Molson Coors Owes Stone Brewing $56 Million After Being Denied Retrial in Trademark Lawsuit
Molson Coors lost its attempt at a retrial and owes Stone Brewing $56 million. (Photo: AP Photo/Ed Andrieski)
On Monday, Reuters reported that brewing giant Molson Coors was denied its attempt at a retrial by U.S. District Judge Roger Benitez, who upheld the decision made by a Jury in March 2022 that the company owed Stone Brewing $56 million for violating the craft brewery’s trademark rights.
Benitez said Molson Coors was not entitled to a new trial or ruling, adding tat the company used the “Stone” name in bad faith, which could have justified further damages.
According to Reuters, Molson Coors spokesperson Rachel Dickens said the company disagreed with the decision and is now evaluating its options, which include a potential appeal.
The lawsuit, which was filed in February 2018, alleged that Molson Coors’ Keystone Light packaging relied heavily upon the word “stone,” which effectively appropriated Stone’s intellectual property, according to Brewbound.
Molson Coors’ use of the word “Stone” in its packaging was reported to have caused confusion between the brands. Stone Brewing claimed its 20% decrease in business — equivalent to $174 million in revenue — was a result of this confusion.
The packaging for Keystone Light that allegedly led to some confusion. (Photo: Molson Coors)
The jury ruled in favor of the San Diego craft brewery, and Molson Coors was required to pay $56 million in damages.
When the verdict was initially reached in March 2022, Stone co-founder Greg Koch expressed his enthusiasm, saying:
“This is a historic day for Stone Brewing, and for the craft beer industry. Molson Coors threatened our heritage, but we stood up to that threat. They will put the ‘Key’ back in ‘Keystone’ ending their hostile four-year co-op of the Stone name. Cheers to our legions of fans, friends and supporters who believe in the good that craft beer brings. This is your win too.”
According to Reuters, both Stone and Molson Coors sought out additional time in court, with Molson Coors attempting to overturn the ruling and Stone Brewing attempting to seek additional damages. Both were denied.
In August 2022, Stone was acquired by Sapporo U.S.A.
Though Molson Coors tried to argue mere months after Stone’s acquisition that its decision to feature “Stone” so prominently on its labelings would not cause any confusion due to both brands attracting completely different clientele, it’s clear the jurors did not agree and chose to rule in favor of the craft brewery.
“From the moment our team saw Keystone’s intentional theft of the Stone trademark, we believed this day would come,” Stone CEO Maria Stipp said at the time, according to Brewbound. “We are committed to doing everything in our power to protect the incredible reputation of the Stone brand and the passionate team who built it.”
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