Businessman Terence Kare, founder of Chitaitai Chemicals, finds himself entrenched in a legal quagmire with his former business associates over the ownership and usage rights of a trademark pivotal to their shared enterprise.
At the heart of the dispute lies the registration of the trademark, which currently bears Mr. Kare’s name. While both parties acknowledge this fact, contention arises over whether the trademark rightfully belongs to Mr. Kare individually or to the company collectively.
Chitaitai Chemicals, specializing in the production of industrial and household chemical products, asserts that the trademark should have been registered under the company’s name rather than that of an individual office bearer. Mr. Kare, however, maintains that since the registration stands in his name, he holds exclusive ownership of the trademark.
The rift deepened when Mr. Kare, amidst irreconcilable disagreements in the boardroom, resigned from his directorship and established a competing venture within the same industry. Following his departure, he revoked the company’s authorization to utilize the trademark, citing his sole entitlement to its use.
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In response, the company, now under the leadership of Mr. Kare’s former partners, persisted in employing the trademark, prompting Mr. Kare to seek legal recourse. He petitioned the High Court to compel the company to cease using the trademark, asserting his exclusive right to its utilization.
In his legal submissions, Mr. Kare emphasized that the registration certificate explicitly identifies the trademark as belonging to him, and he withdrew consent for its usage upon his resignation from the company. He contends that the company’s continued use of the trademark without his authorization constitutes a breach of his legal entitlements.