Daehan Flour Mills Issues Statement on June 18
"Sevenbrau Spreading False Information"
The conflict between Sevenbrau Brewery, which manufactured 'Gompyo Wheat Beer,' and Daehan Flour Mills, the trademark holder, has escalated into a legal dispute.
On June 18, Daehan Flour Mills issued a statement saying, "Sevenbrau has continuously spread false information, damaging our reputation and causing harm, so we have decided to file a claim for damages." The company added, "On May 30, we filed a lawsuit with the Seoul Central District Court seeking confirmation of non-existence of debt regarding the damages claimed by Sevenbrau."
A representative from Daehan Flour Mills explained, "In June 2023, Sevenbrau distributed a statement that defamed our company, and for more than two years since then, they have continued to make malicious claims of a similar nature. We have decided to respond according to the law and principles."
Gompyo Wheat Beer was launched in May 2020 as a collaborative product between Daehan Flour Mills, the trademark holder, and Sevenbrau, the manufacturer. Since its release, it has gained popularity, selling 58.5 million cans. After ending its contract with Sevenbrau in April 2023, Daehan Flour Mills partnered with another manufacturer, Jeju Beer, to launch Gompyo Wheat Beer Season 2.
In response, Sevenbrau alleged that Daehan Flour Mills abused its position as a dominant market player by unilaterally terminating the contract and raised suspicions that the brewing method for Gompyo Wheat Beer was leaked to Jeju Beer. Sevenbrau also argued that after the contract ended, Daehan Flour Mills should have either ceased its beer business or sold a different beer with a new name or design.
Sevenbrau emphasized, "While it was wrong for Daehan Flour Mills to unilaterally cut off business ties, the core issue is that they used the results of our investment and efforts without our consent."
On the other hand, Daehan Flour Mills countered, "The contract with Sevenbrau was for a three-year term," and added, "Sevenbrau is misleading public opinion by claiming exclusive rights as if it were the trademark holder of Gompyo Beer."
Regarding the suspicion that the brewing method was passed on to Jeju Beer, Daehan Flour Mills stated, "We never received the recipe from Sevenbrau, nor did we deliver it to Jeju Beer. We have no knowledge of the recipe and no way of knowing it." The company further explained, "All we did was forward documents requested by the export company, which we received from Sevenbrau in response to Sevenbrau's proposal to export Gompyo Beer. None of these documents were ever given to Jeju Beer," they emphasized.
After the expiration of the Gompyo Wheat Beer production contract, Sevenbrau suffered management difficulties and entered corporate rehabilitation proceedings. On June 12, the Seoul Bankruptcy Court decided to commence rehabilitation procedures for Sevenbrau.
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