Kentex under fire anew for copying Havaianas

By: Jerome Aning - 9 years ago

Protesters display a placard bearing their appeal for victims of a deadly fire at a Kentex factory in Valenzuela City. The firm found itself in another controversy for allegedly imitating flip flops. GRIG C. MONTEGRANDE

THE COMPANY behind the slippers factory that burned down on May 13 and left more than 70 people dead in Valenzuela City is again under fire, this time for allegedly making rip-offs of a globally popular brand of footwear.

The Court of Appeals (CA) has reversed an earlier Department of Justice ruling and ordered the indictment of the officers of Kentex Corp. for trademark infringement, an allegation made by the distributor of Havaianas sandals.

In a 10-page decision dated Oct. 14, the appellate court’s Fifth Division granted the petition for review filed by Sao Paulo Alpargatas S.A. (Spasa) which sought to reverse the DOJ resolutions in May and December 2013 that cleared Kentex general manager Ong King Guan and corporate secretary Mary Grace Ching.

Spasa, a Brazil-based textile and apparel company, is the registered trademark owner of “Havaianas.” Its products are distributed in the Philippines by Terry S.A. Inc.

Spasa filed a complaint against Kentex and sought damages from the Valenzuela firm for trademark infringement, citing a violation of Republic Act No. 8293, or the Intellectual Property Code.

It alleged that the Kentex line of “Havana” sandals copied the colors and designs that are owned and registered by Spasa for Havaianas products.

The Caloocan City Prosecutor’s Office earlier dismissed Spasa’s complaint, prompting the company to file a petition for review in the DOJ. When the justice department denied the petition, Spasa went to the Court of Appeals.

The CA said then Justice Secretary Leila de Lima, now a senatorial candidate, committed grave abuse of discretion in affirming the city prosecutor’s dismissal of the complaint.

“In the present case, we are convinced that there clearly exist facts sufficient to engender a well-founded belief that the offense of trademark infringement has been committed and that private respondents [Guan and Ching] are probably guilty thereof,” the court said in the ruling written by Justice Ramon Paul Hernando.

The other division members, Justices Jose Reyes and Stephen Cruz, concurred in the ruling.

Sought for comment, Kentex lawyer Renato Paraiso said the company’s officials had yet to receive a copy of the Court of Appeals ruling.

Paraiso said the Supreme Court was already hearing another case pertaining to Havaianas, but he said he could not discuss it under the sub judice rule.