Malaysia: Collecting information and insight not trade mark use

Managing IP is part of Legal Benchmarking Limited, 1-2 Paris Gardens, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Malaysia: Collecting information and insight not trade mark use

In Philip Morris Brands Sarl v Rothmans Brands Sdn Bhd & Anor, the court held that collating information and gathering insights does not amount to "use" under the Trade Marks Act 1976 (TMA).

The case related to expungement of the defendant's marks for the word Parliament and the three logos (shown above), all registered for tobacco products and smokers articles in Class 34. The plaintiff, as an aggrieved party, has made an application to expunge the defendant's Parliament marks on grounds that there was no use in good faith by the defendant pursuant to section 46(1)(b) of TMA.

cigs

The plaintiff has established that it is an aggrieved party by virtue of its worldwide use of the Parliament mark with the intention of expanding its business in Malaysia under the same mark.

In establishing non-use, the plaintiff relied upon investigation reports and information obtained from the defendant's website including annual report of the BAT Malaysia and BAT Malaysia's price list report. The judge held that this information is sufficient to establish prima facie non-use and that there is no requirement in law that requires the plaintiff to conduct a market survey.

The first defendant's only evidence of use of the Parliament marks was the launch of cigarettes bearing the Parliament mark in January 2008 and sales of 8½ cartons. The first defendant contended that it has made a commercial decision to temporarily halt the sale of cigarettes bearing the Parliament mark to review and revise its launch strategy. As the application to expunge was made on April 9 2014, the use in January 2008 is beyond the relevant statutory period which is between March 9 2011 and March 9 2014.

The defendant contends that it has used the Parliament mark during the statutory period by way of conducting research and development to ensure the commercial success of Parliament cigarettes. The judge held that "studying and collating information" and "gathering insights" for purposes of a revised launch plan does not amount to use of the Parliament mark. Section 3(2) of the TMA and the case of Godrej Sara Lee v Siah Teong Teck & Anor (No 2) [2008] 7 CLJ 24 provide that use of a mark must be physical use and would include affixing the mark to goods or advertising material.

In Lam Soon Edible Oil v Hup Seng Perusahaan Makanan (M) Sdn Bhd [2010] 5 CLJ 975, the judge had similarly considered the issue of continuous development, research and collation of information during the relevant statutory period when considering the question of use. The judge in the present case however distinguished this case with that of Lam Soon as there was continuous advertising, finalisation of packaging artwork and acquisition of raw materials of goods during the statutory period which were absent in the present case.

The judge further held that the defendant cannot rely on the special circumstances of non-use under section 46(4) of the TMA on the basis that the Control of Tobacco Products Regulations prohibits tobacco advertising. The defendant had made a commercial decision to halt sales of the cigarettes bearing the Parliament marks for purposes of collating information and gathering insights hence it is concluded that there is no physical use by the defendant.

The Court's decision affirms that use under the TMA must be in relation to physical use of a mark and merely collating information, conducting research and development for commercial strategy is not sufficient to prevent expungement on the basis of non-use.

teng

Chew Kherk Ying

Woo Wai Teng


Wong & PartnersLevel 21, The Gardens South Tower, Mid Valley City, Lingkaran Syed Putra59200 Kuala LumpurMalaysiaTel: +603 2298 7888Fax: +603 2282 2669www.wongpartners.com

more from across site and SHARED ros bottom lb

More from across our site

News of prison sentences for ex-Samsung executives for trade secrets violation and an opposition filed by Taylor Swift were also among the top talking points
A multijurisdictional claim filed by InterDigital and a new spin-off firm in Germany were also among the top talking points
Duarte Lima, MD of Spruson & Ferguson’s Asia practice, says practitioners must adapt to process changes within IP systems, as well as be mindful of the implications of tech on their practices
Practitioners say the UK Supreme Court’s decision could boost the attractiveness of the UK for AI companies
New awards, including US ‘Firm of the Year’ and Latin America ‘Firm to Watch’, are among more than 90 prizes that will recognise firms and practitioners
DWF helped client Dairy UK secure a major victory at the UK Supreme Court
Hepworth Browne led Emotional Perception AI to victory at the UK Supreme Court, which rejected a previous appellate decision that said an AI network was not patentable
James Hill, general counsel at Norwich City FC, reveals how he balances fan engagement with brand enforcement, and when he calls on IP firms for advice
In the second of a two-part article, Gabrielle Faure-André and Stéphanie Garçon at Santarelli unpick EPO, UPC and French case law to assess the importance of clinical development timelines in inventive step analyses
Public figures are turning to trademark protection to combat the threat of AI deepfakes and are monetising their brand through licensing deals, a trend that law firms are keen to capitalise on
Gift this article