Nespresso and Peet’s settle lawsuit

On Behalf of | Oct 20, 2023 | Intellectual Property Litigation, Trademark Law |

Nespresso filed a trademark infringement lawsuit 2022 alleging that Peet’s Coffee had mimicked Nespresso’s trademarked coffee cartridges. A subsidiary of Nestle, Nespresso manufactures and sells coffee cartridges and the machines that use them. Peet’s is a California-based national retail coffee shop chain that also sells retail products, including cartridges, beans, tea, and related products.

Nespresso claims that Peet’s caused brand confusion among consumers by creating a false association with its brand and improperly advertised their cartridges as compatible with Nespresso machines. Nespresso also argues that people were referring to Peet’s cartridges as Nespresso pods or Nespresso capsules, citing online reviews.

Peet’s denied the allegations, arguing that Nespresso was a generic term for cartridges and single-serve machines. It also claimed that Nespresso was trying to extend a monopoly.

According to Reuters, the new amicable settlement results from negotiations to finalize a settlement started in August 2023. Nespresso has asked a Southern District of Manhattan federal court to dismiss the claim with prejudice, which means the suit cannot get refiled.

No details were released on the settlement

At this time, the details of the settlement have not been released, but they did release a joint statement:

“Nespresso and Peet’s agreed to amicably resolve and dismiss all claims and counterclaims in their federal lawsuit concerning single-serve espresso capsules, as well as Peet’s opposition to Nespresso’s trade dress application in connection with the shape of single-serve espresso capsules. Nespresso and Peet’s cannot further comment on that resolution.”

This firm is not involved in the case, but we represent clients in trademark disputes like the one discussed here.