UNIVERSITY FOR BUSINESS ENGINEERING AND MANAGEMENT BANJA LUKA

VS.

November 2007Students: Pejić Dijana 17/06 Mentor: Prof. dr Nenad Brkić Čelebić Andrea 28/06 Teinović - Čolić Vedrana 29/06 Pavle Gajić 49/06

Introduction

On 30. november 2004. the court in Sarajevo received a law – suit from company Nestlé against the company Doncafè International d.o.o., Sarajevo, for disloyal competition.

COFFEE

Coffee is one of the most popular beverages worldwide

It was discovered in the highlands of Ethiopia

It came to Balkan in 1522.

NESTLÉ

The company was founded in 1867 by Henri Nestlé in Switzerland

The biggest food company in the world

NESTLÉ

Brands:

NESCAFÉ was first introduced in Switzerland, on April 1st, 1938.

By the 1950s, coffee had become the beverage of choice for

teenagers

NESCAFÉ now produces many

different types of coffee:

DONCAFÈ Group was established in 1992 as a family company.

In BiH there is Doncafè International d.o.o. Sarajevo

DONCAFÈ now produces many

different types of coffee:

Prosecution

On 30. 11. 2004. Nestlé sued Doncafè International d.o.o. for disloyal competition.

The law – suit contained the proposal for determining the

court measure of insurance, and the proposal for determining the temporary measure.

DATE OF SUMMONS

Nestlé`s arguments

The main economic reason for the law – suit is the assumption that Doncafè International d.o.o. didn`t have to invest in design nor wait for decades to built the tradition and quality which would attract the customers.

Doncafè`s arguments

Among the consumers the

name Nescafé is a synonym

for instant caffee, not roasted

coffee.

It is a fact that Nescafé and Doncafè are two different products.

VERDICT

After consideration the court made a decision in favour of:

APPEAL

On 26. 01.2006. Nestlé delivered to the court an appeal with two new things:

1) Analysis by Boris Tihi 2) A document in which the registration of the brand Doncafè was revoked, in the same law – suit in Serbia and Montenegro.

Consumer Association of BiH

Consumer Association of BiH is familiar with the law – suit between Doncafè and Nestlé, but they didn`t think it was appropriate to launch an action to protect the consumers in this case.

Thank you!