ABOUT 10 weeks ago, lawyer Nathaniel S. Arevalo of the Intellectual Property Office (IPO) wrote to point out a mistake I made in a previous piece I wrote about a pending IPO case concerning Zonrox, a popular household bleaching product being sold throughout the country by Green Cross Inc. (GCI)
That piece, which came out in the July 15 issue of the BusinessMirror, was titled “Zonrox patent case and IPO’s Josephine C. Alon.”
Arevalo said the Zonrox case that the IPO has yet to resolve was not about a patent, but about the trademark Zonrox. (I am, of course, thankful for the correction.)
The IPO has to decide conflicting claims of ownership over the trademarks between Gonzalo Co and GCI, a P24-billion company now controlled by Co’s two younger brothers, Anthony and Peter, and his sister Mary.
(How the three siblings managed to completely ease out their eldest brother out of GCI over a 30-year period is a fascinating account that debunks the folksy saying that “blood is thicker than water.” It is an incredible, oft-told tale in the Filipino-Chinese business community. The details of how it was pulled off are also recounted by Gonzalo himself in his autobiography, The Green Cross Saga, which can be read online at www.green-cross-saga.com.)
The legal dispute over Zonrox is only one of two similar trademark infringement cases filed by Gonzalo with the IPO. The other one is about Green Cross rubbing alcohol, the second-leading product being marketed by GCI.
These trademark-infringement cases are but a part of Gonzalo’s efforts to recover ownership and control of GCI, which, he believes, was systematically stolen from him by his siblings.
For instance, how his siblings managed to have these two trademarks registered in favor of GCI in March 2004 never fails to baffle him. As far as he knows, he never relinquished ownership of these two brands. These two highly salable household products became spectacular market successes in the 1950s, when they were first introduced by Gonzalo Laboratory, of which he was the sole proprietor.
Gonzalo Laboratory was the forerunner of the corporate entity now called GCI. In his biography, Gonzalo recounts:
“I owned the corporation 100 percent then and now. However, the law required five incorporators, so I brought in my brothers Anthony and Joseph [now deceased], my sister Mary, and my mother Ang Si. I placed 50 percent of the shares by implied trust [in their names]…I kept the other 50 percent in my name….”
Completely eased out
LATER, through clever ruses and stock-certificate forgeries, Anthony, Peter and Mary succeeded in completely easing Gonzalo out of the company. Some of those forgeries were later investigated and proven to be positive by the National Bureau of Investigation.
But at the ripe old age of 94, Gonzalo, still full of life and energy, is, more than ever, determined to set things right for the sake of his eight children, who would be deprived of their fair share of the immensely successful business that GCI has become.
He believes that the key to all this is to first prove his genuine ownership of the two trademarks, which have been the two top-selling products of GCI since the 1950s. (In his book, Gonzalo recounts that Zonrox immediately outstripped Green Cross alcohol in sales after its introduction in the market in 1954.)
But what could be taking the IPO so long in resolving the two cases? The first of the two is listed as Inter Partes Case 14-2012-00197. Co has asked for the cancellation of the registration of Green Cross rubbing alcohol in favor of GCI, issued on July 1, 2004. The IPO hearing officer assigned to this case is Marlita I. Vallestero-Dagsa.
The second, Inter Partes Case 14-2012-00160, also asks for the cancellation of the certificate of registration for Zonrox in favor of GCI, issued on March 11, 2004. The hearing officer in this case is Alon.
Arevalo, who wrote to me concerning my July 15 column on July 18, seemed eager to assure the public that there is no hanky-panky going on, as far as the two infringement cases filed against GCI are concerned. He said:
“In this regard, the public is assured that the IPO adheres to high standards and in adjudicating IP disputes, is fair and transparent. The IPO is mindful and respectful of personal circumstances. Cases, nonetheless, will be decided on the merits, based on the records, evidence and applicable provisions of law….”
If that’s true, then how come, despite repeated formal reminders and appeals to both hearing officers, the IPO has dragged its feet on these two particular cases?
Is Arevalo, a senior member of the legal affairs office—or, for that matter, Dagsa and Alon—not aware of an internal office policy that gives a maximum period of 45 days for the IPO to resolve Inter Partes cases?
In case they have forgotten, it’s right there, under Section 15.2 of Office Order 79.
Yet, the Zonrox case has, so far, been awaiting resolution after 13 months, while the Green Cross alcohol case has been stewing for 16 months.
Hearing officers not listening
GONZALO has been writing to each hearing officer—in his own handwriting—to “most humbly with a sincere prayer for you to please kindly facilitate your early decision on my case…. I am 94 years old, and getting older and weaker…and I wish to see the result of my case before I die….”
His handwritten appeals are all on record. But it would seem that that these two “hearing” officers are not listening. What would it take to make them do their sworn duty of resolving the cases based on the voluminous evidence submitted to them?
I wonder if IPO Director General Ric Blancaflor himself is even remotely aware of the foot-dragging that has been going on with the two infringement cases?
I wonder, too, about Trade Secretary Gregory L. Domingo. Does he, at least, have an inkling of the extent of intellectual dishonesty that may be corrupting the IPO?
Already, our over trusting nonagenarian’s quest for justice has attracted a number of like-minded columnists who like to side with victims of injustice, or any underdog in any controversy.
Manila Bulletin columnist Deedee M. Siytangco fondly describes Gonzalo as a God-fearing and law-abiding businessman of the old school.
Apparently knowing Gonzalo from way back, she describes him as a proud alumnus of De La Salle College who still participates in Legion of Mary activities. He is also an active Rotarian and member of the Knights of Columbus.
“He likes going to malls with his family and enjoys eating out every Saturday after the anticipated Mass. In the evenings, he prays the rosary and is particularly devoted to Saint Padre Pio….”
E-mail: [email protected].
