General Mills has called for an arbitration panel to protect its licence to make and sell Yoplait yoghurt in the US.
The US food giant, which has an agreement with French dairy Sodima to market Stateside, said it had sought arbitration after its partner indicated it wanted to end the deal.
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“Over the past several months, Sodima has expressed to General Mills its desire to renegotiate the terms of the agreement. On September 3, General Mills received a letter from Sodima purporting to terminate the agreement effective two years from now, on September 9, 2012,” General Mills said on Friday (10 September).
“The terms of the agreement do not provide for either renegotiation or termination in these circumstances. As such, we believe that the agreement remains in full force and effect.”
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By GlobalDataGeneral Mills said it wanted the arbitration process to “preserve and enforce its rights” under the licence agreement.
The company, however, said it was in talks with Sodima and added it was “hopeful” of a resolution.
“We intend to continue to use the Yoplait trademark under the terms of our agreement, and we will vigorously defend and enforce our exclusive rights to use the Yoplait mark in the United States,” General Mills said.
