Cadbury sees red over purple defeat

Years of feuding between chocolate manufacturers Cadbury Schweppes and Darrell Lea has finally come to an end – for the moment, anyway.

Cadbury's claim that Darrell Lea's use of purple in its chocolates was misleading to consumers was recently dismissed by the Federal Court. Justice Peter Heerey, who has been involved in the case for some time, declared that Darrell Lea had not used purple to pass off its products as those of Cadbury, nor had it contravened the Trade Practices Act.

"I am not satisfied that such usage has resulted, or would result, in ... purchasers of chocolate being misled or deceived," he said.

Relief resounded for Darrell Lea. The company issued a statement where company director, Michael Lea, hailed the decision as a victory.

"We have used various shades of purple in our packaging and shop displays for decades," Lea said.

Darrell Lea's lawyer, Tony Watson, said that with an increasing number of Australian manufacturers and consumers trying to obtain exclusivity for colours and shapes of products, the win was significant. "This was a long and hard-fought case against an overseas competitor which used its vast financial resources and all legal options open to it to seek to win this case."

There is nothing sweet about the news for Cadbury. In a statement, Cadbury's managing director, Mark Callaghan, warned that the two companies weren't finished in the courts just yet.

"We remain totally committed to protecting our brand identity and Cadbury will appeal this decision," he said.