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Unilever Vs CA

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Unilever Philippines, Inc. vs.

CA and Procter and Gamble Philippines


GR 119280 August 10, 2006
Facts:
On August 24, 1994, Procter and Gamble Inc. filed a complaint for injunction with damages against Unilever alleging that
Unilever substantially and materially imitated the aforesaid "tac-tac" key visual in blatant disregard of its intellectual
property rights. This occurred when Unilever started airing a 60 second television commercial "TVC" of its "Breeze
Powerwhite" laundry product called "Porky” and the said commercial included stretching visual presentation and sound
effects almost identical or substantially similar to P&GP’s "tac-tac" key visual.
On August 26, 1994, Judge Gorospe issued an order granting a temporary restraining order and setting it for hearing on
September 2, 1994 for Unilever to show cause why the writ of preliminary injunction should not be issued. On appeal,
the CA rendered its decision finding that Judge Gorospe did not act with grave abuse of discretion in issuing the disputed
order.
Unilever now argues that the writ of preliminary injunction was issued by the trial court (and affirmed by the CA)
without any evidence of private respondent's clear and unmistakable right to the writ. Petitioner further contends that
the preliminary injunction issued against it already disposed of the main case without trial, thus denying petitioner of
any opportunity to present evidence on its behalf.
ISSUE:
Is preliminary injunction proper to enjoin the airing of TV commercials? (YES)
Held:
Yes. There was extreme urgency for the court a quo to act on plaintiff’s application for preliminary injunction. The airing
of TV commercials is necessarily of limited duration only. Without such temporary relief, any permanent injunction
against the infringing TV advertisements of which P&GP may possibly succeed in getting after the main case is finally
adjudicated could be illusory if by then such advertisements are no longer used or aired by petitioner. It is therefore not
difficult to perceive the possible irreparable damage which P&GP may suffer if respondent Judge did not act promptly on
its application for preliminary injunction.
Injunction is resorted to only when there is a pressing necessity to avoid injurious consequences which cannot be
remedied under any standard compensation. As correctly ruled by the CA, there was an extreme urgency to grant the
preliminary injunction prayed for by P&GP considering that TV commercials are aired for a limited period of time only. In
fact, this Court takes note of the fact that the TV commercial in issue ― the Kite TV advertisement ― is no longer aired
today, more than 10 years after the injunction was granted on September 16, 1994.
The sole objective of a writ of preliminary injunction is to preserve the status quo until the merits of the case can be
heard fully. A writ of preliminary injunction is generally based solely on initial and incomplete evidence. 9Thus, it was
impossible for the court a quo to fully dispose of the case, as claimed by petitioner, without all the evidence needed for
the full resolution of the same. To date, the main case still has to be resolved by the trial court.
The issuance of a preliminary injunction rests entirely on the discretion of the court and is generally not interfered with
except in cases of manifest abuse. There was no such abuse in the case at bar, especially because petitioner was given
all the opportunity to oppose the application for injunction. The fact was, it failed to convince the court why the
injunction should not be issued. Thus, in Santos v. Court of Appeals, we held that no grave abuse of discretion can be
attributed to a judge or body issuing a writ of preliminary injunction where a party has not been deprived of its day in
court as it was heard and it exhaustively presented all its arguments and defenses.

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