Decision on the Use of the Protected Geographical Indications "Budweiser" and "Budvar"

Facts

The company Budejovicky Budvar, a Czech brewery based in Ceské Budejovice (Budweis), claims rights over the geographical indications "Budweiser" and "Budvar" protected by a bilateral agreement between Czechoslovakia (and later the Czech Republic) and Switzerland. The American company Anheuser-Busch Inc. also uses the "Budweiser" trademark and the abbreviated variant "Bud" to designate its beer. The dispute concerns the validity and use of these various designations in Switzerland.

Considerations

The Federal Tribunal considers that the bilateral agreement between Switzerland and Czechoslovakia (and later the Czech Republic) grants extensive protection to the geographical indications "Budweiser" and "Budvar", which are reserved exclusively for products originating from Budweis. This agreement takes precedence over trademark law and prohibits the use of any designation that may be confused with these protected geographical indications, regardless of the actual knowledge of Swiss consumers.

Thus, the "BUD" trademark of the American company is deemed to be confused with the protected geographical indications and must be prohibited in Switzerland, unless it is used with a clear mention of the Czech origin of the product.…