Budget supermarket Lidl has won a copyright battle against Tesco over the use of its yellow and blue Clubcard deals colour scheme.
The high court ruled in favour of the discount supermarket on Wednesday after it found that Tesco's Clubcard logo had copied Lidl's logo. Both feature a yellow circle on a blue background.
The dispute is said to have kicked off after Tesco began using the blue and yellow logo to promote its Clubcard scheme in 2020. A Lidl spokesperson has since said of the ruling: "We are pleased that the court has agreed with us."
Tesco has said that it is "surprised and disappointed" after the judge found that it had "taking unfair advantage of the reputation of Lidl's logos." The supermarket has said that it will be appealing the decision, reports HullLive.
One finding was made in favour of Tesco during the logo battle. The judge ruled that the supermarket had not act in "bad faith", despite Lidl's argument.
A Tesco spokeswoman said in a statement: “We are surprised and disappointed by the decision today in relation to the claim brought by Lidl against our Clubcard Prices logo. Clubcard Prices has always been about offering great value to our Clubcard customers, across thousands of products, as part of our commitment to keeping the cost of the weekly shop as affordable as possible. Nothing in today’s decision changes that.
“This claim brought by Lidl was just about the colour and shape of the Clubcard Prices logo. The judge’s ruling concluded that there was no deliberate intent on Tesco’s part to copy Lidl’s trademark. It has no impact on our Clubcard Prices scheme, which we will continue to run in exactly the same way. We intend to appeal.”
A Lidl GB spokesman said: “We asked Tesco to change their Clubcard logo, but they refused, making it necessary to bring this case. Having seen the evidence, the court has now ruled that Tesco’s Clubcard logo was copied from Lidl’s logo, and it infringes Lidl’s trademark rights and copyright.”
Charlotte Duly, a awyer who specialises in brand protection at Charles Russell Speechlys, said: "A yellow circle on a blue background has spawned a multi-million pound intellectual property dispute, highlighting the enormous value companies see in their branding.
"Lidl relied on survey evidence to show consumer perception of their wordless logo. Tesco objected to this and whilst undertaking a survey that complies with the requirements set down in case law can be difficult and onerous, leading to an increase in costs for both parties, the survey was admitted into the proceedings.
"Lidl has won as the court agrees that Tesco has taken unfair advantage of the reputation in Lidl’s logos, even if this was not deliberate – a landmark decision between two major brands. From both a general interest perspective and a legal point of view, there are a number of very interesting issues raised in this case and it will be interesting to see whether this judgment triggers more cases of this kind."
Don't miss the latest news from around Scotland and beyond. Sign up to our daily newsletter here.
