Court of Appeal rules in favour of Thatchers in Aldi trademark infringement case

British cider producer Thatchers has won a significant victory in its long-running trademark battle against supermarket giant Aldi. The Somerset-based family business, represented by Stephens Scown LLP, brought the case after alleging that Aldi’s Taurus Cloudy Lemon Cider unfairly imitated Thatchers’ Cloudy Lemon Cider, which gained widespread market success after its launch.

In a landmark ruling, the Court of Appeal overturned an earlier High Court decision and held that Aldi took unfair advantage of the Thatcher’s trademark. Lord Justice Arnold, presiding over the appeal, concluded that Aldi’s product infringed upon Thatchers’ trademark, particularly concerning the imagery and branding on the cans and the cardboard four-pack, but not the Aldi product itself. He labelled it an “unfair advantage”, as it allowed Aldi to benefit from the drinks company’s investment in the development and promotion of the Thatchers brand.

Thatchers’ vindication

Martin Thatcher, Managing Director of Thatchers and great-grandson of the company’s founder, welcomed the decision. “We couldn’t be happier with this decision, which vindicates our position that Aldi had taken unfair advantage of the hard work we put into our cider and brands,” he said. “This is a victory not just for our family business, but for all businesses whose innovation is stifled by copycats. We’re thrilled the Court of Appeal got to the core of the issue and cleared up any cloudy judgment.”

Thatchers initially filed the lawsuit in 2022, arguing that Aldi’s Taurus cider had been “riding on the coat-tails” of its reputation, misleading consumers into believing the products were the same or connected. However, in January 2024, the High Court dismissed Thatchers’ claim, finding a low degree of similarity between the products and no likelihood of consumer confusion. The recent appeal reversed this decision, strengthening protections for intellectual property in the food and drink industry.

Thomas Chartres-Moore, Head of the IP team at Stephens Scown LLP, expressed pride in the outcome. “This appeal win is testament to the passion of our client, the hard work of my team and shows that there is a real value in brands investing in appropriate IP protection to fight off unfair copycat tactics,” he said.

Aldi’s response

Aldi, however, maintains its position and plans to appeal the latest ruling. A spokesperson for the retailer commented: “We are disappointed that the Court of Appeal disagreed with the High Court in this case. We think the Court of Appeal’s decision is wrong and we intend to appeal.”

“Aldi offers exclusive brands as low-price alternatives to more expensive branded products. The High Court was clear that Aldi customers know what they are buying when they shop with us.”