A coffee house in Lahore has been issued show cause notice by Competition Commission of Pakistan (CCP) for illegally using Starbucks logo. The coffee house was using International Coffee giant, Starbucks logo to attract more customers.
Starbucks in an internationally acclaimed and the most popular coffeehouse all over the world. It has no branches in Pakistan. Thus, Starbucks has issued a complaint to CCP that Options Coffee and More, a Lahore-based restaurant is illegally using its official trademark. The company is not just deceiving the customers but also hurting the business of Starbucks.
Upon investigation, the Commission of Pakistan found out that Options Coffee is displaying Starbucks trademark not just on its main signage board but also on its packaging materials, mugs, menus, flyers, social media pages, and website.
CCP said, “The restaurant claims it is offering Starbucks coffee made in Starbucks machines using the same method of production and giving customers the authentic Starbucks experience.”
Commission of Pakistan said that Options International had prima facie violated the Competition Act’s Section 10 by propagating false and misleading information. The company cheated its customers, lied to them and used Starbucks for its own popularity.
Though Options was selling Starbucks coffee, it was not an authorized branch of Starbucks International. Starbucks has no authorized branch in Pakistan. There was no agreement between Starbucks and Options that allowed the Lahore-based café to sell Starbucks coffee. Therefore making such claims and selling coffee under a false name was illegal.
Therefore a show cause notice has been given to the Options International. Within 14 days the company has to respond in writing.
Commission of Pakistan is authorized to promote free competition in all areas, to encourage economic activity and to protect consumers from deceptive marketing.