Vilniaus Degtine
Notification on material event

Court Decision: none of producers is granted exclusive rights to “999” trademark

Vilnius, Lithuania, 2016-05-26 11:48 CEST -- The Supreme Court of Lithuania (SCL) passed the decision establishing the essential circumstance in the dispute of Vilniaus degtinė with the other manufacturer of alcoholic drinks Stumbras. According to the Court, neither manufacturer should be granted exclusive rights to 999 sign, which is digital version of the protected geographical indication 'trejos devynerios' ('three nines'). The SCL rejected the complaint lodged by Stumbras and maintained in force the decision adopted by the Lithuanian Court of Appel in last November, abolishing the registration of the verbal version 999 trademark for Stumbras, recognising the 999 sign as unprotected element in majority of trademarks held by Stumbras, AB.

The initiator of the litigation Vilniaus degtinė has been producing Trejos devenerios bitter and using the 999 sign for over 60 years, while Stumbras having registered the 999 sign in the State Patent Bureau in 2006 demanded for cancellation of its use. But the final decision of the court abolished the registration of the 999 sign and it was recognised as unprotected element of trademarks.

Representatives of Vilniaus degtinė noted that by the Regulation (EC) No. 110/2008 of the European Parliament and of the Council of 15 January 2008 Trejos devynerios (Lithuania) was included into the geographical indications (30th position: Bitter-tasting spirit drink or bitter). Thus, nobody has and may have exclusive rights to this geographical indication in terms of trademark law.

The SCL noted in its decision that the 999 sign by the history of its use is to be associated in particular with Trejos devynerios spirit drink, i.e. with the production of this exclusive Lithuanian spirit drink which cannot be taken over by a specific manufacturer.

'Considering the above-stated, the conclusions that no exclusive rights to the digital version 999 of this verbal combination Trejos devynerios (protected geographical indication, as mentioned above – bitter-tasting spirit drink / 'bitter') should be granted to one manufacturer are to be approved. In such event, economic entities could use the 999 element in different graphical expressions and on different labels, but nobody should have exclusive rights to this element in terms of trademark law for products, to mark which contested trademarks are registered. Application of this restriction to bitters only would be artificial and would not comply with the essence of this dispute between the parties, since the 999 sign is to be associated with the Trejos devynerios spirit drink and its production technology', the SCL stated.

Vilniaus degtinė manufacturers Trejos devynerios bitter according to the traditional formula of 27 herbs.