Tesco concedes defeat in trademark row with Lidl

Tesco has lost an appeal in a row with discount rival Lidl over the use of a yellow circle against a blue background in its Clubcard branding.

The High Court ruled last year that the UK’s biggest retailer had taken “unfair advantage” of the Germany-based firm’s distinctive reputation for low prices when it brought in the Clubcard Prices discount scheme.

However, the judge in the case last April rejected the claim that Tesco had “the deliberate subjective intention of riding on Lidl’s coat tails”.

Lidl has traditionally used a yellow circle on a blue background in its main logo.

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While the Court of Appeal backed the earlier finding that Lidl’s trademark had been infringed, it also overturned a decision on copyright in Tesco’s favour.

Lidl brought the case in 2020, shortly after Tesco launched the discount scheme to complement its existing Clubcard offer.

A Lidl spokesperson welcomed the decision, saying in a statement: “We expect Tesco now to respect the court’s decision and change its Clubcard logo to one that is not designed to look like ours.”

Tesco said it planned to update the logo shortly and it was understood the change would be rolled out within weeks.

“We are disappointed with the judgment relating to the colour and shape of the Clubcard Prices logo but would like to reassure customers that it will in no way impact our Clubcard Prices program,” a Tesco spokesperson added.