Lisa Wilson: "We're standing our ground on principle because we feel we should be able to sell it in our shops."

A long legal battle between cereal giant Sanitarium and a New Zealand-based British grocery shop is heading to court this year.

Sanitarium took issue with Lisa Wilson's shop, A Little Bit of Britain, which operates in Riccarton, Kaiapoi and online, when it tried to import boxes of British breakfast cereal Weetabix.

The product is similar to Sanitarium's Weet-Bix and Sanitarium says its name infringes its trademark.

The imports were stopped at the border and Wilson was told a High Court ruling was required to release them.

READ MORE: Weetabix battle between Sanitarium and A Little Bit of Britain heads to court

A date for the hearing was originally set for last year but Wilson said she was then told it was not going ahead.

A new court date has been set for July 30.

Wilson said she had been asked for the names, addresses and nationalities of all the customers who had bought Weetabix from her. "We told them we thought that was irrelevant."

She said the legal fight had been an extra cost her small business didn't need. "We're standing our ground on principle because we feel we should be able to sell it in our shops."

A shipment is still waiting at the border and would be released if the court agreed. New Zealand Customs seized more than 360 boxes of the cereal.

Wilson said she was still getting regular inquiries from people who wanted to buy Weetabix from her.

In a written statement, Sanitarium said it had no choice but to defend its brand and trademark.

"We have worked hard to reach a resolution with A Little Bit of Britain and enter into an agreement similar to those we have in place with other Weetabix importers. Unfortunately, we have no other option than to seek a resolution through the courts.

"Sanitarium Weet-Bix is an iconic Kiwi brand loved by thousands of Kiwis and one which we have a responsibility to protect. Under trademark law, we, like all businesses, are expected to manage all trademark breaches."

Alex Sims, associate professor of commercial law at the University of Auckland business school, said Sanitarium was within its rights.

"Sanitarium is correct that if it wants to stop a big competitor from selling Weetabix or something similar, then it has to show that it has taken steps to make sure that it defended its trademark so that it doesn't become the generic name for that product.

"If manufacturers want to have products that can be sold around the world, then they need to choose a name that does not describe the goods and also is not similar to what other people are using for the same or similar goods.

"This is what happened, with, for example, Zespri. Zespri is an invented word that bears no similarity at all with kiwifruit.

"Trouble is that coming up with a new name that isn't offensive in different countries and educating the public in those countries that Zespri refers to New Zealand kiwifruit takes a lot of money, so some companies try to take a shortcut, which is not a wise move."