IPO fines 2 food firms for intellectual property violations

The Intellectual Property Office (IPO) has penalized two local food companies for violating the provisions of the Intellectual Property Code.

IPO director deneral Adrian S. Cristobal Jr. said Sehwani Inc. and Benita’s Frites Inc. were both found guilty of unfair competition and ordered them to pay In-N-Out Burger, Inc. a total of P1.2 million in damages and attorney’s fees.

In-N-Out Burger is an established US-based burger company with 93 stores in California, Nevada and Arizona. Both Sehwani and Benita’s Frites stores are located in Pasig City.

Cristobal has ordered the seizure and destruction of all the two companies’ products.

"All products of appellees including the labels, signs, prints, packages, wrappers, receptacles and materials used by them in committing unfair competition should be, without compensation of any sort, be seized and disposed of outside the channels of commerce," he said.

Cristobal said that the decision should serve as a warning to individuals and firms to strictly observe and respect the country’s intellectual property laws.

The local companies earlier appealed the decision to the Court of Appeals but their petitions were dismissed.

Cristobal issued the decision as he modified the earlier ruling of the agency’s Bureau of Legal Affairs (BLA) on the case after the American company appealed.