Ms. Lube's Upset About Branding Change

Posted by on Nov 6, 2009 in blog, Business Tips, Marketing | 61 comments

On CBC’s “Dragon’s Den“, entrepreneurs pitch ideas to a group of five savvy Canadian investors.  When watching the show, you can’t help but get fired up and may find yourself yelling at the entrepreneurs pitching their ideas (at least I do… ha!)

On November 4, 2009, a woman from Toronto, Ontario came on the show to pitch her new chain of women-owned mechanical shops.  The name?  Ms. Lube.  She walked into the Den, introduced herself and looked straight at Jim and said, “We’re looking especially at you Jim!”

Now, you might be thinking… confidence is good no?  Well… Not when you’re looking at one of the major investors of the Mr. Lube franchise…  I couldn’t help but laugh out loud.  Ms. Lube?  Mr. Lube?  Sounds quite similar huh?

The pitch went the way you’d expect — the dragon’s all pointing out the obvious copyright infringement — with Jim remaining completely silent because he felt “he had to” (no kidding…) Can someone say “cease and desist”?

Not only that but they are an all-female garage which means that they are immediately up against discriminatory hiring practices… Eeps!

Here’s the part that killed me though. The woman walked into the back room to reflect on her feelings after the rejection and she said, “The only part that bothers me is all of the money I’ve spent on branding and I guess if I have to change it, I will… it’s all a part of business.”

Seriously?!

It drives me crazy when entrepreneurs miss obvious important business practices and then play the victim card. When you are out in the business world, stealing ideas (or clients, or proprietary information, etc.) you are not only at fault… you’re delusional if you play the victim card.

The first thing any smart, savvy business owner does is check that their branding, their business name and anything else they spend money on is not in direct infringement of copyright.  Now, I get that sometimes, things get missed but she walked into the room, looked at Jim and thought he might be interested due to his investment in Mr. Lube.

It’s baffling really.

When you don’t do your due diligence, the only person at fault is you. It’s the harsh reality.  People aren’t going to be swayed by the charms of your branding or your logo if you rip off their idea.  Instead, they are going to do what any business person would do – take action immediately.

Here’s the thing – not only do you rip off an idea when you do something like this but you also “borrow” the “know, like and trust” factor that the solidified brand has built up.  People are going to assume that Ms. Lube is a branch of Mr. Lube and therefore, will not think twice about becoming a customer or trusting in the business. That’s stealing more than just a name – that’s stealing built up trust which is the hardest thing for a brand to build.

Did you see the show?  What are your thoughts on the Ms. Lube idea?

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  • http://www.bsetc.com Erin Blaskie

    Hi Jane,

    Thanks for stopping by and for taking the time to comment!

    The bottom line here is not what “the people” think when they see the name. The argument that people won’t associate the names does not make it okay in the eyes of the law. Also, diversifying the logos and the brand still does not mean that a company can take another company’s name. The bottom line in this situation is how Mr. Lube handles the infringement and it appears that they are taking the infringement very seriously — as any company would.

    You are right in saying that this is a professional website but it does more than just highlight “this Erin person” (which would be me) — it is my blog where I can share my opinion on various topics. The polarization of the visitors (those who agree with me and want to work with me versus those who don’t) is exactly what the site is meant to do. I’m glad that it has allowed you to make that decision.

    Sincerely,

    Erin

  • http://www.bsetc.com Erin Blaskie

    lol, it’s not a “lame ass argument” … It’s providing up-to-date information to the people who took the time to comment. If they weren’t interested in the story and following its progress, they wouldn’t have commented.

    Disqus, the comment plug-in, notifies people of new comments when there is a reply but not if I just reply to one person. So, I had to reply to each person who had a strong opinion on the subject so that we could continue the conversation. That is what a blog is. An open conversation of opinion and shared interest.

    Make sense now?

  • http://twitter.com/jweathe Jonathan Weatherhead

    Erin will you STUF? It turns out your link is broken and there hasn’t been any recent news on the case.

  • Mike Madds (Home)

    I didn’t realize she got so defensive against Jim after the show until reading this article. Machismo?  She could have named it ANYTHING else and may have gotten an offer from Jim, the whole show is designed to siphon money (pardon the pun) from entrepreneurs in the name of “getting their business started” so I doubt he would have said no to get a cut of a new business idea, especially a field he’s knowledgeable in (albeit every person is different, he may well have just wanted to “stomp her out of existence” but I can’t speak for him).  She took his rejection as him not wanting to “compete” with an all girl shop, which I am sure wouldn’t be competition to the very popular MR LUBE.

    I always thought it was a big mistake for her to name her business so similarly, with or without the “By Mechanchick” as she suggested; it makes no difference.  I knew the kid that owned MYSPACESUPPORT.com and they sued him to get the site from him or a cut of his profits, I know, it had MYSPACE directly in it, so should she get sued for the LUBE in the title?  It’s all a matter of who hears the case and what they (the judge or jury) decides; not us.

    So MS LUBE its way too close to MR LUBE, staged show or not, editing aside, there have been FAR less egrigous trademark “violations” out there that have been taken to court, far less, it’s all about you having enough $ to follow through with litigation until someone wins.  I filed for a trademark and got a bunch of Cease and Desist templates to send to people in the event they do it to me, that doesn’t mean I’ll win or even get money from someone infringing on my mark, it’s just to scare them to change the name (at first).  It’s not uncommon, or unheard of and it’s not always about KNOWING trademark law inside and out, expert or not (which Jim has lawyers for).  She should have asked someone before starting a (potentially) multi-million dollar business named MS. LUBE when the established/well known MR. LUBE trades off the same name internationally.  It would be SO easy to prove that MS LUBE is earning a profit based off of, or even slightly based off the MR LUBE brand because of that similarity and it’s enough to make a case. Otherwise, JIM had no case, and his biggest concern if he couldn’t get a slice of the business (which she was willing to give him) would be the “competition” aspect in which he’d have to address in other ways other than through litigation.

    I can even picture it, if she came out with a different name he could not have said a single thing aside from “IM OUT”

    But let’s offer some constructive criticism here:
    A better, more suitable name for her business that takes no effort and won’t get her sued (unless that’s taken as well, in which case two companies can sue her) = MECHANCHICK!

    That’s a great name “MECHANCHICK”

    MS LUBE has sexual connotations as well, MR LUBE being a joke here in America as is, but a popular/profitable joke; she is LITERALLY trying to trade off MR LUBE’s brand.  Can’t believe people can defend that at all.

    So she had it, where did she go wrong?

    Putting that MS. LUBE in the front was probably all by design to attract Jim to invest (she said as much during the pitch), and it totally backfired.  If it’s a trick of editing or not, they make Jim appear to be writing down her figures “We made 30k last month”  In Jim’s mind “that’s 30k I can sue them for.” by going on Dragon’s Den and giving her figures she saved Jim’s lawyers a lot of work  I mean, it was a gamble on her part but I wouldn’t gamble with trademarks like that, just my 2 cents.

  • Mike Madds (Home)

    Oh Jenn, you know Jess don’t you?  I get that feeling from the way you’re speaking and your extensive knowledge of the business :-D

    Don’t let emotions get in the way of business.  Trademark has nothing to do with how your shop is set up.  When you register for a trademark you select the “CLASS” or classification, and in this case it would be VERY specific “AUTO REPAIR” for both Mr Lube and Ms Lube.  Therefore, research or not (which was obviously not extensive enough into this very simple aspect of the trademark process), it’s really more about the perception of the courts when the case is brought before them.  Anyone can sue anyone for anything; proving it is the name of the game, and what needed to be proven here was “IS MS LUBE PROFITING OFF OF THE MR LUBE TRADEMARK?”  Without even hearing her explanation why I immediately thought she was wrong like Kevin O’Leary immediately thought.  I’m sorry, she’s very pretty and usually Jim is receptive to that it seems, but he’s a good businessman and didn’t get this far by letting other businesses earn profits off his established brand, especially businesses in direct competition.  I really hate that she called him a typical chauvinist male because she thinks he’s trying to crush the competition: he’s a good business man because he’s trying to crush the competition.   MR LUBE is very unique as it is, I mean it’s not like JIM TRELIVING’S WONDERFUL WORLD OF AUTO REPAIRS, it’s MR LUBE.  And she named her business MS LUBE, am I missing something here? Are you missing something here?

    He owns Boston Pizza, what if she came on Dragon’s Den wanting to start a restaurant named Boston Pizza by Jess?  Not the same circumstances, I know, but think if she just used the name MECHANCHICK, she probably would have not been sued and most likely would have gotten an investment.  Didn’t she research that option? 

    I’m sorry, but every Dragon thought so, I immediately thought so, but no one at MS Lube did?  No one?  Not one person in her life tugged her coat tail and said, you know that’s way too close to MR LUBE’s name,  I just can’t believe it.  It just all seemed so contrived to get Jim to invest which was a bad approach.  Even worse, the Dragons seem to dislike when the pitchers hone in on one Dragon, it puts off the rest, and in this case the one guy who probably would have invested in her had a name so similar he immediately thought “I might have to sue this person.”  I’ve never seen someone so directly in violation of trademark infringement so oblivious to the infringement let alone go to the person whose mark she’s infringing on, so much so it made me think the whole pitch was fiction, but obviously it was not.

    Your whole argument is based on the opinion her business is different because there are girls working there instead of men; trademark law in the hands of impartial judges/juries is EXTREMELY gender blind and having girls in your shop, your shop “looking” different inside, does not matter.  The nature of the businesses are in the same exact classification and MR LUBE and MS LUBE is so similar, one letter off, Jim and his partners could not ignore it.  Anyone could start opening.”X LUBES” (replace X with whatever you want) and Jim would lose even more business.  I don’t like seeing people get sued, but he was right to do so in this case; I keep thinking of JIFFY LUBE, which I know nothing about besides there’s a million of them in the USA, similar names, similar businesses, but different countries so the trademark does not apply in USA for MR LUBE and JIFFY LUBE does not apply in Canada (as far as I know).  Maybe Jim owns that too.

    I’m not even a lawyer and don’t even have a litigious mind, I’m just very observant of how these big corporations work; the right approach would have been naming it something like MECHANCHICK, selling it to Jim and suggesting to him to rename it MS LUBE. 

    The question remains, did she name the business 6 months before going on the show to attract Jim to invest if/when she did get on the show?  Or did she really think MS LUBE BY MECHANCHICK was a good trademark knowing there was a MR LUBE competitor out there?

    I mean, how would you feel, emotions aside, if someone just came to you, and told you about their established business already making money off a name so similar to yours, and tried to sell you the very same business?  JESS (without knowing it) basically extorted Jim!  Here, “I have a competing business and by the way, MS LUBE is our name…you’re gonna like this Jim”  His lawyers liked that she gave them something to do…Moreover, I know she’s oblivious and did not do enough research or just lacks common sense because
    you don’t see companies like MICROSOFT BY PROGRAMMERCHICK, or
    SISTER-P-TOUCH, or any other augmentations of trademarked brands being
    applied for and in operation just because it’s a good idea filled with women instead of men.  There’s
    more to it than that.  And it also asserts that MR LUBE does not hire women, without knowing it she insulted Jim in more than one way.  Bad move.

    She would have a case if she was selling motor oil, or did anything else
    with the trademark other than auto repairs.  The nature of her business
    is just way too similar (exact actually) to be in any other class than
    that which Jim’s trademark is in.  Moreover, for every different
    classification you put your business in with the Patent/Trademark office
    you have to reapply and pay again for another classification; here in
    the states is USD $400 for every application to each class (so a
    business doing multiple things needs to pay a lot to even get the
    mark).  I hate to poke holes in your assertion to the contrary but this
    is just where we have to agree to disagree.

    More 2 Cents :-D

    4 Cents total!  I’m on a roll.

  • Mike Madds (Home)

    I think you meant STFU.

    I just saw the episode and I wanted to comment.  Am I meant to STFU as well?

  • Mike Madds (Home)

    People telling Erin to STFU (specifically STUF – misquoting the very easy to get SHUT THE F*CK UP TEENAGER ABBREVIATION) makes me want to work with them either? 

    So if I went to a place called PIZZA NUT, instead of PIZZA HUT, I’m not supposed to think the two are similar?

    If I opened an Ice Cream business called MS SOFTEE, MR SOFTEE would mop the floors with me in court, and they’d laugh at me for asserting well, “I only hire women and our logo is better, so we’re so different so rule in my favor…”

    Wow people really need to buff up on the BASICS of trademark law.  Maybe it’s different in the USA here… not really.  j/k, woops, omg, like, idk wtf is up with ppl not knwing the ™ lizzaw.

  • Mike Madds (Home)

    You’re so right, I take take the same approach; people are going to think what they want in the context of their own experiences and knowledge.  Live and learn, trial by fire for some…

    Let them go ahead.  Won’t lose any sleep over other people disagreeing with me either, I just know who is right to work with based on that and in this case they prove themselves to you through comments on your opinions.  Blogging is great in that regard :-)

  • Mike Madds (Home)

    Wow, are you a trademark attorney specifically?  Have you ever won a case?  Did you just graduate?

    I think poetic justice for this “attorney” would be having to reference MR LUBE vs MS LUBE 2010 in a case in the future to prove a
    point for one of his own clients.  I wish I could be there for that one :-)

    Isn’t all law based on precedents?  I mean, I can watch TV too and lawyers are always referencing some old case that proves their point better to the jury or judge.  How could you possibly mock this brilliant person, Erin, for doing something everyone in your profession does with every case they take on?

    Jim Treliving’s lawyers piss higher than you, explaining their 6 figure incomes, busy schedules, rich and fruitful lives and alternatively your trolling blogs looking to pick on people with different opinions touting your “EXPERIENCE” and “DEGREE” in the field as the reasons for your criticisms (as ill-informed, brief, pointless, and naive as they are).  In reality I think you’re just friends with the Mechanchik people because I swear every lawyer I know tells me to err on the side of caution when not sure of something… you, your approach is GO FOR IT, WHO CARES…IF YOU GET SUED YOU GET SUED.  You must be one of those rainmaker attorneys, right?  You like seeing people step in DOO DOO so you can make your living when they get SUED SUED.

    You have a degree though… what’s that supposed to mean?  My latest ex-girlfriend has a degree in psychology and was an emotional TRAIN WRECK, explaining the EX part. 
    A degree is a piece of paper that costs a boat load of money; the ability to use that knowledge is what’s of utmost importance.

    Based on your advice I’d start a beer business called SISWEISER by
    BEERBABES based on the fact I only hire women, my name is one or two letters off, I’d open my doors, and get immediately sued into the stone age.  Because why? SAME INTERNATIONAL CLASSIFICATION and nearly identical TM’s.  Don’t you know this stuff?  If you were JIM’s attorney and not Mechanchik’s BFF, wouldn’t you suggest to him to block anyone trying to profit off your brand?  Seriously, I woulnd’t want you as an attorney if you answer NO.  Because Jim’s Attorneys said YES, were successfull, and obviously this argument which is now history, specifically a “PRECEDENT,”  with Mechanchicks changing their name proves you wrong not my comments or Erin’s comments, or all the law degrees in the world.  But still, to you, the risk is worth
    it obviously.  Now I know why people get sued so often, really really
    bad legal advice from people with “DEGREES” in law. 

    Where do you practice?  Not to do you harm but to save myself and others the  misery of taking your expert opinion in this area seriously.  Avoid this man’s advice if you value your capital, homes, cars, pets, children, unborn children, clothes and so on.

  • Mike Madds (Home)

    Ms Lube is a perfect name if you want to get sued by a major corporation whose Trademark is ONE LETTER off from theirs and you are in the same international trademark class as “AUTO REPAIR.”.

    Or I should say, MS LUBE is a perfect name for a business if you don’t care about profit,  your capital investment, or any sort of success in that business with MR LUBE being out there breathing down your neck.

    Don’t people realize that having a name similar and if you compete with them will really really perk the interest of attorneys out there?  Even if JIM didn’t have lawyers on stand by, I assure you a lawyer would call him up knowing he’s rich alerting him to the possible case they have just to make some money, so they all make some money. 

    I love how this goes right over everyone’s head, well, everyone but me and Erin, Kevin O’Leary, Rob Herjavec, and many other commenters here and all over the internet.  God, I’m getting emotional now like MS LUBE over her TM with some of these “expert” opinions here that fly in the face of common sense.

    I saw someone say Dragons Den producers “COURTED” Jess into going on the show.  She didn’t have to go, and when she did go she CLEARLY was oblivious about the infringement.  Well, she knew it was VERY SIMILAR explaining the infamous JIM YOULL LIKE THIS comment, she sounded so excited that it didn’t even cross her mind!  So you can’t blame her, I can’t even call her stupid or dumb like some people do, rather, she literally was OBLIVIOUS and took bad advice from someone if at all.  She’s not a law breaker either, criminal or whatever, she got REALLY bad advice from a moron attorney (I can recommend one from this post actually), or no legal advice at all.  Before you go on Dragons Den and ask for $1,000,000 or any amount GET AN ATTORNEY AND HAVE HIM STAND OUTSIDE THE SET!  These people go in their blind and give away half of what they own without consulting anyone… Due diligence process aside, your attorney should be there with you before you say something or agree to something stupid on National TV.  Instead, after you shake hands on the deal, when you get an attorney later that shakes sense into you and you back out before Due Diligence, they make you look like a bad businessperson who doesn’t value their oaths.  Look what happened to JOB LOFT, now those kids didn’t want to be known as idiots, but the show made them look like that thanks to their professor; that’s another argument for another time though :-D

  • Chris

    Just saw this episode. Here are my thoughts… How about Tom Hortons instead of Tim Hortons? Oh sorry Tom Hortons by HockeyGuy would be the name of my doughnut shop. This was the stupidest thing I have ever seen because who calls any business “Name of business By some-thing-er-other”?
    Do you go to Wal Mart by Bluesmocker? How about Superstore by Loblaws?
    If you put Ms. Lube by Mechanchic it is obvious most people will simply
    call it Ms LUBE. She will lose if she hasn’t already.

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