The peanut butter packaging, left, used by Mondelez at the time of its sale to Bega Cheese (red for crunchy, blue for smooth) … and the Bega Cheese packaging after it bought Mondelez in 2017

April 17, 2020

The Full Court of the Federal Court has dismissed an appeal by Kraft and Heinz in a long-running legal dispute with Bega Cheese over peanut butter packaging.

In May last year, the American food giants lost a Federal Court bid to stop Bega Cheese from selling peanut butter in clear jars with yellow lids.

The court confirmed Bega’s right to use the “trade dress” (ie. the look and feel of the packaging).

On Tuesday, the Federal Court dismissed an appeal by Kraft Foods Group Brands LLC and H.J. Heinz Company Australia Limited against the 2019 decision.

It also dismissed a cross-appeal by Bega Cheese Limited against Kraft and Heinz.

The judgment gives Bega the right to continue to use the current packaging of its Smooth and Crunchy Peanut Butter products.

In a statement to the ASX, the company said it looked forward “to continuing to produce and supply our customers with our much-loved peanut butter products”.

Bega Cheese bought out the Peanut Company of Australia in 2017.

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