CLT's Sycamore Brewery Sues California Craft Beer Giant in Trademark Fight

"Arrogant Bastard"is perhaps the best known label of craft-beer pioneer Stone Brewing Co. Now a Charlotte competitor has accused the California company in court of living up to the name. In a new and bitingly-worded federal lawsuit, Sycamore Brewing charges that Stone stole Sycamore’s trademark slogan, “Keep It Juicy,” which the Charlotte brewer uses to market its popular “Juiciness IPA.” Stone, the complaint alleges, features the same catch phrase on packaging and promotions for its own new “Hazy IPA,” and it does so in the states — including the Carolinas — where the two companies compete. Sycamore’s complaint, which accuses Stone of trademark infringement, unfair competition and deceptive trade practices, certainly keeps its accusations personal.

It describes Stone’s theft of the slogan as “immoral, unethical and unscrupulous” and claims that it “injures and deceives customers.” Moreover, the complaint says Stone’s recent pattern of attacking its competitors violates the traditionally supportive brotherhood of craft-beer brewers in which the Californians once played an integral role. Thus, Sycamore’s lawsuit opens with a genuflection. “Every craft brewery in the world owes a debt to Stone for evangelizing craft beer at a time when most of the United States thought beer choices extended no further than Budweiser and Coors. To say Stone has helped invent the modern craft beer experiences is in no way a stretch,” the complaint reads. “But as Stone grew larger and larger, it lost its way. While it used to preach the gospel of ‘community’ in craft beer, it now seeks to damage smaller breweries by filing questionable trademark actions against them and to steal the trademarks of those smaller breweries it believes will not fight back.

"Sycamore is fighting back." In an emailed statement to The Charlotte Observer on Wednesday, Stone Brewing said it has been caught off guard by the dispute. “Sycamore’s complaint was the first we had heard of this issue,” said Josh Weiss, the company’s general counsel. “We disagree with the allegations but will investigate the matter and take action if appropriate and in keeping with our consistent policy of respect for brand rights.”

Since opening in 2013, Sycamore has become one of Charlotte’s best-known craft breweries and plans to open a new Uptown taproom this year. Chris Rodarte

Sycamore’s attorney, Michael Boyer of Greensboro, did not respond to an Observer email Wednesday seeking comment. The lawsuit taps into the growing pains of the booming craft-beer industry, which over the span of two decades has moved from garages and farmers’ markets to specialized displays in grocery store coolers and multi-state market shares. Sycamore opened its first brewery in 2013. It’s now one of the major labels in Charlotte’s thriving craft-beer scene, selling its products in eight states and with plans to open a state of the art Uptown taproom later this year. The company’s marketing strategy is at least as noteworthy as its beer — from special holiday labels decked with sexually frolicking reindeer and sadomasochistic gingerbread couples to a mysterious billboard on South Boulevard to announce the release of a new hard seltzer. While Sycamore is a thriving newcomer, Stone, with its signature gargoyle insignia, has been looming over the craft-beer movement since 1996. It is now the ninth largest craft-beer brewery in the country and has been selling its brews in all 50 states since 2017. In recent years, the Escondido, Calif., company, has more and more aggressively defended its turf. Two weeks ago, Stone won a $56 million trademark infringement claim against Molson Coors stemming from the beer giant’s decision to shorten the name of its Keystone label to “Stone” in its advertising.

Greg Koch, Stone’s co-founder, couched the court win in David vs. Goliath terms. “This is a historic day for Stone Brewing, and for the craft beer industry,” he said. “Molson Coors threatened our heritage, but we stood up to that threat ... Cheers to our legions of fans, friends and supporters who believe in the good that craft beer brings. This is your win too.” The Sycamore lawsuit turns the table. It describes Stone as a “Trademark Bully,” which has even gone after restaurants and T-shirt companies that had Stone or Bastard in their names. The foundation of the Stone-Sycamore dispute was laid in 2019 when Sycamore introduced its Juiciness IPA. It first used the “Keep It Juicy” slogan in 2020, a template it has since adapted to market other of its labels, including Haziness IPA (“Keep It Hazy”) and the Strawberry Lemonade Gose (“Keep It Squeezy”).

Last August, Sycamore received a registered federal trademark for “Keep It Juicy.” Stone released its Hazy IPA that same month. On its website, it describes the beer as a “groovy, juicy citrus bomb.” Its advertising slogan: ”Keep It Juicy.” In its complaint, Sycamore has called on the courts to issue a permanent ban on Stone’s use of the slogan as well as awarding treble damages. “Stone stole Sycamore’s registered trademark,” which it is using for the “exact same purpose in the exact same markets,” the lawsuit claims, again turning personal. “So, Sycamore will fight to maintain ownership of its trademark and brand. And, as it does, it hopes to remind Stone that its existence used to be good for the craft beer industry before Stone decided that competition and innovation were things to damage, not celebrate.”

Source:charlotteobserver.com

Editor:IPR Daily-Selly