CAT dismisses Neucon Pakistan's appeal in trademark fraud case

July 23, 2024 (MLN): The Competition Appellate Tribunal (CAT) has dismissed the appeal filed by Neucon Pakistan, affirming the decision of the Competition Commission of Pakistan (CCP) regarding fraudulent use of trademark and labelling and packaging.

The CCP issued a Show Cause Notice to Neucon Pakistan after receiving a formal complaint from Ferozsons Laboratories Limited, the authorized distributor of Biofreeze Gel and Spray in Pakistan, a product originally developed by USA-based Performance Health Inc.

Ferozsons alleged that Neucon was marketing a deceptively similar product under the name 'BYQFREEZ,' mimicking the trademark, packaging, and labeling of Biofreeze.

Following a comprehensive inquiry, the CCP confirmed that Performance Health Inc. is the rightful owner of the Biofreeze trademark and that Ferozsons was the only registered distributor in Pakistan.

As Neucon lacked the authorization to use the Biofreeze trademark, the CCP imposed a penalty of Rs2.5 million on Neucon Pakistan for violation of the Competition Act, 2010.

Neucon subsequently challenged the CCP’s order in an appeal before the CAT. However, the Tribunal dismissed the appeal on May 21, 2024.

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