Jacob Fruitfield Foods has sent solicitors' letters to a number of retailers who have sourced products outside the Irish market, RTE News has learned.
A competitor of Jacob's owns the trade mark to sell and distribute biscuits, such as Fig Rolls and Cream Crackers, under the same name in Britain. The retailers argue that the competitor's biscuits, made by McVitie's, are cheaper.
The independent retailers' lobby group RGDATA has written to the Minister for Enterprise, Trade and Employment Mary Coughlan on the issue.
In its letter, RGDATA's director general Tara Buckley says it is 'incomprehensible that retailers who are anxious to source and supply cheaper branded imported goods are restricted by this type of threat from doing so'.
The lobby group argues the Irish retailers should be able to sell the products under legislation which allows the free movement of goods.
Michael Carey, executive chairman of Jacob Fruitfield Foods, told RTE the British products are 'passing off' as his company's products if imported into the Irish market. He said the Irish company would take legal action to defend its position.
Last year Jacob's successfully took legal action against a Donegal retailer on a similar issue. A Donegal court ordered the removal of Jacob's Fig Rolls and Cream Crackers from a store in Ballybofey.
In recent weeks, a solicitor's letter from William Fry told RGDATA 'our client is simply protecting its investment by enforcing its intellectual property rights'.
Jim Marshall, who runs Marshall supermarket in Mullingar, has pointed out there is a considerable price difference between the produce he can buy from Jacob Fruitfield and the biscuits he can buy from other wholesalers.