Lidl checks out of Tesco IP battle with partial win
Managing IP is part of Legal Benchmarking Limited, 4 Bouverie Street, London, EC4Y 8AX
Copyright © Legal Benchmarking Limited and its affiliated companies 2024

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Lidl checks out of Tesco IP battle with partial win

Lidl-comp.jpg

The UK High Court backed Lidl in passing off and copyright infringement claims against Tesco, but it wasn’t a clean sweep for the German supermarket

The England and Wales High Court today handed victory to Lidl in the battle of the supermarkets, ruling that Tesco’s Clubcard logo infringed Lidl’s store logo.

In her judgment, Mrs Justice Joanna Smith found Tesco had taken unfair advantage of Lidl’s reputation and had damaged the distinctive character of the Lidl logo.

Both logos feature a yellow circle on a blue square. Lidl’s has a thin red border around it.

Tesco was deemed liable for passing off as well as trademark and copyright infringement.

According to Smith’s judgment, the Clubcard design was “immediately appreciated” by Tesco employees as being likely to cause confusion with Lidl but Tesco went ahead with the Clubcard Prices promotion in any event.

However, a Lidl-owned wordless mark for the same logo was invalidated on the grounds that it had been applied for in bad faith.

In November last year, Managing IP reported that Tesco had been granted permission to advance claims of bad faith on the grounds that a trademark for a wordless version of Lidl’s logo – despite never having been used in the UK – had been continually refiled by the German-owned supermarket.

Tesco’s ‘Clubcard Price’ loyalty discount scheme, which launched in 2020, offers discounts on selected items to Clubcard members.

A spokesperson for Tesco said it is surprised and disappointed by the decision and intends to appeal.

A Lidl spokesperson said: “We asked Tesco to change its Clubcard logo, but they refused, making it necessary to bring this case. We are pleased that the court has agreed with us and that it will now order Tesco to stop using the logo.”

more from across site and ros bottom lb

More from across our site

Partners and other senior leaders must step up if they want diverse talent at their firms to thrive
European and US counsel reveal why they are (or aren't) concerned about patent quality and explain how external counsel can help
Firms such as Bird & Bird and Taylor Wessing have reported rising profits and highlighted the role of high-profile IP disputes and hires
We provide a rundown of Managing IP’s news and analysis from the week, and review what’s been happening elsewhere in IP
Lawyers in the corporate and IP practices discuss where the firm can steal a march on competitors, its growth plans in London, and why deal lawyers are ‘concertmasters’
Kathleen Gaynor, DEI specialist at Phillips Ormonde Fitzpatrick, says deliberate actions can help law firms reach diversity goals
Scott McKeown, who moved to Wolf Greenfield one year ago, says the change has helped him tap into life sciences work and advise more patent owners
The winners of our Asia-Pacific Awards 2024 will be revealed during a ceremony in Malaysia on September 26
Zach Piccolomini of Wolf Greenfield explains how to maximise your IP portfolio’s value while keeping an eye on competitors
Witnesses at a Congressional hearing debated whether reforming the ITC is necessary and considered what any changes should look like
Gift this article