Multiple John Does were sued by Mars Canada Inc. for trademark infringement and monetary losses. These John Does reportedly advertised and sold THC-infused confectionery goods online under the names King Tuts Cannabis, West Coast Supply, Shrooms Online, Flash Buds, and Sure Buds while using registered SKITTLES trademarks and packaging that resembled SKITTLES candies.
Mars filed a motion to grant the five John Does default judgement. A move for default judgement under Rule 210 of the Rules involves two issues: whether the defendant is in default and whether the plaintiff's claim and the requested remedies are supported by evidence.
Although the Federal Court partially approved the application for default judgement, Mars admitted that there wasn't enough evidence to establish one against King Tuts Cannabis.
The court stated that in order for a defendant to be in default, they must first have received notice and the deadline for serving and filing a defence must have passed. Since the defendants in this case operated online and Mars was unable to personally serve the statement of claim, Mars requested authorization for substituted service through email.
The defendants withdrew the goods after the statement was served, according to Mars, but the court dismissed this claim. According to the court's findings, the infringing product was not being advertised by West Coast and Shrooms Online at the time the statement was served.
But in the case of Sure Buds, the court found no proof of earlier contact and came to the conclusion that there wasn't enough evidence to prove default.
The sale, distribution, or advertisement of goods and services bearing a mark that is confusingly similar to another mark, where use is likely to imply that the items are connected to the owner of the registered trademark, constitutes trademark infringement under the Trademark Act.
The court determined that Mars had enough proof of infringement. The denials of West Coast, Shrooms Online, and Flash Buds came after screenshots of their websites were captured, but they did not refute the evidence that both defendants had previously marketed the items for sale, even though Mars had never given the go-ahead to do so.
The court dismissed the motion against King Tuts Cannabis and Sure Buds owing to inadequate evidence, but granted it against West Coast, Shrooms Online, and Flash Buds.
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