The top European court will decide Thursday whether Nestle SA (NESN.XX) can trademark its slogan "Have a Break," in a case set to become a test for the protection of advertising slogans.
The Swiss chocolate giant uses the phrase to support its Kit Kat candy in the U.K.: "Have a Break....Have a Kit Kat." Kit Kat and Have a Kit Kat are registered U.K. trademarks.
But Nestle applied in 1995 to have the "Have a Break" phrase registered for all chocolate products. Rival Mars Inc. (MRS.XX) objected.
U.K. authorities blocked the Nestle application on the grounds that the phrase lacked any inherent distinctive character.
Nestle appealed and the U.K. court asked the European Court of Justice in Luxembourg to issue an opinion whether a trademark can be granted if it acquires "the necessary distinctive character by virtue of its use in conjunction with or as part of another mark," according to a court document.
Whoever wins in Luxembourg, the U.K. court still will have to confirm its victory.
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