Ikea of Indonesia? Furniture giant loses trademark dispute

JAKARTA, Indonesia -- There is Samsung of South Korea, Sony of Japan, BMW of Germany and IKEA of Indonesia. Wait! IKEA of Indonesia? Yes, at least in Indonesia, if not worldwide.

See Full Article

The furniture giant, founded in Sweden in 1943, has lost a trademark dispute in Indonesia after the country's highest court agreed the IKEA name was owned by a local company.

Indonesian rattan furniture company PT Ratania Khatulistiwa registered its IKEA trademark on Dec. 2013. It's an acronym of the Indonesian words Intan Khatulistiwa Esa Abadi, which refer to the rattan industry.

The Supreme Court's ruling was made in May last year, but only surfaced publicly this week with its publication online by the court on Thursday.

The court said IKEA, which registered its trademark in Indonesia in 2010, had not actively used the trademark in three consecutive years for commercial purposes and it could be deleted under Indonesia's trademark law.

IKEA's only outlet in Indonesia opened near the capital Jakarta in late 2014.

Supreme Court spokesman Suhadi, who goes by one name, said Friday that the ruling was not unanimous. One of the three-judge panel said in his dissent that the trademark law cannot be applied to a company as big as IKEA and much larger than the plaintif, Ratania.

Officials at Ratania, which is located in Indonesia's second-largest city Surabaya, refused to comment. IKEA in Indonesia did not immediately respond to requests for comment.

The Indonesia company took its case to the Central Jakarta District Court in mid-2014, when the first IKEA store in Indonesia was under construction.

The court ruled in September 2014 that the trademark was owned by Ratania and ordered IKEA to stop using its own name, which is an acronym for its founder Ingvar Kamprad and the farm Elmtaryd and village Agunnaryd where he grew up. IKEA appealed to the Supreme Court last year.

IKEA stores around the world are run under a franchise system. Since the early 1980s, the IKEA Group has been owned by a foundation registered in the Netherlands.



Advertisements

Latest Economic News

  • Bombardier workers to stage rally in Toronto over Boeing dispute, will walk out

    Economic CTV News
    TORONTO - The union representing Bombardier's production workers says employees at the company's aerospace plant in Toronto will walk out Wednesday -- a move meant to pressure Boeing to drop a trade complaint against Bombardier. Source
  • Ontario premier says 'supports' will ease transition to $15 minimum wage

    Economic CTV News
    WALTON, Ont. -- Ontario farmers and small businesses will receive support from the government as the province moves ahead with its plan to raise the minimum wage to $15 an hour, Premier Kathleen Wynne said Tuesday. Source
  • Liberals will offer measure to soften small business tax changes, source says

    Economic CBC News
    The Liberal government is set to offer a measure to Canadians affected by its proposed tax changes that would make the controversial reforms more palatable, CBC News has learned. "We are not just going to take, take, take," a senior government official, speaking on background, told CBC News. Source
  • Amazon returns giant cactus from Tucson

    Economic CTV News
    TUCSON, Ariz. -- Amazon has rejected the 21-foot (6.4-metre) Saguaro cactus that southern Arizona economic leaders planned to send as a gift to CEO Jeff Bezos, in a bid to attract the company's second headquarters. Source
  • Oilsands miner reports 123 birds killed in tailings pond incident

    Economic CTV News
    CALGARY - The Alberta Energy Regulator says it's responding to a report of bird fatalities at the soon-to-be-producing Fort Hills oilsands mine north of Fort McMurray. It says the mine has reported 123 waterfowl and songbirds have died or had to be euthanized. Source
  • Suncor investigating after more than 100 birds die at new oilsands mine

    Economic CTV News
    CALGARY -- Oilsands giant Suncor Energy says it is mystified by the discovery Sunday of dead and dying birds at a nearly complete northern Alberta mine that hasn't produced its first official barrel of oil yet. Source
  • Ford cutting North American production as demand slips

    Economic CBC News
    Ford Motor Co. said on Tuesday it plans to idle five North American vehicle assembly plants for a total of 10 weeks to reduce inventories of slow-selling models. The plants affected include three assembly plants in the United States and two in Mexico, the company said in a statement. Source
  • Ford cutting North American production as demand for new vehicles slips

    Economic CTV News
    DETROIT -- Ford Motor Co. is cutting production at five North American assembly plants through the rest of this year as U.S. demand for new vehicles slips due to lower gas prices. Ford plans a three-week shutdown at its Cuautitlan, Mexico, plant, which makes the Fiesta subcompact, and a two-week shutdown at its Hermosillo, Mexico, plant, which makes the Fusion and Lincoln MKZ sedans. Source
  • Kosher designation for medical pot products arrive in time for the High Holidays

    Economic CTV News
    GATINEAU, Que. -- A Quebec medical marijuana producer says its processed products have been certified as kosher, just in time for one of the High Holidays on the Jewish calendar. The Hydropothecary Corp. (TSXV:THCX) says the certification by Rabbi Levy Teitlebaum comes just in time for Rosh Hashanah, the Jewish new year, celebrated from Wednesday night to Friday night. Source
  • Alberta government defends craft brewery program in court

    Economic CTV News
    CALGARY -- The Alberta government argued for the constitutionality of its craft beer program in court today following legal challenges by out-of-province breweries. Toronto-based Steam Whistle Brewing and Saskatoon-based Great Western Brewing Co. say the system, which charges all small breweries $1.25 per litre sold but returns much of that to Alberta producers in the form of a grant, effectively provides an unconstitutional trade barrier. Source