New Zealand- Comité Interprofessionnel du Vin de Champagne v. Wineworth Group, LTD
Facts: The Comité Interprofessionnel du Vin de Champagne (CIVC), a French trade group representing Champagne producers, sued Wineworth Group, Ltd., a New Zealand distributor. Wineworth was labeling its sparkling wines as “Champagne,” even though they were not made in the Champagne region of France. CIVC argued that this misled consumers and violated international rules protecting geographic names.
Legal Issue: Can a New Zealand company label its sparkling wine as “Champagne” if it is not from the Champagne region?
Simple Answer: No. Only wines made in the Champagne region can be labeled as “Champagne.”
Rule: Geographical indications, like “Champagne,” are legally protected under international agreements and New Zealand’s Fair Trading Act. These names can only be used for products genuinely from that region, to prevent consumer deception.
Holding: The court sided with CIVC, ruling that Wineworth’s use of the term “Champagne” was misleading and violated the law. Wineworth was not allowed to use the name for its non-French sparkling wines.