Cherkizovo is demanding more than 500 million rubles for the illegal use of its trademark

Cherkizovsky Meat Processing Plant (CHMPZ) has appealed to the Arbitration Court of the Moscow Region with a demand for compensation of 548.6 million rubles from meat producer Tsaritsyno. The plaintiff claims that Tsaritsyno has been illegally using the trademark "Gubernsky" on their products, which is owned by CHMPZ.

The calculation for compensation is based on double the value of products produced by Tsaritsyno during the period of infringement. Both parties are currently negotiating a possible settlement.

The court's decision to satisfy the plaintiff's claims could lead to the defendant's bankruptcy. Roman Lukyanov, managing partner of Semenov & Pevzner, notes that in practice, courts often only partially satisfy the requirements in such cases. Sergey Zuykov, managing partner at Zuykov and partners, emphasizes that the final decision depends on the specific circumstances of each case: "Claims can be satisfied fully or significantly less than what the plaintiff originally requested."

Both Lukyanov and Zuykov believe that a peaceful resolution is preferable to a prolonged legal battle. According to Zuykov, this approach reduces the risks for both parties (the plaintiff might receive significantly less compensation or even lose the case, while the defendant might lose the case entirely and face claims for an unaffordable amount).

A similar case regarding the claim by the CHMPZ for infringement of the exclusive rights (to the trademark "Borodinskaya") against the agricultural company "Ariant" occurred in 2022. Initially, the CHMPZ demanded 120 million rubles, but the parties reached an agreement: the defendant acknowledged the infringement and pledged to compensate (the amount was not disclosed). In addition, a lawsuit by the CHMPZ against the Kungursky meat processing plant regarding a similar infringement is currently pending.

Source: Vedomosti