Rebel Creamery seeks Chapter 11 protection after $24 million judgment to Van Leeuwen
Utah-based keto ice cream maker Rebel Creamery filed for Chapter 11 bankruptcy following a federal court order to pay nearly $24 million to rival Van Leeuwen for alleged packaging infringement.
Rebel Creamery, a privately held keto ice cream producer headquartered in Utah, filed for Chapter 11 bankruptcy on Friday. The filing comes less than a month after a New York federal judge ordered the company to surrender $23.8 million in profits to Brooklyn-based Van Leeuwen, which had sued Rebel in 2021 for copying its pastel, monochrome packaging with black script branding.
The Eastern District of New York judge found Rebel had intentionally "infringed and diluted" Van Leeuwen’s product appearance, directing Rebel to cease sales of the disputed items, redesign its packaging, and remit the awarded damages. Rebel’s products are distributed through major Houston retailers including H-E-B, Kroger, Randalls, Walmart and Central Market. The company has not responded to requests for comment.
"The court’s decision reflects a clear violation of Van Leeuwen’s trademark and trade dress," said a Van Leeuwen spokesperson.
Rebel’s bankruptcy filing seeks to restructure its obligations while it evaluates how to comply with the court’s injunction.