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Business dispute arises between soda companies over use of a word

On Behalf of | Sep 23, 2015 | Business Litigation

Many business owners in Texas, and elsewhere, are aware of the importance of logos, color use and branding when it comes to consumer recognition. If a company’s competitor uses similar slogans, logos or colors to market its products, it could confuse customers and take potential business away. Sometimes, business owners will admit their mistake and change the logos or colors. Should companies refuse, however, it could lead to business disputes.

This is the case one specialty soda franchise based in Utah is dealing with. The CEO of Swig reportedly alleges that Sodalicious, another local soda company, has copied things from his business plan and is committing trademark infringement. According to reports, both specialty soda companies use the word dirty to describe their flavored drinks. Swig, however, has trademarked the use of the word in this way. Swig’s CEO also claims that Sodalicious copied his company’s pricing.

News sources reported that representatives from Swig asked Sodalicious to stop using the word dirty in November. The company refused, however. While the owner of Sodalicious reportedly said they were focusing their energy on the business, it was not disclosed whether they continue to use the word dirty.

It is not unheard of for two people to have similar ideas, or for competitors to otherwise enter the market. If one company purposely copies another, is or unwilling to change when notified of the similarity, it could impact a business’ bottom line. As such, it may benefit those who are dealing with this type of situation, or with other business litigation issues, to work with an attorney. A legal representative may explain their rights, and help them to determine the best course of action given their circumstances.

Source: fox13now.com, “Lawsuit claims only one Utah company has right to sell ‘dirty’ sodas,” Sept. 16, 2015


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