On 22 July 2019, the Barcelona Court of Appeal (“Audiencia Provincial de Barcelona”) delivered a judgment on an appeal by Schweppes SA (“Schweppes”) against a judgment of the Commercial Court of Barcelona in which it held that the evidence provided by Red Paralela, a parallel importer, was insufficient to apply the principle of the exhaustion of trade mark rights as developed by the Court of Justice of the European Union (the “ECJ”) to the importation of Schweppes® branded products from the United Kingdom into Spain. The Court of Appeal found that there were no economic links between the different owners of the Schweppes® brand, namely The Coca-Cola Company (“TCCC”) and Schweppes, and that the essential function of the trade mark “Schweppes” had not been infringed. Facts Since 1999, the
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