Chobani has lost its appeal against Fage in the two companies’ long-running legal battle over the term “Greek yoghurt”.
The Court of Appeal today announced it had sided with Fage, maker of Total Greek Yogurt, in finding that “Greek yoghurt” had to be made in Greece, upholding an earlier judgment from March 2013. It also refused Chobani permission to take the case further by appealing to the Supreme Court, although Chobani has vowed to continue fighting regardless, which it could do by appealing directly to the Supreme Court.
All three judges – Lord Justice Kitchin, Lord Justice Lewison and Lord Justice Longmore – agreed that the judgment made by the trial judge, Justice Briggs, in the spring of 2013 was correct. In addition to challenging Justice Briggs’s decision, Chobani had also tried to introduce a new line of argument against Fage, but the judges decided not to allow this.
Justice Kitchin said: “I am satisfied the judge was entitled to come to the conclusion he did. I would dismiss this appeal.” This was echoed by Lord Justice Lewison, who also provided his own judgment on the case, as well as Lord Justice Longmore.
A spokeswoman for Chobani said it was disappointed with the outcome of the appeal but insisted “the fight is not over”.
“We remain committed to the UK market and to breaking the monopoly on the use of the term Greek yoghurt enjoyed by Fage”
Chobani
“Chobani is appealing to the Supreme Court because we remain of the view that the population of the UK know and understand Greek yoghurt to be a product description regardless of where it is made. We remain committed to the UK market and to breaking the monopoly on the use of the term Greek yoghurt enjoyed by Fage.”
Chobani is one of the US’ most successful dairy companies, and the leading brand in the US Greek yoghurt category. It made its UK debut in September 2012 with a listing in Tesco, selling US-made yoghurts described as “Greek yoghurt”.
Fage, which makes its yoghurt in Greece, took out an injunction against Chobani and launched a legal case later that autumn, which went to trial in the spring of 2013.
After Fage won the case, Chobani lodged an appeal, maintaining “Greek yoghurt” described a production process and arguing that Fage had failed to prove the term was so distinctive as to warrant special protection. It also introduced a new line of argument against Fage based on European Union regulations on protected foods from 2012, but this was also dismissed by the Court of Appeal.
Chobani removed any references to “Greek yoghurt” from its packaging while the case was pending. In November, it announced it was temporarily pulling out of the UK until it had its own UK production facilities up and running. It said at the time it expected this to take 12 to 14 months.
Fage declined to comment on the case but said Chobani was refused permission by the Court of Appeal to appeal to the Supreme Court and was also ordered to pay Fage’s costs of the appeal.
This story was updated at 10.21 on 29 January 2014 to include comment from Chobani.
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