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Lidl wins logo lawsuit against Tesco | Lidl wins logo lawsuit against Tesco |
(about 1 hour later) | |
Discounter Lidl has won a trademark battle against the UK's biggest supermarket chain Tesco. | Discounter Lidl has won a trademark battle against the UK's biggest supermarket chain Tesco. |
The High Court ruled that Tesco's Clubcard logo copied Lidl's logo, which both use a yellow circle on a square blue background. | The High Court ruled that Tesco's Clubcard logo copied Lidl's logo, which both use a yellow circle on a square blue background. |
Lidl said Tesco had infringed its copyright, letting Tesco "take unfair advantage" of Lidl's "reputation for great value". | Lidl said Tesco had infringed its copyright, letting Tesco "take unfair advantage" of Lidl's "reputation for great value". |
Tesco said it was "disappointed" by the ruling and that it intended to appeal. | Tesco said it was "disappointed" by the ruling and that it intended to appeal. |
Discounter Lidl started its lawsuit in 2020, shortly after Tesco started using the logo to promote its Clubcard discount scheme. | Discounter Lidl started its lawsuit in 2020, shortly after Tesco started using the logo to promote its Clubcard discount scheme. |
It argued that Tesco deliberately copied its trademark to deceive customers into thinking its prices were comparable. | It argued that Tesco deliberately copied its trademark to deceive customers into thinking its prices were comparable. |
Judge Joanna Smith said in a written ruling on Wednesday that Tesco had "taken unfair advantage of the distinctive reputation" for low prices held by Lidl's trademarks. | Judge Joanna Smith said in a written ruling on Wednesday that Tesco had "taken unfair advantage of the distinctive reputation" for low prices held by Lidl's trademarks. |
However, she said that Tesco had not been seeking "deliberately to ride on the coat tails of Lidl's reputation", as Lidl had argued. | However, she said that Tesco had not been seeking "deliberately to ride on the coat tails of Lidl's reputation", as Lidl had argued. |
A Lidl spokesperson said: "We are pleased that the court has agreed with us and that it will now order Tesco to stop using the Clubcard logo." | A Lidl spokesperson said: "We are pleased that the court has agreed with us and that it will now order Tesco to stop using the Clubcard logo." |
How a big yellow label influences what we buy | |
Lidl lifts all restrictions on fresh produce | |
Tesco said it planned to appeal against the ruling, which a spokesperson described as being "just about the colour and shape of the Clubcard Prices logo". | Tesco said it planned to appeal against the ruling, which a spokesperson described as being "just about the colour and shape of the Clubcard Prices logo". |
"It has no impact on our Clubcard Prices scheme which we will continue to run in exactly the same way," the spokesperson said. | "It has no impact on our Clubcard Prices scheme which we will continue to run in exactly the same way," the spokesperson said. |
Tesco said nearly 21 million households use its Clubcard scheme, with 11.7 million Clubcard app users. Eight in ten of its sales involve a Clubcard. | |
Whether Tesco will be able to continue using the logo as it appeals will be decided at another court hearing. | Whether Tesco will be able to continue using the logo as it appeals will be decided at another court hearing. |
The BBC understands that Tesco will ask the court for permission to continue using its logo while the appeals process is ongoing. | The BBC understands that Tesco will ask the court for permission to continue using its logo while the appeals process is ongoing. |
Tesco's lawyers previously accused Lidl of hypocrisy and said it copied the branding of well-known products such as Oreo cookies. | Tesco's lawyers previously accused Lidl of hypocrisy and said it copied the branding of well-known products such as Oreo cookies. |
Supermarkets such as Tesco and Sainsbury's have been moving away from just enabling customers to build up points on loyalty cards that can be redeemed later. | |
They now use Clubcards and Nectar cards to offer customers immediate discounts on products when they shop as well. | |
Yellow stickers have been used on UK supermarket produce that is on sale as it approaches its sell-by date for a number of years. | |
The yellow colour is supposed to be warm and welcoming. | |
Related Topics | Related Topics |
Companies | Companies |
Tesco | Tesco |
Lidl | Lidl |