Winia Daewoo was found to have sought 10 billion won worth of damages from POSCO International, which has overseas trademark rights for the "Daewoo" brand.
According to legal sources on March 3, Winia Daewoo filed a complaint to the Seoul Central District Court, demanding that POSCO International compensate 10 billion won in damages in connection with its contract to use trademark rights.
Winia Daewoo reportedly claimed in its complaint that POSCO International did not faithfully carry out the Daewoo brand's overseas trademark use contract signed with the company.
Winia Daewoo claimed that POSCO International did not faithfully manage its trademark rights and other obligations under its contract and that it has suffered huge losses in its operations and marketing activities in many countries because of POSCO’s lax management of its trademark rights.
Winia Daewoo also said it has repeatedly asked POSCO International to confirm the unauthorized use of the Daewoo brand and to resolve such issues, but POSCO did not sincerely follow the contract.
“POSCO International is also neglecting Chinese and French small and medium-sized home appliance makers’ use of the Daewoo trademark,” said an official at Winia Daewoo.
Meanwhile, an official at POSCO International said, “Winia Daewoo is raising questions about products other than those that have rights to use under the contract for the use of brand labels renewed in June 2010, even though only products that have rights to use them are subject to the right to use them,” said an official at POSCO International.
The official added that Winia Daewoo was criticized for failing to submit the results of the brand usage, which is the basis for calculating the brand usage fee, on time, but also for submitting inaccurate performance data, adding that it is in an awkward situation because it has not been paid a significant amount of brand usage fees that it has to receive from Winia Daewoo.
