Ornua takes Westland Dairy to US court over alleged trademark infringement as “Buttergate” ensues

12 Jan 2023 --- Irish dairy leader Ornua is suing New Zealand’s Westland Dairy in the US for what it claims is a trademark infringement of its Kerrygold packaging by the Westgold butter brand.

Both brands’ blocks of butter are packaged in gold wrapping with the image of a cow and words highlighting the “grass-fed” nature of the butter. 

Westland confirmed to PackagingInsights that the company has received a legal notice from Kerrygold. It is reported that Westland has until January 19 to respond, with a hearing on the motion scheduled for February 9.

“Fellow butter brand, Kerrygold, is seeking to prevent Westgold butter from using its packaging in the US market,” says Richard Wyeth, CEO at Westland Dairy Company.

“Westgold’s distinctive packaging is linked to our rich heritage on the West Coast of New Zealand, and the taste of our traditionally churned, grass-fed butter is rapidly gaining recognition around the world.”

“We will vigorously defend the claims made,” he says. Westland's US packaging for Westgold brand butter (Image Credit: Westland).

Brand protection
Meanwhile, a spokesperson from Ornua tells us that the company places highest priority on the protection of the Kerrygold brand and its distinctive trade dress.

“In the US today, Kerrygold is the number one imported butter and number two butter overall, achieved through a combination of the high quality of the Kerrygold product range, coupled with 25 years of brand investment in this highly strategic market,” the spokesperson illustrates.

“We are proud of this success and will continue to protect the Kerrygold brand for the benefit of our member cooperatives and, in turn, the 14,000 Irish dairy farming families they represent.”

Ornua goes to court
According to the legal documents filed in the US district court in Northern California on December 30, 2022, Ornua Foods North America filed an Intellectual Property - Trademark lawsuit against Westland Dairy Company.

The “cause of action” is enlisted as “15 USC Section 44 Trademark Infringement,” and the judge overseeing this case is James Donato. Ornua has called for a jury trial.

Calling it “Buttergate,” Business Desk reports that the lawsuit is aimed at stopping Westland from advertising, marketing, distributing or selling butter products using a trademark and trade dress “that are confusingly similar to Ornua’s federally registered Kerrygold trademarks and trade dress.”  

Trade dress is a product’s commercial look and feel that identifies and distinguishes its source, according to US trademark law. Ornua's Kerrygold butter.

Unsuccessful discussions
Additionally, according to reports, Ornua first sent Westland a cease-and-desist letter and tried to resolve the matter through discussions in August 2022.

The Irish butter producer was bestowed with the Company of the Year 2022 award at Ireland’s Business & Finance Awards. “Founded in 1961, Ornua is Ireland’s largest exporter of Irish dairy products and proud owner of the Kerrygold brand,” the company says.

“For over six decades, the business has brought the unique taste of Irish grass-fed dairy to audiences across the world, returning value to its member suppliers and the community of Irish farming families they represent.”

The Ornua spokesperson underpins: “While we welcome healthy competition and new entrants to the premium butter market, we cannot allow infringement of our branding or trademarks.”

By Radhika Sikaria