Mobility Denmark and the Danish Car Dealer Union (Dansk Bilforhandler Union) have reached a settlement on behalf of several member dealerships over the improper use of multiple car brands’ logos on dealer websites selling used cars. The Danish Car Dealer Union has acknowledged that the specific use of the logos constituted an infringement, and says it regrets the situation.
Dealers halt the practice and commit to future compliance
Under the settlement, the dealerships involved have stopped using the car brands’ logos improperly and have committed to not doing so again in the future. The Danish Car Dealer Union negotiated the settlement on behalf of the members covered by the original claim, with the amount ultimately sought reduced to roughly half the original figure. The dealerships will pay reasonable compensation for infringing the rights to selected car brand logos, with both sides agreeing, based on the nature of the infringements and existing case law, that 45,000 kroner per infringement constitutes reasonable compensation.
A website template doesn’t remove liability
In the specific cases involved, neither dealership had designed its own website. Both had purchased a standardised solution from a website provider, where the design itself was built to display logos.
Both standard templates were set up, in different ways, to show a presentation of the car brand logos sold by each dealer. One of the templates also automatically placed the relevant brand’s logo directly onto the photo of the specific car listed for sale.
Responsibility for a dealership’s marketing rests with the dealer itself, regardless of whether the website was purchased as a ready made solution from a provider or whether the marketing was produced by another party, such as an advertising agency.
Where the logos appeared
The logos in question showed up in several places across the affected websites: on the homepage, in the site footer, on a dedicated “Brands” subpage, and directly overlaid on photos of individual cars listed for sale.
A call for the industry to check its own websites
The case highlights the need for greater awareness on this issue. The Danish Car Dealer Union is urging its members to review their websites and other marketing materials to ensure that any use of third party trademarks complies with the rules.
What the rules actually say
When selling used cars, dealers often need to state the brand, model and similar details of the specific car being sold. Using protected word marks, such as naming a “[Brand, Model]” combination, is generally lawful in this context, provided it is done fairly and solely to describe the car being sold. For example, it is lawful for a word mark to appear in a description such as “[Brand, model, variant]” alongside a neutral photo of the car for sale.
Using a car brand’s logo, however, generally requires the trademark holder’s consent. This is because using a logo is rarely necessary to describe the car being sold, and doing so can also create the impression of a commercial relationship between the dealer and the brand, which is not permitted.
Mobility Denmark and the Danish Car Dealer Union encourage members with any doubts about trademark rules to seek legal advice or contact their industry association.
