PUERTO RICO (Bloomberg) — Bacardi USA Inc. won a legal dispute with a US unit of France's Pernod Ricard SA when a federal judge concluded that Bacardi's "Havana Club" rum label is not misleading and clearly states the liquor is made in Puerto Rico.

Pernod sued the subsidiary of Bermuda-based Bacardi Ltd. in Delaware in 2006 alleging "false representation of geographic origin" and suggesting consumers might think the rum came from Cuba.

The rum "has a Cuban heritage" and Bacardi bottle labels "truthfully and prominently provide the geographic location of the product's manufacture" as Puerto Rico, US District Judge Sue Robinson wrote in a 22-page opinion yesterday.

The ruling "protects our ability to accurately portray the Cuban heritage and geographic origin of our rums", and legitimatised the company's use of the Havana Club trademark, said Bacardi USA's chief executive officer John Esposito in a statement yesterday from Coral Gables, Florida.

Paris-based Pernod said in a statement today it would appeal the ruling to the US Court of Appeals for the Third Circuit in Philadelphia because it "believes this decision is legally and factually incorrect".

Shares of Pernod fell 28 cents to 63.75 euros in trading in Paris yesterday.