Litigation With a “Twist:” Anheuser Sues Brick Over Lime Beer
By: Ainsley Brown
Anheuser-Busch, along with Labatt Brewing Co – both companies are owned by Anheuser-Busch Inbev NV – have filed suit against Brick Brewing Co claiming that Brick is violating its intellectual property.
The dispute centers on the use of the colour green and limes on the labels of Brick’s Red Baron Lime Beer. Anheuser, the maker of Budweiser, is alleging the Waterloo, Ontario, Brick has violated the intellectual property on its own lime beer – Bud Light Lime. The suit will be essentially an exercise in compare and contrast; like one of those games where you are given two similar images and you have to find and circle the differences.
The primary question that that has to be answered during this is whether or not any similarities between the two beer is likely to lead to confusion in the eyes of the public? Put another way is there enough of a difference between the two beers so that the consumer may make a conscious decision to chose one brand over the other?
So, how similar/different are they?
Both are sold in clear glass bottles; both labels have green and silver colours; both depict a slice of lime; Bud Light lime has BL written on it; and Red Baron Lime has its name spelt in different font than that of BL. I invite one and all go out to your nearest Beer Store or LCBO and you be the judge, alternatively you can do the same by visiting both websites.
Is this really the crux of the dispute or is there something else afoot?
I believe there is. I think the real issue here is the 25% cost differential in Ontario between the two beers. Does Anheuser – seeking to prevent Brick from using limes and beautiful scantily clad people in its advertising; unspecified monetary damages; along with $500, 000 in punitive damages – have a valid claim? I don’t know but what do know is that Red Baron Lime being 25% cheaper than Bud Light Lime in these tough economic times will be sufficient inducement to many a beer drinker to at least give it a try. That being the case Red Baron Lime could represent a substantial threat to Bud Light Lime, well at least in Ontario.
On a side note, this is not the first time that these two have tangled. In June of this year the two settled an intellectual property dispute after Labatt claimed that Brick’s Red Baron packaging was too similar to Labatt’s Brava beer. The dispute was settled after Brick agreed to change its label.
However, this time there does not seem to be any room for such a settlement, the vitriol coming from Brick is to be believed.
Ainsley, thanks for pointing to this interesting case. Could you please explain what reasons Anheuser delivered to prove its claim? Thanks.
Ainsley I think you hit the nail on the head when you mentioned the price differential… as with anything in the pro-profit industry Anheuser is out to get the highest #s in profit earnings to satisfy their stockholders… so instead of hiring a team of chemical engineers to whip up a superior product they decided to take the cheaper way out and try to crush the competition.
I’m not much of a beer drinker but I have tried both of the aformentioned products (on draft) and I find that Red Baron Lime is of a better lime quality… it’s got more sustinance than it’s BL counterpart, so coupled with the price differential I think Anheuser has cause to worry about it’s success in the light lime beer market…
as a side note I’m surprised Carona hasn’t gone after both companies yet since they’ve been selling lime with their clear bottled beer for ages.
I will have to check this point out but I will get back to you
Ainsley, any new on this subject? Thanks, Carsten