Business Times

Paint giant Dulux sued by competitor

Paint AkzoNobel Paints Lanka (Pvt) Ltd has been taken to court over its position that its ‘Dulux’ brand is the only brand which conforms to international safety standards for lead and basing its claim on the global study ‘Lead in new decorative paints’ issued by IPEN and Toxics Link, two NGOs.
The plaintiff, Macksons Paints Lanka (Pvt) Ltd filed the case in the commercial high court of the Western Province on March 8 alleging that AkzoNobel has carried out its campaign through various forms of media and advertising campaigns and is asking for a judgment and decree of Rs.10 million as damages with legal interest.

AkzoNobel’s campaign comes at a time which is peak season for the paint industry, immediately prior to the Sinhala and Tamil New Year which falls in April. According to court documents, Macksons was granted an enjoining order and interim injunction till March 23, preventing and/or restraining the defendant and its agents from marketing the ‘Dulux’ brand as the only safe brand.

AkzoNobel Managing Director Gerald De Saram was overseas and couldn’t be reached for comment.
According to the petition, the attorney for the plaintiff stated that the report ‘Lead in new decorative paints’ issued by the NGO said that there are nine major companies producing paints in Sri Lanka including Macksons. The report stated that the NGO has tested ex-facie in terms of the report, paints from four brands but not of the plaintiff’s. The report has named the products of the companies and the companies of which the paints have been tested and concluded that the defendant company’s paints were the safest.

The petition said although the plaintiff has been named as a major producer of paints, its products have not been tested. ‘Acting on this self serving report, the defendant company has launched a campaign which will be seen by advertisements to state that of all the paints tested in Sri Lanka, only the product of the plaintiff conforms to international safety standards,’ the proceedings state.

It added that the defendant’s campaign has been designed with the Sinhala and Tamil New Year in mind which is a peak time in April. The attorney stated that the defendant’s advertisements amount to unfair competition which is misleading the public. He further stated that Macksons paints have also been tested and reports clearly show that they conform to international standards.

According to court documents, lead has traditionally been used as a raw material in the manufacture of paints and is mainly used as a drying agent and found in chrome pigments. The use of lead is mainly found in enamel paints whereas water based paints such as emulsion paints generally do not contain lead unless some chrome pigments or specialty additives are included in certain colors. Research carried out in the industry has revealed that lead may be harmful to the human body, especially to children.

Top to the page  |  E-mail  |  views[1]
SocialTwist Tell-a-Friend
Other Business Times Articles
IOM to monitor Lankan workers in Libya
Did SriLankan Airlines lose in hedging deals?
Expansion for Chevron
Paint giant Dulux sued by competitor
IMF, EU decisions justified, reveals BT poll
Hayleys into big league with city hotel purchase
LCP seeks Treasury help
Comment - Refreshing side of an annual report
Features - Before cars take over
Features - Squandered opportunity or ‘nation building’ sans Lankan expats?
Insurance regulations to be strengthened
Quiz show to offer over 30 million in prize money
Raigam wants a chemical plant
JKH says committed to protect historic Slave Island Railway Station
NGOs again in focus amidst new proposals to control them
Govt. failed to meet targets set up by IMF, EU: poll
Counter affidavit in hedging cases filed
Sampath wants to be 3rd player in credit cards
Fitch upgrades Singer Finance Lanka Ltd to 'BBB(lka)'
Countrywide tourism infrastructure development drive gets underway
Tourism zooms in February
Pelwatte Sugar doubles factory capacity
Rural sector only way forward for banks
Government puts out ‘Creative Economic Data’ - UNP
Foreigners stay away from Colombo stocks
Royal College to develop Strategic Plan with MTI
Fitch downgrades People's Merchant Bank, assigns negative outlook
Korean Air to resume flights next month
SMS banking from Standard Chartered Bank
One million tourists in two years for Sri Lanka
HSBC to focus on Premier services for future local growth
MAS Intimates Thurulie wins LEED Platinum Green Building certification
Officials hopeful of Colombo Port deal tomorrow
New monitors aim to be number 2 here by end 2010
Browns Group revenue tops Rs 2.6 bln
Tourism industry chiefs troop to Berlin for trade show
Call to revamp plantation industry, social conditions
Stockmarket sees take-off in plantations
Challenges facing the industry
Welfare on estates need to be improved
Plantation sector doing well – officials, firms say


Reproduction of articles permitted when used without any alterations to contents and a link to the source page.
© Copyright 2010 | Wijeya Newspapers Ltd.Colombo. Sri Lanka. All Rights Reserved.| Site best viewed in IE ver 6.0 @ 1024 x 768 resolution