Order Detail

Order M/s. Ace Group of Industries (On Complaint of BMW and Harley Davidson)
brief description
Section 10
Violation: Deceptive Marketing Practices
Sector: Online retailing, venture capital
Penalty: 2,50,000
Adjudicating Members
Members: Ms. Rahat Kaunain Hassan

Background of Case:

M/s Bayerische Motoren Werke Aktiengesellschaft (‘BMW’) and M/s H-D Michigan L.L.C. (‘Harley Davidson’) (jointly referred to as ‘Complainants’) filed complaints against AGI alleging that AGI is fraudulently using its registered trademark on its products and advertising the same on its website in contravention of the provisions of Section 10 of the Ordinance. CCP upon receipt of the complaint initiated an enquiry under Section 37 to enquire into the allegation of deceptive marketing practices against the Undertaking. The Enquiry was concluded vide Enquiry Report dated 17-05-10. CCP upon recommendations of the Enquiry report issued show cause notices to AGI. It was alleged in the show cause notice that AGI vide its letter dated 06-01-2010 made an admission regarding the unauthorized/ fraudulent use of the trademarks of the Complainants on its own products, and advertising them on its website albeit purportedly committed innocently, which constitutes ‘deceptive marketing practices’ and same is capable of harming the business interest of the Complainants as well, this violates the provisions of the Section 10(1) read with 10 (2)(a) & (d) of the Ordinance.

The Order:

The Commission vide its Order dated 16-08-2010 disposed of the show cause notices issued to AGI by imposing a penalty of Rs. 2,50,000/- for fraudulently using the trademarks of BMW and Harley Davidson on its products and advertising the same on its website which tantamount to ‘deceptive marketing practices’ in terms of Section 10 of the Ordinance.

>h5>Current Status:

The Order has been complied and Penalty has been deposited with the Commission.

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