Raisio's Benecol Keeps its Name

A Dutch court has ruled against Unilever and in favor of Finnish food group Raisio in a dispute over the names of those companies' rival margarines.

The president of the district court in The Hague has granted Raisio permission to use the name Benecol for its cholesterol-lowering margarine when it is launched in the Netherlands.

Unilever had asked the court to force Raisio to find a different name, saying the public might confuse it with Unilever's long-standing Becel margarine.

Raisio and Unilever have been racing to launch cholesterol-cutting margarine products throughout Europe and in the United States.

Explaining the decision to side with Raisio, the court said it did not agree with Unilever's argument that the names of the two margarines would confuse customers. It said Dutch consumers would pronounce Benecol "Benekol," creating a clear distinction from Becel, which has a soft consonant. It also noted Becel had only two syllables and Benecol three.

Unilever was ordered to pay costs.