Oreos and Chips Ahoy maker sues nation's fastest-growing grocery store: 'Blatant copies'

Daily Mail​

2 days ago

Snack giant Mondelez is suing Aldi for too closely resembling the packaging of its much-loved treats.
Mondelez, the maker of Oreo, Chips Ahoy and Triscuit, alleges in the suit that Aldi's packaging for its own-brand alternatives 'blatantly copies' its own.
Mondelez says the similar packaging is 'likely to deceive and confuse' consumers looking to buy its products.
The main items concerned in the lawsuit are Aldi's peanut butter creme-filled cookies, chocolate chip cookies and Thin Wheat crackers that Mondelez alleges have packaging too similar to its own Nutter Butter, Chips Ahoy and Wheat Thins.
Mondelez's filing at the the federal court for the Northern District of Illinois on May 27 asks the court to order Aldi to stop selling such products and to award the snack maker monetary damages.
German supermarket Aldi has become the fastest-growing grocery chain in the US, with a business model that revolves around selling mostly own-brand products cheaper than popular name brands.
'You want to fly close enough to the sun because you want the benefit of something,' but not get too close, trademark lawyer Josh Gerben told CNN of Aldi's strategy.
Gerben said the law is designed to protect consumers.
'I can go to the store and reasonably assume that I recognize the name, and that's who I'm buying from,' he told the outlet.
But some customers 'think that they might be buying something from the Oreo brand or Wheat Thins, but they're actually getting a substitute.'
Gerben added that lawsuits such as the one brought by Mondelez are taken on a case-by-case basis, and there's no 'bright line test' that would determine if a copycat brand has gone too far.
Mondelez said in its filings that it had already had to pull up Aldi on copycat products of its other snacks including Oreo cookies, Teddy Grahams, Belvita biscuits and Triscuit crackers.
In response Aldi eventually 'discontinued' and 'changed certain of these infringing products,' Mondelez said.
Now however, the snack giant says Aldi must be stopped with the force of the law or it will 'irreparably harm' its brands.
Aldi has faced legal action in the past for its own brand products too closely mimicking other brands.
In December an Australian federal court said Aldi had violated copyright law by too closely copying the packaging of Hampden Holdings' Baby Bellies puffs on its alternative children's snacks.
Aldi is currently in the midst of an aggressive expansion push in the US
Aldi's CEO, Jason Hart, has led the company plans to open hundreds of new stores
'Aldi sought to use for its own commercial advantage the designs that had been developed by a trade rival,' according to the judge.
Adding: 'I consider Aldi's conduct to be flagrant.'
Aldi is continuing its rapid expansion in the US, recently announcing plans to open a further 225 stores this year, adding to its already 2,400 locations across the country.
Its most recent openings include two new locations in Las Vegas in April.
'We've built our reputation on delivering real value without cutting corners,' Aldi's CEO, Jason Hart said.
'We're growing rapidly from coast-to-coast. Opening stores in Las Vegas gives us the opportunity for continued growth in this exciting market and allows us to bring an affordable and fun grocery experience to shoppers nationwide.'