Case Brief

SOME BY MI(莎柏蜜) is a skincare brand from South Korea. The "AHA BHA PHA" tea tree tri-acid series and "SNAIL TRUECICA" black snail series of skincare products under its name are loved by many local consumers, especially among young women. In 2016, the plaintiff LEE JI EUN incorporated a company named Perennebell Co., Ltd. in South Korea, which is the producer and operator of the SOME BY MI skincare products. In March and May 2017 respectively, LEE JI EUN applied with the CNIPA for the registration of the trademarks No. 23315134 for "SOMEBYMI", No. 24310778 for "", and No. 24311015 for "" in Class 3, and successively publicized and promoted the series of skincare products through third parties in 2018 and 2019, so that the brand has accumulated a certain degree of popularity in the field of cosmetic consumption in China.

In 2021, the plaintiff entrusted the Beijing Unitalen Law Office to conduct an investigation, in which it was found that the product packaging and decoration of "Tea Tree Acne Clearing and Whitening Toner", "Tea Tree Cleansing Bar" and other skincare products produced, sold and promoted by the defendant Shantou S.E.Z Baojie Industrial Co., Ltd. directly copied and imitated the above plaintiff's packaging and decoration designs of the tea tree tri-acid series of cosmetics and the black snail serum of "SOME BY MI/莎柏蜜" which already had relatively high popularity and influence. The defendant used labels similar to those of the plaintiff, leading to confusion and misunderstanding among consumers. Therefore, as the person benefiting from the rights and interests of the packaging and decoration of the tea tree tri-acid and the black snail serum, the plaintiff appealed to the Shantou Intermediate People's Court in Guangdong Province. The Shantou Intermediate People's Court ruled that the packaging and decoration of the tea tree tri-acid and the black snail serum claimed by LEE JI EUN constitute the packaging and decoration with certain influence and that the act of S.E.Z Baojie Industrial Co., Ltd. in producing and selling the tea tree tri-acid and the black snail serum constitutes unfair competition. As the compensation amount did not meet the plaintiff's expectations, the plaintiff later appealed to the High People's Court of Guangdong Province, which made a ruling of upholding the first instance ruling ultimately.

Comparison of packaging and decoration

Case Analysis

One of the difficulties of the case is whether LEE JI EUN is the qualified plaintiff of the case. In the first and second judgments, both the Shantou Intermediate People's Court and the High People's Court of Guangdong Province determined that LEE JI EUN, as the right holder of rights and interests of two distinctive decorative and commercial labels in China, had the right to file a separate lawsuit against the infringement act. Therefore, LEE JI EUN is the qualified plaintiff in both cases.

Another difficulty of the case is the determination of constituting unfair competition act of the unauthorized use of another person's packaging and decoration with certain influence. The courts of the two instances determined that the act of S.E.Z Baojie Industrial Co., Ltd. in producing and selling the tea tree tri-acid series products and the black snail serum constitutes unfair competition under the provision of "using without permission a label identical or similar to the name, packaging or decoration, among others, of another person's commodity with certain influence" of Article 6.1 of the Anti-Unfair Competition Law, and the defendant shall assume the corresponding civil liability.

Typical Significance

The Anti-Unfair Competition Law, as a behavioral law regulating the business activities of market subjects, is not a subjective law focusing on the special protection or restriction of certain types of subjects. In order to avoid giving the knockoff brands a chance, enterprises, while attaching great importance to the trademarks, should also pay attention to the packaging and decoration of products. For example, in the beginning of business cooperation or putting the products on the market, enterprises should sign the authorization document, save the sale data, and take other measures to make plans ahead so as to improve the chances of winning the lawsuit in rights protection.