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The Guardian - UK
The Guardian - UK
Business
Mark Sweney

Coca-Cola sues Vue after cinema chain switches to Pepsi

Bottles of Pepsi and Coca-Cola sit side by side in a supermarket
PepsiCo will be Vue’s exclusive supplier until at least 2030. Photograph: Maxim Shipenkov/EPA

Coca-Cola is taking legal action against Vue after the cinema chain switched to its arch-rival PepsiCo to supply soft drinks in Europe.

Vue, which operates more than 90 cinemas across the UK and Ireland, put the contract up for tender last year.

The largest privately owned cinema operator in Europe, with 222 sites in eight countries, selected PepsiCo as its exclusive supplier in March last year until at least 2030.

The deal brought an end to a relationship between Vue and Coca-Cola that had lasted for almost 25 years.

Coca-Cola Europacific Partners Great Britain (CCEP) took legal action against Vue Entertainment on Thursday to reclaim alleged unpaid debts outstanding when the contract was terminated.

It is understood Coca-Cola also has outstanding debts payable to Vue, which has not sought legal action relating to the amount.

Coca-Cola’s legal action has been filed by Coltman Warner Cranston, a Coventry-based law firm that specialises in debt recovery.

Darren Davoile, who leads the practice, said the company did not comment on client activity.

The chief executive and founder of Vue, Tim Richards, said: “One would have hoped that after 25 years, a simple phone call to me could have resolved a genuine dispute for such a small amount without the need for lawyers.”

Coca-Cola GB did not respond to a request for comment.

Vue said that despite the filing of the legal action the dispute over the outstanding debts on both sides had been resolved.

“The petition for winding up has been withdrawn and should never have been filed,” said Richards. “There is currently no amount outstanding and the disputed amount was for under £100,000.”

PepsiCo has a portfolio that includes Pepsi Max, Mountain Dew, Lifewtr, Bubly sparkling water and Pure Leaf.

Vue’s rival Cineworld also announced a deal to move away from Coca-Cola and use PepsiCo as its exclusive soft drink supplier in 2020.

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