Chinese Appeals Court Rules in Favor of Cimbali in Knockoff Case Over Chinese Copycat Slayer Espresso Machines – CoffeeTalk

An appeal court in China has ruled in favor of Cimbali Group, an Italian coffee machine manufacturer, in a significant intellectual property victory, reinforcing the protection for its premium Slayer espresso machines through findings of trademark infringement and unfair competition. The court’s decision, which emerged from a judgment delivered in March and publicly disclosed on July 7, upheld a claim by Seattle Espresso Machine Corporation, a U.S. subsidiary of Cimbali, against four unnamed defendants engaged in manufacturing and selling imitation espresso machines.

The court recognized the distinctive appearance of the Slayer espresso machine, affirming that it qualifies as protectable trade dress under China’s Anti-Unfair Competition Law. This was a reversal of the previous court’s rejection of Cimbali’s trademark claims. The damages awarded were increased from 800,000 yuan (approximately £88,000) to 2 million yuan (around £220,000), along with legal costs, and the court imposed joint and several liability on all defendants, mandating an immediate halt to their infringing activities.

The legal dispute focused on the unique design elements of the Slayer machines, which Seattle argued had garnered sufficient distinctiveness in the Chinese market to warrant additional legal protection. Core components such as the X-shaped side supports, bullet-shaped feet, and exposed bell-shaped brewing head were instrumental in illustrating the brand association among professional coffee operators.

While the first-instance court recognized that the design features constituted product packaging and decoration deserving of protection from copying, it initially dismissed the trademark infringement claim, suggesting the defendants’ branding was not close enough to the registered Slayer trademark to cause confusion. Upon appeal, Seattle contended that the defendants’ branding did indeed create consumer confusion and argued that the damages were insufficient relative to the scale of the infringement. Conversely, the defendants maintained that the Slayer design lacked the necessary distinctiveness for legal protection.

Ultimately, the appeal court supported Seattle’s position, confirming both the unfair competition findings and the trademark infringement ruling. Although the marks differed, the court determined they were sufficiently similar to mislead consumers into believing there was a commercial association between the defendants’ products and the Slayer brand. This ruling not only enhances the protection afforded to Cimbali Group’s design but also extends to its registered trademarks.

Cimbali Group’s managing director, Frédéric Thil, emphasized that this judgment transcends mere corporate interests, asserting it represents a critical win for any companies in China leveraging design and innovation. He highlighted the ongoing commitment to safeguarding intellectual property and maintaining fair international trade practices, reaffirming Cimbali’s dedication to defending its brands and their associated value in the global marketplace.

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