Nestlé (Thai) Ltd. has released an update on the ongoing trademark infringement case involving its flagship “NESCAFÉ” brand.
On May 28, the Central Intellectual Property and International Trade Court (IPITC) held a mediation session in a lawsuit brought by Nestlé S.A. of Switzerland—the registered owner of the NESCAFÉ trademark—and Nestlé (Thai), its exclusive authorized licensee in Thailand. The defendants are Prayudh Mahagitsiri and Chalermchai Mahagitsiri.
According to Nestlé, the actions of both defendants have significantly impacted the rights associated with the NESCAFÉ trademark, forcing the company to halt the sale of Nescafé products in Thailand for eight consecutive days. Nestlé has assessed total damages at THB 577 million and has submitted a claim to the court seeking compensation for these losses.
The IPITC has issued a temporary order affirming that Nestlé (Thai) is the only entity with exclusive rights to use the NESCAFÉ trademarks in Thailand.
During the May 28, 2025 mediation, Chalermchai and representatives from Nestlé attended court as part of the official reconciliation process.
However, as the two parties were unable to reach a settlement, the case will proceed through the normal litigation process, with court proceedings set to continue on June 9, 2025, to frame the issues in dispute and move forward with the trial.
Earlier, on March 14, 2025, Nestlé (Thai) filed a petition with the Bangkok South Civil Court seeking an order to dissolve Quality Coffee Products Co., Ltd. (QCP)—a 50/50 joint venture between Nestlé and the Mahagitsiri family.
Nestlé cited irreconcilable differences between directors and shareholders, resulting in an inability to agree on the future direction of QCP.
Additionally, QCP has ceased operations and has not produced Nescafé products since January 1, 2025. The objective of dissolving the company is to allow both groups of shareholders to divide the assets and pursue new investments in line with their own visions and strategies.
Alongside the dissolution request, Nestlé (Thai) has petitioned the Bangkok South Civil Court to appoint a liquidator or asset manager to oversee QCP’s financial obligations and safeguard company assets while waiting for the court’s decision.
On May 19, 2025, the court completed the examination of three witnesses for the plaintiff and is now in the process of hearing the defendant’s witnesses. The next court session is scheduled for June 26, 2025.