Delta wants harmonisation of trade laws

June 8, 2009
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, NAIROBI, Kenya, Jun 8 – Kenyan-registered airline Delta Connection Limited on Monday asked the government to harmonise the Companies and the Trademarks Act because it has conflicting provisions which hurts local airlines.

The airline’s Sales and Marketing Manager Beverlyne Wangari told a press conference that the court ruling on Friday in favour of American registered Delta Airlines was as a result of conflict in the two laws. The court had barred the local firm from using the word Delta in its trading.

“We believe that we are suffering the consequences of two parallel systems that exist under Kenyan law since each Act is independent and there is no cross reference between the two,” she said.

Ms Wangari said the inconsistencies exposed the local aviation industry and other Kenyan businesses to unprecedented liabilities in their operations.

Delta Connections offers passenger and cargo services to Southern Sudan.

She said due to the ruling the company will spend about Sh10 million to rename itself.

Miss Wangari said the company settled on ‘D- Connection’ to stop using Delta.

She said in order to fully rebrand itself the company will also be forced to suspend its operations to as well restore the lost investor confidence.

She said already the company was experiencing delays in its flights, cancellations of flight bookings and cargo transfers.
 
Following the ruling on Friday, the firm has filed an appeal seeking a stay of the decision made by Milimani Commercial Court Judge Joyce Khaminwa barring it from using the word ‘Delta’ on its aircraft tickets, flight schedules, in-flight magazines and other printed materials.

Judge Khaminwa in March restrained the company from selling, distributing and marketing tickets with Delta Airlines trademarks and further using devises or designation with close resemblance to that of the American company.

Delta Connection on Monday said it will honour the court decision though it would continue pursuing the matter.

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