Club Concierge takes legal action against Swiggy

Club Concierge Services (India) led by founder Dipali Sikand, have issued a cease-and-desist notice to Swiggy over alleged trademark infringement and misuse of confidential information.

The legal action comes after Swiggy allegedly misused confidential business information obtained during partnership discussions to launch their own competing service.

According to the notice, Swiggy engaged in discussions with Club Concierge under the pretence of a potential collaboration, only to subsequently launch "Rare Life Concierge Services". The notice alleged that Swiggy has used both the "Concierge" trademark and business model.

The notice issued by Chintan Chinnappa, partner, Spectrum Legal, Bangalore, alleges that Swiggy's timing of this launch appears strategically aligned with their upcoming IPO, suggesting an attempt to boost their market valuation at the expense of established players in the sector.

Catering to the high-net-worth individuals, Swiggy Rare Life offers a concierge for every member and access to privileges such as live music, sports events, fashion shows and other lifestyle activities.

Last month, the food-delivery giant stepped into luxury services with the introduction of a high-priced concierge membership called Rare Club.

According to a media report, Swiggy plans to open Rare Club subscriptions to a wider set of consumers soon. The company will not handle operations directly here; it will instead partner with event management and professional concierge agencies, it added.

Players like Club Concierge and Le Concierge offer similar memberships within India. Globally, companies like Knightsbridge Circle, Quintessentially and Sienna Charles operate on higher price points.

During a soft launch, Rare Club offered premium experiences to select users, including Swiggy investors and startup founders. These exclusive events included Coldplay concert tickets with backstage access, with the guestlist curated by Swiggy co-founder Nandan Reddy himself, cite media reports.

Swiggy's publicly listed rival, Zomato, is also venturing into this upmarket segment with its revamped Legends service.