The landlady of a Yorkshire pub is celebrating a victory for "common sense" after fast food giant Kentucky Fried Chicken backed down over a trademark row.

KFC had written to pub owner Tracy Daly demanding that she remove the slogan "Family Feast" from her menu at the Tan Hill Inn in the Yorkshire Dales.

The order was made even though the "Family Feast" is only available on Christmas Day and is advertised on the pub's website.

The world's most popular chicken restaurant contacted Ms Daly saying she was committing a grave infringement of trademark.

However a spokeswoman for KFC GB Ltd has now stated that no further action will be taken against the pub.

She said: "KFC has to protect its trademarks against those who seek to trade off its brand. KFC has spoken to Ms Daly at the Tan Hill Inn and confirmed that it will not take this case any further.

The spokeswoman added: "This means that Ms Daly can continue to use the phrase 'Family Feast' on the pub's Christmas menu. It's an unusual situation that has been blown out of all proportion."

Ms Daly said: "They have very kindly said we can continue using the name. Common sense has prevailed. I'm very relieved and ecstatic."

© Independent Television News Limited 2009. All rights reserved.