15 October 2007

LOreal loses appeal over Scions smell-alike perfumes Verdict says products do not compete with each other

A Dubai firm enjoyed the sweet smell of success as it won the latest round in a court battle with L'Oreal over its smellalike perfumes.

Scion International's lowcost Creation Lamis scents were said to resemble products made by the French cosmetics giant.

L'Oreal wanted to stop Scion International from selling the perfumes but its case was dismissed by London's court of appeal.

A panel of three judges said consumers were unlikely to confuse L'Oreal products with cheaper imitations - even if they smelled similar.

And L'Oreal was left to wonder if the legal battle had been "worth it" as its costs topped Dh5 million.

"The public are not stupid," the judges said in their ruling. "It is not suggested that anyone ever thinks a 'replica' product of the kind with which we are concerned is the original. Nor is it suggested that anyone thinks a replica is anything other than a cheap imitation of the original or is likely to be of the same quality as the original, even though it may smell somewhat the same." Scion's Creation Lamis products La Valeur, Pink Wonder and Nice Flower are sold in discount stores and on market stalls for Dh37 or less a bottle.They are said to smell like L'Oreal's Tresor, Miracle and Noa, the court heard.

L'Oreal sells its perfumes for Dh350 or more with the slogan "You're worth it".

The cheaper fragrances are marketed with slogans such as, "Only your wallet smells the difference" and "The only difference is the price".

The judges ruled that the products did not compete with each other, were priced differently and were aimed at separate markets.

L'Oreal says Scion International uses L'Oreal trademarks on comparison lists to show customers which brand of full-price perfume each Creation Lamis fragrance smells like.

L'Oreal, the world's largest cosmetics group, appealed after losing a high court challenge last year. The company will now take the case to the European courts.

By Emirates Today Staff

Emirates Today 2007