Iceland versus Iceland: Trademark feud put on ice
The decades-long trademark dispute between UK retailer Iceland and its Nordic namesake looks to be thawing as the supermarket’s boss offered discounts for shoppers in Reykjavik.
Executive chair Richard Walker has signalled an end to the frosty dispute between Iceland and Iceland which was kicked off by his father, the retailer’s co-founder Malcom Walker.
The country and the frozen goods purveyor had been locked in a icy war of words since 2016, when the Icelandic government brought legal action against the supermarket over claims its European trademark of the term “Iceland” was stifling Icelandic businesses.
Malcolm Walker sent a “high level” delegation to Iceland in 2016 to mount a charm offensive to convince the European country to back down.
His company had “co-existed with the country called Iceland very happily” since its name was registered in 1970, he claimed.
Iceland claimed Iceland Foods had been harassing Icelandic companies by pursuing action against firms which tried to use “Iceland” in their branding.
The EU Intellectual Property Office cancelled the retailer’s Icelandic trademark in 2019, affirming that geographical names must be available for public use.
Iceland means pristine nature, not frozen food
The EU’s general court struck down an appeal last year, which was welcomed by Thorgerdur Katrin Gunnarsdottir, Iceland’s minister for foreign affairs.
She said: “For our companies it is of considerable value to be able to clearly refer to their Icelandic origin, with all the underlying thoughts of clean air and pristine nature that it carries internationally when you identify yourself as Icelandic.
“It carries great value for all of us, and we tend to say it with pride. We therefore put much effort into protecting our interests in this respect.”
Richard Walker, the retailer’s boss, told the FT: “We lost for a third time. We’re going to throw in the towel. It’s actually fine – we don’t have to change our name.”
He is resolved to set the feud adrift, offering an icebreaker to his Nordic namesake in the shape of a “rapprochement discount to the good Icelandic people”.
While Iceland’s GDP now dwarfs the supermarket, the values of the two Icelands were within touching distance earlier this decade, with only £7.9bn between the two in 2009.
Iceland’s GDP stood at £24.9bn ($33.3bn) in 2024, well above the retailer’s £4.1bn turnover for that financial year.
Nick Buckland, a trademark lawyer and partner at Lewis Silkin, told Morning Wire the retailer’s defence failed because they were unable to prove that their shops are recognisable by the name “Iceland” across the EU.
He said: “The supermarket is right; the lack of a trade mark will not stop them from using the name “Iceland”. It also does not affect the UK, where Iceland’s trade marks remain registered.
“After a decade of legal sparring, the offer of a discount for Icelandic customers should at least thaw the relationship between supermarket and country”.