The long-awaited changes in the approach of our judicial system to recovery of damages!

 

Article 44 of the Law of the Republic of Kazakhstan "On Trademarks, Service Marks and Appellations of Origin" provides for the duty of a person who misuses a trademark to reimburse a trademark owner the damages incurred.

 

However, in practice, the court seldom decides to recover the incurred damages from the Defendant. If such decisions were ever made, usually it concerned scanty amounts.

 

The Kazakhstan Company imported the motor oil bearing "Mobil" trademark to the territory of Kazakhstan without a permission of the right holder. We, as representatives of Exxon Mobil Corporation, filed a lawsuit with the court to recognize the activities of Cap Distribution LLP for import products bearing the Mobil trademark as illegal and recovery damages from the Defendant in the amount of 16, 821, 460 KZT (approximately 50, 213 USD).

 

The court decided to satisfy the claim under the lawsuit, namely:

       - To recognize as illegal the activities of Cap Distribution LLP for import the products bearing the Mobil trademark to the territory of the Republic of Kazakhstan;

     - To recover in favor of Exxon Mobil Corporation from Cap Distribution LLP a compensation of damages in the amount of 16,821,460 KZT (approximately 50,213 USD).

    - To recover from the "Cap Distribution" LLP compensation of litigation costs of 508,960 KZT (approximately USD1519) in favor of Exxon Mobil Corporation.

 

By decision of the Court of Appeal for Civil Cases of the Almaty City Court of November 13, 2017, the decision of the first instance was left unchanged.

 

The decision of the appellate court came into force. Currently, the enforcement proceedings are being conducted.