Chanel has experienced a setback in its attempt to prevent the registration of a stylized “m5” trademark by the Slovenian cosmetics firm Simb d.o.o. The Fifth Board of Appeal of the European Union Intellectual Property Office (EUIPO) has recently rejected Chanel’s appeal, concluding that there is no likelihood of confusion between Chanel’s famous “N°5” trademark and Simb's mark. This ruling highlights the ongoing difficulties brands encounter when trying to enforce trademarks that include single-character elements, particularly in stylized formats, without sufficient evidence of acquired distinctiveness. Simb had submitted an application in May 2023 for a figurative trademark that combines the letter “m” (or possibly “n”) with the number “5,” intended for a variety of Class 3 goods such as nail polish, serums, and lotions. In September 2023, Chanel contested this application, asserting that consumers might confuse its registered trademarks for “5” and “N°5,” both associated with fragrances and cosmetics. Following the EUIPO’s Opposition Division's dismissal of Chanel’s challenge in June 2024, Chanel appealed, emphasizing its established reputation in France and the longstanding association of the number “5” with its flagship product. In a ruling issued on March 20, the EUIPO’s Board favored Simb, emphasizing the distinctive graphic design of the “m5” sign, which consumers would not perceive merely as a stylized “5,” but rather as a unique combination of character and numeral. The Board also dismissed Chanel’s argument regarding similarity, noting that even if interpreted as “n5,” the absence of the degree symbol and the unique design sufficiently differentiated the trademarks. Moreover, Chanel's extensive evidence to demonstrate the acquired distinctiveness of “N°5” was deemed outdated or insufficiently specific. Ultimately, this decision illustrates the necessity for brands to present current and compelling evidence of reputation when seeking protection for minimalist trademarks, emphasizing that legacy alone is insufficient. While Chanel may contest this ruling in the General Court of the European Union, Simb's “m5” trademark is now closer to approval.
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