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Del Monte Corporation v.

Court of Appeals, January 25, 1990

FACTS:

Del Monte Corporation is a foreign corporation and not engaged in the business in the Philippines. The said
corporation granted Philpack to, a domestic corporation, the right to manufacture, distribute, and sell in the
Philippines castsup under Del Monte trademark and logo. On 1972, Del Monte obtained two registration
certificates for its trademark Del Monte and its logo.

Sunshine Sauce Manufacturing was issued a certificate of registration to engage in the manufacture, packing,
distribution, and sale of various kinds of sauce, identified by the logo Sunshine Fruit Catsup. The product itself
contained in various kinds of bottles which were bought from junk shops for recycling, including the Del
Monte bottle.

Del Monte received reports that Sunshine was using its exclusively designed bottles and a logo confusingly
similar to Del Monte. Sunshine was warned to desist from doing but the demand had been ignored. Thus, a
complaint was filed against Sunshine for infringement trademark and unfair competition.

ISSUE:

1. WON Sunshine is liable for unfair competition.


2. WON Sunshine is liable for infringement.

HELD:

Anent the first issue, it is liable for unfair competition. Any person who shall employ deception or any
other means contrary to good faith by which he shall pass off the goods manufactured by him or in which he
deals, or his business, or services for those of the one having established such goodwill, or who shall commit
any acts calculated to produce said result, shall be guilty of unfair competition.

Side by side comparison is not the final test of similarity. Such comparison requires a careful scrutiny.
The ordinary buyer does not usually make such scrutiny. The average shopper is usually in a hurry and does not
inspect every product on the shelf. The question is whether the general confusion made by the article upon eye
of the casual purchaser who is unsuspicious is likely to result in his confounding it with the original.

In the case a bar, when Sunshine chose to use the same colors and letters as those used by Del Monte
without reasonable explanation, the inevitable conclusion is that it was done deliberately to deceive. The
predominant colors used in the Del Monte label are the same with Sunshine. The word catsup in both bottles is
printed in the same color and style. And although the logo of Sunshine is not tomato, the figure is nevertheless
approximates that of a tomato.

Anent the second issue, it is not liable for infringement. Del Monte cannot claim exclusive use of the
bottles configuration because it has not been registered in the Principal Register.

Mere registration in the Supplemental Register, and not in the Principal Register creates no
presumption of registrants ownership of the mark and his right to the exclusive use thereof.

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