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Big boy Krug in dispute with small Austrian producer

Another big boy wine producer is in dispute with a small, family owned producer bearing the same name: Krug. LVMH owned Krug say the discussions are amicable but they have been on-going since 2007. The Austrian wine producer uses its own Krug family name on bottles, but Krug argue they registered the Krug brand in Austria in 1960. Gustav Krug, owner of the Austrian producer, has accused the Champagne house of acting aggressively and says that agreeing to the firm's demands would mean 'total submission'. Gustav added his winery's home town name Gumposoldskirchen to labels in order avoid any potential confusion but said Champagne Krug sent a declaration letter asking him to agree to change his labels and company name, as well as sign over ownership of the domain name.

Krug Champagne raised further concerns last year after it learned that its Austrian counterpart was producing sparkling wine, albeit in small quantities. They said, 'the House of Krug has not entered into a lawsuit against Krug Gumpoldskirchen and both continue to sustain an amicable conversation'.