STOCKHOLM (Web Desk) – A Swedish court has ruled that candy maker Mars can no longer advertise its M&M’s brand with the lower case lettering “m&m”.

The Svea Court of Appeal said it ruled against McLean, Virginia-based Mars in a trademark dispute with Kraft Foods, which sells chocolate-covered peanuts under the Marabou brand with a single “m” on the packaging.

It said Kraft has exclusive rights to the trademark in Sweden.

If Mars doesn’t appeal it will have to use the capital M&M logo in Sweden starting in July.

Mars said it believed “no confusion exists” between the two chocolates.

“We have always believed no confusion exists between the colourful m&m’s brand – one of the world’s favourite chocolate products – and the Marabou M Peanut Brand,” said Mars in a statement.

“Given the court’s decision we will assess the next steps for our beloved brand in Sweden,” it added.

Marabou is owned by American food and drinks company Mondelez, which also owns the Cadbury and Toblerone brands.

Until 2009 Mars did not sell its M&M’s chocolates in Sweden, honouring an earlier agreement with Marabou, which has been using the lower case “m” on its chocolate bars since the 1960s.