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Clive Sutton's High Court case against manufacturer's use of AC Cobra name ends in defeat

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【Summary】Luxury used car dealer Clive Sutton has lost a High Court case against AC Cars over the use of the AC Cobra name. The dealership had challenged AC Cars' right to use the UK-registered AC Cobra trademark, claiming it was invalid. The dispute arose from Clive Sutton importing "imitation" models from the USA and advertising them as Cobras. However, the court dismissed the case, upholding AC Cars' ownership of the trademark.

FutureCar Staff    Aug 23, 2023 7:15 AM PT
Clive Sutton's High Court case against manufacturer's use of AC Cobra name ends in defeat

The High Court case between luxury and performance used car dealer Clive Sutton and AC Cars over the AC Cobra name has been dismissed. Clive Sutton had brought a counterclaim action against Acedes Holdings LLC and AC Cars, challenging the latter's right to use the AC Cobra trademark in the UK. The dispute originated from Acedes Holdings and AC Cars' claim that Clive Sutton imported 'imitation' models from the USA and advertised them as Cobras. However, Clive Sutton refers to these models as continuation and replica cars.

Clive Sutton Ltd argued that AC Cars' trademark of the AC Cobra name was invalid due to prior rights claimed by Ford Motor Company and non-use by AC Cars. A claim of infringement by Acedes Holdings and a subsidiary was withdrawn before the case went to court. AC Cars stated that from December 2021 to April 2022, Clive Sutton advertised imitation cars as 1965 Cobras, which were actually recently manufactured cars from South Africa with the bodies exported to the USA for engine installation.

In the USA, these cars were registered as kit cars in the year they represented, which is legal. However, UK rules require all cars to be registered in the year they were manufactured. AC Cars emphasized its commitment to protecting the authenticity of genuine AC-badged cars and the investment made by its customers. The company's chief executive, David Conza, expressed satisfaction with the judgment, stating that it vindicated their desire to protect their trademarks and intellectual property.

A spokesman for Clive Sutton mentioned that Acedes Holdings and a subsidiary withdrew a claim of trademark infringement just before the trial commenced. The UK's Intellectual Property Office also declared Acedes' UK-registered designs invalid and revoked them. The spokesman reiterated that Clive Sutton remained the only authorized importer of continuation and replica Shelby Cobra cars in the UK, produced under license by Ford and Carroll Shelby Licensing.

AC Cars responded to Car Dealer that it would not comment on statements made by Clive Sutton and advised Clive Sutton Ltd to contact their lawyers if necessary. AC Cars, established in 1901, is Britain's oldest active vehicle manufacturer. The company's first vehicle was produced in 1903, and the name AC was derived from the Autocarrier introduced a year later. The AC Cobra GT Roadster, priced from £240,000, made its global premiere in London in April.

This story was originally published on August 11th and updated on the same day with comments from Clive Sutton and AC Cars' response. It was further updated on August 14th with additional information from Clive Sutton.

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