ABD buys 50% stake in Mansion House brandy

India’s Allied Blenders & Distillers (ABD) has acquired a 50% stake in the South Asia region for Mansion House brandy, adding fuel to debate over which company legally owns the brand.

Debate over which company has rights to the Mansion House trademark in India has heated up

According to moneycontrol.com, ABD announced last week that it has bought a 50% stake in Mansion House brandy, the world’s third largest brandy or Cognac brand, from Dutch drinks group Herman Jansen.

Under the terms of the acquisition, ABD will have rights to manufacture and distribute Mansion House in India and South East Asia.

However, Herman Jansen has been locked in a six-year legal battle with ABD’s rival Tilaknagar Industries, which claims to be the rightful owner of the brand in India due to a licensing agreement that dates back to the 1980s.

Moneycontrol further reports that a Bombay High Court ruled in favour of Tilaknagar in 2011, but Herman Jansen appealed the decision, the process of which is still underway.

Lawyers for Herman Jansen have therefore argued that the company has legal control over the Mansion House trademark and may continue to use it until the rightful owner has been ascertained.

In a statement to CNBC-TV18, Amit Dahanukar, chairman and managing director of Tilaknagar said: “The assignment of the trademarks (Mansion House and Savoy Club) during pendency of judicial proceedings is illegal.

Neither the assignors (Herman Jansen) nor the assignee (ABD) are entitled to use the trademarks Mansion House and Savoy Club as such use would tantamount to violation of Tilaknagar’s rights in the trademarks which have been upheld by the Bombay High Court.”

The terms of ABD’s 50% acquisition of Mansion House brandy have not yet been disclosed.