On Friday, June 2, 2006 the Supreme Court of Canada released its long-awaited decisions in respect of the strength and scope of famous trade-marks.

The Supreme Court has provided a clear statement as to the purpose of trademark legislation. While recognizing that many corporations now count famous brand names to be among their most valuable business assets, the Court has reaffirmed that the purpose of the Trademarks Act is to act as a guarantee of origin, as well an assurance to the consumer of the quality associated with the mark. Therefore, regardless of the commercial evolution of trademarks, the protection granted to “famous” marks is assessed on the same principles that are applied to all trademarks.

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