Potential trademark clash looms on Wendy's planned rollout in Australia

A legal trademark issue looms with US burger giant Wendy’s plan of opening hundreds of stores in Australia, which is home to an ice-cream chain named Wendy’s Milk Bar

Dean Tully, the owner of the Whyalla branch of the Australian ice-cream and hotdog chain Wendy’s Milk Bar, insists there can’t be two Wendy’s.

Formerly known as Wendy’s Supa Sundaes, Wendy’s Milk Bar opened in South Australia in 1979. It now has 120 stores across Australia and New Zealand, with its pink banner often found in shopping malls.

After the US burger chain Wendy’s hosted a pop-up event in Sydney in 2021 to test the waters, it was convinced to enter the Australian market.

According to Abigail Pringle, Wendy’s president, they are hosting talks with potential Australian franchisees this week about opening the restaurants, including the purchase of land for them.

The US chain will no doubt want to avoid a repeat of the experience of Taco Bell, whose entry into Australia was delayed due to another Mexican chain named Taco Bill, said Prof Michael Handler, a trademark law expert at UNSW.

One owner of a Wendy’s Milk Bar store in New South Wales said she wasn’t concerned and there was unlikely to be confusion between the outlets as they are a hotdogs and ice-cream store while the US-based namesake primarily sells burgers.

Handler said the situation becomes difficult when the product offerings overlap, such as in the case of Taco Bell and Taco Bill where both were selling Mexican food