Date: 20120221
Docket: A-75-11
Citation: 2012 FCA 60
CORAM: BLAIS
C.J.
NADON
J.A.
DAWSON J.A.
BETWEEN:
ONTARIO TEACHERS PENSION PLAN BOARD
Appellant
and
THE ATTORNEY GENERAL OF CANADA
Respondent
REASONS FOR JUDGMENT
NADON J.A.
[1]
This is an
appeal from a judgment of Mandamin J. of the Federal Court (the “Judge”), 2011 FC 58,
dated January 18, 2011, wherein he dismissed the appellant’s appeal from a May 8, 2009
decision of the Registrar of Trade-marks (the “Registrar”) who determined that
the trade-mark TEACHERS’ (the “trade-mark”) was unregistrable because it was
clearly descriptive of the character of the appellant’s services. In so
concluding, the Registrar relied on paragraphs 12(1)(b) and 37(1)(b)
of the Trade-marks Act, R.S.C. 1985, c. T-13 (the “Act”).
[2]
The main
issue raised by this appeal is whether the Judge erred in concluding that the
trade-mark was clearly descriptive pursuant to paragraph 12(1)(b) of the
Act.
The Facts
[3]
The
appellant is the Ontario Teachers’ Pension Plan Board which administers the
Ontario Teachers’ Pension Plan, the largest single-profession pension plan in Canada. At the end of 2008, the
appellant administered the pension benefits of Ontario’s 173,000 elementary and secondary
school teachers and 11,000 pensioners.
[4]
On June 20,
2002, the appellant filed in the Canadian Intellectual Property Office application
1,144,430 to register the trade-mark in association with services described as the
“[a]dministration of a pension plan, management and investment of a pension
fund for teachers in Ontario”.
[5]
On April
29, 2003, the Registrar, acting through a Trade-marks Office examiner, informed
the appellant that the trade-mark was unregistrable because it was “either
clearly descriptive or deceptively misdescriptive of the character of the
services in association with which it is intended to be used, since it clearly
describes that it is a pension fund for teachers”. In formulating that view,
the examiner relied on paragraph 12(1)(b) of the Act.
[6]
There followed,
over a period of approximately six years, several exchanges of correspondence
between the Registrar and the appellant which led the Registrar to conclude, on
the basis of paragraphs 12(1)(b) and 37(1)(b) of the Act, that
the trade-mark was not registrable. As a result, the Registrar rejected the
appellant’s application for registration of the trade-mark. More particularly,
the Registrar was of the view that the trade-mark was clearly descriptive of
the character of the pension plan administration services offered by the
appellant and therefore was not registrable under the aforesaid provisions. In
the Registrar’s opinion, the trade-mark was “an apt trade term for describing
the intrinsic character of the administration, management and investment of a
plan/fund for teachers and, as such, should be left available for others to
use, since descriptive words are the property of all and cannot be appropriated
by one person for their exclusive use”.
[7]
On July
23, 2009, the appellant appealed the Registrar’s decision to the Federal Court.
Relevant Legislation
[8]
The
following provisions of the Act are relevant for the purposes of determining
this appeal:
12. (1) Subject to section 13, a
trade-mark is registrable if it is not
…
(b) whether depicted, written or
sounded, either clearly descriptive or deceptively misdescriptive in
the English or French language of the character or quality of the wares or
services in association with which it is used or proposed to be used or
of the conditions of or the persons employed in their production or of their
place of origin;
37. (1) The Registrar shall refuse
an application for the registration of a trade-mark if he is satisfied
that
(a) the application does not conform to
the requirements of section 30,
(b) the trade-mark is not
registrable, or
(c) the applicant is not the person
entitled to registration of the trade-mark because it is confusing with
another trade-mark for the registration of which an application is pending,
and where the Registrar is not so
satisfied, he shall cause the application to be advertised in the manner
prescribed.
56. (1) An appeal lies to the Federal
Court from any decision of the Registrar under this Act within two months
from the date on which notice of the decision was dispatched by the Registrar
or within such further time as the Court may allow, either before or after
the expiration of the two months.
(2) An appeal under subsection (1)
shall be made by way of notice of appeal filed with the Registrar and in the
Federal Court.
(3) The applicant shall, within the
time limited or allowed by subsection (1), send a copy of the notice by
registered mail to the registered owner of any trade-mark that has been
referred to by the Registrar in the decision complained of and to every other
person who was entitled to notice of the decision.
(4) The Federal Court may direct that
public notice of the hearing of an appeal under subsection (1) and of the
matters at issue therein be given in such manner as it deems proper.
(5) On an appeal under subsection (1),
evidence in addition to that adduced before the Registrar may be adduced and
the Federal Court may exercise any discretion vested in the Registrar.
[Emphasis added]
|
12. (1) Sous réserve de l’article 13,
une marque de commerce est enregistrable sauf dans l’un ou l’autre des cas
suivants :
…
b) qu’elle soit sous forme graphique,
écrite ou sonore, elle donne une description claire ou donne une
description fausse et trompeuse, en langue française ou anglaise, de la
nature ou de la qualité des marchandises ou services en liaison avec lesquels
elle est employée, ou à l’égard desquels on projette de l’employer, ou
des conditions de leur production, ou des personnes qui les produisent, ou du
lieu d’origine de ces marchandises ou services;
37. (1) Le registraire rejette une
demande d’enregistrement d’une marque de commerce s’il est convaincu
que, selon le cas :
a) la demande ne satisfait pas aux
exigences de l’article 30;
b) la marque de commerce n’est pas
enregistrable;
c) le requérant n’est pas la personne
qui a droit à l’enregistrement de la marque de commerce parce que cette
marque crée de la confusion avec une autre marque de commerce en vue de
l’enregistrement de laquelle une demande est pendante.
Lorsque le registraire n’est pas ainsi
convaincu, il fait annoncer la demande de la manière prescrite.
56. (1) Appel de toute décision rendue
par le registraire, sous le régime de la présente loi, peut être interjeté à
la Cour fédérale dans les deux mois qui suivent la date où le registraire a
expédié l’avis de la décision ou dans tel délai supplémentaire accordé par le
tribunal, soit avant, soit après l’expiration des deux mois.
(2) L’appel est interjeté au moyen d’un
avis d’appel produit au bureau du registraire et à la Cour fédérale.
(3) L’appelant envoie, dans le délai
établi ou accordé par le paragraphe (1), par courrier recommandé, une copie
de l’avis au propriétaire inscrit de toute marque de commerce que le
registraire a mentionnée dans la décision sur laquelle porte la plainte et à
toute autre personne qui avait droit à un avis de cette décision.
(4) Le tribunal peut ordonner qu’un
avis public de l’audition de l’appel et des matières en litige dans cet appel
soit donné de la manière qu’il juge opportune.
(5) Lors de l’appel, il peut être
apporté une preuve en plus de celle qui a été fournie devant le registraire,
et le tribunal peut exercer toute discrétion dont le registraire est investi.
[Non souligné dans
l’original]
|
The Decision of the Federal Court
[9]
The Judge
dismissed the appellant’s appeal of the Registrar’s decision on January 18,
2011. In his view, the Registrar did not err in concluding that the proposed
trade-mark TEACHERS’ was unregistrable pursuant to paragraphs 12(1)(b) and
37(1)(b) of the Act.
[10]
First, the
Judge addressed the standard of review. After indicating that the appeal before
him was one commenced pursuant to subsection 56(2) of the Act, he pointed out
that subsection 56(5) allowed the parties to adduce “evidence in addition to
that adduced before the Registrar” and that, as a result of this evidence, the
Federal Court could exercise “any discretion vested in the Registrar”.
[11]
The Judge
then stated that where the evidence submitted was significant and substantial,
the Court was entitled to proceed by way of a fresh hearing. In support of that
proposition, he relied on this Court’s decision in Molson Breweries v. John
Labatt Ltd., [2000] 3 F.C. 145 (“Molson (FCA)”) and on that of the
Supreme Court of Canada in Mattel Inc. v. 3894207 Canada Inc., 2006 SCC
22, [2006] 1 S.C.R. 772. He also relied on the decision of the Federal Court
rendered by our colleague Mainville J. (as he then was) in Advance Magazine
Publishers Inc. v. Wise Gourmet, 2009 FC 1208, (2009) 356 F.T.R. 270.
[12]
After
noting that the issue in these cases pertained to the likelihood of confusion
between trade-marks, the Judge opined, at paragraph 17 of his Reasons, that “the
same approach is appropriate to the question of appeal on whether a trade-mark
is a clearly descriptive mark as contemplated in paragraph 12(1)(b) of
the Act”. The Judge so held because of his view that both the issue of confusion
and the issue before him on the appeal required a consideration and
interpretation of the trade-mark, an assessment of the public impression
created by the trade-mark and of “its effect on other enterprises in the same
or related areas of commerce”.
[13]
The Judge
then turned to the evidence adduced by the appellant in the proceedings before
him and noted that although the appellant had, for all intents and purposes,
adduced no evidence before the Registrar, it had filed in the Federal Court
three volumes of evidence containing two substantial affidavits in support of
its appeal.
[14]
The first
affidavit, that of Elenita Anastacio, an experienced trade-mark searcher, was
filed for the purpose of providing examples of trade-marks which, although
descriptive of the group targeted but not of the services offered, were
accepted for registration. Further, Ms. Anastacio’s affidavit provided a list
of trade-marks which were advertised, opposed, rejected, expunged, allowed and
registered in association with pension fund and pension plan services. It also
provided a list of trade-marks associated with benefit plans and retirement
plans. Lastly, the affidavit provided dictionary definitions for the words
“teacher” and “professor”.
[15]
The second
affidavit, that of Deborah Allan, the appellant’s Director of Communications
and Media Relations, was filed to show the use of the trade-mark in the
appellant’s public communications, including press releases and annual reports.
Thus, the affidavit demonstrated that many Canadians had been exposed to the
use of the trade-mark.
[16]
After a
review of this evidence, the Judge concluded that “it does have sufficient
bearing on the question of whether or not the trade-mark in question, TEACHERS’,
is clearly descriptive or misdescriptive as contemplated in paragraph 12(1)(b)
of the Act”, adding that whether the evidence was determinative or not of the
issue, it did require “consideration anew of the application of paragraph 12(1)(b)
of the Act” (Judge’s Reasons, para. 27). As a result, the Judge was of the view
that the appeal should be determined on the basis of all of the evidence
submitted by the appellant. Hence, there was no need for him to either identify
any error made by the Registrar or to defer to her decision.
[17]
After
setting out the appellant’s submissions on the appeal, the Judge made the
following determinations. First, relying on the statement made by Cattanach J.
in The Molson Companies Ltd. v. Carling O’Keefe Breweries of Canada Ltd. and
Registrar of Trade-marks, [1982] 1 F.C. 275 at para. 30 (“Molson
(FC)”) that a trade-mark should not be considered in isolation, but rather in
the context of the wares or services with which it was used or proposed to be
used, he found that the trade-mark had to be considered in the context of the
Ontario Teachers’ Pension Plan which required the appellant to manage and
invest a pension fund for Ontario teachers. The Judge made the following
remarks at paragraph 39 of his Reasons:
[39] The applicant is the
Ontario Teachers’ Pension Plan Board. Its staff is the financial managers who
administer, manage and invest a very large pension fund, the pension fund of Ontario teachers. The Ontario teachers may be described as
the possible end consumers of the financial services provided by the financial
managers of the Ontario Teachers’ Pension Plan Board. The teachers of Ontario, working or retired, may also
be described as the beneficial owners of the pension fund itself. In addition,
the various enterprises which seek to have the pension funds invested in their
ventures may also be described as possible consumers.
[18]
The Judge
then indicated that he agreed with the appellant’s submission that the trade-mark
did not clearly describe the services with which it was associated and that it
did not describe the conditions of or the persons employed in the production of
the services or their place of origin, adding that the use of the phrase “wares
or services” found in paragraph 12(1)(b) of the Act required
“consideration of something more than just services” (Judge’s Reasons, para.
42). In his view, the pension plan administered by the appellant came within
the broader subject matter covered by the words “wares or services”. The Judge
then opined that the words “wares or services” were intended to include
commercial financial funds in the broad area of commerce covered by the Act.
[19]
He then
turned to the words “character or quality of the wares or services” found in
paragraph 12(1)(b) of the Act and indicated that those words were meant
to describe a distinguishing or prominent feature of the wares or services
offered in association with the trade-mark. For this proposition, the Judge
relied, inter alia, on the Reasons of Tremblay-Lamer J. in ITV
Technologies Inc. v. WIC Television, 2003 FC 1056, where she stated at
paragraph 67 that “[t]he descriptive character [of the trade-mark] must go to
the material composition of the goods or services or refer to an obvious
intrinsic quality of the goods or services which are the subject of the trade
mark, such as a feature, trait or characteristic belonging to the product in
itself”. This led the Judge to reason that a trade-mark which “clearly
describes a prominent characteristic of the wares of services will come within
the prohibition against registration in paragraph 12(1)(b)” (Judge’s
Reasons, para. 47).
[20]
The Judge then
made the statement that common sense, in addition to the evidence adduced, had
to be considered in determining the validity of a trade-mark, adding that the
determination should “be based on the initial impression, having regard to the
wares or services in question” (Judge’s Reasons, para. 48). For this
proposition, he relied on the view expressed by Martineau J. in Neptune S.A.
v. Canada (Attorney General), 2003 FCT 715.
[21]
The Judge
then stated that when one thought of a pension plan, one was probably more
likely to think of the pensioner or prospective pensioner than of those who
administer or manage the plan. In the Judge’s words, “one would more readily
think of whom the pension plan is for, in this case the teachers, rather than
who the pension fund is administered by, the financial managers” (Judge’s
Reasons, para. 49). This led him to state that Ontario teachers, the beneficiaries of the plan
or, again in his words, “the possible end consumers of the services it
provides” would, on first impression, form the view that the trade-mark was a
description of their pension plan. Thus, since the word TEACHERS’ described a
prominent characteristic of the pension fund for Ontario teachers, it was
clearly descriptive under paragraph 12(1)(b) of the Act, notwithstanding
the fact that it did not describe the administration, management or investment
of the pension funds in question.
[22]
In his
concluding remarks, the Judge opined that providing the appellant with a
monopoly on the use of the common word TEACHERS’ “would prevent other pension
or financial services targeted to or belonging to teachers within Ontario or in other provinces or
territories from using the term” (Judge’s Reasons, para. 53). In the Judge’s
view, the word TEACHERS’ was one that should be left available for the use of
others.
[23]
For those
reasons, the Judge concluded that the Registrar had not erred in concluding
that the trade-mark was unregistrable pursuant to paragraph 12(1)(b) of
the Act and, as a result, he dismissed the appeal. He made no order as to costs
in favour of the Attorney General of Canada, the respondent in the proceedings,
because “[t]he respondent has not responded on behalf of the Registrar to
oppose this appeal and has not incurred costs in this regard” (Judge’s Reasons,
para. 57).
The Appellant’s Submissions
[24]
The
appellant makes three submissions as to why we should allow its appeal. First,
it says that the judgment is internally inconsistent in that as a result of the
finding at paragraph 41 of his Reasons that the trade-mark “does not clearly
describe the services provided”, the Judge ought to have allowed the appeal
from the Registrar’s decision. More particularly, the appellant argues that the
trade-mark does not clearly describe the services it offers, nor does it, as a
matter of first impression, plainly or evidently describe its services to the
average consumer.
[25]
Second,
the appellant argues that the Judge’s concern that the registration of the trade-mark
would provide it with a monopoly over the use of the word TEACHERS’ was unsupported
by the evidence and, in any event, misguided in that it cannot be said with
certainty that the registration of the trade-mark would prevent other financial
services providers from using the word TEACHERS’.
[26]
Lastly,
the appellant submits that its application for registration of the trade-mark
should be approved for publication in the Trade-marks Journal for opposition
purposes, as the Trade-mark Opposition Board is the proper forum wherein monopoly
issues are to be debated and adjudicated.
Analysis
[27]
I begin
with a few words concerning the applicable standard of review. The matter before
us is an appeal from a judgment of the Federal Court upholding a decision of
the Registrar. Hence, the standards enunciated by the Supreme Court of Canada
in Housen v. Nikolaisen, 2002 SCC 33, [2002] 2 S.C.R. 235, are
applicable. Questions of law will be subject to the standard of correctness,
while questions of fact and of mixed law will be subject to the standard of
palpable and overriding error, except where there exists an extricable question
of law, in which case the standard will be that of correctness.
[28]
I am
satisfied that there is no basis to interfere with the Judge’s determination
that on the basis of the evidence adduced before him he was entitled to reach his
own conclusion with respect to the correctness of the Registrar’s decision. The
appellant does not challenge that part of the Judge’s decision and I therefore
move on to the principles relevant to the ultimate determination which must be made
in this appeal, i.e. whether the Judge erred in concluding that the trade-mark
was clearly descriptive of the character of the services in association with
which the appellant uses the trade-mark.
[29]
It is
trite law that the proper test for a determination of whether a trade-mark is
clearly descriptive is one of first impression in the mind of a normal or reasonable
person. If such a person is unclear or uncertain as to the significance of the trade-mark
in relation to the wares or services or if the trade-mark is suggestive of a meaning
other than one describing the wares or services, then the word is not clearly
descriptive. One should not arrive at a determination of the issue by
critically analyzing the words of the trade-mark, but rather by attempting to
ascertain the immediate impression created by the trade-mark in association
with the wares or services with which it is used or proposed to be used. In
other words, the trade-mark must not be considered in isolation, but rather in
its full context in conjunction with the wares and services. In determining
whether a trade-mark is clearly descriptive, one must also remember that the
word “clearly” found in paragraph 12(1)(b) of the Act is there to convey
the idea that it must be self-evident, plain or manifest, that the trade-mark
is descriptive of the wares or services (see: Hughes on Trade-marks, 2d
ed, loose-leaf (consulted on February 7, 2012), (Markham: LexisNexis, 2005), pp.
629-631 at para. 30; Milan Chromecek and Stuart C. McCormack, World Intellectual
Property Guidebook Canada, (New York: Matthew Bender & Co. Inc.1991) at
pp. 6-61 to 6-68; see also Drackett Co. of Canada Ltd. v. American Home
Products Corp. (1968), 55 C.P.R. 29 at pp. 33-34 (Ex.Ct.) (“Drackett”);
and Molson (FCA) at para. 30). Finally, the word “character” found at
paragraph 12(1)(b) has been defined by the case law to mean a feature,
trait or characteristic belonging to the wares or services (see Drackett
at 34; G.W.G. Ltd. v. Registrar of Trade-marks (1981), 55 C.P.R. 2d 1 at
6; Assoc’n of Professional Engineers of Ontario v. Registrar of Trade-marks
(1959), 31 C.P.R. 79 at 88).
[30]
There can
be no doubt, in my opinion, that the Judge properly understood the relevant
test and applicable principles. Consequently, the only question is whether he erred
in the application of the test and principles to the facts before him.
[31]
I now turn
to the appellant’s criticism of the Judge’s decision. More particularly, I will
now address the specific grounds put forward by the appellant in seeking
reversal of the Judge’s decision. I begin with the second and third submissions
which can easily be disposed of.
[32]
The
appellant’s third submission is that the Registrar ought to have approved the
application for publication and let the matter be argued before the Trade-mark
Opposition Board. In my view, this argument is without merit.
[33]
It is
clear from a reading of paragraphs 12(1)(b) and 37(1)(b) of the
Act that the Registrar must refuse an application “if he is satisfied that …
the trade-mark is not registrable”. Thus, if the Registrar is of the view that
the trade-mark at issue is clearly descriptive of the character or quality of
the wares or services in association with which it is used or proposed to be
used, he must refuse registration. In Canada (Attorney General) v. Effigi Inc., 2005 FCA 172, our Court made
it clear that section 37 of the Act was a complete code for the review of
applications for registration. It expressed that view in the following terms at
paragraph 9:
[9] … Section 37 is a complete
code that governs the procedure on review of an application for registration.
The Registrar is vested with considerable authority, the power to summarily
refuse an application for registration. Parliament in its wisdom has put some
limits on this authority, restricting it to cases where there is a breach of
the requirements - more procedural than substantial - of section 30, where the
mark is "not registrable" (an implicit reference to section 12) and
where it is not entitled to registration, not for the reasons already set out
in section 16 but solely because it is confusing with a mark that is the
subject matter of a pending application. If Parliament had intended that the
confusion contemplated in paragraph 37(1)(c) could also result from
previous use, it could easily have repeated the language of paragraph 16(3)(c).
[34]
Consequently,
the Registrar has no discretion to advertise a trade-mark if he is satisfied
that it is not registrable. Thus, whether it would be more appropriate, as the
appellant suggests, to have the Trade-mark Opposition Board consider the issue
of the registrability of the trade-mark is an irrelevant consideration, since
Parliament has clearly spoken and the Registrar cannot defer the matter to the
Trade-mark Opposition Board if he is satisfied that the trade-mark is not
registrable.
[35]
Paragraph 37(1)(c)
of the Act provides that where the Registrar is not satisfied that the
trade-mark is not registrable, he must “cause the application to be advertised
in the manner prescribed”. Thus, this provision suggests, in my view, that in borderline
cases the matter should be resolved in favour of the applicant for registration.
However, in exercising his/her jurisdiction, the Registrar must always keep in
mind the principled reason why clearly descriptive trade-marks should not be registered.
The principle was enunciated by the Privy Council in Eastman Photographic
Materials Co. Ltd. v. Comptroller-General of Patents, Designs and Trade-marks,
[1898] A.C. 571, where their Lordships at page 580 made the following remarks:
… Under (e) any word in
the English language may serve as a trade-mark – the commonest word in the
language might be employed. In these circumstances it would obviously have been
out of the question to permit a person by registering a trade-mark in respect
of a particular class of goods to obtain a monopoly of the use of a word having
reference to the character or quality of those goods. The vocabulary of the
English language is common property: it belongs alike to all; and no one ought
to be permitted to prevent the other members of the community from using for
purposes of description a word which has reference to the character or quality
of goods.
If, then, the use of every
word in the language was to be permitted as a trade-mark, it was surely
essential to prevent its use as a trade-mark where such use would deprive the
rest of the community of the right which they possessed to employ that word for
the purpose of describing the character or quality of goods. But with regard to
words which are truly invented words - words newly coined - which have never
theretofore been used, the case is, as it seems to me, altogether different;
and the reasons which required the insertion of the condition are altogether
wanting. If a man has really in-vented a word to serve as his trade-mark, what
harm is done, what wrong is inflicted, if others be prevented from employing
it, and its use is limited in relation to any class or classes of goods to the
inventor? So far, then, from seeing no reason for a distinction between the
particulars designated in (d) and (e), there seems to me abundant
reasons for not interpolating in (d) words which the Legislature has
used only in relation to (e).
[36]
I now turn
to the appellant’s second submission, which is that there is no evidence in the
record to support the view that registration of the trade-mark would provide
the appellant with a monopoly over the use of the word TEACHERS’ and that it
cannot be said, with any degree of certainty, that the registration of the
trade-mark would prevent other financial services providers from using the word
TEACHERS’.
[37]
I am also
of the view that this argument is without merit. In considering an application
for registration of a trade-mark under paragraph 37(1) of the Act, the Registrar
must consider paragraph 12(1)(b) which aims to prevent traders from
obtaining a monopoly over words that belong “in the public stock of commonplace
words that should remain available to all traders in describing their wares or
services” (see Gerald O.S. Oyen, Clearly Descriptive Trade-marks – Drawing
the Line in the Wake of the Off! Decision, 65 C.P.R. 193 at 217 (“Oyen”).
In other words, the monopoly issue is a consequence of allowing the registration
of a clearly descriptive trade-mark. Thus, if registration of a trade-mark used
in association with a trader’s wares or services were to result in the removal
from the public stock of commonplace words of a word “which is apt or would
ordinarily be used by traders to describe the particular goods or services, and
thus remove the right of other traders in the normal carrying-on of their
business to employ the same or similar words” (Oyen, at p. 243), then the mark
is clearly descriptive. This idea was expressed by Rand J. when he said in his
Reasons for the Supreme Court in General Motors Corp. v. Bellows, [1949]
S.C.R.678 at p. 688, (1949) 10 C.P.R. 101 (at pp. 112-113) (“General Motors”),
that:
The first question is, then,
whether the word "Frigidaire" was properly placed on the register in
1933. The rule quoted illustrates the conflict early recognized by the courts
before the subject matter came under legislation, i.e. between the
appropriation by a trader of a word within the range of language that would
ordinarily be used by traders to describe particular goods, and the right of
other traders in the normal carrying on of their business to employ the same or
similar words. In the technique of advertising, the more complex and expensive
the goods are, the greater the imaginative seeking by those producing them for
attractive and arresting words; but in fixing the limits of legislative
protection the courts must balance the conflicting interests and avoid placing
legitimate competition at an undue disadvantage in relation to language that is
common to all.
[38]
Consequently,
whether there is any degree of certainty that the registration of the
trade-mark would prevent others from using the word TEACHERS’ or whether the
appellant would have a monopoly over the word TEACHERS’, should registration of
its trade-mark be granted, are beside the point. The real question is whether
the word TEACHERS’ is clearly descriptive or not of the appellant’s services.
[39]
I
therefore turn to the appellant’s first submission which goes to the heart of
this appeal. The appellant says that the word TEACHERS’ does not clearly
describe the services in association with which it uses the trade-mark. In the
appellant’s view, the word TEACHERS’ does not, as a matter of first impression,
plainly or evidently describe the appellant’s services to the average consumer,
adding that the Judge was mistaken in considering that the trade-mark’s
reference to the beneficiary of the services was such as to render the
trade-mark clearly restrictive under paragraph 12(1)(b) of the Act.
[40]
The
Registrar refused to register the appellant’s trade-mark because of her view
that the word TEACHERS’ was “an apt trade term for describing the intrinsic
character of the administration, management and investment of a plan/fund for
teachers and, as such, should be left for others to use since descriptive words
are the property of all and cannot be appropriated by one person for their
exclusive use”. For this view, she referred the appellant to the Supreme
Court’s decision in General Motors.
[41]
In
dismissing the appellant’s appeal from the Registrar’s decision, the Judge also
came to the view that the trade-mark was clearly descriptive of the appellant’s
services. In his view, the first impression created by the trade-mark in
association with the appellant’s services, i.e. the “administration of a
pension plan, management and investment of a pension for teachers in Ontario”,was
that the trade-mark described a prominent characteristic of a pension fund for
teachers and, therefore, fell under the ambit of paragraph 12(1)(b) of
the Act. Hence, the trade-mark was clearly descriptive, although it did not
“describe the administration, management and investment of the pension fund in
question” (Judge’s Reasons, para. 50).
[42]
I now turn
to the appellant’s submission that the judgment is internally inconsistent
because of the Judge’s declaration, at paragraph 41 of his Reasons, that the
word TEACHERS’ did not clearly describe the services provided by the appellant.
While it is true the Judge, at paragraph 41 of his Reasons, stated that he agreed
with the appellant that the word TEACHERS’ did not clearly describe the
services offered by the appellant, it cannot be said, as the appellant
suggests, that this should have led the Judge to allow its appeal. When the
Judge’s statement is read with the paragraphs of his Reasons that follow, it
becomes clear that he was not finding that the trade-mark was not “clearly
descriptive” within the meaning of the Act.
[43]
Indeed, in
the paragraphs following paragraph 41 of his Reasons, the Judge dealt with the question
of whether the word TEACHERS’ was clearly descriptive of the character or
quality of the services in association with which the trade-mark was used. In
other words, his examination of the word TEACHERS’ related to the
administration of a pension plan or pension fund led him to the conclusion that
it clearly described the character of the services, i.e. a distinguishing or
prominent feature of those services, thus preventing the trade-mark from
becoming registrable.
[44]
Thus, the
question which arises is what impression the word TEACHERS’, understood in its
proper context, would make in the mind of a normal or reasonable person. In my
view, such a person would readily understand that the appellant administers a
pension plan for teachers and provides management and investment services for a
pension fund for those teachers. In other words, when one looks at the word
TEACHERS’ as it is used in association with the appellant’s services, the
conclusion which would clearly come to the mind of the reasonable person is, in
my respectful opinion, that the pension plan is that of teachers and that the
management and investment services offered in regard to the pension fund are
management and investment services for the exclusive benefit of teachers.
[45]
Thus, a
reasonable person requires neither effort nor imagination to conclude that the
appellant’s trade-mark clearly describes the character of the services that it
offers. There is no element of incongruity present. The qualities of the
appellant’s services are instantly apparent and no multiple-step reasoning is
necessary for the reasonable person to determine what service characteristics
or qualities the trade-mark suggests. From that perspective, it cannot be
argued that the trade-mark is in any way suggestive, nor does the appellant
make any such argument. In other words, the only possible meaning of the word
TEACHERS’, when used in association with the appellant’s services, is one that
is plain, self-evident or manifest. Although Oyen, at page 225 of his article, makes
the point that drawing the line between descriptive and clearly descriptive trade-marks,
as the dividing lines between the colours in a spectrum, is not always easy, that
is not the case in the present matter. The dividing line here is not difficult to
draw, as it is readily apparent when one considers the trade-mark in its proper
context with the services offered by the appellant.
[46]
I am
satisfied that the word TEACHERS’, which clearly describes those whose pension
plan the appellant administers and in whose benefit the management and
investment services of the pension fund are rendered, describes a highly
prominent feature, trait or characteristic belonging to the appellant’s
services.
[47]
Thus, I am
satisfied that the word TEACHERS’ clearly describes an inherent or intrinsic
character or quality of the appellant’s wares. Hence, I have not been persuaded
that the Judge erred in law or that he misapplied the applicable test to the
facts before him. Thus, whether the applicable test be that of correctness or
that of palpable and overriding error, I see no basis to interfere with his
conclusion that the Registrar “was correct to find the trade-mark TEACHERS’ is
unregistrable pursuant to paragraph 12(1)(b) of the Act” (Judge’s
Reasons, para. 54).
Disposition
[48]
For these
reasons, I would dismiss the appeal. As the respondent does not seek costs, I
would not allow any.
“M. Nadon”
“I
agree.
Pierre
Blais C.J.”
“I
agree.
Eleanor
R. Dawson J.A.”