Intellectual Property and Fair Competition Measures by the Competition and Anti-Imitation Office

「As no appeal was filed by the deadline for filing an appeal to the Supreme Court, the judgment became final and binding. Accordingly, the company recognized ¥82.262 million in damages received as extraordinary income during the current consolidated fiscal year.」

「On 8 March 2021, a judicial settlement was reached under the settlement terms established by the Tokyo District Court in this matter. Under those terms, ESPERANZA agreed to stop selling cosmetics and soaps bearing the “天使の肌砂糖” mark and to pay a settlement amount, among other provisions.」

「As part of these activities, the company applied to the Tokyo District Court for a provisional injunction against 株式会社はぐくみプラス, seeking an injunction against its misleading quality representations. The application sought to stop representations such as “Boost your immunity from within to protect against coronavirus” in social media advertisements for 株式会社はぐくみプラス’s “はぐくみオリゴ,” a competing product to the company’s “カイテキオリゴ,” on the grounds that the representations constituted misleading quality representations and infringed, or threatened to infringe, the company’s business interests, in violation of the Unfair Competition Prevention Act. On 4 June 2020, after the end of the first-quarter accounting period, a court settlement was reached in which the company’s claims were accepted almost in full.」

「As announced in the 7 February 2018 notice “Regarding the Filing of a Lawsuit Against 株式会社はぐくみプラス,” the company had filed a lawsuit against 株式会社はぐくみプラス seeking an injunction against misleading quality representations and acts damaging its reputation, deletion of the misleading quality representations, collection of documents containing false statements, and payment of ¥100 million, representing part of its claim for damages of ¥1.37944 billion. After examining the evidence disclosed in the proceedings, the company determined that the damages it had suffered as a result of those acts amounted to more than ¥1.118443 billion and, on 17 February 2020, filed a motion to amend its claim with the Tokyo District Court.」

「For the “刺す化粧品” series, the company obtained trademarks in advance for keywords considered necessary for effective advertising and has taken measures to prevent other companies from using representations similar to its registered trademarks, even if similar products subsequently enter the market.」

「As part of these activities, the company filed a lawsuit with the Tokyo District Court on 4 June 2019, after the end of the cumulative first-quarter period, against 株式会社ESPERANZA, seeking an injunction against trademark infringement and damages of more than ¥12.228 million, among other relief.」

「On 7 February 2018, the company filed a lawsuit with the Tokyo District Court against 株式会社はぐくみプラス, seeking an injunction against 株式会社はぐくみプラス’s misleading quality representations and acts damaging its reputation, deletion of the misleading quality representations, collection of documents containing false statements, and payment of ¥100 million, representing part of its claim for damages of ¥1.37944 billion, among other relief.」

「With respect to intellectual property rights relating to its products, the company newly established the Competition and Imitation Countermeasures Office. It respects the intellectual property rights of both itself and other companies and conducts business in a fair competitive environment. As the office’s first initiative, the company filed a lawsuit with the Tokyo District Court on 7 February 2018 against 株式会社はぐくみプラス, seeking an injunction against 株式会社はぐくみプラス’s misleading quality representations and acts damaging its reputation, deletion of the misleading quality representations, collection of documents containing false statements, and payment of ¥100 million, representing part of its claim for damages of ¥1.37944 billion.」