German Court Refuses to Stop Sale of Rival Capsules Compatible with Nestlé Coffee Machines

According to news sources, the Dusseldorf Regional Court has refused a
request for preliminary injunction filed by Nestlé seeking to stop competitors
from selling capsules that fit its Nespresso™ coffee makers in Germany. The court reportedly ruled that Nestlé’s patent for the machine does not extend
to capsules sold at a lower price by two other Swiss firms. Defendants Ethical
Coffee and Betron market their products in a number of European countries
as “usable for Nespresso machines.” The rival capsules are about a third less
expensive than the Nestlé capsules. The company, which has aggressively
defended its Nespresso™ business—worth $3.6 billion worldwide—can
apparently either ask the court for a full civil-trial process or appeal the ruling.
See The New York Times, Associated Press and Bloomberg, August 16, 2012.