End of the line: Federal Court finds Subway's trademark rights infringed by cannabis retailer

Smart & Biggar partner Graham Hood outlines key takeaways and lessons for cannabis producers considering brand parodies in this article originally featured in the IP Litigator, September/October 2021 issue: Volume 27, Number 5.

Earlier this year, the Federal Court issued its decision in Subway IP LLC v Budway, Cannabis & Wellness Store 2021 FC 583, a case involving a cannabis retailer that knowingly adopted a parody mark in connection with its business. This case was no laughing matter for the plaintiff, Subway IP LLC (Subway), or for the Court which ruled in favor of Subway, and awarded the plaintiff permanent injunction relief, damages and over 80% of its costs. This case demonstrates not only the expeditious relief available to brand owners in Canadian trademark litigation, but also the serious consequences for cannabis companies that (foolishly) adopt parody marks to piggyback on the goodwill and reputation of established brands.

Read more about the case and how to avoid similar issues in our original IP Update "End of the Line: Federal Court finds Subway’s trademark rights infringed by cannabis retailer that adopted “Budway” parody mark" or download the PDF of the article as it appeared in IP Litigator.

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This summary and the PDF of the full article have been published with permission from the original publisher.