22 April 2024
SWA legal team toasts success in South Korea
In the first such case to use Scotch Whisky’s South Korean certification trade mark, which was granted in 2019, the Scotch Whisky Association (SWA) has successfully stopped the sale of fake Scotch Whisky which misleads consumers and damages legitimate trade.
The case centred on a brand called 'Dian The Legend Scotch Whisky’, which was labelled as having been produced in Jordan rather than Scotland, and with a strength of only 35% ABV rather than the legal minimum of 40%. The SWA’s legal team filed a criminal complaint against the seller, and following a letter of support from the British Embassy in Seoul, a raid was carried out on the seller’s premises, resulting in a significant number of fake Scotch Whisky bottles bearing the brand being seized. The seller was charged and the case presented before Busan District Court. The Court agreed the seller had infringed the Scotch Whisky certification trade mark and imposed an eight month jail sentence on the company’s sole Director, suspended for two years and a fine of approximately £160,000. An appeal by the seller failed.
The South Korean market is the 15th largest in the world by value for Scotch Whisky, and increased by 67% in 2023, compared to pre-pandemic (2019) levels. With more than 14.3m bottles (70cl equivalent) exported to South Korea in 2023, and the broader Asia Pacific market the recipient of nearly a third of all Scotch Whisky exports in 2023, protecting consumer confidence in Scotch Whisky is vital for continued growth.
Caitlin O’Donnell, Senior Legal Counsel at the SWA said: “While South Korea is generally free of fake Scotch Whisky, we work closely with our local agents and our member companies to investigate any suspicious products.
"We’re pleased that we were able to halt further production of this brand and remove it from shelves, ensuring that it can no longer take advantage of the reputation of Scotland’s national drink. Effective intellectual property protection, through legal frameworks such as certification trade marks and geographical indication status, allow us to protect Scotch Whisky all around the world.”
Learn more about the different ways Scotch Whisky is protected across the world here.
Effective intellectual property protection, through legal frameworks such as certification trade marks and geographical indication status, allow us to protect Scotch Whisky all around the world.