Canadian lingerie retailer La Senza and Dutch retail chain Hunkemoller have settled their dispute over trademark issues.

Following a Europe-wide preliminary injunction issued by a Dutch court, the two retailers agreed that Hunkemoller would cease using the Seza trade name as of May 31.

The possibility of confusion and the impairment of exclusivity of the trademark 'La Senza' were cited by the judge in issuing the injunction.

"We are pleased with the court's decision, as we have spent many years building awareness of the La Senza brand internationally, and the possibility that other companies could create a similar name that may cause confusion amongst customers, was an unacceptable situation," La Senza Canadian president Laurence Lewin said.

La Senza brought court action against Hunkemoller following press reports earlier this year that the Dutch chain was planning to change its lingerie chain's name to incorporate the word 'Seza'.