BioSteel alleged that Cizzle’s Cwench products copied its hydration drinks in flavors, packaging, and slogans, amounting to "passing off" on BioSteel's goodwill.
BioSteel sought an injunction to stop Cwench’s sales and marketing.
Legal Issues:
Passing Off: Plaintiffs needed to prove (i) goodwill associated with BioSteel’s product look, (ii) misrepresentation causing consumer confusion, and (iii) potential damage.
Injunction: The court examined whether there was a strong prima facie case, potential irreparable harm, and a balance of convenience.
Ruling:
Goodwill: The court found no evidence that BioSteel’s packaging was uniquely distinctive since the elements (flavors, colors) were standard in the industry.
Misrepresentation: Similarities were seen as common industry features, not deliberate copying.
Confusion: The evidence (social media comments) did not convincingly show consumer confusion.
Irreparable Harm: BioSteel did not prove it would suffer harm that couldn't be compensated by damages.
Balance of Convenience: An injunction would harm Cwench more than any unproven harm to BioSteel.
Outcome:
The injunction was denied. BioSteel was ordered to pay Cwench’s legal costs of $109,888.31.
