Global fashion retailer C&A warns C&A Textiles of legal action for using same name

One of the largest global fashion retailers C&A has warned Bangladesh's C&A Textiles of taking legal action for using the same name, which, as the complainant says, is creating confusion among its clients.

In an announcement published in newspapers through India-based intellectual property law firm Selvam and Selvam, the multinational company said it has been sourcing from Bangladesh for a long time. Hence, the name has become well known in the country.

"In such a situation, the global brand has noticed that an unknown third party called C&A Textiles is doing business under the same name. But C&A has nothing to do with it," read the notice.

"So the textile company has been warned against using this name. If the textile company does not change its name, then legal action will be taken against it through court."

The notice cautioned the public and said that the global fashion retailer brand will not be held responsible for any unwary consumers or the general public harmed by the company infringing the C&A trademark. Instead, the public is urged to notify the law firm of any information that an authorised person is doing business under this name.

Selvam and Selvam published the notice through the Bangladeshi firm IP Conservator Bangladesh.

According to the notice, the global brand under the C&A trademark is trading clothes, apparel, and accessories with a reputation across the world. This name is registered in several countries around the world. Registration is pending in several other countries.

Enamul Hoque, team leader of IP Conservator, told The Business Standard, "We work with trademark and intellectual rights. The Indian law firm has assigned us the C&A trademark issue. The C&A trademark is registered in Bangladesh in the name of the foreign company. So no one else can use this name."

C&A Textile, which is engaged in manufacturing textiles and garments, was registered in 2001. It has a factory in Chattogram.

The company ceased production in 2017 due to its owners' irregularities and loan defaults. Then in 2021, Alif Group, another garment trader in the country, bought the company. Currently, Alif Group has managed to bring the company back to partial production.

Alif Group's Managing Director Azimul Islam told TBS, "I don't know why legal notice or notification about the name came so long after the company got registered. We have not received any notice in this regard. Rather we are working to re-launch the closed company."

The Netherlands-based C&A has been in business since 1841. The company has been sourcing from Bangladesh for over three decades. About 156 garment companies in the country manufacture garments for C&A.

C&A Textiles got listed on the stock market in 2014. At that time, it raised Tk45 crore by issuing shares in the capital market. After the listing, the owners of the company exit by selling shares secretly.

Several cases have been filed against its then managing director Rukshana Morshed by banks and non-bank financial institutions concerned about defaults on loans.

Besides, the Bangladesh Securities and Exchange Commission (BSEC) fined the company's board and senior officials.

The company's Tk10 face value share fell to Tk1 on the Dhaka Stock Exchange after production was halted due to owners' irregularities and corruption.

After that, the share price rose to Tk11.20 on the news of Alif Group taking ownership of the company. Its shares are currently trading at Tk10.20.