Teresa Scassa - Blog

Monday, 21 September 2015 07:48

Short Documentary Film Explores Quebec Trademark Law Dispute & Its Social Media Aftermath

Written by  Teresa Scassa
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It is rare that a trademark law dispute becomes the subject matter of a documentary film – rarer still when it is a Canadian case that is the focus of attention. Yet some trademark disputes transcend the legal issues that give rise to them. This is so with the case that inspired Heidi Lasi’s recent documentary titled The Oasis Affair. This short film explores the dispute between Les Industries Lassonde, Inc. (a major Quebec company that produces, among other things, OASIS brand juices) and Olivia’s Oasis, a small Quebec business producing soaps and skin care products made with olive oil.

The conflict between the two companies arose from a trademark infringement lawsuit brought by Les Industries Lassonde against Olivia’s Oasis. Lassonde argued that the Olivia’s Oasis trademark for skin care products created consumer confusion with their well-known mark OASIS for fruit juice. Not only did the defendant rebut the trademark claims, it also argued that the lawsuit against it was abusive litigation under relatively new provisions of the Quebec Code of Civil Procedure. These “anti-SLAPP” provisions are intended to discourage parties with deep pockets from using the threat of litigation either to pressure small parties to comply with their demands or to face financial ruin through costly litigation. At trial, Justice Zerbisias of Quebec’s Superior Court found not only that there was no merit to the trademark infringement suit brought by Les Industries Lassonde, Inc., she also agreed with the defendants that the suit fell within the ambit of the anti-SLAPP provisions. She awarded Olivia’s Oasis $125,000 in extra-judicial costs and punitive damages.

While accepting the trademark law outcome, Les Industries Lassonde appealed the award of damages to the Quebec Court of Appeal. [Spoiler alert: stop reading here if you want to learn how it all ends from watching the video.] This Court found that Lassonde’s motives in commencing litigation were not improper. After all, they opined, a trademark that loses its distinctiveness can no longer function as a trademark; a trademark owner must therefore take the necessary steps to preserve the distinctive character of its marks. It nullified the award of damages to the defendant.

Not only does The Oasis Affair provide an account of the litigation, it tells the remarkable story of the social media outcry that followed the Court of Appeal’s decision. In a very short space of time, Les Industries Lassonde faced an unprecedented public backlash – one that ultimately led them to compensate Olivia’s Oasis for the legal fees that had left the small company teetering on the edge of failure.

Heidi Lasi’s documentary is a crisp, engaging account of this case and its aftermath. The film leaves the viewer with an appreciation of the power of social media to create a “court of public opinion”; and suggests that the Olivia’s Oasis affair heralds an important change in how trademark holders must approach the protection of their trademarks and brands.

 

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