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How do you like your rum?

By David Pabian on February 4, 2016
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I don’t know what the record is for the longest time it has taken for a trademark application to clear the Trademark Office, but I’m pretty sure that Havana Club would medal. The application for the Havana Club mark for rum was filed on September 12, 1994. That’s 21 years ago, old enough to drink the rum behind the name.

The brand has been caught up in litigation for much of the time. Bacardi bought the rights to brand from the Arechabala family, which owned the brand until it’s company was nationalized by Cuban government after the revolution. Bacardi, another Cuban family company, had distilleries and other assets outside of Cuba. After the revolution they moved out and continued to produce in Puerto Rico.

Old Havana Club Advert

The Cuban government, through a state held company, produced Havana Club and registered the mark in the United States in 1976 based on its Cuban registration. Bacardi has been contesting the trademark since at least 1994. Due to the diplomatic situation, Cuba had to secure a license from the U.S. Treasury’s Office of Foreign Assets Control to be able to pay to renew its registration. In 2006 that license was denied and Cuba was unable to renew the license. It appears that a cancellation was never ordered and that proceedings were on hold while fights in the courts proceeded. On January 13 of this year, the Trademark Office accepted the 2006 payments and renewed the registration after the Office of Foreign Assets Control granted a license.

This brings about an interesting situation. The Cuban state held company had partnered with Pernod Ricard, another spirits maker, to sell Havana Club just about everywhere. Pernod sued Bacardi for selling Havana Club in the U.S., but Bacardi won. So, Bacardi has continued to sell Havana Club in the United States while Cuba and Pernod have produced Havana Club in Cuba and sold it everywhere else (they couldn’t sell in the U.S. because of the embargo). Now Bacardi is selling Havana Club (with the apparent blessing of courts) while Cuba holds the valid trademark registration. The likelihood of confusion is pretty high if the embargo is lifted and Pernod begins selling Havana Club in the U.S.

Havana Club

(My guess is that this one is Cuban – but only because of the stamp on the bottom)

 

On another point, there has been a lot of discussion about whether the ® symbol acts as something of a government seal of approval, mainly revolving around marks like “The Slants” and “The Redskins.” It’s fairly apparent at this point that the government has been willing to bring trademarks into its diplomacy. So, by allowing the Cuban government to register the mark of a brand that it nationalized without compensation, is the government approving of nationalization without compensation?

David Pabian

View my professional biography

An interest in technology and a tendency toward early adoption led me to write a book on the iPhone 3G shortly after graduating from college. I then spent two years in Spain teaching at a public bilingual grade school.

View my professional biography

An interest in technology and a tendency toward early adoption led me to write a book on the iPhone 3G shortly after graduating from college. I then spent two years in Spain teaching at a public bilingual grade school. While living abroad, I noticed the stark difference in advertising and branding from country to country, more greatly appreciating the importance of the likes and cultural norms of an audience. My interest in technology then steered me towards a job with a web based data management company in Chicago. While there I began to appreciate the how law and technology interact with market forces.

Law school was a natural next step for me and I soon moved up to Minneapolis to attend the University of Minnesota Law School. While there I organized a symposium on how international law has developed to take the internet account. The symposium focused on the data security, privacy, and speech implications of new national and international legal regimes.

In my free time I enjoy cooking, biking, and music. When I’m able to take enough time off, I’m often traveling nationally and internationally, or camping (the Boundary Waters in May before all the crowds is my personal favorite).

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  • Posted in:
    Intellectual Property
  • Blog:
    DuetsBlog
  • Organization:
    Winthrop & Weinstine, P.A.
  • Article: View Original Source

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