AA and AMI in battle over colours on logos

The Automobile Association and AMI Insurance are locked in a battle over the use of the colours yellow and black in their respective logos.

The AA objects to AMI using the colours, which feature in both companies' logos, because it says it causes confusion among consumers.

"Other organisations shouldn't be trading on the association's reputation," AA secretary Murray Lander said.

The AA applied to trademark the colours in its logo in August 2000, a move that was opposed by AMI.

The matter is now the subject of an Intellectual Property Office of New Zealand hearing scheduled for next month.

AMI said it would rely on the authorities to resolve the matter.

Ceri Wells, a lawyer specialising in trademarks, said disputes over colours were rare.

A company had to provide evidence that people associated certain colours with a brand. The AA would need to prove AMI's use of yellow and black in its logo would be likely to "mislead and deceive" the public.

The two companies, which dissolved a partnership in 1993, are also involved in a second dispute over names of services.

The AA has applied to patent the brand "Life Assist", but AMI objects on the grounds that the brand, and the services likely to be offered under it, bear too close a resemblance to its "AMI Assist" brand and services.

AMI has appealed against a district court decision that found in favour of the AA. The date of the appeal is yet to be set.

The AA is funding its side of the legal battle with money from its member subscriptions and commercial activities.

Despite the potentially high cost of continuing the battle with AMI, Mr Lander said there was "value in the AA brand that is worth protecting".