§ Clause 17, pages 21 and 22, leave out Clause 17 and insert the following new clause:
§ Infringement of trade 'nark by breach of certain restrictions.
§ ("—(1) Where, by a contract in writing made with the proprietor or a registered user of a registered trade mark, a purchaser or owner of goods enters into an obligation to the effect that he will not do, in relation to the goods, an act to which this section applies, any person who, being the owner for the time being of the goods and having notice of the obligation, does that act, or authorises it to be done, in relation to the goods in the course of trade or with a view to any dealing therewith in the course of trade, shall be deemed thereby to infringe the right to the use of the trade mark given by the registration thereof, unless that person became the owner of the goods by purchase for money or money's worth in good faith before receiving notice of the obligation or by virtue of a title derived through another who so became the owner thereof.
§ (2) The acts to which this section applies are—
- (a) the application of the trade mark upon the goods after they have suffered alteration in any manner specified in the contract as respects their state or condition, get-up or packing;
- (b) in a case in which the trade mark is upon the goods, the alteration, partial removal or partial obliteration thereof;
- (c) in a case in which the trade mark is upon the goods, and there is also thereon other matter, being matter indicating a connection in the course of trade between the proprietor or registered user and the goods, the removal or obliteration, whether wholly or partially, of the trade mark unless that other matter is wholly removed or obliterated;
- (d) in a case in which the trade mark is upon the goods, the application of any other trade mark to the goods;
- (e) in a case in which the trade mark is upon the goods, the addition to the goods of any other matter in writing that is likely to injure the reputation of the trade mark.
§ (3) Subsection (2) of Section sixteen of this Act shall not apply to an act that is deemed by virtue of this section to be an infringement of a trade mark registered in Part B of the Register.
§ (4) In this section references in relation to any goods to the proprietor, to a registered user, and to the registration, of a trade mark shall be construed, respectively, as references to the proprietor in whose name the trade mark is registered, to a registered user who is registered, and to the registration of the trade mark, in respect of those goods, and the expression 'upon' includes in relation to any goods a reference to physical relation thereto.")
§ LORD TEMPLEMOREMy Lords, this new clause empowers the proprietor of a registered trade mark, or a registered user thereof, to impose certain restrictions on the way in which the trade mark 372 may be dealt with after it has gone into trade on his goods—and this in order to protect the reputation of the trade mark and of the goods bearing it. I beg to move.
§ Moved, That this House doth agree with the Commons in the said Amendment.—(Lord Templemore.)
§ On Question, Motion agreed to.