Clothing brand Patagonia sues AB-InBev over Patagonia beer

USA | Outdoor apparel company Patagonia has filed a lawsuit against AB-InBev on 9 April 2019, claiming that the brewer’s Patagonia beer is a “copycat brand”, in that it evokes Patagonia’s  rugged, environmentally-friendly brand and logo.

AB-InBev was granted a trademark to sell Patagonia beer in the US in 2012, but sat on the name until 2018, when it introduced the beer in Colorado. Reportedly, AB-InBev has marketed the beer with some success in Argentina, whose Patagonia region is famous for its majestic glaciers and mountains.

The privately-owned clothing company (estimated turnover: over USD 750 million) and the brewer are not just at loggerheads over the brand name, they directly compete with each other in the beer market too.

Through its food business Patagonia Provisions, the apparel company started selling its own beer, called Long Root Ale, in 2016. In March 2019, it released its second beer, a collaborative Long Root Wit, with the Portland-based Hopworks Urban Brewery. The beers can be found at Whole Foods and other independent grocers in California, Washington, Oregon, and Colorado.

Interestingly, the clothing company claims in its lawsuit that a representative from AB-InBev even had the temerity to ask for an interview to learn more about Long Root’s key ingredient, the Kernza grain. A cousin of annual wheat, Kernza is a domesticated perennial grain, originating from a forage grass called intermediate wheatgrass (Thinopyrum intermedium). Bred by The Land Institute, Kernza is in the early stages of commercialisation.

Patagonia is asking a California federal court to recognise that AB-InBev has infringed on and diluted its trademark and engaged in unfair competition. It is asking to have AB-InBev repay its lost profits, any profits gained by the brewer’s Patagonia beer, punitive damages and attorney fees.

“While both parties have a shared passion for sustainability, we will defend our trademark rights and believe this lawsuit to be without merit,” an AB-InBev spokesperson said in a statement.