Judge Marsha Pechman recently dismissed a lawsuit filed by the U.S. shop Trader Joe’s against a Canadian imposter, Pirate Joe’s. Pirate Joe’s is a store based in Kitsilano, Vancouver which resells products from Trader Joe’s shops across the border.
The ruling stated that “all alleged infringement takes place in Canada and Trader Joe’s cannot show economic harm,” and “even if Canadian consumers are confused and believe they are shopping at Trader Joe’s or an approved affiliate when shopping at Pirate Joe’s, there is no economic harm to Trader Joe’s because the products were purchased at Trader Joe’s at retail price.”
Trader Joe’s argued that Pirate Joe’s was not authorized to resell their goods and that fake advertising were compromising their brand.
It was noted, however, that Trader Joe’s products couldn’t be purchased on their website and they don’t have any stores in Canada.
While it is true that, if not handled correctly, Pirate Joe’s advertising may affect Trader Joe’s brand and public image, it is also true that, by buying from Trader Joe’s at retail price, Trader Joe’s is not harming them economically. In fact, they may very well be increasing Trader Joe’s sales. Pirate Joe’s spend money and time to bring Trader Joe’s products to Canada so people do not have to travel to get them themselves, helping many in the community. By making Trader Joe’s products accessible, it is likely that more people would be interested in them, making sales increase further. In fact, when you look at it from another perspective, having a shop like Pirate Joe’s is not much different than having the number of customers Pirate Joe’s tailors to and more customers are always accepted. Therefore, the dismissal of the lawsuit is justified and Trader Joe’s should not have so many complaints about it.