+down+because+their+marks+were+confusing+with+Alaveida’s+mark+• So+the+registrar+took+the+view+that+they+WERE+confused+because+that+is+on+the+basis+which+they+denied+

the+application+• So+the+SCC+says:+how+could+the+FC+decide+there+is+no+confusion+when+the+registrar+has+just+denied+

registration+to+the+Alberta+company+on+the+grounds+that+there+IS+confusion?+

• All+they+are+saying+is:+Masterpiece+Living,+the+registration+in+favour+of+Alaveida+is+now+off+the+register+–+it+is+expunged+from+the+register+

• The+don’t+register+Masterpiece+Inc’s+marks+because+that+is+not+their+function+–+that+has+to+go+through+the+registrar+

• All+this+litigation+accomplished+was+clear+the+decks+so+that+the+Alberta+company+could+register+their+marks+• And+then+the+registrar+has+to+go+through+the+usual+process+

• If+there+is+no+registration,+both+companies+are+free+to+use+the+confusing+marks+because+they+are+in+different+parts+of+the+country+–+because+for+passing+off,+they+have+to+be+in+the+same+area+• This+is+a+big+difference+between+passing+off+and+registered+trademark:+a+registered+trademark+gives+

you+a+national+monopoly+whereas+passing+off+just+gives+you+a+monopoly+where+your+mark+is+actually+used+

LICENSING*AND*TRANSFER

Eli%Lilly%&%Co.%v.%Novopharm%Ltd.%(F.C.A.%2001)

• Gives+a+good+historical+rundown+of+the+problem• This+was+a+passing+off+case+• The+allegation+was+that+they+were+passing+of+Prozac+because+the+brand+name+Prozac+had+a+speciYic+size/

shape+and+the+generic+manufacturer’s+pills+were+the+same+size/shape+• The+decision+was+that+there+was+no+distinctiveness+in+the+size/shape+of+the+pills+


100

• BUT+in+one+part+of+the+decision,+they+get+into+the+question:+the+generic+manufacturer+raised+the+argument+that+the+American+trademark+owner+(who+said+you+are+passing+off+your+pills+as+ours)+–+their+pills+were+distributed+in+Canada+by+Eli+Lilly+Canada+and+the+argument+was:+therefore+Eli+Lilly+US+can’t+say+that+the+goodwill+belongs+to+THEM+(because+passing+off+requires+goodwill+in+the+plaintiff)+

• They+said+goodwill+belongs+to+Eli+Lilly+Canada+because+they+are+the+ones+on+the+market+

• The+court+uses+s.+50+of+the+TMA+to+deal+with+that+aspect+• They+said+as+long+as+Eli+Lilly+US+retains+direct+or+indirect+control+over+the+use+of+the+alleged+marks+(the+

size/shape)+of+the+pills+by+the+Canadian+entity,+then+s.+50+says+it+is+deemed+to+be+used+by+the+US+• So+that+was+not+a+problem+

• So+s.+50+gets+you+over+the+problem+of+who+is+actually+using+the+trademark+and+gets+you+over+the+risk+that+if+some+local+distributor+is+using+the+trademark+in+Canada,+you+can+have+two+or+more+companies+using+the+mark+in+Canada,+that+would+threaten+the+distinctiveness+of+the+mark+

INFRINGEMENT

Philip%Morris%Products%S.A.%v.%Marlboro%Canada%Ltd.%2012%FCA

• Philip+Morris+wanted+to+get+their+cigarettes+onto+the+Canadian+market+but+they+can’t+do+it+under+the+Marlboro+brand+

• So+they+tried+for+a+number+of+years+to+market+the+cigarettes+with+a+Marlboro[like+package+but+a+different+brand,+Matador+–+this+was+unsuccessful

+• Their+latest+gambit+(this+case)+was+to+register+the+rooftop+design+of+the+package+in+Canada+• In+2006,+they+started+using+the+rooftop+design+without+the+word+Marlboro+–+without+any+brand+name+• The+difYiculty:+you+can’t+just+grab+cigarettes+off+the+shelf,+you+have+to+ask+for+it+–+so+what+do+you+ask+for?+• Most+people+just+asked+for+“Marlboros”+

• Philip+Morris+brought+this+proceeding+to+get+a+declaration+from+the+FC+that+the+sale+of+these+no+name+cigarettes+were+not+infringing+the+Canadian+Marlboro+mark+

• Imperial+Tobacco+counterclaimed:+our+trademark+is+being+infringed+

• Trial+Judge+asked+how+do+these+packages+infringe+the+Marlboro+mark?• Under+s.+20,+the+would+only+infringe+if+these+packages+were+confusing+with+the+Marlboro+brand+–+but+

they’re+not+using+the+word+Marlboro+• And+they+are+on+the+register+for+that+design+(this+helps)+• Is+a+consumer+likely+to+be+misled+into+thinking+that+the+Marlboro+cigarettes+that+are+on+the+market+

come+from+the+same+source+as+the+rooftop+cigarettes?+• Trial+judge+said+No+–+and+he+relied+on+the+peculiar+way+that+you+buy+cigarettes+–+you+have+to+ask+for+

them+so+how+can+there+be+confusion+because+you+have+to+explain+to+the+sales+person+what+you+want+and+everyone+knows+the+difference+between+Canadian+and+US+Marlboros+

• FCA+reversed+and+said+they+ARE+infringing+• The+TJ+relied+on+a+bunch+of+stuff+that+he+shouldn’t+rely+on+to+say+there+was+not+confusion+• This+again+goes+to+the+issue+of+looking+at+the+actual+use+of+the+mark+versus+looking+at+the+extent+of+

rights+that+the+registered+owner+has+

• TJ+had+said+these+rooftop+cigarettes+are+an+American+blend+and+the+Canadian+Marlboros+are+a+Virginia+blend+and+the+consumer+would+know+that+• FCA+says+so+what?+–+if+they+have+the+registered+name+of+Marlboro,+they+have+the+right+to+make+any+

blend+and+call+it+Marlboro+• So+that+in+itself+isn’t+enough+


101

• TJ+relied+on+evidence+that+PM+used+every+effort+to+make+sure+that+the+people+who+sold+the+cigarettes+knew+the+difference+between+their+brand+and+the+Marlboro+brand+• FCA+said+you+can’t+rely+on+that+–+that+doesn’t+prove+that+there+could+not+be+confusion+if+they+

decided+to+do+things+differently+

• Now+the+question+was:+was+there+evidence+of+confusion?• TJ+said+no+there+wasn’t• FCA+said+there+was+–+they+focused+on+one+piece+of+evidence:

• When+people+wanted+the+no+name+brand,+they+asked+for+“Marlboros”+–+that+means+there+is+bound+to+be+confusion+because+there+is+a+Canadian[registered+Marlboro+brand+made+by+a+different+company+

• Also:+TJ+said:+In+1987+the+FCA+decided+that+Imperial+Tobacco’s+registration+couldn’t+be+undermined+by+spillover+publicity+from+the+US+–+that+didn’t+diminish+the+distinctiveness+of+the+mark+• So+the+TJ+said+here,+what+Imperial+Tobacco+was+claiming+was+spillover+publicity+–+they+are+now+

relying+on+the+spillover+publicity+to+show+that+there+IS+confusion+–+you+can’t+have+it+both+ways+• FCA+has+no+problem+with+this+because+in+essence,+they+are+saying,+Philip+Morris+is+marketing+these+

cigarettes+IN+Canada+in+a+way+that+reminds+everyone+of+the+Marlboro+brand+and+in+so+doing,+they+are+infringing+the+rights+of+the+holder+of+the+Marlboro+brand+in+Canada+

• TJ+had+said,+if+you+go+to+the+store+and+ask+for+the+cigarettes,+that+sorts+out+all+the+confusion+• FCA+said:+No,+that+CREATES+the+confusion+• If+you+ask+for+the+cigarettes+by+the+name+Marlboro,+that+is+creating+confusion• You+could+argue:+yes,+you+ask+for+the+cigarettes+by+saying+“Marlboro”+but+you+recognize+it+because+

of+the+rooftop+design.+If+they+were+to+give+you+the+Canadian+brand,+you+would+say,+No,+I+want+the+other+one+

• SO:+you+can+infringe+simply+by+association

• Philip+Morris+has+applied+for+leave+to+appeal+to+SCC+

• Note:+when+they+tried+to+use+“Matador”+with+the+rooftop+design,+that+was+okay,+but+when+they+tried+to+market+the+rooftop+design+with+no+name,+they+got+in+trouble,+because+everyone+just+referred+to+it+as+Marlboros

DEPRECIATING*THE*VALUE*OF*THE*GOODWILL*

Veuve%Clicquot%Ponsardin%v.%Boutiques%Cliquot%Ltée%2006%SCC

• Women’s+dress+shop+in+Quebec+deliberately+picked+Cliquot+as+the+name+for+the+store+–+they+were+on+the+register+in+association+with+ladies+clothing

• Veuve+Clicquot+(champagne+brand)+complains+that+they+are+infringing+their+brand+–+saying+their+mark+should+never+have+gotten+on+the+register+because+it+was+confusing+with+their+brand

• The+other+thing+they+argued:+you+are+using+our+brand+under+s.+22+of+the+Act+in+a+way+that+is+likely+to+depreciate+the+value+of+the+goodwill+of+our+brand+• This+is+the+cheapening+argument+–+even+if+there+is+not+confusion+because+ladies+wear+and+champagne+

are+different,+nevertheless+you+are+using+the+brand+in+a+way+that+will+depreciate+the+goodwill+of+our+brand+

• So*2*issues:*• Confusion*• Depreciation*of*the*value*of*the*goodwill*


102

• The+dress+shop+also+had+cliquot+registered+for+use+in+association+with+various+promotional+items+so+Veuve’s+argument+was:+when+people+see+these+items,+they’re+going+to+assume+that+it+has+something+to+do+with+us+

• Here+again,+they+applied+the+test+of+the+casual+consumer+somewhat+in+a+hurry+• Their+problem+was+that+when+you+went+through+all+the+factors:

• Yes,+it+is+a+distinctive+brand,• Veuve+had+been+around+longer+than+the+dress+stores+• BUT+the+wares+are+so+different+–+women’s+clothes+vs+champagne+–+there+was+no+basis+on+which+any+

confusion+could+be+found+simply+because+the+wares+were+so+different+• Nobody+was+prepared+to+say+that+somebody+encountering+a+dress+store+called+Cliquot+would+

immediately+think,+oh+this+must+have+something+to+do+with+champagne+

• Note:$because+they+were+already+on+the+register,+the+onus+was+on+Veuve+to+prove+the+confusion+–+and+they+could+not+prove+the+confusion+

• They+couldn’t+come+up+with+any+evidence+that+anyone+had+confused+the+dress+store+with+champagne

• So+similar+to+Barbie+case+–+very+famous+brand+but+limited+in+use+in+one+particular+branch+of+commerce

• BUT+THEN:+they+argued,+even+if+it+is+okay+to+use+the+brand,+we+still+think+it+should+be+stopped+because+it+is+depreciating+the+value+of+our+brand+• This+gives+the+SCC+a+chance+to+explain+what+it+means+to+depreciate+the+value+of+the+brand• They+go+back+to+the+original+report+back+in+the+50s+that+preceded+the+enactment+of+that+provision+• It+was+to+protect+famous+brands+from+being+diluted/impaired+by+uses+that+were+somehow+at+odds+with+

it+–+so+even+if+there+was+no+ACTUAL+infringement,+there+could+still+be+someone+using+a+brand+in+a+way+that+lowered+the+value+of+the+trademark+

• In+the+US,+there+is+quite+a+bit+of+law+on+this+–+they+look+at+the+“blurring+of+the+mark”+(where+it+loses+the+boundaries)+or+the+“tarnishing+of+the+mark”+

• In+order+to+have+infringement+of+s.+22+of+the+Act,+you+need+4+things+1. Is+there+USE+of+the+trademark?

• The+section+says+there+has+to+be+use+of+the+plaintiff ’s+mark+• In+Clairol+case,+that’s+what+did+it+–+they+were+using+the+mark+

• They+fell+at+this+hurdle+–+because+the+dress+stores+are+not+using+that+mark+• You+can’t+say+that+applying+this+brand+Cliquot+to+the+business+of+a+dress+store+is+“using”+that+

mark+because+we’ve+just+decided+the+consumers+would+never+connect+the+two+–+and+there+had+to+be+a+connection+in+order+for+you+to+be+able+to+say+that+they+are+USING+your+mark,+people+would+have+to+recognize+that+it+is+YOUR+mark+

• Here+people+they+would+not+recognize+it+as+your+mark+

• To+show+that+there+is+USE+of+the+mark,+you+have+to+show+that+people+would+recognize+the+mark+or+at+least+show+that+they+were+using+a+mark+that+people+sort+of+thought+was+the+mark+

2. Is+there+goodwill?• There+has+to+be+goodwill+in+that+mark+

3. Is+the+consumer+going+to+connect+the+use+with+the+goodwill• The+use+has+to+somehow+have+a+connection+with+the+goodwill+• So+the+way+in+which+it+is+used+has+to+have+an+impact+on+the+goodwill

• Answer+would+be+no+because+there+is+no+psychological+connection+(on+the+evidence)

4. Is+that+connection+going+to+depreciate+the+trademark?


103

• There+had+to+be+a+likelihood+of+depreciation+

• Blom:$this$section$was$intended$for$the$situation$where$people$use$the$exact$mark,$legally,$but$for$wares$where$it$is$going$to$lose$its$cache$–$this$was$the$purpose$of$the$section

PATENTS

PATENTABILITY

Teva%Canada%Ltd%v%P,izer%Canada%Inc%2012%SCC%2012%SCC%(Viagra%Case)

• Struck+down+the+patent+for+Viagra+• One+of+Canada's+aggressive+generic+manufacturers+wanted+to+start+making+the+drug+• Patent+was+upheld+in+FC+and+FCA+• SCC+unanimously+held+the+patent+was+invalid

• Patent+2,163,446+• IPC:+A61K+31/535+

• PYizer+Ireland+Pharmaceuticals• Filing+date+was+1994+

• Application*priority*date*• Application+No+9311920.4+in+UK+on+June+9,+1993+• Local+Yiling+date+(PCT)+May+13,+1994+–+within+a+year,+therefore+priority+is+claimed+based+on+UK+Yiling+

date+

• Until+the+Patent+OfYice+grants+the+patent,+you+do+not+have+a+monopoly+although+you+do+have+a+right+to+claim+compensation+from+people+who+used+your+invention+before+you+get+your+patent+(if+you+actually+get+your+patent)+–+so+there+is+a+certain+amount+of+retrospective+protection+but+you+can’t+claim+a+monopoly+until+you+get+your+patent+(i.e.+when+the+patent+is+issued)+

• So+the+signiYicance+of+the+claim+date:+it+is+the+date+as+of+which+you+determined+the+critical+questions+of+novelty,+non[obviousness+and+utility

• The+20+years+starts+running+from+the+Canadian+Yiling+date+(not+from+the+priority+date)+

Teva*Canada*Ltd*v*Peizer*Canada*Inc*2012*SCC*(cont’d)• Focuses+on+some+of+the+core+questions+and+is+probably+one+of+the+most+spectacular+failure+of+patents+we’ve+

had+

• The+attack+on+this+patent+was+based+on+the+way+it+was+framed

• The+context:+• Prior+to+1993,+people+with+patents+would+have+monopoly+for+a+short+time+and+then+any+generic+

manufacturer+could+get+a+compulsory+licence+to+make+the+drug+• When+we+entered+into+the+FTA+with+the+US,+one+of+the+conditions+was+that+we+get+rid+of+that+system• So+the+compulsory+licensing+system+was+removed+• A+price[monitoring+system+was+put+in+place+to+address+the+issue+• Another+thing+they+did:+they+put+in+place+a+process+by+which+a+generic+manufacturer+could+attack+a+

patent+and+there+is+a+process+to+sort+out+the+validity+of+the+patent+

• Teva+applied+to+produce+a+generic+version+of+viagra+and+then+the+FC+upheld+the+patent+and+prohibited+the+Minister+from+issuing+the+requested+notice+of+compliance+on+the+ground+that+there+was+a+valid+patent+


104

• Went+up+to+the+SCC+on+this+issue:+is+it+in+fact+a+valid+patent+

• The+patent+was+issued+in+1998+but+the+Yiling+date+was+1994+and+the+priority+date+claimed+was+1993+• You+get+20+years+from+the+Yiling+date+which+would+be+2014+

• They+argued+obviousness+–+that+there+was+no+inventive+step+involved+(but+this+was+dropped)• Viagra+was+a+drug+that+was+already+around+and+was+well[known+and+was+used+for+cardiovascular+

problems+• Then,+PYizer+applied+for+this+patent+on+the+basis+that+they+had+discovered+that+this+drug+had+the+

unexpected+effect+of+allowing+impotent+males+to+achieve+an+erection+• So+they+didn’t+invent+the+product,+they+just+discovered+a+new+“use”+–+and+this+is+a+valid+invention+• So+if+you+get+a+patent+for+a+new+“use”+nobody+can+use+that+drug+for+this+purpose+without+infringing+

your+patent+

• The+main+attack+made:+there+was+not+adequate+disclosure+of+the+invention+in+the+patent+speciYication+(remember:$speciYication+=+disclosure+++claim)+

• PYizer’s+application:+• The+description+runs+on+for+12+pages+• It+stated+a+description+of+260+quintillion+variations

• When+you+apply+for+a+patent,+there+is+a+requirement+that+the+thing+has+to+WORK+because+the+system+prevents+you+from+claiming+a+patent+for+a+good+idea+that+may+or+may+not+work+(because+then+people+will+start+to+monopolize+things+that+may+or+may+not+work)+

• It*must*be*KNOWN*to*be*useful*(this*does*not*mean*“commercially”*useful)*or*it*is*predicted*to*be*useful*(in*which*case*it*has*to*be*a*matter*of*sound*prediction*to*be*useful)

• Test+for+prediction:+person+skilled+in+the+art/science+who,+given+what+is+known+about+the+way+the+invention+works/functions,+would+require+only+modest+testing+to+prove+it+would+work

• It+is+evident+it+is+going+to+work+but+it+has+not+yet+actually+been+tested+• This+is+a+slight+modiYication+of+the+utility+threshold+to+allow+you+to+patent+something+where+you+

don’t+actually+have+convincing+proof+that+it+works+but+that+you+have+all+the+indications+that+it+will+work+

• At+some+point,+the+description+has+to+say+WHAT+IT+DOES+(the+claim)+–+you+also+have+to+say+that+you+know+it+does+this+or+you+can+predict+that+it+can+do+this+(as+a+matter+of+sound+prediction)+

• They+were+asserting+that+one+of+these+compounds+would+work+–+the+claim+by+PYizer+was+for+any+of+these+variations+despite+having+no+testing+for+most+of+them,+other+than+one• Remember:+they+are+drafting+this+claim+at+a+time+when+they+are+still+testing+–+they+know+for+sure+

that+ONE+of+them+works,+but+they+had+to+keep+testing+• To+be+on+the+safe+side,+they+claimed+EVERYTHING+

• The+court+said:+you+are+allowed+to+do+that+–+these+are+cascading*claims+where+you+start+out+claiming+the+maximum+–+all+260+quintillion+variations+• And+then+you+make+in+narrowed+in+succeeding+claims+• And+when+you+got+down+to+claim+#5,+they+said+we+claim+a+monopoly+on+the+specially+preferred+

compound+• Then,+claims+#6+–+they+mention+one+precise+instance+• Claim+#7+–+a+slightly+different+version

• This+one+was+the+one+that+was+tested+and+actually+worked+

• Teva’s+main+argument+was+that+a+person+skilled+in+the+art/science+could+read+the+whole+description+and+not+know+which$one+was+the+useful+compound• It+is+permissible+to+have+cascading+claims+but+you+are+hedging+your+bets+

• The+idea+is:+this+one+works+for+sure,+and+these+other+ones+might+


105

• So+we+are+claiming+them+all+• And+if+it+turns+out+that+these+other+claims+are+not+valid+because+they+are+not+useful,+if+there+is+no+

sound+prediction+that+they+are+useful,+then+they+are+void+–+but+that+doesn’t+make+ALL+of+them+void+(s.+58)+

• PA%s.%58:+When,+in+any+action+or+proceeding+respecting+a+patent+that+contains+two+or+more+claims,+one+or+more+of+those+claims+is+or+are+held+to+be+valid+but+another+or+others+is+or+are+held+to+be+invalid+or+void,+effect+shall+be+given+to+the+patent+as+if+it+contained+only+the+valid+claim+or+claims.

• So+the+cascading+idea+is:+you+have+a+minimum+claim+and+then+you+have+broader+versions+of+the+claim+which+might+hold+up+–+this+is+permissible

• So,+you+can+throw+in+all+these+claims+suspecting+that+some+are+invalid

• But+the+problem+was+(Teva’s+argument):+PYizer+never+disclosed+that+only+the+one+disclosed+that+only+the+one+you+describe+in+claim+#7+was+known+to+work+• Therefore+you+have+not+disclosed+your+invention• You+haven’t+disclosed+a+useful+invention• You’ve+disclosed+a+whole+bunch+of+useless+stuff+and+there+is+one+little+nugget+in+there+that+is+useful,+but+

you+haven’t+said+what+it+is+• This+was+the+basis+of+the+attack+

• First:+there+is+this+strange+idea+that+you+can+cram+a+whole+bunch+of+claims+that+may+turn+out+to+be+invalid+into+a+patent+and+still+rely+on+the+one+that+is+okay+• Each+claim+is+judged+separately+and+individually

• Once+you+have+accepted+that,+then+the+question+is:+is+there+one+of+these+claims+at+least+which+is+valid+–+#7+in+this+case+

• Teva’s+argument+was:+that+particular+invention+was+not+adequately+disclosed+because+you+could+read+your+description+from+end+to+end+and+not+know+that+it+was+THAT+one+which+was+known+to+work+

• And+you+haven’t+told+me+that+in+fact+none+of+the+others+have+been+shown+to+work+

• The+lower+courts+upheld+the+patent+• They+said:+the+person+skilled+in+the+art,+reading+this+patent,+would+know+that+there+has+to+be+one+of+the+

two+speciYically+identiYied+compounds+should+be+the+one+that+works+• A+person+skilled+in+the+art+could+TELL+that+#6+and+#7+(which+are+the+ones+that+are+most+speciYically+

described+and+which+are+examples+of+the+especially+preferred+compounds)• Put+that+together+with+the+statement+that+“one+of+them+is+known+to+work”+that+is+enough+to+determine+

which+it+was+

• SCC+says+you+can’t+just+say+let’s+look+at+this+one+claim,+and+see+whether,+if+we+just+look+at+that+one+claim+as+if+it+were+the+only+claim,+and+then+ask+whether+it+was+adequately+disclosed+in+the+description+–+that+is+not+the+correct+approach+

• The+legal+obligation+of+the+patentee+is+to+disclose+the+INVENTION• PA+s.+36:+Each+patent+must+describe+one+invention

• You+can+have+various+compounds,+but+ONE+invention+

• The+description+in+this+case+was+not+adequate+because+they+had+never+actually+disclosed+WHICH+one+is+the+compound+that+works+• A+person+skilled+in+the+art+could+TELL+that+#6+and+#7+(which+are+the+ones+that+are+most+speciYically+

described+and+which+are+examples+of+the+especially+preferred+compounds)+but+they+never+commit+themselves+to+WHICH+it+is+that+is+the+one+that+works+

• The+test+is+at+the+time+of+the+priority+date++


106

• The+fact+that+NOW+we+know+which+compound+it+is+doesn’t+mean+then+a+person+skilled+in+the+art+could+have+been+able+to+tell+AT+THAT+TIME,+reading+the+patent+

• They+essentially+say+you+are+gaming+the+system+–+you+are+trying+to+get+a+monopoly+without+disclosing+what+the+invention+is/what+works+• This+bargain+theory+emphasizes+the+fact+that+you+are+getting+the+beneYit+of+monopoly,+therefore+you+

have+to+give+the+public+quid$pro$quo$of+disclosing+what+the+invention+actually+is+• They+hint+that+it+was+deliberately+done+to+conceal+the+invention+but+Blom+is+not+convinced+

• If+there+was+only+ONE+compound+that+was+speciYically+described+because+a+person+skilled+in+the+art+would+be+able+to+tell+that,+okay,+that+is+the+one+they+speciYically+described+so+that+is+presumably+the+one+that+would+work+when+tested+

• But+their+misfortune+was+that+they+had+two+of+them+

• The+court+said,+if+the+public+has+to+go+out+and+test+it,+it+hasn’t+been+properly+disclosed+• You+have+to+disclose+it+in+a+way+that+a+person+skilled+in+the+art+wouldn’t+have+to+TEST+IT,+but+could+use+

what+you+have+described+to+come+up+with+the+invention+WITHOUT+ANY+FURTHER+TESTING

The*doctrine*of*sound*prediction:

1. There+must+be+a+factual+basis+for+the+prediction+–+you+have+to+know+enough+about+the+workings+of+it+2. The+inventor+must+have,+as+of+the+date+of+the+patent+application,+sound[like+reasoning+3. There+must+be+proper+disclosure+–+full,+clear+description+

• The+sound+prediction+is+a+question+of+FACT+–+evidence+must+be+led

How*coneident*do*you*have*to*be*in*your*prediction?

• You+have+to+be+able+to+say:+you+know+the+other+compounds+work+and+you+know+that+given+the+reason+why+they+work,+it+is+safe+to+say+that+this+compound+will+work+–+this+is+okay+

• But+if+it’s:+we+know+these+others+work+and+we+think+this+one+might+work,+will+probably+work+–+that+is+not+enough+

• You*have*to*be*able*to*say:*based*on*what*we*know*already,*we*can*say*with*coneidence*that*this*one*is*going*to*work*–*not*with*absolute*certainty,*but*with*full*coneidence*

• So+you’re+saying,+based+upon+the+factual+basis,+we+infer+that+this+one+is+going+to+work

• SO+PYizer+loses+its+patent+because+it+has+not+provided+a+public+disclosure+as+it+should+and+the+reason+there+was+inadequate+disclosure+was+because+of+an+almost,+but+not+quite+technical+point+–+that+two+compounds+were+identiYied+speciYically+and+only+one+of+them+turned+out+to+be+useful++

• But+the+description+taken+as+a+whole+did+not+disclose+an+invention+that+was+useful+because+you+could+not+tell+how+to+make+the+invention+that+would+be+useful+

• The+reason+for+this+is+because+there+was+only+ONE+invention+that+was+said+to+be+known+to+be+useful+and+we+didn’t+know+which$of$the$two$compounds+it+was+

• The+court+says+they+should+have+said+in+their+description:+patient+studies+conducted+thus+far+have+conYirmed+that+one+of+the+especially+preferred+compounds+[they$should$have$said$which$one$–$it$all$turned$on$this]+induces+penile+erection+in+impotent+males.• This+doesn’t+tell+you+which+it+is+• If+you+read+all+the+claims,+you+could+probably+come+to+the+conclusion+that+#6+and+#7+are+the+best+

compounds+and+thus+most+likely+to+be+the+one+that+works+

• One+of+the+things+this+case+shows+you:+this+is+a+highly+technical+area+–+the+disclosure+requirement+is+not+just+an+approximation+


107

• Note:+if+the+brand+name+patent+holds+up+(i.e.+it+is+a+valid+patent)+then+the+rules+(s.%8%of%the%regulations%re%damages)+provide+that+the+brand+name+manufacturer+has+to+compensate+the+generic+manufacturer+for+all+of+the+money+it+would+have+made+if+it+were+allowed+to+start+selling+this+generic+variation+when+they+Yirst+applied+

• And+this+case+has+been+going+on+for+years+so+PYizer+may+have+to+pay+several+years+worth+of+proYits+that+Teva+would+have+made+had+it+been+allowed+to+produce+generic+viagra+when+it+Yirst+applied+

November+21,+2012• PYizer+has+asked+the+SCC+to+reconsider+because+it+claims+that+the+SCC+went+beyond+its+jurisdiction+in+

invalidating+the+whole+patent+• All+that+was+before+them+was+Teva’s+application+to+get+a+licence+–+they+went+further+than+that+and+

invalidated+the+patent,+which+is+not+what+it+was+asked+to+do+

• Note:+Apotech+has+its+own+attack+going+in+front+of+the+federal+court+• Impeachment+proceeding+unlike+the+Teva+case+which+was+a+notice+of+compliance• PYizer+argued+the+FC+had+no+jurisdiction+in+this+matter+• FC+said,+yes+we+do,+and+will+give+Apotech’s+summary+judgment

How*it*all*works:

• Prior$to$1993,$people$with$patents$would$have$monopoly$for$a$short$time$and$then$any$generic$manufacturer$could$get$a$compulsory$licence$to$make$the$drug$

• When$we$entered$into$NAFTA$with$the$US,$one$of$the$conditions$was$that$we$get$rid$of$that$system,$so$the$compulsory$licensing$system$was$removed$and$they$put$in$place$a$process$by$which$a$generic$manufacturer$could$attack$a$patent$and$then$there$is$a$process$to$sort$out$the$validity$of$the$patent$

• In$order$to$comply$with$the$provisions$of$the$North$American$Free$Trade$Agreement,$in$1993$the$Canadian$federal$government$introduced$the$Patented%Medicine%Notice%of%Compliance%Linkage%Regulations.$These$regulations$were$meant$to$achieve$a$balance$between$the$timely$entry$of$generic$medicines$and$the$rights$of$patent$holders.$The$regulations$tied$the$regulatory$approval$of$generic$medicines$to$the$patent$status$of$the$original$brand]name$product.

1. A+generic+manufacturer+wants+to+be+able+to+produce+and+distribute+a+drug+that+is+currently+patented+–+so+they+apply+for+a+“patented+medicine+notice+of+compliance”+• The+notice+of+compliance+is+issued+by+the+Minister+–+it+is+the+authorization+that+is+required+for+the+

generic+manufacturer+to+go+ahead+and+produce+the+drug+• It+is+kind+of+an+“expedited+system”+to+deal+speciYically+with+generic+companies+wanting+to+make+

patented+drugs+

2. Then,+the+brand[name+manufacturer+applies+for+a+notice+of+prohibition+(saying,+no,+we+have+a+valid+patent)

3. The+court+then+sort+out+whether+there+is+a+valid+reason+not+to+give+the+notice+of+compliance+

• SO:+PYizer’s+argument+must+be+that+just+deciding+whether+the+generic+company+should+be+prevented+from+getting+into+the+market+is+a+different+issue+from+deciding+whether+the+patent+is,+for+all+purposes,+invalid

• If+you+want+to+throw+the+whole+patent+out,+you+have+to+bring+an+impeachment+proceeding• BUT:+if+the+notice+of+compliance+application+fails,+then+it+is+naturally+because+the+patent+is+invalid+

• What*we*get*out*of*this*case:*• Bargain*theory• Importance*of*the*specieication*• Also*the*approach*to*the*construction*of*the*specieication*


108

SUBJECT*MATTER*OF*THE*INVENTION

Shell%Oil%Co.%v.%Canada%(Comm’r%of%Patents)%1982%SCC

• Distinction+between+a+composition+and+a+compound• A+compound+is+an+actual+substance+that+is+the+product+of+chemical+reaction+–+it+is+substances+that+

actually+combine+to+make+a+new+substance+• A+composition+is+just+a+mixture+of+different+substances+that+are+combined+(in+a+powder,+pill,+cream,+etc.+

–+physical+form)+–+you+can+separate+out+what+is+in+this+mix

• Shell+Oil+wanted+to+patent+certain+chemical+compositions+comprising+chemical+compounds+mixed+with+an+adjuvant+(an+additive+that+gives+a+desired+consistency,+etc.)

• The+claims+listed+these+compositions+

• The+complicating+thing:+the+compositions+that+they+wanted+the+patent+for,+some+of+them+were+an+old+compound+–+where+it+was+the+active+ingredient,+and+some+of+them+were+new+compounds+which+Shell+Oil+had+put+together+for+the+Yirst+time+and+were+therefore+novel+• Shell+Oil+applied+for+patents+for+both+

• The+speciYication+says:+we’ve+discovered+that+these+compounds+when+applied+to+a+plant+locus+exhibit+a+wide+variety+of+useful+plant+growth+regulating+properties+• Some+byproducts+of+petroleum,+when+you+process+them+in+a+particular+way,+you+could+use+them+as+

plant+food+–+so+they+wanted+to+patent+these+compositions+for+plants

• This+was+opposed+because+there+were+these+old*cases*which*said*you*can’t*patent*a*composition*–+it+is+not+an+invention+to+take+a+compound+which+is+known+and+mix+it+up+• The+argument+was:+you+couldn’t+patent+a+composition+AT+ALL+–+even+if+the+compound+in+the+

composition+was+new+• This+was+connected+to+some+case+law+involving+medicines+

• Context:*• There+use+to+be+a+section+in+the+Act+(s.+41)+which+said+if+there+is+a+substance+that+is+prepared+by+

(bio)chemical+means,+and+designed+for+use+as+medicine,+you+can’t+get+a+patent+on+the+substance+(the+medicine+itself)+but+you+CAN+patent+the+method+by+which+the+substance+is+produced+(if+it+is+novel)+

• This+lasted+until+1993+when+it+had+to+be+removed+when+we+joined+the+US+in+NAFTA

• There+was+a+policy+in+the+Act+that+you+couldn’t+patent+a+medicine+• There+were+other+cases+which+said+if+you+can’t+patent+medicine,+you+can’t+patent+a+composition+(which+

includes+a+medicine+and+some+adjuvant)

• What+Shell+Oil+wanted+to+do+was+patent+compositions+to+be+used+for+purposes+of+plant+growth+regulation+–+is*that*novel?*• They+were+concerned+particularly+about+the+compositions+which+had+an+old+compound,+which+they+

couldn’t+patent+by+itself+

• The+patent+commissioner+wasn’t+happy+because+they+were+trying+to+get+a+patent+on+a+“non[novel+substance”+because+the+compound+itself+was+known,+and+mixing+a+compound+with+an+adjuvant+is+known–+so+where+is+the+novelty?+

• Answer+by+the+SCC:+it+is+really+not+the+substance/composition+that+they+are+trying+to+get+a+patent+on,+it+is+the+USE+of+that+composition+for+a+particular+purpose,+which+is+the+novel+part+

• It*doesn’t*matter*whether*the*composition*is*old*or*new*because*what*is*novel*in*BOTH*cases*is*the*USE*–*and*you*can*patent*a*new*use,*it*doesn’t*matter*if*the*compound*was*known*beforehand*


109

• SO:*this*is*an*important*principle*–*this*is*a*METHOD*PATENT*–*it*is*a*way*of*doing*something*

• Calgon%Case:%• Was+the+subject+matter+patentable??• It+was+not+a+new+method+of+doing+something+but+it+was+a+new+unsuspected+advantage+of+an+existing+

method+• Using+low[level+UV+light+to+purify+water+

• It+had+been+done+before+because+using+low[level+UV+light+killed+some+bacteria+in+water+–+and+this+is+what+water+companies+were+doing+

• But+Calgon+discovered+that+if+you+did+this,+not+only+would+it+kill+the+things+it+was+known+to+kill,+but+it+would+also+kill+things+that+it+had+not+been+previously+known+to+kill+(namely,+crypto[cerenium+oosists)+• Everyone+previously+thought+that+you+had+to+use+high[level+UV+light+to+kill+them+but+Calgon+

discovered+that+you+could+do+it+with+low[level+UV+light+

• This+was+held+to+be+an+application+of+new+knowledge+–+that+radiating+water+with+low+doses+of+UV+light+prevents+growth+of+this+stuff+

• Odd+thing:+it+means+that+if+you+had+already,+years+ago,+installed+low+level+UV+radiation+because+you+wanted+to+kill+the+bacteria+that+it+was+known+to+kill,+you+would+suddenly+be+infringing+Calgon’s+patent+

• It+is+an+extreme+application+of+the+idea+that+a+new+“use”+is+patentable+

• So+was+this+upheld???

Lawson%v.%Comm’r%%of%%Patents%1970%Ex%Ct

• Patent+was+booted+out+because+it+was+a+claim+for+a+method+of+subdividing+land+• The+invention+was+a+subdivided+parcel+of+building+land+

• What+are+you+asking+a+patent+for?+• Land+itself+is+not+an+invention• The+novel+part+here+is+that+he’d+thought+of+a+way+of+drawing+the+boundaries+between+different+lots+in+a+

way+that+was+unconventional+• And+he+wanted+to+patent+this

• What+made+the+courts+unhappy+is:+you’re+trying+to+get+a+monopoly+of+drawing+a+line+in+a+particular+way+–+that+doesn’t+seem+like+an+invention+• It+would+also+be+hard+to+get+the+boundaries+on+what+the+“invention”+is+–+does+any+curvy+line+count?+Or+

does+it+have+to+be+a+speciYic+kind+of+curvy+line+

• It+is+related+to+the+idea+that+professional*skills+are+too+Yluid+and+we’re+not+going+to+give+you+a+patent+on+the+exercise+of+that+skill+–+it+gets+too+close+to+giving+you+a+patent+on+a+pure+concept+rather+than+an+actual+invention+

• All+these+cases+turn+on+the+distinction+of+what+is+physical+and+what+is+not+• In+this+case,+the+novelty+is+not+in+the+physical+aspect,+it+is+simply+in+the+arrangement+of+space++Tennessee%Eastman%Co.%v.%Comm’r%of%Patents%1972%SCC

• Leading+case+• Its+current+status+is+not+clear+because+it+turned+on+the+old+section+41+which+said+you+can’t+patent+a+

medicine+and+they+extrapolated+from+this+and+said+if+you+can’t+patent+a+medicine+then+you+can’t+patent+a+method+of+medical+treatment+

• The+treatment+here+was+the+use+of+a+glue[like+substance+instead+of+stitches+


110

• SCC+ultimately+said+this+is+not+patentable+because+it+is+really+a+method+of+surgical+treatment+(which+is+the+same+as+a+method+of+medical+treatment)+

• And+we+don’t+like+a+method+of+medical+treatment+because+it+would+allow+you+to+indirectly+get+a+patent+on+a+medicine+because+you+are+getting+a+patent+on+the+use+of+a+medicine+

• Public+policy+used+to+be:+we+don’t+want+people+to+get+monopoly+of+a+medicine+–+this+doesn’t+apply+anymore+• So+does+it+still+make+sense+that+we+don’t+want+to+let+people+have+a+monopoly+over+a+medical+treatment+

if+it+is+novel+• If+the+method+of+treatment+is+really+the+skill+of+the+doctor+–+that+is+on+the+idea+side+of+the+line,+not+an+

invention+

• But+here+it+was+the+use+of+a+speciYic+substance+to+do+a+speciAic$task$• The+substance+itself+wasn’t+new+but+they+said+the+USE+is+new

• Claims+for+medical+treatment+can+run+into+other+problems+because+“treatment”+may+not+be+an+invention+

• The+case+isn’t+really+logical+(nowadays+anyway)+but+it+is+still+around+• So+it+may+be+that+method+claims+which+would+succeed+if+it+wasn’t+for+medical+purposes+fail+if+it+is+for+

medical+purposes+simply+on+the+grounds+of+public+policy+

• The+policy+of+not+being+able+to+patent+medicines+anymore+but+the+policy+of+not+being+able+to+patent+medical+treatment+is+still+around+

• Note:$treatment$may$not$be$an$invention$

Mayo%v%Prometheus%2012%USSC

• Problem+here:+using+particular+drugs+to+treat+immune+mediated+gastrointestinal+disorders+• Drugs+had+been+use+to+treat+this+• There+was+a+problem+in+getting+the+dosage+right+• What+Prometheus+labs+invented:+they+got+very+speciYic+readings+that+you+could+take+by+taking+the+blood+

sample+form+the+patient+• They+claimed+a+patent+–+a+method+claim• The+method+consisted+of:

• Administering+the+drug,+• Determining+the+level+of+this+metabolite+• Making+a+decision+based+upon+the+indicators+• This+is+a+new+way+of+treating+these+illnesses+

• It+was+upheld+by+the+lower+courts+• But+the+USSC+said+it+is+not+an+invention+because+you*cannot*patent*a*law*of*nature*• The+law+of+nature+here+was+the+way+in+which+these+metabolites+relate+to+the+function+of+the+blood+in+the+

blood+stream+

• The+only+way+you+can+make+an+invention+out+of+a+newly+discovered+law+of+nature+is+to+add+something+novel+in+the+way+in+which+you+can+apply+this+law+

• Where+as+in+this+case,+they+were+merely+exploiting+the+laws+of+nature+

• Court+said+the+combination+isn’t+new+either+–+even+if+you+add+them+all+together,+what’s+new+here?+

• Said+as+a+matter+of+public+policy+it+is+not+appropriate+to+give+a+patent+because+it+would+allow+a+monopoly+on+this+particular+sequence+of+steps+and+would+inhibit+others+to+improve+the+treatment,+etc.


111

Schlumberger%Canada%Ltd.%v.%Comm’r%of%Patents%1982%FCA

• Schlumberger+is+a+big+company+of+electronic+equipment,+etc• Figured+out+a+fancy+new+way+to+produce+useful+information+from+electronic+censors+that+you+drop+down+a+

bore+hole(?)• In+the+claims,+they+explain+how+you+can+produce+that+information+to+produce+new+better+graphs+and+charts+

to+indicate+the+potential+as+to+whether+the+particular+geological+formations+may+be+oil+bearing• The+claim+is+for+this+whole+thing:+

• Get+the+readings• Process+the+readings• You+get+useful+information+

• Its+new+because+no+one+had+thought+of+it+before• Not+obvious+because+it+took+a+lot+of+thinking/engineering+• It+was+useful+

• So+it+met+all+the+requirements+of+a+patent+EXCEPT:+was+it+an+invention?+Or+was+it+just+a+set+of+calculations/instructions?+

• FCA:*no,*it*is*just*a*mathematical*instructions• What+you’re+claiming+here+as+the+invention+is+the+mathematical+part+• Dropping+readings+down+a+bore+hole+was+known+–+they+didn't’+invent+that• Putting+the+readings+onto+magnetic+tape+wasn’t+new+

• What+was+new:+the+manipulation+of+the+data+through+a+computer+in+order+to+produce+the+output+• This+is+just+a+set+of+mathematical+instructions+• What+the+appellant+claims+as+an+invention+is+merely+the+discovery+that+by+making+certain+calculations+

according+to+certain+formulae,+useful+information+could+be+extracted+from+certain+measurements• This+is+not+an+invention+

• If+you+clearly+can’t+patent+one+little+mathematical+operation,+then+you+can’t+patent+ANY+mathematical+operation+including+the+most+complex/creative+mathematical+operation+

• Basically*saying:*if*all*you*have*is*software,*it*is*not*patentable• Copyright+is+the+only+IP+protection+that+software+attracts

• BUT:+if+you+have+the+interaction+of+software+WITH+hardware+to+achieve+something+new,+

Re%Application%of%International%Business%Machines%Corp.%1984%PAR%&%Comm’r

• IBM+wanted+this+patent+on+a+method+of+storing+information+on+a+hard+drive,+logging+information+about+data+use+on+a+hard+drive+

• The+examiner+initially+rejected+their+claim+but+the+patent+appeal+board+recommended+that+it+be+allowed+and+the+commissioner+agreed+with+it+

• The+decision+was:+this+really+isn’t+just+about+mathematical+manipulations+or+mathematical+computations,+this+actually+is+about+how+you+use+a+hard+drive+and+how+you+can+allocate+space+on+a+hard+drive+to+do+this+

• So+it+wasn’t+pure+software,+it+was+the+interaction+of+software+with+hardware+to+achieve+a+new,+improved,+faster,+method+of+storage+and+retrieval+of+information+about+the+use+of+the+hard+drive+

• SO:*if*you*can*portray*your*invention*as*not*just*the*mathematics*but*the*actual*inclusion*of*software*in*hardware*that*does*something*(like*control*trafeic*lights,*etc)

• Where+it+gets+tricky+is+where+you’re+saying,+I+have+this+software+here+(and+it+is+not+limited+to+software)+and+if+you+use+the+software+(ex.+link+all+these+trafYic+lights+together)+and+plug+that+into+a+program+

• The+program+then+operates+the+trafYic+lights+in+a+particular+way+–+is+that+patentable?+


112

• You+can+argue:+• Linking+up+trafYic+lights+is+not+new• Having+lights+operated+by+computers+is+not+new+• Having+sensors+in+the+road+is+not+new• So+where+is+the+novelty?

• The+argument+would+be+similar+to+Schlumberger+–+the+only+new+thing+is+the+way+of+processing+the+information+

• Counterargument:+no,+you’re+taking+this+to+pieces,+when+you+look+at+this+as+a+whole,+it+is+a+new+thing+–+it+is+a+new+trafYic+control+system+• It+is+the+interaction+of+the+software+with+the+equipment+which+allows+a+whole+new+thing+to+be+

done+with+the+system+

• There+is+not+a+clear+cut+answer+as+to+whether+the+patent+ofYice+would+accept+this+or+not+

• Note:+we+do+give+patents+for+ways+of+achieving+a+physical+change+in+objects,+but+merely+a+way+of+calculating+something+or+coordinating+information+is+more+troublesome+–+is+that+something+ought+to+have+a+patent+in?+

• The+problem+that+it+isn’t+patentable+has+behind+it+the+idea:+what+are+we+prepared+to+give+people+a+monopoly+in?+Borderline+between+what+is+an+abstract+principle+and+what+is+a+concrete+invention+is+fuzzy

Amazon.com%Inc.%v.%Canada%(Attorney%General)%2011%FCA

• This+was+the+Yirst+time+that+a+Canadian+court+to+decide+whether+you+could+get+a+patent+law+on+a+business+method+

• The+American+patent+ofYice+has+allowed+patents+for+business+methods+–+which+were+then+inevitably+challenged+and+the+courts’+most+recent+decision+in+the+USSC+said:+well+there+is+no+rule+against+patenting+a+business+method+but+it+didn’t+actually+say+what+it+takes+to+be+a+patentable+business+method+–+so+the+Americans+haven’t+solved+the+problem+

• There+are+75+claims+in+the+application,+they+cite+two+of+them+• One:*the*onehclick*shopping*idea*

• The+Yirst+time+you+go+shopping+at+Amazon,+you+provide+them+with+your+address+and+a+cookie+is+then+lodged+in+your+computer+so+that+Amazon+will+recognize+you+the+next+time+you+use+that+computer+to+access+the+website

• Storing+that+information+about+the+customer+then+allows+Amazon+to+say:+if+you+want+to+order+this+item,+click+here+(one+click)+and+the+computer+integrates+the+customer+information+with+the+product+that+is+being+ordered+and+you+have+a+binding+contract+with+one+click+

• The+way+they+claimed+it+in+their+patent+application:+Claim+1+is+a+method+for+ordering+an+item+–+and+then+they+identify+the+steps+in+the+method+• Receiving+(from+a+server+system)+a+client+identiYier• Persistently+storing+the+client+identiYier+• When+an+item+is+to+be+ordered,+displaying+information+identifying+the+item+and+a+single+action+that+is+

to+be+performed+to+order+the+item,+etc+• It+concludes:+whereby,+the+user+does+not+need+to+log+in+to+the+server+system+when+ordering+the+item+

because+their+information+has+previously+been+stored+• This+has+all+been+put+forward+as+a+patentable+method+

• Claim*44*–*example*of*the*other*variety*of*claim*they*had*in*their*application:*a*client*system*• This+focuses+on+the+hardware+• The+client+system+comprising+a+component+that+receives+from+a+server+system+a+client+identiYier,+a+

component+that+orders+an+item+by+displaying+information+identifying+the+item,+etc.+

• So+it+just+relates+all+of+the+storage+of+information+components+to+perform+the+method+


113

• They+want+a+patent+on+both+the+method+of+doing+it+and+the+system+of+doing+it+which+consists+of+a+series+of+connected+components+

• The+Commissioner+of+Patents+took+an+interest+in+this

• The+initial+patent+ofYice+reaction+to+it+was:+it+was+obvious+(they+dropped+this+after+a+while)• But+they+persisted+in+the+view+that+it+was+not+patentable+subject+matter+–+this+is+just+a+series+of+steps,+it+is+

not+an+invention+

• The+Yirst+application+was+in+1998,+this+case+was+Yinally+decided+13+years+later

• The+patent+appeal+board+was+then+consulted+and+advised+the+commissioner+of+patents+that+it+thinks+this+is+not+patentable+and+the+commissioner+writes+a+Yinal+action+which+says+it+is+not+patentable

+• The+FCA+denounces+the+patent+commissioner+

• The+patent+commissioner+had+4+objections,+all+of+which+the+FC+threw+out+• Objection*1:+The+applicant+never+explained+what+the+substance+of+the+invention+is+–+the+FC+says+it+

is+wrong+to+distinguish+between+the+form+and+the+substance,+there+is+no+substance+apart+from+the+form,+FCA+agreed+with+this+• This+was+an+incorrect+demand+to+make+• The+FCA+said,+the+system+of+the+Act+is+all+geared+to+the+claims+–+it+is+the+subject+matter+of+the+

claim+that+is+the+test+–+what+is+the+claim?+• If+you+look+at+s.+28.2,+28.3,+the+obviousness+test,+it+is+worded+in+terms+of+the+subject+matter+of+

the+CLAIM+• The+CLAIM+hasn’t+been+disclosed• The+subject+matter+of+the+CLAIM+isn’t+obvious+

• So+they+say+it+makes+sense+to+treat+the+subject+matter+of+the+claim+as+the+criterion+throughout+• Therefore,*the*test*for*“is*it*patentable*subject*matter”*really*is*“is*the*subject*matter*of*

the*CLAIM,*purposively*construed*(because%there%is%case%law%that%says%you%should%endeavour%to%construe%the%claim%in%a%purposive%way,%in%a%way%that%gives%effect%to%the%purpose%of%the%patent)*patentable?”

• Does+the+claim+disclose+patentable+subject+matter?+

• So+the+commissioner+should+not+have+talked+about+the+substance+as+distinct+from+what+was+actually+in+the+claims+in+the+application+

• Objection*2:+this+is+not+an+invention+because+there+is+at+no+point+a+physical+action+upon+a+physical+object+• So+here+we+go+to+what+extent+is+that+essential?+• Even+in+the+IBM+case,+there+was+some+notion+of+a+physical+action• But+here+the+novel+part+of+it+was+not+a+new+way+of+acting+physically+on+anything,+it+was+using+

well[established+technology• The+novel+part+was+simply+the+sequence+of+steps+that+you+took+• On+this+one,+the+FC+said+that+is+not+a+requirement+of+the+act+–+the+commissioner+is+reading+too+

much+European+patent+law+• Physicality+has+nothing+to+do+with+it+• The+FC+said+the+line+is+not+between+physical+and+non[physical+but+rather+the+line+is+between+

abstract+and+practical+• Is+there+a+practical+application+being+applied+for?+• The+FCA+did+not+like+this+–+they+didn’t+agree+with+the+line+the+FC+drew+

• They+didn’t+totally+agree+with+the+TJ+on+whether+there+had+to+be+some+physical+manifestation,+that+the+invention+had+to+result+in+some+alteration+in+the+physical+world+

• On+this+one,+they+are+very+cagey(?)+


114

• They+don’t+want+to+approve+a+physicality+test+–+and+they+don’t• What+they+say+is+(paras+66–69),+they+say,+the+FC+TJ+said+• Because*a*patent*cannot*be*granted*for*an*abstract*idea,*it*is*implicit*in*the*

deeinition*of*invention*that*patentable*subject*matter*must*be*something*with*physical*existence*or*something*manifests*a*discernible*effect*or*change*(change%in%what?)*–*Blom+agrees+with+this,+though+vague+

• But+they+disagree+with+where+TJ+goes+on+to+say,+I+think+this+is+an+invention+because+it+takes+an+idea+and+applies+it+to+a+practical+purpose+(para+69)+

• If+that+is+meant+to+suggest+that+this+physicality+requirement,+which+they+seem+to+say+IS+a+requirement,+can+be+met+merely+by+the+fact+that+the+claimed+invention+has+practical+application,+then+Blom+doesn’t+agree

• In+Blom’s+view,+the+issue+is+similar+to+the+issue+in+the+context+of+patentability+of+business+methods+in+that+it+requires+consideration+of+Schlemberger+–+the+claims+in+that+case+were+not+saved+by+the+fact+that+they+contemplated+the+use+of+a+physical+tool,+a+computer,+to+give+the+novel+mathematical+formula+a+practical+application+

• So+they+are+saying,+this+is+the+same+–+you+can’t+just+make+it+an+invention+by+just+putting+it+through+a+computer+

• So+they+seem+to+agree+that+there+is+some+kind+of+physicality+requirement+although+it+is+pretty+minimal+

• And+they+say+that+is+not+satisYied+just+by+saying+you+can+do+this+with+a+computer+• So+they+have+SORT+OF+overruled+the+judge+on+one+aspect+of+what+he+said,+this+physicality+

thing,+and+they+seem+to+say+there+IS+in+fact+a+physicality+requirement+of+SOME+SORT+(a+discernible+effect+or+change)+–+although+it+is+pretty+broad+

• But+they+are+clear+in+saying+that+the+mere+fact+that+you+can+APPLY+the+idea+to+a+practical+purpose+or+in+a+practical+way+is+NOT+enough+to+make+it+an+invention+

• So$we$ask:$is+the+one[click+system+a+patentable+invention?+Because+it+really+isn’t+anything+physical+• They+don’t+say+it+is+or+is+not+a+valid+patent,+they+say+the+judge+should+not+have+

validated+the+patent,+he+should+have+simply+remitted+the+matter+to+the+commissioner+because+the+assessment+of+the+validity+of+a+patent+application+should+be+left+to+the+commissioner+who+has+the+beneYit+of+all+the+background+and+facts+

• Whereas+the+judge+was+only+dealing+with+one+particular+issue,+which+was,+is+it+patentable+subject+matter+–+but+not+with+all+the+other+things+that+a+person+needs+to+know+to+evaluate+a+patent+

• So+the+essence+of+it+is:+to+construe+the+claims,+with+full+knowledge+of+the+background+–+and+only+the+commissioner+has+that+

• SO+only+the+commissioner+should+make+the+Yinal+call+on+whether+or+not+this+is+a+valid+patent+or+not,+based+on+our+explanation+of+what+the+law+is+

• Blom+thought+the+patent+would+be+refused,+he+was+wrong• The+patent+was+approved+as+applied+for+–+no+amendments+

• Bummer+for+the+legal+community+–+they+wanted+it+to+go+the+SCC+• A+commissioner+doesn’t+have+to+explain+the+validity+of+a+patent+–+they+don’t+

need+to+give+reasons+

• Blom:+the+letter+of+the+judgment+is+actually+inconsistent+with+the+approval+of+that+patent• Because+in+those+claims+(1+and+44)+there+is+nothing+that+amounts+to+a+physical+

alteration+in+anything+• All+they+are+saying+is,+we+use+a+computer+–+big+whoop+–+that+is+just+a+sequence+of+

steps+


115

• Note:+the+other+reference+to+Shlumberger+–+the+key+thing+that+the+commissioner+will+have+to+decide+is+whether+the+invention+here+is+just+the+computer+operations+or+whether+the+computer+operations+are+a+PART+of+a+novel+combination+(para+63)+• It+is+also+arguable+that+a+purposive+construction+of+the+claims+may+lead+to+the+

conclusion+that+Schlumberger+is+distinguishable+because+a+new+one[click+method+of+completing+an+online+purchase+is+not+the+whole+invention+but+only+ONE+of+a+number+of+essential+elements+in+a+novel+combination+

• Blom$doesn’t$see$the$novel$combination$here,$but$apparently$the$commissioner$did

• Objection*3:+In+Canada,+business+methods+are+not+patentable++• FC+said+that+is+not+correct,+there+is+no+rule+in+Canadian+law+that+you+couldn’t+get+a+patent+on+a+

business+method+• FCA+agrees+with+this+• There+is+no+apriori+rule+against+it+

• The+commissioner+should+not+have+talked+about+the+exclusion+of+business+methods+

• Objection*4:+the+invention+has+to+be+scientiYic+or+technological+in+nature+• FC+said+this+is+not+true,+these+words+are+not+in+the+Act+and+the+commissioner+was+wrong+to+

import+them+into+the+act+• FCA+agrees+with+this+• Agree+that+recourse+to+words+like+scientiYic+and+technological+doesn’t+help+–+you+have+to+go+by+

the+Act+

• The+commissioner+should+not+have+talked+about+the+“scientiYic”+or+“technological”+nature+of+the+invention+

• Just$a$thought:$perhaps+we+could+allow+a+“research+right”+license+so+you+don’t+have+to+pay+royalties+if+you+are+using+the+invention+for+research+purposes+–+this+would+be+in+line+with+the+bargain+theory+(public+gets+the+beneYit+of+the+knowledge+of+the+invention

Harvard%College%v.%Canada%2002%SCC

• Straightforward+issue+• Harvard+University+had+developed+through+genetic+manipulation+

• They+take+a+piece+of+DNA+from+a+bacterium+and+splice+it+into+the+fertilized+egg+of+a+mouse+• There+is+a+particular+gene+in+the+bacterium+which+promotes+the+development+of+certain+types+of+cancer+• This+is+designed+to+enable+–+if+the+mouse+has+the+gene+spliced+into+it+at+the+egg+stage,+that+egg+is+then+

implanted+in+a+mother+mouse+and+a+genetically+modiYied+mouse+is+then+born,+grows+to+maturity+and+can+have+children+itself+

• What+you+end+up+doing+is+breeding+a+family+of+mice+that+are+susceptible+to+cancer+because+they+carry+this+genetically+modiYied+gene+

• In+the+good+old+days,+you+couldn’t+do+this,+you+could+only+interbreed+mice+that+had+a+desirable+characteristic+• Whereas+this+allows+you+to+give+the+mouse+characteristics+that+no+amount+of+cross[breeding+would+

produce+with+a+certainty+that+cross[breeding+wouldn’t+produce+–+it+is+human+manipulation+of+the+genetic+code+in+the+animal+at$the$egg$stage

• The+animal+then+develops+from+the+egg+and+carries+the+gene+and+passes+it+on+to+the+next+generation+(½+of+the+offspring)+

• The+patent+was+for+the+MOUSE+itself+which+extended+to+all+the+progeny+that+carried+the+modiYied+gene+• So+if+there+is+a+mouse+that+is+descended+from+the+original+genetic+freak,+they+have+a+patent+–+it+is+a+living+

invention+


116

• This+means+that+if+anybody+wants+to+make,+use,+or+vend+such+a+creature,+they+have+to+get+Harvard’s+okay+to+do+it+

• So+they+applied+for+this+patent+and+also+for+the+METHOD+of+producing+the+mice++–+they+got+the+patent+in+most+countries+but+the+examiner+and+patent+commissioner+didn’t+like+it+in+Canada+• You+can’t+have+a+patent+on+the+mice+

• Note:+the+patent+ofYice+years+ago+had+crossed+the+line+into+living+matter+and+said+(in+an+announcement+from+the+patent+ofYice),+they+would+accept+patents+on+UNICELLULAR+organisms+such+as+yeasts+and+molds+and+other+unromantic+substances+• They+did+this+because+the+American+law+had+moved+in+that+direction+• So*the*mere*fact*that*something*is*alive*doesn’t*make*it*nonhpatentable*–*you*can*have*an*

invention*which*is*a*yeast/algae*• But+they+had+never+gone+BEYOND+that+• That’s+why+the+commissioner+didn’t+want+to+approve+the+mouse+–+it+had+more+than+one+cell+

• But+why+the+difference?+• FCA*majority*said,*there*is*nothing*in*the*Act*that*says*you*can’t*patent*a*living*creature*• So*the*only*question*is:*Is*the*animal*(a*mouse)*a*composition*of*matter*(it’s*not*a*machine,*

it’s*not*manufactured,*but*it*is*deeinitely*a*composition*of*matter*–*mostly*of*natural*origin*but*nevertheless*been*modieied*by*human*agency)*

• Therefore,*it*is*an*invention• It+is+new+• It+is+useful+

• SCC:+5[4+split+• 5+said+you+can’t+patent+this+

• They+are+saying:+living+matter+presents+issues• If+we+are+going+to+allow+a+monopoly+on+a+living+creature,+that+presents+issues+which+the+Patent+Act+

isn’t+set+up+to+deal+with+• One$earlier$case:$on+a+genetically+cross[bred+(not+modiYied+by+genetic+manipulation)+–+a+pioneer+

hybrid+–+they+said+it+is+not+patentable+because+you+can’t+describe+how+it+is+made+with+any+assurance+• What+they+said+is:+you+take+this+rat+and+that+rat+and+cross[breed+them+• The+problem+with+this+is+that+you+may+or+you+may+not+produce+the+desired+result+• Natural+cross[breeding+produces+variations+• So+in+that+case,+they+said+you+can’t+patent+it+because+there+is+not+adequate+disclosure+–+you+

can’t+replicate+it+• So+the+majority+has+to+Yind+ways+in+which+the+Act+is+ill[suited+to+dealing+with+living+matter+

• 4+minority+said+the+statute+is+open[ended,+and+you+should+not+worry+about+the+fact+that+it+is+a+living+thing+• You+shouldn’t+read+in+a+qualiYication+that+isn’t+there

Monsanto%Canada%v%Schmeiser%2004%SCC

• Monsanto• About+plants,+so+much+less+exciting• Monsanto+genetically+modiYied+canola+to+make+it+Round+Up+resistant• Hugely+proYitable• If+you+wanted+to+grow+you+needed+to+get+a+license+fee,+and+you+were+prohibited+from+keeping+any+of+the+

grain+for+seed• Monsanto+wanted+to+be+the+sole+provider• Schmeiser+gathers,+isolates,+processes,+and+plants


117

• CAN’T+PATENT+THE+PLANT• Could,+however,+patent+the+genetic+sequence+that+gave+the+plant+the+immunity+(chimerical+gene)• Basically,+all+the+steps+from+isolating+the+gene+to+getting+it+into+the+seed• Claimed+the+plant+cells+into+which+the+gene+had+been+inserted,+and+a+method+for+regenerated+the+plant• Cover:+the+gene,+the+process+of+getting+into+the+plant,+and+the+modiYied+cell• He+used+the+cell,+so+he+infringed+the+patent• You+have+the+right+to+exclusively+make,+use,+or+vend+the+property• Used+as+he+took+special+steps+to+isolate+the+round[up+ready+canola• However,+no+evidence+that+he+took+advantage+of+it

• Court+found+that+it+had+STANDBY+VALUE• If+you+needed+to+use+it,+you+could+have,+it’s+there+just+in+case!• He+deliberated+arranged+a+bunch+of+this+canola,+and+had+it+available+to+him• Problem+with+that+is+that+if+you+have+a+patent+on+the+gene,+can+you+say+that+the+patent+extends+into+living+

organism,+and+if+you’re+using+the+living+organism+it+infringes• [Dissent]

• If+you+say+the+patent+extends+into+plant+it’s+reversing+Harvard+Mouse• Clear+law+that+if+you+use+a+small+patented+part+that+is+signiYicant+as+part+of+a+larger+thing,+it’s+

infringement• This+is+from+cases+involving+a+MACHINE• We’ve+now+essentially+said+that+patenting+the+cell+gives+a+patent+in+the+cell+in+a+living+organism,+and+

using+the+organism+itself+is+infringement,+we’re+now+saying+you+can+de+facto+patent+the+organism• This+claws+back+about+95%+of+Harvard+Mouse• No+one+can+reproduce+the+organism+without+reproducing+your+invention• However,+no+damages+as+they+suffered+none+from+the+infringement

• Harvard*Mouse*&*Monsanto*case• Both+narrow+decisions+(5[4+split),+with+Monsanto+really+doing+away+with+most+of+Harvard+Mouse• However,+YOU+HAVE+TO+STILL+USE+BOTH,+as+Harvard+Mouse+is+still+good+law

• Harvard+mouse• [Dissent]

• Nothing+in+the+act+that+excludes+living+matter• You+can+patent+single+celled+organisms,+so+this+is+just+a+difference+of+degree,+not+in+kind• You+can’t+read+into+the+act+a+limitation+that+does+not+extend+to+living+matter• It+also+doesn’t+make+sense+to+distinguish+between+some+living+matter+and+other+living+matter

• [Majority]• Long+judgment+saying+basing+this+on+construction+of+the+Act,+not+reading+things+in• If+you+look+at+how+it’s+worded,+we+think+Parliament+didn’t+intend+to+cover+living+matter• Hybrid+case:+you+can’t+patent+a+hybrid+strain• Addressed+in+Harvard+Mouse+case+with+the+Plant+Breeders’+Rights+Act

• A+mouse+is+not+manufactured,+not+a+machine,+it+must+be+a+composition+of+matter• Long+elaborate+reasoning+why+that+isn’t+an+apt+description• Suggests+it+should+be+put+together+by+human+agency• Genetic+modiYication+is+only+one+tiny+piece+of+a+larger+creation• Just+tweaking+one+small+piece+does+not+make+it+a+composition+of+matter

• Human+life+is+the+big+issue• If+you+start+offering+patents+on+living+creatures+with+genetic+modiYications,+it+won’t+be+long+until+we+

have+patents+on+human+matter+and+on+a+human+being• [Dissent]

• Against+public+policy+to+own+a+human+being,+so+don’t+worry+about+it,+it’ll+never+happen• Counter:+can+you+patent+human+matter+isolated+from+the+being

• Unicellular+versus+multicellular:+basically+workable+distinction+as+they+are+essentially+inert+substances• [Dissent]


118

• Horseshit,+be+principles+about+this• So+the+law+is+if+you+ask+for+a+patent+on+a+creature+as+a+whole,+the+answer+is+NO• If+you+ask+for+patents+on+a+genetic+modiYication+process,+or+an+egg+you’ve+essentially+made,+that+is+ok• In+some+respects,+Monsanto+creates+some+of+the+problems+Harvard+Mouse+was+trying+to+avoid• However,+remember,+the+claim+for+the+genetic+insertion+process+AND+THE+EGG+were+allowed+by+the+patent+

ofYice• Majority+says+the+egg+“appears+to+be+a+composition+of+matter”

Apotex%Inc%v%Sano,iDSynthelabo%Canada%2008%SCC

• Old+875+patent+claimed+a+wide+range+of+compounds+as+being+useful+as+anti[coagulants+• Just+like+Viagra+patent,+claiming+a+whole+family+of+compounds+(~250,000+total)• Unlike+Viagra,+no+contention+the+claim+was+invalid,+however+the+patent+had+expired• Second+patent+was+777+patent,+claiming+the+dextro[rotatory+isomer+of+a+particular+compound+that+was+

covered+in+the+old+patent• Same+compound+but+the+isomer+has+a+very+different+effect+in+the+body• Apotex+wanted+to+put+out+a+generic+version+of+the+dextra[rotary+isomer• Applied+for+notice+of+compliance• Argued+no+patent+as

• Not+novel• Obviousness

• Double+patenting+(essentially+a+rehash+of+the+not+novel+argument)• First+patent+=+genus+patent;+second+patent+=+selection+patent• Can+you+do+that?+• Law+said+yes,+provided+that+you+discovered+that+the+subset+has+an+UNEXPECTED+EXTRA+ADVANTAGE• Genus+patent+says+these+compounds+as+a+group+as+they+are+all+useful+for+a+purpose• Selection+patent+says+we+found+that+some+of+the+compounds+in+the+earlier+patent+actually+do+MORE+than+

originally+claimed• This+leads+to+the+potential+of+evergreening+your+patent,+as+it+were• Provided+that+it+is+a+GENUINELY+NEW+discovery,+then+that’s+ok• So,*did*the*earlier*patent*“anticipate”*the*selection*patent?• Did*it*disclose*the*same*invention*(that*is,*is*the*new*patent*not*novel)• Subject+matter+deYined+by+a+claim+must+not+have+been+disclosed+before+the+claim+date+other+than+the+

inventor+in+such+a+manner+that+the+subject+matter+became+available+to+the+public+in+Canada+or+elsewhere• Obviousness+was+argued+that+anyone+skilled+in+the+art+would+recognize+the+new+isomer+was+an+obvious+

extension+of+the+original+patent• Obviousness+includes+something+that+was+obvious+TO+TRY• This+is+a+slight+extension• It’s+still+obvious+that,+while+the+skilled+person+would+not+say+it’s+obvious+that+would+work+for+sure,+but+

would+say+it’s+obvious+that+it+would+likely+work+but+needs+some+testing• There+is+an+obvious+motive+for+moving+in+that+direction• You+must+distinguish,+however,+between+something+that+is+obvious+to+try+and+is+easy+to+do,+and+something+

that+would+require+a+lot+of+investigation+(even+if+it’s+obvious+that+might+be+worthwhile)• Something+that+requires+routine+experimentation+vs.+something+that+requires+research!• How+long+did+it+actually+take+to+get+from+A+to+B?• Here,+it+was+not+obvious+that+the+isomer+of+THIS+COMPOUND+was+the+one+to+try;+they+spent+a+lot+of+time+

checking+into+isomers+of+all+of+the+compounds• Invested+a+lot+of+time+and+money,+this+is+not+routine+trial+and+error• This+is+an+incremental+invention,+not+an+obvious+extension• Obvious+is+a+narrow+exception


119

Documents

Intellectual Property Outline - Cans DBcans.allardlss.com/.../Blom_Law_422_-_Intellectual_Property_Fall... · Neudorf+v+Nettwerk+Productions+Ltd+1999+BCSC+ ... (Viagra+Case)+