Safaricom has temporarily been blocked from advertising its M-Pesa services inside the standard gauge railway (SGR) commuter train.
High Court judge Peter Mulwa issued the temporary injunction against Safaricom following a petition by City Eye Advertising Agency, accusing the telco of infringing on its intellectual property.
The firm told the court that it has a trademark certificate with exclusive advertising right for third parties in the commuter train.
Zakayo Muchai Wainaina, the City Eye proprietor, said Safaricom had violated its trademark rights by advertising its M-Pesa product in the SGR.
“Therefore, I am satisfied that the plaintiff (City Eye Advertising Agency) has demonstrated a prima facie case, that it shall suffer irreparable harm that cannot be compensated by damages and that the balance of convenience tilts in favour of granting the interlocutory injunction,” said the judge.
Mr Muchai moved to court last year, saying he has rights to brand the commuter train with advertising material, inside and outside the train.
The court heard that before the advertising firm sued, it had written to Safaricom offering to provide advertising services, including for its products in the commuter train.
Safaricom declined the offer.
The telco said Kenya Railways Corporation (KRC) later announced it had entered into partnership with Digital Mara as its exclusive advertising partner.
The telco said it subsequently contracted the services of Digital Mara to advertise its product on the SGR.
The mobile services provider accused the advertising firm of failing to disclose or mention Digital Mara in the claim. Safaricom contended that the case was an attempt by the advertising company to retaliate against it for failing to take up its offer for advertising services.
“In conclusion, the plaintiff’s application dated July 10, 2023, is merited. It is allowed with costs to the plaintiff,” said the judge.
