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13 April 2007 / Denise Mcfarland
Issue: 7268 / Categories: Features , Competition , Commercial
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Trade marks up in smoke

Mastercigars has unravelled the complexities of parallel importation, says Denise McFarland

A recent Court of Appeal decision in which the issue of parallel importation of trade marked goods was reviewed has resulted in a decision packed with common sense and demystification of a complex area of EU law. The judgment was handed down on 8 March 2007 in Mastercigars Direct Ltd v Hunters & Frankau Ltd [2007] EWCA Civ 176, [2007] All ER (D) 132 (Mar). The goods in issue were consignments of habanos, which are hand-made Cuban cigars. It was alleged at trial that the consignments were counterfeit, and amounted to trade mark infringement, as unlawful parallel imports.

 At first instance [2006] EWHC 410 (Ch), [2006] All ER (D) 159 (Mar), Judge Michael Fysh QC, sitting as a High Court judge, gave a lengthy judgment. The trial lasted 16 days. Judge Fysh concluded that the major part had been dealing with the counterfeit issues. These allegations were dismissed and were not the subject of any appeal.

Practical decision

The question of consent within the meaning of Arts 5–7 of the

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