To immediately stop a competitor from using your brand name or logo, you must apply for an interlocutory injunction. In Ontario, this is filed at the Superior Court of Justice or Federal Court. You must prove “irreparable harm,” and drafting the complex legal motion typically costs between $15,000 and $40,000 CAD in lawyer fees.
Your brand is your identity. When you have spent years building a reputation and pouring money into marketing, seeing a competitor pop up with a confusingly similar logo or company name is infuriating. In the business world, this is known as trademark infringement or “passing off.” If you do not stop them immediately, your customers will get confused, and your brand’s reputation could be ruined.
Whether your retail store is in London, your restaurant is in Toronto, or your tech startup is in Ottawa, waiting for a standard lawsuit to play out is not an option. 📍 A standard trial can take years. Instead, Ontario businesses must apply for an emergency court order called an interlocutory injunction. This powerful legal tool forces the competitor to stop using your branding while the full lawsuit moves through the justice system.
Step-by-Step Process in Ontario
Obtaining an injunction is considered an “extraordinary remedy” in Canadian law. Judges do not hand them out lightly because forcing a business to change its name or pull products off shelves can bankrupt them. You must carefully prepare your legal strategy.
Step 1: Document the Infringement and Customer Confusion
The first step is gathering bulletproof evidence. You must take screenshots of the competitor’s website, photos of their storefront, and copies of their advertising materials. 📸 More importantly, you need evidence of actual customer confusion. If clients are emailing you to complain about a product they actually bought from the competitor, save those emails! This proves the infringement is actively harming your business.
Step 2: Send a Cease and Desist Letter
Before rushing to court, your law firm will draft a formal Cease and Desist letter. This letter warns the competitor that they are violating your trademark rights under the common law or the Canadian Trademarks Act. It demands that they stop immediately or face litigation. Often, amateur business owners do not realize they are infringing and will comply when they see a letter from a lawyer.
Step 3: File a Statement of Claim and Notice of Motion
If the competitor refuses to stop, you must officially start a lawsuit. You can file your Statement of Claim in the Federal Court of Canada (if you have a registered trademark) or the Ontario Superior Court of Justice (which handles both registered trademarks and common law “passing off”). 📄
Alongside the claim, your lawyer will file a Notice of Motion for an interlocutory injunction. This is accompanied by sworn affidavits from you and your team detailing the history of your brand and the exact financial damage the competitor is causing.
Step 4: Argue the Three-Part Test in Court
At the motion hearing, your lawyer must convince the judge to grant the injunction using the famous “RJR-MacDonald” legal test. You must pass all three stages to win.
| The Legal Test | What You Must Prove to the Judge |
|---|---|
| 1. Serious Issue to be Tried | You have a valid trademark, and there is a genuine dispute over who has the right to use it. |
| 2. Irreparable Harm | The competitor’s actions will cause permanent damage to your brand reputation that cannot be fixed simply by paying you money later. |
| 3. Balance of Convenience | The harm your business will suffer without the injunction is worse than the harm the competitor will suffer if forced to change their branding. |
How Much Does it Cost in Ontario?
Seeking an injunction is a fast and aggressive legal procedure, which means it requires significant upfront capital. 💵 Here are the typical costs as of May 2026 in CAD:
- Federal Court Filing Fees: Filing a Statement of Claim is $50 CAD.
- Ontario Superior Court Fees: Filing a Statement of Claim costs $229 CAD, plus roughly $167 CAD for the motion.
- Cease and Desist Letter: Having a lawyer draft a stern, customized warning letter typically costs $500 to $1,500 CAD.
- Injunction Legal Fees: Preparing the massive volume of affidavits and arguing the complex three-part test in court generally costs between $15,000 and $40,000+ CAD.
How Long Does the Process Take?
Because trademark infringement can destroy a business rapidly, injunctions are prioritized by the courts. Once you file the motion, you can generally get a hearing date within 2 to 6 weeks. If the competitor’s actions are maliciously designed to destroy an upcoming product launch or major event, your lawyer can request an “ex parte” emergency injunction, which can sometimes be heard by a judge in a matter of days.
Frequently Asked Questions (FAQ)
Do I need a registered trademark to get an injunction?
No. Even if your brand name or logo is not officially registered with the Canadian Intellectual Property Office (CIPO), you can still seek an injunction under the common law tort of “passing off.” However, having a registered trademark makes proving your case much easier.
What happens if I lose the injunction motion?
If the judge denies the injunction, the competitor can continue using the branding while the lawsuit proceeds to a full trial. Furthermore, you will likely be ordered to pay a portion of the competitor’s legal costs for having to defend against your motion.
Can an injunction force a competitor to destroy their inventory?
Yes. If the judge grants a broad injunction, the order can require the competitor to immediately cease selling, marketing, or distributing any products that bear the infringing logo. In extreme cases, the court may order the physical inventory to be seized or destroyed.
What is an undertaking as to damages?
When you ask for an injunction, the judge will require you to make a formal promise called an “undertaking.” You must promise that if you eventually lose the full trial years later, you will financially compensate the competitor for the sales they lost while the injunction was active.
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