This is not the first time that the companies have moved court against each other.

File photo of the biscuits section in a supermarket in India Image for representation: Picxy
Money Court Friday, December 18, 2020 - 14:34

Two cases have been filed in the Delhi High Court by Britannia Industries Ltd, against ITC Ltd for alleged trademark infringement. According to a report in The Economic Times, Britannia alleged that two biscuits launched by ITC recently (Veda Digestive and Sunfeast 5-Seed Digestive) were "deceptively similar" to the packaging used by it for Nutri Choice Digestive and Nutri Choice Hi-Fibre.

TNM reached out to Britannia, which declined to comment as the matter is sub judice.

This is not the first time that the companies have moved court. In 2016, ITC had claimed that the packaging of Britannia‚Äôs Nutrichoice Digestive Zero biscuit, was similar to Sunfeast Farmlite Digestive All Good biscuit. The packaging of both the biscuit brands had the colours yellow and blue and ITC had sought damages for trademark infringement and also asked for orders that Britannia should withdraw its product.

The case went to the Delhi High Court and even went to the Supreme Court. A single judge bench of the Delhi High Court first ruled in favour of ITC and an injunction was granted. Britannia challenged the order with a two-judge bench of the Delhi High Court, which in March 2017, set aside the injunction, allowing Britannia to sell its brand of biscuits.

The companies then moved the Supreme Court, which urged them to enter settlement talks before approaching the court,  The two companies later went in for an out of court settlement over the colour scheme of the packaging of the biscuit brands.

In June this year, Britannia Industries reported a 26% growth in its consolidated revenue for the April-June quarter, and said that net its profit had increased by 117%. The company’s revenue for the first quarter of FY21 stood at Rs 3,384 crore, and net profit at Rs 546 crore.

For Britannia, its biscuits segment has been an important driver for growth, especially after it clocked its best sales ever during the lockdown with several people snacking on biscuits. Britannia sells biscuit brands such as Good Day, Nutri Choice, Tiger and Bourbon.

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