The Court of Appeal have upheld the decision that Oatly’s trade mark for ‘POST MILK GENERATION’ was invalidly registered in relation to the goods in classes 29, 30 and 32. The appeal followed the Intellectual Property Office’s (IPO) decision to grant a declaration of invalidity for the aforementioned classes.
Oatly had applied for the mark with the UK IPO in 2019 in classes 25, 29, 30 and 32 for oat-based products and the IPO granted registration in 2021. Dairy UK, the trade association for the UK diary supply chain, subsequently applied for a declaration that Oatly’s mark was invalidly registered under sections 3(3)(b) and 3(4) of the Trade Marks Act 1994. The application was successful in all classes apart from class 25 for t shirts.
Oatly appealed this decision and the High Court overturned the declaration. Dairy UK then appealed the High Court decision and the case was referred to the Court of Appeal.
Dairy UK’s argument was based around the fact that EU Regulation restricts the use of the term milk to animal derives dairy products. Therefore, the use of the work ‘milk’ when used in association with a plant-based product could mislead consumers. The Court of Appeal agreed, stating that milk was a designation under the EU Regulation, meaning that the Oatly’s use was prohibited in the context.
This decision is important as it illustrates the dangers of using specific terms when registering a mark without having a full understanding of the relevant legal framework. Additionally, it highlights the importance of clarity in registered trade marks to avoid customer confusion.
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.
