The legal action was to clarify the status of Fonterra’s Australian licensing arrangements preliminary to a sale of Fonterra Oceania assets.
Fonterra announced in May 2024 it was selling its Australian businesses.
Fonterra packs Bega-branded products, including a new range of snacking products, which pairs Bega cheese with crackers.
Fonterra was seeking a court determination to confirm that the operation of the trademark licence arrangements between Bega and Fonterra would not be impacted by a sale process.
Fonterra was not seeking damages and was not seeking to alter the current contractual or operational arrangements between the parties.
On Monday, April 28, the court decided to dismiss the case and ordered Fonterra to pay Bega’s legal costs.
Bega Group said it was pleased with the outcome.
“Bega Group will always fight to protect its rights, and we are very pleased with today’s outcome,” executive chairman Barry Irvin said.
“We hope to work constructively with Fonterra Group on the sale of its Oceania businesses of which Bega Group is a natural acquirer and remains very interested in.”
Fonterra released a statement which said it understood the provisions of its licensing agreement with Bega weren’t impacted by a divestment process
“The court has today decided that it is unable to determine this because there is not yet enough certainty about the outcome of the divestment process,” the statement said.
“This does not change Fonterra’s divestment plans for its global consumer and associated businesses, and Fonterra may seek a court determination at a later date.”
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