With survey evidence showing nearly one-third of respondents who had lived in the UK confused the New Zealand cereal brand ‘Weet-Bix’ with the UK product ‘Weetabix’ the High Court ordered imports could be put on sale only after covering the UK brand.
A classic David and Goliath battle was played out in the media when Sanitarium, manufacturer of Weet-Bix in New Zealand, sued Canterbury niche retailer A Little Bit of Britain Ltd for importation of Weetabix from the United Kingdom. Sanitarium claims its trade mark is breached. Britain Ltd said it sells to ex-pats and Anglophiles who are willing to pay two and half times the price for an equivalent Sanitarium product just for the pleasure of identifying with the UK. Sanitarium was hesitant to elevate Britain Ltd to martyrdom, but feared failing to take a principled stand would potentially result in major retailers also stocking the UK product. Britain Ltd rejected Sanitarium’s offer to allow sales provided the Weetabix name was covered over on packaging.
Britain Ltd scored a minor victory when Justice Gendall ruled the two brand names were not identical. Spelling is different and one is pronounced with two syllables, the other with three. But imported Weetabix did breach the Trade Marks Act because the brand names were similar and likely to cause confusion. About half of New Zealand households purchase Weet-Bix. If Weetabix were given shelf space in retail stores most customers would be unaware it was a product different from Weet-Bix, Justice Gendall decided. An online survey identified that a significant minority of five hundred consumers surveyed, all of whom had at some time lived in the UK, were unaware of the difference.
Justice Gendall ruled that sale of UK’s Weetabix in New Zealand breached Sanitarium’s trademark for Weet-bix, but the product could be sold by Britain Ltd’s niche business provided the UK brand name was covered over.
Australasian Conference Association Ltd v. A Little Bit of Britain Ltd – High Court (24.09.18)
18.187