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T-3212-82
Harlequin Enterprises Limited (Appellant)
v.
Registrar of Trade Marks (Respondent)
Trial Division, Mahoney J.—Ottawa, June 27 and July 8, 1983.
Trade marks — Practice — S. 56 appeal from Registrar's decision deeming application for registration of "Harlequin Superromance" for use in association with "printed publica tions, namely books" abandoned for default of prosecution pursuant to s. 35 — Appeal allowed — Appellant not in default of prosecution of application for refusing to disclaim right to exclusive use of word "Superromance" apart from trade mark as required by Registrar — Registrar to resume consideration of application on basis that his treating it as abandoned nullity — Scheme of Trade Marks Act entitling applicant to registration of registrable mark — Applicant entitled as of right to decision whether trade mark registrable — Appeal improper remedy as Registrar not having made decision giving rise to right of appeal under s. 56 — Proper remedy under s. 18 Federal Court Act — Court cannot reverse Registrar's decision because would be disposition of appeal from decision not made — S. 36(1) requiring decision of Registrar that not satisfied trade mark not registrable, before ordering Registrar to permit continued prosecution of applica tion and its acceptance for advertisement in Trade Marks Journal — Court entitled to decision of Registrar taking account of evidence before being itself required to decide Trade Marks Act, R.S.C. 1970, c. T-10, ss. 12(1)(b), 34, 35, 36, 56 — Federal Court Act, R.S.C. 1970 (2nd Supp.), c. 10, s. 18.
COUNSEL:
N. R. Shapiro, Q.C. and A. J. Finlayson for appellant.
Y. Perrier for respondent.
SOLICITORS:
Shapiro & Cohen, Ottawa, for appellant.
Deputy Attorney General of Canada for respondent.
The following are the reasons for judgment rendered in English by
MAHONEY J.: This is an appeal under section 56 of the Trade Marks Act,' from a purported decision of the Registrar of Trade Marks in the course of dealing with the appellant's application to register "Harlequin Superromance" for use in association with "printed publications, namely books". It was heard together on common evidence with two other appeals from identical decisions for registration of "Harlequin Superromance" & dia mond design and "Harlequin Superromance" design shown as A and B respectively below. 2 The issue is identical in each appeal and concerns the word "Superromance".
The respondent required the appellant, pursuant to section 34 of the Act, to disclaim the right to the exclusive use of the word "Superromance" apart from the trade mark in compliance with paragraph 12(1)(b). The appellant refused to comply with the requirement. On March 8, 1982, the respondent rendered the following decision:
It is my opinion that the word SUPERROMANCE when used in association with "printed publications, namely books" clearly indicates to the prospective consumer that the subject of the books are in the area of romance, are of the super type, and surpass all or most others of its kind.
Since applicant has failed to comply with the requirements of Section 34 of the Trade Marks Act, the application is deemed to be abandoned pursuant to Section 35 of the Act.
The respondent did not refuse the application; he deemed it to be abandoned.
The pertinent provisions of the Act are:
' R.S.C. 1970, c. T-10.
2 Court files T-3213-82 and T-3214-82.
34. The Registrar may require the applicant for registration of a trade mark to disclaim the right to the exclusive use apart from the trade mark of such portion of the trade mark as is not independently registrable, but such disclaimer does not preju dice or affect the applicant's rights then existing or thereafter arising in the disclaimed matter, nor does such disclaimer prejudice or affect the applicant's right to registration on a subsequent application if the disclaimed matter has then become distinctive of the applicant's wares or services.
35. Where, in the opinion of the Registrar, an applicant is in default in the prosecution of an application filed under this Act or any Act relating to trade marks in force prior to the 1st day of July 1954, the Registrar may, after giving notice to the applicant of such default, treat the application as abandoned unless the default is remedied within the time specified in the notice.
The essence of the scheme of the Trade Marks Act is that an applicant for registration of a trade mark is entitled, as of right, to secure that regis tration if the trade mark is registrable. An appli cant is entitled, as of right, to a decision whether or not the trade mark is registrable and that necessarily implies that he has a right to require that the Registrar deal with the trade mark for which registration is sought. The Registrar may require a disclaimer but the applicant, doubtless aware of the consequences, is entitled to refuse to comply. He is quite within his rights to invite a refusal of his application by declining to disclaim and to take his chances on appeal rather than be coerced into a disclaimer he does not wish to make. He may thereby get the registration he wants. If the appeal is not successful, he can always apply again with the disclaimer. All it costs is time and money.
The refusal by the appellant to accede to a requirement that he disclaim was an improper basis on which to form the opinion that it was in default in the prosecution of its application. It was an opinion founded on a fiction of which the respondent was clearly aware. The appellant was not in default in the prosecution of its application; it was insisting, as it had every right to do, that the respondent deal with the trade mark whose regis tration was sought. In treating the application as abandoned, the respondent made no decision. The applicant's [appellant's] remedy, in the circum stances, was properly to be found in section 18 of
the Federal Court Act,' not in an appeal under section 56 of the Trade Marks Act.
The relief sought in this appeal is:
A. To reverse the decision of the Registrar of Trade Marks, and hold that the word SUPERROMANCE is independently registrable and does not offend the provisions of section 12(1)(b) of the Trade Marks Act.
B. To order the Registrar to permit the continued prosecution of Application No. 455,313, and its acceptance for advertise ment in the Trade Marks Journal.
Counsel agreed to the hearing of the appeal pro ceeding on the basis that a refusal to comply with a request to disclaim does constitute a default under section 35. The order that the Registrar permit the continued prosecution of the applica tion is tantamount to the relief the appellant would have obtained had it proceeded under section 18 of the Federal Court Act. I have no difficulty with it. However, the relief sought under paragraph A would be a disposition of an appeal from a decision that has not been made. Likewise, advertisement of the application in the Trade Marks Journal requires, as a condition precedent prescribed by subsection 36(1) of the Act, a determination by the respondent that he is not satisfied that the trade mark is not registrable, again a determina tion that has not been made. While it seems clear that the respondent would have refused the application on the grounds set forth in the first paragraph of his "decision" quoted above, it remains that he did not.
I reluctantly heard counsel on the subject of the relief sought under paragraph A. The more I consider what I heard, the more convinced I am that my reluctance was well founded. Regardless of how clear the decision probably to have been made appears, and notwithstanding the apparent acquiescence of counsel for the respondent that this be disposed of as if it were a proper appeal on the registrability of "Superromance" under para graph 12(1)(b), the decision giving rise to a right of appeal under section 56 has not been made. Until it is, and assuming it to be a refusal, no appeal lies.
3 R.S.C. 1970 (2nd Supp.), c. 10.
It is axiomatic that, on an appeal, the Court will attach considerable weight to the Registrar's deci sion. A corollary to that proposition is that the Registrar's decision is important to the Court in a practical sense as well as a legal prerequisite. The Court and public, as well as the parties, have a stake in the ultimate decision in a system of juris prudence where precedents are law. There is con siderable evidence now available that was not when the respondent indicated his intention. The Court is entitled to his decision, taking account of that evidence, before being required itself to decide.
Had this been an application under section 18 of the Federal Court Act, I should have made an order in the nature of mandamus and awarded the appellant its costs. As it is, the costs actually incurred obviously bear no relationship to such a summary application. An order will issue directing the respondent to resume consideration of the application on the basis that his treating it as abandoned was a nullity. The appellant should have the opportunity to submit such additional material as it may be advised in support of its application. Copies of these reasons for judgment will be filed in and form part of the record of actions T-3213-82 and T-3214-82.
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