Adidas-Salomon AT v Turner

Adidas-Salomon AG, an international sports apparel company, filed a lawsuit against Turner, a local retailer, in the Federal Court of Australia. The dispute centred around the alleged infringement of Adidas’ trade marks by Turner, who was accused of selling counterfeit Adidas products. This action was a follow-up to a previous court order that had found Turner guilty of trade mark infringement. The Federal Court was required to determine the extent of Turner's liability for the continued infringement of Adidas' trade marks and to quantify the damages owed by Turner to Adidas.

The primary legal issues before the court involved the quantification of damages for the ongoing infringement of Adidas' trade marks and the determination of Turner's liability for these infringements. The court also needed to assess whether Turner's actions constituted a continuing infringement despite the previous court order. The court had to balance the need to protect Adidas' intellectual property rights against Turner's right to conduct business without undue financial penalty.

The court found that Turner continued to infringe Adidas' trade marks, despite the prior court order, by selling counterfeit products. The infringement was considered ongoing, and Turner was liable for the continued damage to Adidas' brand. The court determined that Turner should pay $2,000 in damages to Adidas. Furthermore, Turner was ordered to pay Adidas' costs incurred during the proceedings, including those reserved on specific dates and the costs of the hearing. The court dismissed the proceeding in all other respects, highlighting that the primary focus was on the continued infringement and associated damages.