Case Law[2025] ZAGPPHC 806South Africa
Aspen Pharmacare Holdings Group and Another v Adcock Ingram Healthcare (Pty) Ltd and Others (Leave to Appeal) (017055/2025) [2025] ZAGPPHC 806 (18 August 2025)
High Court of South Africa (Gauteng Division, Pretoria)
18 August 2025
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Aspen Pharmacare Holdings Group and Another v Adcock Ingram Healthcare (Pty) Ltd and Others (Leave to Appeal) (017055/2025) [2025] ZAGPPHC 806 (18 August 2025)
Aspen Pharmacare Holdings Group and Another v Adcock Ingram Healthcare (Pty) Ltd and Others (Leave to Appeal) (017055/2025) [2025] ZAGPPHC 806 (18 August 2025)
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sino date 18 August 2025
IN THE HIGH COURT
OF SOUTH AFRICA
(GAUTENG DIVISION,
PRETORIA)
Case
No. 017055/2025
(1) REPORTABLE:
YES
/
NO
(2) OF INTEREST TO
OTHER JUDGES:
YES
/
NO
(3) REVISED
DATE:
18 AUGUST 2025
SIGNATURE:.
In
the matter between:
ASPEN
PHARMACARE HOLDINGS GROUP
FIRST
APPLICANT
PHARMACARE
LIMITED
And
SECOND
APPLICANT
ADCOCK
INGRAM HEALTHCARE (PTY) LTD
FIRST
RESPONDENT
ADCOCK
INGRAM INTELLECTUAL (PTY) LTD
THE
REGISTRAR OF TRADE MARKS
SECOND
RESPONDENT
THIRD
RESPONDENT
Coram:
Millar
J
Heard
on:
13
August 2025
Delivered:
18
August 2025 - This judgment was handed down electronically by
circulation to the parties' representatives by email,
by being
uploaded to the
CaseLines
system of the GD and
by release to SAFLII. The date and time for hand-down is deemed
to be 09H00 on 18 August
2025.
JUDGMENT
MILLAR J
Introduction
[1]
On
13 August 2025, I heard an application for leave to appeal against a
judgment and order handed down on 12 May 2025 together with
an
application in terms of section 18(3) of the Superior Courts Act
[1]
(the Act).
[2]
At the conclusion of the hearing, I
indicated that separate judgments would be handed down in respect of
each. On 14 August
2025, I handed down judgment in the
application for leave to appeal brought by the respondents in the
present application and that
application was dismissed with costs.
This judgment is in respect of the application in terms of section
18(3).
[3]
The order granted on 12 May 2025 was as
follows:
“
[59.1]
The first respondent is interdicted and restrained, in terms of
section 34(1)(a) of the Trade Marks Act 194 of 1993
(“the
Trade
Marks Act&rdquo
;), from infringing the first applicant’s rights
acquired through trademark registration no. 2004/20795 MYBUCOD
(hereinafter referred to as the
“
MYBUCOD
trademark
”
) in class 05 by
using any trade mark confusingly similar thereto, and in particular
from using the “LENBUCOD” mark
in respect of any of the
goods to which the first applicant’s mark apply.
[59.2] The
first respondent is ordered to deliver up for destruction to the
first applicant’s attorneys within
seven (7) days of the
granting of this Order any packaging, catalogues, advertising,
promotional material or other materials bearing
or incorporating a
trademark which is either identical or confusingly like the first
applicant’s MYBUCOD trademark.
[59.3] The
respondents are ordered to pay the costs of this application,
including the costs consequent upon the employment
of two counsel,
where so employed, one of whom is a senior counsel, both on Scale C”
Present application
[4]
In
the present application brought in terms of
section 18(3)
[2]
,
the applicants are required to demonstrate firstly, exceptional
circumstances which justify the execution of the order pending
any
appeal, secondly that they will suffer irreparable harm if it is not
executed, and thirdly that the respondents will not be
irreparably
harmed if the order is executed.
[3]
[5]
The
consideration of these three factors is through the lens of the
prospects of success of the prospective pending appeal.
[4]
Furthermore, in considering each of the factors, these
are not to be considered in isolation but holistically having
regard
to the entirety of the case.
[5]
Are there exceptional
circumstances?
[6]
The
first stage of the enquiry, whether “exceptional circumstances”
are present depends on the peculiar facts of each
case.
[6]
The exceptional circumstances must be derived from the actual
predicaments in which the litigants find themselves.
[7]
Since
this matter is concerned with a trademark, for the lifespan of which
the protection and benefits are available to the holder
of that
trademark, the time for which the suspension of the order is likely
to occur is of necessity a factor to be considered.
[7]
[8]
It
was argued that no appeal would likely be heard and disposed of
before the end of 2026 and that in consequence if the order is
not
enforced, the applicant’s registration of its trademark and the
purpose of
section 34(1)(a)
of the
Trade Marks Act
[8
]
would be rendered nugatory. After all, the section is
couched in prescriptive terms – “
The
rights acquired by registration of a trade mark
shall
be
infringed.”
[My
emphasis].
[9]
In
Incubeta
Holdings (Pty) Ltd v Ellis,
[9]
it
was stated that:
“
[27]
In my view the predicament of being left with no relief, regardless
of the outcome of an appeal, constitutes
exceptional circumstances
which warrant consideration of putting the order into operation. The
forfeiture of substantive relief
because of procedural delays, even
if not protracted in bad faith by a litigant, ought to be sufficient
to cross the threshold
of ‘exceptional circumstances.’
[28]
The plight of the victor alone is probably all that is required to
pass muster. Nonetheless,
I am not unconscious of the undesirable
outcome that relief granted by the court becomes a vacuous gesture.
A court order
ought not be to be lightly allowed to evaporate, a
fate, which seems to me, would tend to undermine the role of courts
in the ordering
of social relations.”
[10]
The applicants have a registered
trademark. The applicants have a judgment in their favour for
the protection of that trademark.
If the judgment is not put
into operation, then it will be nothing more than the “
vacuous
gesture”
posited in
Incubeta.
[11]
For the reasons set out above, I find that
there are exceptional circumstances.
Is there irreparable
harm to the applicants?
[12]
The second stage of the enquiry is
regarding whether there is irreparable harm to the applicants. In
this regard, the
applicants pointed to the conduct of the respondents
over the last six months.
[13]
Bearing in mind that the applicants
immediately objected to the respondents’ use of LENBUCOD, when
it first became aware of
it, it was argued that to allow them to
continue marketing and selling the product, pending the outcome of
any appeal brought by
them would cause irreparable harm to the
applicants.
[14]
The applicants pointed to the assertion
made on behalf of the respondents that “
Adcock
has already made use of the LENBUCOD mark for a period of almost six
months and, to date, has sold products under the LENBUCOD
mark to the
value of R8, 400, 000 (eight million four hundred thousand
rand)
and argued, that given the short
period of time, the sales were staggering in their number. The
argument went further for
the applicants, that given such a
staggering number of sales in such a short period of time, it ought
to be accepted that the respondents
would persist with the same
marketing and sales and that this would have the consequence of
“
flooding the market with the
LENBUCOD product whilst the parties wait for its appeal to be heard.”
[15]
The
applicants have sought to enforce the protection of their trademark.
If by operation of law, the respondent is permitted
to continue
infringing upon the trademark and in so doing, creating a situation
where even if ultimately the applicants succeed,
the commercial value
of their trademark will have been decimated. This, to my mind
establishes unequivocally that the harm
which will be suffered by the
applicants is irreparable.
[10]
[16]
It
was argued for the respondents that insofar as the applicants’
trademark was concerned, that the product to which it was
attached
was “
an
insignificant product with no protectable reputation”.
I
am not persuaded that this argument has any merit. Once
registered, the holder of a trademark has the right to have that
trademark protected. Whether the trademark is used or not or of
significant commercial value in its use or not, is beside
the point.
What is being protected is the right that has been registered.
[11]
[17]
If this were not so, then no trademark
registration would be of any value if a competitor with the means was
able to demonstrate
in consequence of their infringement, either a
commercial value where the owner had not used the trademark or a
significantly higher
commercial value to themselves than the owner
who had.
[18]
It does not behoove the respondent to argue
that it is better able to commercially exploit the infringed
trademark and for that
reason, the holder of the trademark has not
suffered harm or will not suffer irreparable harm should it be
permitted to use the
law to enable it to continue to do so.
[19]
I am for the reasons set out above,
persuaded that the applicants have established that they would suffer
irreparable harm.
Is there irreparable
harm to the respondents?
[20]
The
third stage of the enquiry is whether there is irreparable harm to
the respondents if the order granted on 12 May 2025 is implemented.
The harm must arise out of the implementation of the
order.
[12]
[21]
On this score, the applicants have
undertaken to compensate the respondents for any damages which they
may suffer in consequence
of the granting the order sought in terms
of
section 18(3).
This undertaking is subject to the
respondents being successful with any appeal.
[22]
It is not in issue that the respondents
knew that the applicants had registered MYBUCOD as a trademark or
that issue was taken immediately
with their registration and
intention to use the LENBUCOD mark. This is not a case of
innocent competition.
[23]
From the outset, the respondents have been
aware of the attitude of the applicants. The main application
was served on them
on 12 February 2025, a few weeks after they
launched their product, and they have been aware from then that their
use of the LENBUCOD
mark was in issue.
[24]
The respondents have chosen to conduct
themselves in the way that they have and to the degree that they have
insofar as the marketing
and sales of LENBUCOD are concerned well
knowing that their right to do so had been placed in issue.
[25]
The fact that they have made what the
applicants characterize as “
a
staggering number of sales”
and
may well have derived a concomitant benefit from doing so, does not
in and of itself equate to their suffering irreparable
harm if the
order sought is granted.
[26]
Similarly, it does not follow that even if
the appeal is upheld that the respondents would not be able to return
to the LENBUCOD
mark. The scale of the success achieved in the
relatively short period their product has been on the market belies
their claim
of irreparable prejudice or that they will not be able to
return.
[27]
There is no reason to believe that they
would not be able to re-enter the market in the event of the success
of their appeal with
the same impact as they already have and armed
with the undertaking given by the applicants, would then be able to
claim any loss
they are able to prove they suffered.
[28]
For the reasons set above, I am not
persuaded that the respondents would suffer irreparable harm.
[29]
I find that the applicants have established
exceptional circumstances and that they would suffer irreparable harm
if the order sought
in terms of
section 18(3)
is not granted. I
also find that the respondents have failed to establish that they
will suffer irreparable harm if the order
is granted. For these
reasons, I intend to grant the order below.
Costs
[30]
Costs will follow the result. Both
parties engaged two counsel and were
ad
idem
that if costs were to be awarded
in respect of counsels’ costs, these were to be on scale C.
Order
[31]
In the circumstances, it is ordered:
[31.1]
The interdict set out in paragraph 59.1 of the judgment granted by
this Court under the
present case number on 12 May 2025 shall
continue to operate against the first and second respondents pending
the outcome of any
application for leave to appeal against such
interdict and for any appeal for which leave may be given.
[31.2]
The first and second respondents are ordered to pay the costs of this
application which
costs include the costs consequent upon the
engagement of two counsel, one senior and one junior, both on scale
C.
A MILLAR
JUDGE
OF THE HIGH COURT
GAUTENG DIVISION,
PRETORIA
HEARD
ON:
13 AUGUST 2025
JUDGMENT DELIVERED
ON:
18 AUGUST 2025
IN THE APPLICATION
IN TERMS OF
S18(3)
COUNSEL
FOR THE 1
st
& 2
nd
APPLICANTS:
ADV.
C PUCKRIN SC
ADV.
C PRETORIUS
INSTRUCTED
BY:
ENS
INC.
REFERENCE:
MS.
T PRETORIUS
COUNSEL
FOR THE 1
ST
& 2
ND
RESPONDENTS:
ADV.
R MICHAU SC
ADV.
J BOOYSE
INSTRUCTED
BY:
BOUWERS
INC.
REFERENCE:
MR.
D BOUWER
[1]
10
of 2013.
[2]
“
18
Suspension of decision pending appeal
(1)
Subject to subsections (2) and
(3), and unless the court under exceptional circumstances orders
otherwise, the operation and execution
of a decision which is the
subject of an application for leave to appeal or of an appeal, is
suspended pending the decision of
the application or appeal.
(2)
Subject to subsection (3),
unless the court under exceptional circumstances orders otherwise,
the operation and execution of a
decision that is an interlocutory
order not having the effect of a final judgment, which is the
subject of an application for
leave to appeal or of an appeal, is
not suspended pending the decision of the application or appeal.
(3)
A court may only order otherwise
as contemplated in subsection (1) or (2), if the party who applied
to the court to order otherwise,
in addition proves on a balance of
probabilities that he or she will suffer irreparable harm if the
court does not so order and
that the other party will not suffer
irreparable harm if the court so orders.
(4)
If a court orders otherwise, as
contemplated in subsection (1)
(i) the court
must immediately record its reasons for doing so
(ii)
the aggrieved party has an
automatic right of appeal to the next highest court
(iii)
the court hearing such an appeal
must deal with it as a matter of extreme urgency and(iv)
such order will be automatically
suspended, pending the outcome of
such appeal.
For the purposes of
subsections (1) and (2), a decision becomes the subject of an
application for leave to appeal or of an appeal,
as soon as an
application for leave to appeal or a notice of appeal is lodged with
the registrar in terms of the rules.”
[3]
Incubeta
Holdings (Pty) Ltd v Ellis
2014 (3) SA 189
(GJ) at para [16].
[4]
See
Democratic
Alliance and Others v Premier for the Province of Gauteng and Others
(18577/20) [2020] ZAGPPHC 330 (10 June 2020) paragraphs [11] –
[13].
[5]
Tyte
Security Services CC v Western Cape Provincial Government and Others
2024 (6) SA 175
(SCA) at paras [10] and [14].
[6]
University
of the Free State v Afriforum
2018
(3) SA 428 (SCA).
[7]
Car
Find (Pty) Ltd v Car Trader (Pty) Ltd
2016 JDR 0314 (GJ).
[8]
194
of 1993.
[9]
Incubeta
supra at paras [27] - [28].
[10]
LA
Group (Pty) Ltd v United States Polo Association and
Others (2023/118082) a judgment of the full court hearing a
section
18(4)
appeal delivered on 4 March 2024 at para [56].
[11]
This
instance is distinguishable from the situation in
Road
Accident Fund v New Net Properties (Pty) Ltd
2023 (5) SA 289
(GP) at para [21] because it matters not whether the
holder of a trademark uses it for commercial exploitation or not.
They have a right which they are entitled to protect.
[12]
Ntlemeza
v Helen Suzman Foundation
2017 (5) SA 402
(SCA) at para [28].
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