Judges in Utrecht have ruled that margarine maker Blue Band may no longer call its popular spread Roombeter, a play on the Dutch word roomboter or full fat butter.

The word room or cream can only be used for dairy products, the court said, ordering the company to halt sales within three months.

The Dutch dairy organisation NZO had urged the courts to ban the name Roombeter, saying it contravenes EU rules. That makes it clear that “cream” can only be used to highlight dairy products.

Blue Band owner Upfield does not suggest otherwise that the product is dairy-based and stresses in the text on the packaging it is a “100% plant-based alternative for butter”.

If Upfield refused to comply, it faces a fine of €5,000 a day, up to €250,000.

Last year Roombeter won the annual competition organised by food watchdog Foodwatch to find the most misleading product on Dutch supermarket shelves. That led the company to change the shape of the first “e”, which looked like an “o” to make the difference more obvious.

The company has said it will comply with the court’s decision.