Bulgaria's Competition Protection Commission (CPC) started a procedure that could lead to imposing a fine of 10 000 leva on chemical producer Megachim AD of Rousse over breaching the country’s trademarks protection legislation, CPC said on October 31, as quoted by investor.bg.

The procedure was in response to a complaint filed by Rousse-based company Orgachim, which said its Fassagen trademark was violated by Megachim. The latter had been marketing its own product called Mega Fassagen-A for a period of 10 months, CPC found. There was an obvious similarity between the elements used on the labels of the two products, i.e. the font resembled the one used by Orgachim, and the symbols on the label were arranged the same way.

The way Megachim had marketed its product by using the popularity of the brand of Orgachim was in violation of the rules of the good trade practise, CPC said. There was a possibility that the clients of Orgachim would wrongly recognise the Megachim version as the original Fassagen and would thus be mislead.

Orgachim is one of the largest manufacturer of paints, lacquers and other chemical products in Bulgaria. The company has developed fast and expanded over the past several years by launching some best selling products of its segment on the local market. Orgachim is also traded on the Bulgarian Stock Exchange – Sofia.