In a landmark legal ruling, a Fortitude Valley restaurant has been ordered to change its name from Establishment 203 to avoid confusion with Sydney’s iconic Establishment bar owned by Merivale CEO Justin Hemmes.
The Federal Court decision came after Justin Hemmes, owner of the Merivale Group, filed a trademark infringement lawsuit against the Brisbane steak and Italian restaurant. Hemmes argued that the name Establishment 203 was deceptively similar to his Sydney venue, known simply as The Establishment, which has been a major player in the hospitality scene since its launch during the 2000 Sydney Olympics.
Justice Ian Jackman ruled that adding “203” was insufficient to differentiate the Brisbane venue from the established Sydney brand.
Despite arguments from Establishment 203’s owner, Brendan Menegazzo, that his restaurant’s name was derived from his Queensland cattle business’s federal establishment number, the court found in favor of Hemmes, citing potential consumer confusion due to the similarity in names.
Impact and Enforcement
As a result of the ruling, Establishment 203 has been given 30 days to rename its business and will also bear the legal costs of the proceedings. The decision underscores the significant reputation and market presence the Sydney Establishment has built over over two decades, drawing tens of thousands of patrons weekly.
This case sets a significant precedent for trademark disputes within Australia’s competitive hospitality industry, reinforcing the need for businesses to conduct thorough checks on potential trademark issues before establishing new ventures.
Published 26-Sept-2024
