Oatly has said a Court of Appeal ruling that found dairy terms should not be used by plant-based alternatives “benefits the interests of Big Dairy and Big Dairy alone”.
In the latest step of a prolonged legal battle, the Court of Appeal this week overturned a High Court decision made last December that dismissed claims by Dairy UK that the term ‘milk’ was reserved only for dairy milk – after Oatly registered the trademark ‘Post Milk Generation’.
Oatly had previously attempted to trademark the tagline with the IPO, which led the dairy sector’s main trade association to appeal, arguing it was unlawful to use the term ‘milk’ in a trademark “in relation to products that are not mammary secretions”.
The High Court decision found Oatly could use the phrase.
But the new ruling clarified the legal protection of dairy terms, according to which the term ‘milk’ was reserved for dairy milk, except in defined circumstances, the Court of Appeal found.
“Disappointingly, this ruling overturns the common sense we saw from the High Court earlier this year when they ruled in our favour,” said Bryan Carroll, general manager for Oatly UK & Ireland. “Be under no illusion that making it harder to label and find dairy alternatives benefits the interests of Big Dairy and Big Dairy alone.
“Their cynical attempts to stifle competition through legal action contradicts the interests of the British consumer, creates an uneven playing field for plant-based products and worst of all: it delays progress in shifting the public towards more sustainable diets,” he added. “We will always stand up for what is right and we are considering our options.”
‘Milk’ is a protected designation for dairy products. The latest ruling confirming its status also extended to trademarks was welcomed this week by Dairy UK.
“We’re delighted that the Court of Appeal has ruled in favour of Dairy UK in the case regarding the trademark ‘Post Milk Generation’,” said Dr Judith Bryans, chief executive of Dairy UK. “This unanimous decision reinstates the Intellectual Property Office’s original decision, which declared the trademark invalid for oat-based products.”
At the High Court ruling last December, High Court Justice Richard Smith found that the phrase was not being used to market or sell an oat drink as milk, but rather as “indicative of the appellant’s products more generally as being for those who no longer consume dairy”.
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