Facts
The Canton of Appenzell I.Rh., the Inner Land of the Canton of Appenzell I.Rh., the District of Appenzell, and the Fire Inspection Community of Appenzell filed a lawsuit against Leo Sutter, who opened a catering business with the name "Café and Hotel Appenzell" at the Landsgemeindeplatz in Appenzell in the spring of 1983. The plaintiffs demanded that Sutter refrain from using the name "Appenzell" as a business designation.
The District Court of Appenzell upheld the lawsuit and prohibited Sutter from using the name "Appenzell". The Cantonal Court of Appenzell confirmed this judgment. However, the Federal Supreme Court overturned the judgment and dismissed the lawsuit.
Considerations
The Federal Supreme Court stated that a public-law corporation that opposes the use of its name by a natural or legal person or the use as a business designation can only assert the violation of its own interests, not the violation of the interests of individual members.
The Federal Supreme Court denied that the designation "Café and Hotel Appenzell" would evoke false associations or create the impression of a special relationship between the hotel and the community. The argument that the…