When a trademark dispute with his international partner threatened his family business, Sharetea Australia founder Anthony Mu turned to Addisons’ intellectual property litigation expertise.
Dispute over trademark threatens business
Anthony Mu was 21 and just out of university when he set up the bubble tea shop that would become the first Sharetea store. By the time the dispute began, he had grown this into a flourishing franchise business with over 80 stores.
Lian Fa’s legal action, which asserted infringement of the Sharetea trademark, came as a shock, and a potentially devastating blow.
First and foremost, Anthony needed to win the right to continue trading under the brand he had built. He also needed to protect the company’s recipes, branding and other intellectual property.
When business is also personal
‘We needed to protect our business. The franchisees and employees in all those shops were also depending on us,’ says Anthony. ‘But for me this business was never just an income generator. I built it from the beginning, it is my family business, and my baby.’
There were also personal relationships involved in the long history between the parties and Anthony was keen to preserve those if possible.
He knew he simply could not afford to be anything less than 100% prepared when his business was at stake.
Addisons team brings expertise and commercial approach
The case had been underway for some time when it became clear to Anthony that it was not ready to go to trial. That was when he approached Addisons.
Despite concerns about changing lawyers mid-way through a trial process, Anthony was confident he and his business were in good hands with Addisons.
Not only because of partner James Lawrence’s reputation as a leading intellectual property disputes partner, he explains. ‘Addisons took on this matter, not just James. I knew I was getting the best in James, Justine Munsie and the whole team.’
With the litigation clock ticking, the team had very little time to prepare. Both the legal and fact situations were complex, explains James. ‘There was a lot of work to do. None of us could have done it without the backing of the whole team – it just would not have been possible.’
Focus on what matters most
Addisons’ approach was immediately reassuring, says Anthony.
‘Whatever James and Justine promised me, they actually did. I know they put in a lot of nights and weekends, but they were never too busy or important to take my call anytime I needed to talk.’
‘Addisons had a very commercial approach and were very conscious of my costs when they were designing the litigation strategy,’ he adds. ‘They were always considering whether there was a more affordable or effective way to solve a problem.’
‘It does take experience to appreciate which issues to pursue and which outcomes we can live with,’ adds James. ‘To me the key is always having a laser focus on what matters.’
Most importantly, that means understanding the client’s risk appetite and what commercial success means to them, he adds. ‘Winning a legal battle may be a pyrrhic victory if they don’t get the commercial outcome they need.’
A successful outcome sets Sharetea up for growth
Reaching a successful resolution meant an application to the court to vacate the trial date. This is not something a legal team would ever want to do. But James and the team were clear this was the best approach.
‘We did have to have some very frank and honest discussions about the potential outcomes,’ says James.
Resetting the trial date opened an opportunity to pursue negotiations. Ultimately Lian Fa’s case was dismissed to Sharetea’s satisfaction.
With the dispute now behind him, Anthony can once again focus on his business. Sharetea Australia is on track to have 150 stores by March 2025, with new brand development and hospitality projects also underway.
Addisons continues to provide support with intellectual property advice.
‘I understand now there are many things you can do from the beginning to protect yourself and your brand so you won’t end up in litigation,’ says Anthony. ‘If I’d met James Lawrence ten years ago, I wouldn’t have had this issue,’ he adds.