THE MAKERS of Jameson Irish whiskey have claimed before the High Court that the labelling used on bottles of a rival and cheaper Irish whiskey being distributed in Russia gives customers the false impression the product is part of the Jameson range.
Irish Distillers, which produces Jameson, contends that the labelling on bottles of St Patrick Irish Whiskey - made by Cooley Distillery in Co Louth and distributed in Russia by a company called Rotor House - infringes its copyright and its registered trade marks. Cooley Distillery denies the claims.
In court yesterday, Irish Distillers applied to Mr Justice Roderick Murphy for an injunction preventing Cooley from using the label on the St Patrick brand pending the outcome of a full action.
The St Patrick brand is available only in Russia.
Michael Collins SC, for Irish Distillers, said his client objected to the label on the bottles as it was similar in design and layout to that of the Jameson label.
Mr Collins said the St Patrick brand first appeared in the lucrative Russian market in the latter part of 2007. He said Rotor House had previously distributed Jameson in Russia but that arrangement came to an end last November.
He said Irish Distillers sold 43,000 cases of Jameson in Russia in 2006 and had invested worldwide in marketing an internationally renowned spirit. Irish Distillers had no idea whether there were plans to sell St Patrick outside of Russia and was concerned the confusion would damage Jameson's reputation for quality.
In an affidavit, Irish Distillers company secretary Ben O'Byrne said the St Patrick label was giving the "false impression" the product was an addition to the Jameson family of whiskey products.
There was evidence of confusion where customers in Russia asked for Jameson but were in fact served with St Patrick, she said.
The St Patrick brand's introduction to the Russian market was "low key" and could not be found on Cooley's website, he said. The brand was also being sold at a price 18 per cent lower than Jameson and was being placed on shelves beside bottles of Jameson. The brand was "piggy-backing" off Jameson's success.
Irish Distillers also rejected a claim by Cooley that labels on Irish whiskey products were similar or generic.
In an affidavit opposing the application, David Hynes, managing director of Cooley Distillers, said his firm denied the St Patrick label infringed any copyright or that it was confusing customers in Russia.
Mr Hynes said Irish Distillers' action was an attempt to "undermine a competitor" with "contrived grievance".
Up to January 21st last, 7,000 cases of St Patrick had been sold to Russia, a comparatively small amount compared to Jameson, he said. The St Patrick label was different and the bottle was a different colour and shape to Jameson, Mr Hynes added.
The brand was not "piggy-backing" off Jameson's reputation and it was appropriate that St Patrick be placed beside other Irish whiskeys to distinguish it as an Irish product as opposed to US or Scotch whisky.
The hearing continues on Wednesday.