Lookalikes decision
On 20 January 2025 the UK Court of Appeal found in favour of UK cider maker Thatchers in a landmark case against supermarket giant ALDI.
Aldi's well-publicised business model which openly copies big brand packaging to save it the trouble and cost of marketing has been found to take unfair advantage of Thatchers' well known packaging.
The Court held that Thatchers "is correct that the present case is squarely within the Court of Justice's description in L'Oreal v Bellure of "a transfer of the image of the mark" and "riding on the coat-tails of that mark".
It found that ALDI intended its packaging to remind consumers of Thatchers' packaging in order to convey the message that the ALDI product was like the Thatchers product only cheaper.
ALDI's packaging therefore took unfair advantage of Thatchers' reputation enabling it to profit from Thatchers' investment in developing and promoting the Thatchers product rather than competing purely on quality and/or price and on its own promotional efforts.
Martin Thatcher, the MD of Thatchers said "We couldn't be happier with this decision...this is a victory not just for our family business, but for all businesses whose innovation is stifled by copycats."
In a market where lookalikes are so prevalent this is indeed a welcome decision for brand owners whose hard-won reputation and customer following is at risk from the budget supermarkets.