(Yicai) Aug. 20 -- Just three months after announcing their entry into the Brazilian market, the local food delivery platforms of China’s Meituan and Didi have taken their battle into the courtroom.

Didi’s 99 filed a lawsuit against Meituan’s Keeta in a São Paulo court over alleged trademark infringement and unfair competition on Aug. 18, claiming that Keeta’s app uses colors, graphics, and fonts similar to its 99Food app, which could confuse consumers. It also asked the court to order Keeta to redesign its logo.

In response, Keeta said that its visual identity was established more than three years ago and, since then, it has been associated with Meituan, which was founded more than 14 years ago.

The lawsuit came just a few days after Keeta accused 99 of anti-competitive practices. Keeta claimed on Aug. 14 that 99Food was offering upfront cash incentives to merchants to sign ‘single-platform’ contracts that prevent them from working with Keeta, which will subsequently restrict market competition and crimp innovation.

On the same day, the Brazilian Association of Bars and Restaurants issued a public statement endorsing Keeta’s position and condemning exclusive contracts or practices restricting market access.

Prior to that on Aug. 11, Meituan said that a São Paulo court issued an injunction ordering 99 to stop manipulating search results for the term ‘Keeta’ on Google and similar platforms within three days. Failure to comply would incur a daily fine of BRL20,000 (USD3,640).

Didi launched 99Food on April 5, integrating the app with its local ride-hailing and digital payment services. Meituan followed on May 12, saying it would invest USD1 billion over five years to boost Keeta’s expansion and growth in Brazil.

Their aggressive market entry has intensified pressure on local leader iFood, which responded with a plan to invest BRL17 billion (USD3.1 billion) by next March to counter Keeta, 99Food, and Rappi, a Colombian on-demand services provider.

Editor: Futura Costaglione