Plant-based drinks maker Oatly has misplaced a long-running authorized battle over its use of the phrase “milk” in advertising, after the UK Supreme Courtroom dominated that it can’t trademark or use the slogan “post-milk era” in reference to dairy alternate options.
The case, introduced by Dairy UK, centred on whether or not the time period “milk”, which is protected below EU-derived meals labelling guidelines nonetheless in drive within the UK, can be utilized in a commerce mark for plant-based merchandise.
On Wednesday, the UK Supreme Courtroom upheld an earlier Courtroom of Enchantment ruling that “milk” is a reserved time period that may solely consult with animal-derived merchandise. Judges mentioned the phrase “post-milk era” may confuse shoppers about whether or not Oatly’s merchandise have been totally milk-free or merely contained decreased ranges of dairy.
The choice reinstates the unique place of the UK Mental Property Workplace (UKIPO), which had refused Oatly’s 2021 commerce mark utility.
Oatly’s UK and Eire normal supervisor, Bryan Carroll, criticised the end result, calling it “a technique to stifle competitors” that creates “an uneven taking part in subject for plant-based merchandise that solely advantages Huge Dairy”.
Underneath the ruling, Oatly should cancel its UK commerce mark registration for “POST MILK GENERATION” and can’t use the phrase to market dairy-free alternate options. Nonetheless, as a result of the regulation applies solely to meals merchandise, the corporate continues to be permitted to promote pre-existing merchandise akin to T-shirts bearing the slogan.
The dispute displays a broader regulatory framework below which sure meals designations, together with milk, cheese, butter and yoghurt, are legally reserved for animal-derived merchandise. Though the UK has left the EU, the related regulation continues to use as “assimilated legislation”.
Richard Could, associate at legislation agency Osborne Clarke, mentioned the ruling confirms the UK’s alignment with EU requirements. “The important thing precept is simple: if a product shouldn’t be derived from animal milk, it can’t be marketed utilizing reserved dairy designations akin to ‘milk’ or ‘cheese’,” he mentioned.
Laurie Bray, senior affiliate and commerce mark legal professional at Withers & Rogers, mentioned the judgment was decisive. “It has taken the best courtroom within the land to determine as soon as and for all whether or not a plant-based milk different may be branded as ‘milk’. The result shouldn’t be what Oatly hoped for,” she mentioned.
Bray added that the ruling might immediate Dairy UK or its European counterparts to problem Oatly’s EU commerce mark registrations overlaying comparable wording.
The case comes amid rising debate throughout Europe over the labelling of plant-based meals. Final 12 months, the European Parliament voted to tighten guidelines on the usage of phrases akin to “oat milk” and “veggie burger”, though the measures have but to be formally adopted.
European farming teams argue that such phrases mislead shoppers and dilute established product definitions. Environmental campaigners and different protein producers, against this, have warned that overly restrictive labelling harms innovation and sustainability objectives.
For UK plant-based manufacturers, the Supreme Courtroom’s determination sends a transparent sign. Whereas factual descriptors akin to “dairy-free” stay permissible, the usage of protected dairy terminology in branding or commerce marks is more likely to face authorized problem.
The ruling marks the tip of a protracted dispute for Oatly, and underscores how regulatory definitions can form the fast-growing plant-based food and drinks market.
