The penalty comes after the Commission found that Storm closely imitated the look, design, and branding of PepsiCo’s Sting energy drink.
According to the CCP’s order, Storm copied Sting’s color scheme, bottle shape, slanted bold white lettering, and visual motifs, creating a real risk of consumer confusion. The Commission classified this act as parasitic copying and deceptive marketing, which violates Section 10 of the Competition Act, 2010.
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The case dates back to 2018 when PepsiCo filed a complaint, claiming Storm was designed to benefit from Sting’s reputation. Mezan responded with repeated legal challenges, questioning the CCP’s jurisdiction and delaying the inquiry through stay orders from the Lahore High Court in 2018 and 2021.
In June 2024, the Lahore High Court (LHC) rejected Mezan’s petitions and upheld CCP’s authority, clarifying that competition proceedings are separate from trademark cases. The court also noted that Mezan’s litigation tactics had caused significant delays.
The CCP emphasized that while Mezan held a trademark for Storm, trademark registration does not protect companies from competition law when consumer deception is proven. The Commission stressed that overall commercial impression matters more than minor differences in packaging.
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By imposing the Rs150 million penalty, the CCP sent a strong message: copycat branding and misleading packaging will not be tolerated, regardless of a company’s size or local market status. Experts say this ruling reinforces accountability in Pakistan’s beverage market and may deter other firms from engaging in deceptive marketing practices.