In a major legal twist that¡¯s gripped India¡¯s skincare industry, the Delhi High Court has ruled in favour of Ghazal Alagh¡¯s Honasa Consumer Ltd¡ªowner of The Derma Co¡ªordering that a recent Lakm¨¦ sunscreen ad be withdrawn and reworked.
The controversy erupted after Hindustan Unilever Limited (HUL), parent company of Lakm¨¦, released a campaign titled the ¡®SPF Lie Detector Test¡¯, which claimed that some ¡®online bestseller¡¯ sunscreens offer far less protection than advertised. While the ad didn¡¯t name specific brands, the visual cues¡ªespecially a yellow bottle¡ªstruck an uncanny resemblance to The Derma Co¡¯s packaging.
Responding to the ad, Honasa accused HUL of running a misleading and disparaging campaign. The Delhi High Court agreed that the ad could mislead consumers and tarnish reputations unfairly. HUL has now undertaken to remove the current version of the ad and make key changes, including deleting the term ¡®online bestseller¡¯ and altering the product imagery.
In parallel, HUL has filed its own case in the Bombay High Court against Honasa, indicating this legal battle might just be getting started.?
The legal move followed a viral LinkedIn post by Ghazal Alagh, where she criticised legacy FMCG brands for becoming complacent. ¡®The industry lacked good competition for too long,¡¯ she wrote, adding that traditional players were finally being pushed to up their game.
Her comments struck a chord with younger consumers and entrepreneurs, many of whom saw the ad campaign as a defensive move from a brand unprepared for real competition.?
The reaction online was swift and loud. One user reacted, ¡®Big brands acting threatened by new players? That says it all.¡¯ Another said, ¡®Why not just prove your product works instead of throwing shade?¡¯
A third added, ¡®This is exactly why I don¡¯t trust flashy claims without proof.¡¯ A fourth commented, ¡®The Derma Co has been solid for me¡ªthis ad felt desperate.¡¯ Meanwhile, a fifth user shared, ¡®Glad the court saw through the gimmick. We need honesty, not drama.¡¯
Sun protection has now become a booming industry in India¡¯s hot, tropical climate, brands are fiercely vying for attention ¡ª and trust. With legacy names like Lakm¨¦ going head-to-head with newer disruptors like The Derma Co, this courtroom clash may be just the beginning of a longer, more public battle for market dominance. Stay shady, but make it SPF 50!