THE HIGH COURT has refused an injunction order that would have prevented the Irish Farmers’ Association (IFA) from campaigning against supermarket chain Lidl, which the association has claimed is misleading customers about the origin of its own-brand milk.

Lidl Ireland GMBH sought an injunction earlier this year prohibiting the IFA from publishing statements to the effect that its own-brand milk is not Irish, that it is engaged in unlawful and misleading practices and that it has misled customers as to the origin of its products.

The IFA has welcomed the High Court’s decision, saying the injunction was an attempt to “silence” the association.

In a press statement, IFA President Tim Cullinan said that the producers of Irish dairy products were being undermined by retailers’ attempts to promote their own brands.

A spokesperson for Lidl Ireland told The Journal: “Lidl regrets having to take the step of legal action against the IFA however we are a proud supporter of the Irish agri-food industry and we are determined to protect our reputation at all costs.

“We look forward to a full hearing of this case at a later date. Until then we will continue to work with over 300 food producers on this island and indirectly support thousands more jobs in the agri-food industry.”

The IFA published several advertisements in newspapers saying that Lidl was misleading consumers by marketing its dairy products under “fake farms” and “phantom creameries”.

Lidl’s own-brand milk is sold under the “Coolree Creamery” brand.

Lidl told the High Court that the IFA’s allegations were untrue and defamatory. It said it never represented that its milk comes from a farm called Coolree Creamery.

It sought the injunction order on the basis that it believed the defendants have no defence to the claims that was reasonably likely to succeed.

Lidl also claimed that the untrue allegations contained in the IFA’s adverts were repeated by senior IFA figures in media interviews and on the group’s own website.

Lidl Ireland GMBH issued defamation proceedings against the IFA and its President Tim Cullinan and Vice President Brian Rushe.

The company sought an injunction under Section 33 of the 2009 Defamation Act.

The injunction remained in place pending the outcome of the full dispute.

The company, represented by Martin Hayden SC and Jennifer Goode Bl, said that it sources its own-brand one-litre milk from Arrabawn in Co Donegal.

It also told the court that milk for its two- and three-litre milk is supplied by Strathroy in Northern Ireland, which it says sources its milk in Ireland.

The company said the two- and three-litre products are packed outside of Ireland, and therefore cannot carry the (NDC) National Dairy Council logo. However, it said its one-litre milk cartons are packaged in Sligo and do bear the NDC logo.

It also said that whether or not Lidl milk carries the NDC logo on its cartons does not change the fact that its milk is sourced from Irish farmers.

With reporting by Aodhan O’Faolain