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19 July 2017Trademarks

Lidl bites back at Kroger over food range

Budget retailer Lidl has hit out over accusations by rival Kroger that it has attempted to “capitalise on and benefit from the goodwill” of a food range.

Earlier in July, WIPR reported that Lidl, which opened its first store in the US in June, had filed a trademark to cover its ‘Preferred Selection’ range.

Kroger operates a ‘Private Selection’ range.

The Lidl mark was applied for in connection with meats, alcohol, coffee, and fruit and vegetables.

Kroger, which has over 2,000 retail stores in the US, sued Lidl at the US District Court for the Eastern District of Virginia, Richmond Division, on June 30.

According to Kroger, Lidl’s use of the ‘Preferred Selection’ mark and logo would “cause confusion, dilution and constitute unfair competition”.

Correspondence between Lidl’s and Kroger’s in-house and outside counsel saw Lidl reject objections to the name raised by Kroger, which later went on to oppose Lidl’s trademark registration in March, the suit said.

On Friday, July 14, Lidl filed its answer to the complaint and Kroger’s request for a preliminary injunction, denying that its use of ‘Preferred Selection’ would cause confusion or dilution.

Lidl claimed that “Kroger has offered a striking absence of evidence in support of its claims” and that Kroger had not presented any evidence of confusion, harm, or likelihood of dilution.

“If Kroger were truly concerned about its brand, it would not have purposefully delayed for six months after knowing that Lidl was developing and planning to launch a store brand called ‘Preferred Selection’,” said Lidl.

The budget retailer went on to claim that Kroger has used the suit to disrupt the launch of a new, emerging competitor.

“Kroger’s request that this court halt the sale of thousands of Lidl’s premium (many perishable) products is even more problematic once realising that Kroger’s motion is premised upon distorted and unsupported facts and selective argument,” it added.

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13 September 2017   Supermarkets Kroger and Lidl have agreed to dismiss a trademark infringement claim centring on a food range launched by Lidl.
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