Taittinger and Others v Allbev Ltd and Anothe [1993] FSR 641

• Claimant produced champagne and French wines.

• Defendant produced a cheap drink under name ‘Elderflower Champagne’. Drink was non-alcoholic, but sold in champagne-style bottles with labels and wired corks similar to those on champagne bottles.

• Claimant sued for passing off.

  • Was found to be a misrepresentation; on issue of damage

Held

• Was passing off

Gibson LJ

• If Defendant is permitted to use word ‘champagne’, goodwill in the term ‘champagne’ will be eroded.

Mann LJ

• Dilution in exclusivity of term champagne’ is not demonstrable in figures of lost sales.

• Nevertheless however it will cause incremental damage to Claimant’s goodwill.

• Therefore injunction granted.

Sir Thomas Bingham MR

• Unfair to let others “cash in on reputation that they had done nothing to establish”