Ferrero has once again secured a crucial local legal victory in its efforts to protect the Kinder Joy brand's intellectual property. The Guangzhou Intellectual Property Court issued a second-instance judgment favoring Ferrero in its case against Guangdong Ao Er Di Food Technology Co. Ltd, producer of KABELE EGG products. This ruling strengthens Ferrero's trademark protection and addresses unfair competition in China.

The dispute began in 2018 when Ferrero identified trademark infringement by KABELE EGG products and obtained an administrative penalty. Later, a civil settlement included RMB 200,000 compensation and a punitive clause of RMB 1,000,000 for future violations. Despite this, new infringing products surfaced in 2021, prompting Ferrero to demand cessation and additional compensation. After the manufacturer refused, Ferrero filed another civil action in 2022.

In July 2024, the first-instance judgment confirmed trademark infringement and awarded RMB 1.51 million damages but dismissed unfair competition claims and publication requirements. Both parties appealed, leading to the appellate court's decisive ruling in Ferrero's favor.

The court upheld the compensation amount, recognized Kinder Joy's egg-shaped packaging as distinctive, and deemed Kabele Clever egg products unfair competition under China's Anti-Unfair Competition Law. It also mandated Guangdong Ao Er Di Food to publish a statement mitigating infringement effects—a precedent-setting decision. Ferrero is pleased to accept this judgment and awaits the fulfillment of the judgment including the payment of awarded RMB 1.51 million damages and the publication of the required statement.

This case underscores the importance of intellectual property protection in China. Recognizing Kinder Joy's packaging as unique sets a precedent for safeguarding distinctive designs, while requiring public statements highlights reputational risks for counterfeiters. For Ferrero, this victory reinforces its commitment to defending its brands and deterring imitators as China strengthens its IP laws and enforcement mechanisms.

Source: FERRANTE IP China