Ferrero Loses Legal Battle To Private-Label Nutella Rival In Belgium
Italian multinational Ferrero has lost a court case against Belgian retailer Delhaize, in which it alleged that Choco, a hazelnut spread marketed under the Delhaize private-label brand, did not keep the promises on its label because, in reality, it was chocolate-free.
The Italian company had asked the courts to apply, on the supermarket chain, a fine of between €1,250 and €100,000 per infraction.
According to Italian newspaper Corriere della Sera, the Brussels Commercial Court did not accept Ferrero’s argument, ruling that Delhaize does not suggest that chocolate is a food ingredient, but uses the name to indicate the product's flavour.
In its ruling, the court also said that the word 'Choco' is not legally protected and should be understood as short for chocoladepasta, defined as cocoa-based spreads made of powder with sugar and vegetable oil.
In a related development, Ferrero said that it will invest €21 million in a new production line in Belgium, at its Arlon factory. The new line will be used to manufacture a new 100-gramme format of the Kinder Surprise chocolate eggs.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. To subscribe to ESM: The European Supermarket Magazine, click here.