Two businessmen from south Trinidad have failed in their lawsuit against the Comptroller of the Customs and Excise Division, over a decision to extend the time for United States sportswear company Nike to sue them for breach of its trademark in relation to a shipment of allegedly counterfeit footwear and apparel.
Delivering judgement on Thursday, High Court Judge Ricky Rahim dismissed the lawsuit brought by Yunping Lin and Jaifeng Su, who own New Choice Trading Company.
According to their court filings, the issue arose after the duo attempted to import their shipment on or around May 27.
On June 22, while they were attempting to clear their shipment, they were informed that it would be seized due to suspicion that they were in breach of the Trademark Act.
The duo’s lawyers exchanged several pieces of correspondence with the division over the detention of the shipment before they were served with a notice of seizure made pursuant to the Trademark Act on July 29.
Under the notice, the division indicated that the seized goods would be released if Nike Innovate CV did not initiate High Court proceedings against the duo and the company within 10 days.
Several days later, Nike’s attorneys wrote to the duo’s legal team and indicated that it had filed a notice of objection to the duo’s importation but not a lawsuit.
On August 23, the division wrote to the businessmen and informed them that it had extended the time for Nike to initiate its court proceedings.
The duo claimed the extension was unlawful and the goods should have been released due to Nike’s failure to meet the deadline.
In determining the case, Justice Rahim ruled that Nike’s request for the extension was not unlawful, as it fell within the period for making such. He also rejected the duo’s claim that the comptroller was only entitled to consider the claims in Nike’s request in deciding whether to grant it.
“To therefore suggest that the Comptroller was restricted only to the terms of the letter without the drawing of reasonable inferences and drawing on her experience is to fetter the exercise of discretion,” Justice Rahim said.
He also ruled that the comptroller was not required to provide reasons for the decision under the Customs Act.
“The court is not satisfied that the decision was so unreasonable that no reasonable decision maker could have come to the same conclusion,” he said.
Justice Rahim did rule that the comptroller was required to notify the importer of the extension request so they could present a response.
In dismissing the case, Justice Rahim ordered the duo to pay the legal costs incurred for defending the case.
The duo was represented by Dinesh Rambally, Kiel Taklalsingh and Stefan Ramkissoon.
