Rebel Creamery Files Bankruptcy After Van Leeuwen Wins $23 Million Ice Cream Lawsuit
Summary
Rebel Creamery LLC, a Utah-based ice cream manufacturer, filed for Chapter 11 bankruptcy protection on August 14, 2023, following a $23.785 million judgment against it in a trade dress infringement lawsuit brought by Van Leeuwen Ice Cream. US District Judge Eric Komitee ruled that Rebel intentionally copied Van Leeuwen's pastel pint packaging and black cursive branding, which consumers found confusing. The judge reduced Van Leeuwen's initial $36.4 million profit claim by 33% due to Rebel's 'better-for-you' product appeal, but still awarded $23.785 million in damages. Rebel also faced allegations of fabricated testimony and was ordered to redesign its packaging. The company listed assets and liabilities between $10 million and $50 million, with the judgment listed as a disputed unsecured claim under appeal. Rebel's bankruptcy filing allows it to restructure under court supervision while pursuing its separate appeal in New York. The dispute originated in April 2021 when Van Leeuwen accused Rebel of copying its distinctive trade dress, a claim upheld by the court under federal and New York law.
(Source:International Business Times)