Pernod says Madrid court rejects Bacardi's claim on Havana Club brand in Spain

Pernod says Madrid court rejects Bacardi's claim on Havana Club brand in
Spain
03.13.07, 8:39 AM ET

PARIS (AFX) - Pernod Ricard said the Provincial Court of Madrid has
rejected private group Bacardi's claim over ownership of the Havana Club
rum brand in Spain.

According to Pernod, 'the Court ruled that Bacardi's claims over the
brand's ownership in Spain were 'unfounded' as the trademark had never
been used by the previous owner and wasn't renewed when it expired'.

The two companies are already in dispute over the brand in the US.

Pernod has produced Havana Club in a joint venture with Cuban group Cuba
Ron since 1994, but this had not been sold in the US due to the trade
embargo with Cuba.

Last summer, however, Bacardi began marketing a non-Cuban rum using the
brand.

In response, Pernod said it would sue over the refusal of its
application to renew the registration of the Havana Club rum trademark
in the US and would sue any group that markets non-Cuban rum under that
name in the US.

According to Pernod in today's statement, the Spanish court decided that
'the prestige of the Havana Club trademark resulted directly and solely
from the Pernod/Cuba Ron joint venture's 'efforts and investment'.

'Bacardi's complaints, (the court) said, were intended only to undermine
the success of a competitor who was taking market share from Bacardi.'

The Court also said that selling a rum other than of Cuban origin under
the 'Havana' name 'would mislead consumers', according to Pernod.

paris@afxnews.com

mrg/jlc

http://www.forbes.com/business/feeds/afx/2007/03/13/afx3511206.html