Ice cream maker Rebel Creamery seeks Chapter 11 amid packaging dispute
AgenciesRebel Creamery, the Utah-based low-carb ice cream brand sold at Walmart, Target and Kroger, has filed for Chapter 11 bankruptcy protection weeks after a federal judge order...
Utah-based low-carb ice cream brand Rebel Creamery has entered Chapter 11 bankruptcy protection following a dispute with rival Van Leeuwen over packaging design. The company filed for protection in the US Bankruptcy Court for the District of Utah on August 14, with assets and liabilities estimated between $10 million and $50 million.
Van Leeuwen is listed as an unsecured creditor with a $23.785 million claim that Rebel is contesting. The legal battle began in 2021 when Van Leeuwen sued Rebel over alleged infringement of its distinctive pint packaging, which features pastel cardboard pints with black cursive lettering. In July, US District Judge Eric Komitee ruled in favor of Van Leeuwen, finding Rebel liable for trade dress infringement, unfair competition, and dilution.
The judge ordered Rebel to cease selling products resembling Van Leeuwen's packaging and redesign its packaging to create a distinct commercial impression. Van Leeuwen was awarded $23.785 million in disgorged profits from Rebel's sales of the infringing products.
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