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Estée Lauder has filed legal action in the UK High Court yesterday (12 March) against perfumer Jo Malone, her new brand Jo Loves and Zara UK, alleging breach of contract, trademark infringement and passing off regarding the use of Malone’s name.
The dispute centres on a collaboration between Jo Loves and Zara launched last year. The fragrance packaging includes the phrase “A creation by Jo Malone CBE, founder of Jo Loves”. Estée Lauder claims this violates agreements made when the founder sold her original business.
Malone sold her eponymous brand and name rights to Estée Lauder in 1999 before stepping down as creative director in 2006. The deal included a five-year non-compete clause and a permanent restriction on using the Jo Malone name for commercial purposes.
After her non-compete agreement expired in 2011, the entrepreneur launched Jo Loves. Malone, who now lives in Dubai, has previously described the sale of her name rights as a significant professional mistake.
Other industry figures have faced similar restrictions after selling their brands. Make-up artist Bobbi Brown launched Jones Road after selling her business to Estée Lauder, while Kate Spade changed her name to Kate Valentine following a 2007 sale.
An Estée Lauder spokesperson told the Financial Times: “When Ms Jo Malone sold the brand to The Estée Lauder Companies in 1999, she agreed to clear contractual terms that included refraining from using the Jo Malone name in certain commercial contexts, including the marketing of fragrances.
“She was compensated as part of this agreement, and for many years, she abided by its terms. Ms Malone’s use of the name ‘Jo Malone’ in connection with recent commercial ventures goes beyond that legal agreement and undermines Jo Malone London’s unique brand equity.”
They added: “We respect Ms Malone’s right to pursue new opportunities. But legally binding contractual obligations cannot be disregarded, and when those terms are breached, we will protect the brand that we have invested in and built over decades.”
Estée Lauder, Jo Loves and Zara UK have been approached for comment.
