The Court of Appeal dismissed adidas’ appeal. Arnold LJ held that the trial judge made no error of law or principle and was entitled to conclude that the six registrations failed both the first and second conditions.
On the first condition, the issue was whether the registrations covered a single sign whose appearance could vary within acceptable limits, or instead a multiplicity of signs. The court said that a written description which embraces a multiplicity of signs does not satisfy the requirement of a sign.
On the second condition, the court said the register must define the sign with clarity and precision. The words used in these registrations might be clear in themselves, but their practical effect was not clear when read with the images. That distinction mattered. A phrase can be linguistically clear while still leaving the market uncertain about what the registration actually covers.
The wording saying the stripes ran along one third or more of the sleeve, side or leg was a major problem. The court accepted Thom Browne’s point that this wording allowed variability in starting points, ending points, length and position on the relevant garment area. That meant the image was not simply being explained by the wording. The wording expanded the possible scope well beyond a single pictured sign.
The court also dealt carefully with the point about unpictured variants. It did not say that any variation not shown in the image is automatically fatal. In fact, it accepted that the mere fact a mark includes a number of variations does not inevitably make it invalid, and that it is not always necessary to show variations in a series of images or marks.
But that did not help adidas on these facts. The court held that the judge was entitled to treat the existence of unpictured variants as a relevant factor when deciding whether the written descriptions went too far. The real question was whether the extent of the variation was impermissible. Here, the judge was entitled to find that it was.
adidas also argued that the judge focused too much on visual differences and not enough on whether the marks still conveyed the same origin message. The Court of Appeal rejected that criticism. It said the judge had considered that point and was entitled to reject adidas’ case that the public would always see the same mark.
The court also rejected the idea that evidence of acquired distinctiveness or use could rescue the registrations at this stage. Whether something qualifies as a trade mark within the legal definition comes first. The court treated that as logically anterior to distinctiveness.