The use of trademarks can prevent a company from having too many similarities or plagiarism in its business scope and products. Nanjing Dai Pai Dong won the lawsuit mainly because it already had more names when using the word Dai Pai Dong. influence, and it must be used before other companies, so there is no suspicion of plagiarism. Moreover, the court also gave a clear explanation when ruling on the case. Nanjing Food Stalls won the case because the use of the trademark gave it strong influence and distinctiveness, and there was no infringement of the right to use the trademark.
According to the relevant provisions of the Trademark Law, when registering the right to use a trademark, if the owner does not obtain the trademark's permission, the same or seemingly similar trademark cannot be used on the same or similar goods. Such use of a trademark will create a confusing illusion, causing the company that owns the trademark to suffer a series of consequences caused by others' infringement of the trademark. This behavior was deemed infringement by the court. Therefore, when the court ruled on the trademark case, it required the defendant to pay the plaintiff 500,000 yuan in financial compensation, and also to remove all the words "food stalls" used in business activities to stop harming the plaintiff's business activities.
The nature of a trademark is to clearly distinguish it from other operators. However, when using it, some people use similar trademarks with some more famous companies just to bump into each other or attract traffic to attract consumers. There is an illusion that these two companies are actually one. Then when using the same type of trademark, the business of the infringing company will increase significantly. However, this will also cause the company that owns the trademark to be infringed. When Nanjing Dai Pai Dong appealed, the infringing companies all had these confusing behaviors and actions, so the court’s sentence was completely reasonable.
When the court heard the case, it found that there were great similarities in the scope of business and the use of goods. The use of the word "food stall" was even more likely to be misleading. After comparison, the court also found that the impact of the use of trademarks on Nanjing Food Stalls Company was extremely harmful. That's why the court made such a decision, asking companies that use food stalls to either change their business scope or stop using food stalls. However, because the damage caused is far-reaching, they still need to compensate 500,000 yuan.