Business Report
By Florence de Vries
Another local entrepreneur has fallen foul of the stringent Fifa advertising regulations and now faces the possibility of paying tens of thousands of rands in legal fees.
Cape Town businessman Grant Abrahamse registered his design for a keyring holder, with the year "2010", a vuvuzela and a soccer ball on it, with the Companies and Intellectual Property Registration Office (Cipro) in 2004. Fifa has taken legal action against Abrahamse and wants the registration to be cancelled as it infringes on its rights.
Using designs bearing the words "World Cup 2010" or variations thereof are not negotiable, says Owen Dean, an attorney from law firm Spoor Fisher, representing Fifa's intellectual property interests. "It is unlawful because it constitutes passing off goods under the common law suggesting that there is a connection with Fifa and its sponsors," Dean said.
At least three civil cases of alleged ambush marketing thought to be in contravention of Fifa's rights to the World Cup trademark have been heard in South Africa since Fifa president Sepp Blatter announced in 2004 that the country would host the event.
In April this year Fifa won a court judgment against Pretoria sports bar Eastwoods Tavern for carrying the writing "World Cup 2010" below the main signage on its roof. Fifa obtained a judgment with costs against Eastwoods.
Another case, involving retail giant Metcash, a subsidiary of Massmart, distributing lollipops labelled "Astor 2010 pops", is pending at the North Gauteng High Court.
Abrahamse said he had approached Fifa to ask that the keyring case be settled without litigation, but to no avail. He now faces having to pay Fifa's legal costs, which amount to R150 000. The case continues in the North Gauteng High Court.
Victor Williams, an attorney at law firm Hahn and Hahn, believes Fifa's regulations are not well thought through and do not allow South Africans the opportunity to gain from the World Cup event.
"What about a guesthouse owner who wants to advertise accommodation for the event?"
However, Dean argued that Fifa had registered the words "World Cup Soccer 2010" soon after the 2004 announcement, making the football federation the sole owners of the words and variations thereof.
Fifa's official sponsors, which include MTN, McDonald's and FNB, are the key beneficiaries of these measures as they pay millions of rands in sponsorship fees allowing them the use of Fifa's trademark.
Dean said guesthouses could advertise their businesses without calling it "2010 accommodation".
He said traders who were in contravention might face steep penalties ranging from R10,000 to at least three years in prison.
The wheel turns. While money is power and the powerfull prevent anyone other than themselves benefiting from a world cup event, I will not support or promote anything that will strengthen them further. Bullying tactics will one day turn their means of income against them. Many have searched ways of benefitting from this event, but only the already wealthy have access to the benefits.
Posted by: Kevin | September 14, 2009 at 14:03