You may remember our article from October 2024, in which we reported that Somerset cider maker Thatchers had appealed the High Court’s decision that there had been no trade mark infringement or passing off committed by supermarket giant Aldi in respect of their cloudy lemonade cider. The judgment of that appeal was handed down today and the Lord Justices held in Thatchers’ favour.
Thatchers’ original claim was on the basis that Aldi had copied the taste and appearance of its cloudy lemonade cider and Aldi’s lower price point gave it an unfair advantage. Where the High Court said that Aldi’s cider was a “safe distance” from Thatchers’ so there could be no likelihood of confusion, the Court of Appeal disagreed and held that there was a high degree of similarity and this similarity was clearly intended to create a link to Thatchers to convey the message that Aldi’s cider was like Thatchers’, “only cheaper”. Additionally, on this basis, Aldi was “riding on the coat-tails” of Thatchers’ mark.
Lord Justice Arnold acknowledged that “Aldi did not intend consumers to be deceived, or even confused, as to the trade origin of the Aldi product” but nevertheless went on to state that this does not detract from the fact that Aldi did intend to take advantage of Thatchers’ reputation in order to sell its product.
Fourth-generation Thatchers cidermaker Martin Thatcher stated that “this is a victory not just for our family business, but for all businesses whose innovation is stifled by copycats”. However, Aldi’s representatives have already said that the supermarket giant will appeal further. Therefore, this may not be the end of the matter for Thatchers.
If you have any questions on the above, please do not hesitate to contact the team at McDaniels Law on 0191 281 4000 or legal@mcdanielslaw.com.
