EasyJet creator to battle airline on brand pact

EASYJET founder and owner of easyGroup, Sir Stelios Haji-Ioannou, is set to face the airline he started in court over a brand licensing dispute.

EasyJet and easyGroup will stand before a High Court judge this week and argue over an agreement the two made in 2000 when easyJet floated.

Haji-Ioannou is looking for a court ruling on the definition of the brand licensing agreement the two parties made ten years ago, which would clarify the total income the airline receives from ancillary services.

The agreement saw easyJet keep 75 per cent of revenues, which it saw as “core” to being an airline, while easyGroup would retain 25 per cent of revenues which were made from additional or non-core services.

Revenue generated from additional services, such as baggage fees, speedy boarding and food sales on-board are at the heart of the dispute, which easyJet say are all part of operating an airline.

The full court dispute is set to reach a conclusion June and, if ruled in easyGroup’s favour, could see easyJet forced to change its name and orange branding.

Haji-Ioannou launched easyJet in 1995 and extended the group to cover hotels, bus, mobile and car services.