The UK Supreme Court today held that the England and Wales Court of Appeal was wrong to overturn the High Court's ruling that Sky acted in bad faith when applying for the mark SKY. The Supreme Court reinstated the High Court's finding that Sky intended to cover goods and services with specifications broader than its actual plans, calling it a 'shock' ruling that creates uncertainty for trademark applications in the UK.
Sky's registrations included a wide array of goods and services, such as 'software' in Class 9 and 'Internet portal services' in Class 38. The challenge from SkyKick focused on Sky's alleged bad faith, arguing that Sky had no intention to use the mark for the full extent of the goods and services it sought to cover, thus questioning the validity of its trademarks.
The ruling revives the conversation around the use of expansive trademark specifications in Europe, where there's no requirement to use or even intend to use a mark when filing. The courts are now considering that lack of intent may serve as evidence of bad faith in trademark applications.
The Court of Appeal's earlier decision had been seen as a relief for trademark owners and applicants relying on broad specifications to secure registrations. However, today's Supreme Court ruling undermines that comfort, leading to a potential reevaluation of trademark strategies going forward.
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