Unpackaging Unjustified Threats Damages Claims in the Fickle Toy Trading Industry
In Cabo Concepts Ltd v MGA Entertainment (UK) Ltd 2025 EWHC 1451, despite findings of abuse of a dominant position and unjustified threats of patent infringement against MGA, Cabo’s claim for damages failed as the Judge held on a counterfactual basis that Cabo would not have traded profitably in any event.
1. Introduction
Patent and design marking are practical tools used by rights holders to notify the public that a product is protected by patent or design rights and to signal legal protection against copying. While not mandatory under New Zealand law, marking offers enforcement benefits and can strengthen a party's legal position in the event of infringement. Markings can also serve other purposes, for instance, they may help to demonstrate to customers or investors that your products are innovative. These markings are typically applied as physical markings on the products or its packaging. Nowadays, virtual marking is also gaining importance as a flexible and efficient way to communicate IP protection; however, it is not yet recognised as a legally sufficient form of notice under New Zealand law.
Supreme Court Upholds Copyright in Artworks Qualifying as Relationship Property
The Supreme Court has confirmed both that copyright in artworks fall within the Property (Relationships) Act 1976 (PRA) definition of ‘property’ and that those copyrights should be classified as relationship property if that property was ‘acquired’ during the relationship.