Shops make counter-claim in Weetabix case

Shops blocked from importing Weetabix breakfast food from Britain are seeking compensation in a counterclaim against cereal giant Sanitarium.

Counsel for the A Little Bit of Britain shops outlined the reasons for the claim as the shops presented their defence case at a civil hearing before Justice David Gendall in the High Court at Christchurch yesterday.

Sanitarium has taken legal action to protect its Weet-Bix brand in the threeday hearing. It has argued that the British-made breakfast food Weetabix – imported by the shops in Riccarton, Kaiapoi, and online – infringes its trademark.

The dispute reached a head when a consignment of more than 360 boxes of Weetabix was seized by Customs on their arrival in New Zealand. The shops said in court a counter-claim for compensation was being made because those imported products were now beyond their best-before date and could not be sold. They argued the actions of Customs were unlawful and the goods should have been released.

The importation did not amount to a breach of the Fair Trading Act, Justice Gendall was told. The law allowed importation of products with trademarks registered in their own country – in this case Britain.

The hearing involves civil action taken by the Australasian Conference Association Ltd and others against A Little Bit of Britain Ltd and others.