- Sweetgreen is changing the name of its newest menu item after a lawsuit from Chipotle.
- Chipotle argued that the chipotle-flavored chicken burrito bowl's promotion violated its trademarks.
Sweetgreen has agreed to change the name of its newest menu item after Chipotle sued the company.
Chipotle's complaint centered on the "chipotle-chicken burrito bowl," which the Mexican grill said was too similar to its own name, according to a complaint filed Tuesday in U.S. District Court in Southern California. The bowl is Sweetgreen's first "without any greens" and includes blackened chicken, roasted chipotle salsa, wild rice, lime cilantro black beans, tomatoes, and cabbage.
On Thursday, Sweetgreen agreed to change the name of the bowl to the "Chicken + Chipotle Pepper Bowl," a spokesperson told Insider, adding that the company had reached a tentative agreement with Chipotle to resolve the dispute.
"We are looking forward to putting this lawsuit behind us as we continue to connect more people to real food," the spokesperson said.
Chipotle Chief Corporate Affairs Officer Laurie Schalow said: "We are pleased that Sweetgreen has chosen to amend their materials in a manner that protects our trademarks and intellectual property, and therefore, we have both agreed to resolve the pending lawsuit."
Chipotle's issue wasn't that Sweetgreen used the word "chipotle" alone, the company said in its complaint. Rather, the company says, it believes that the font of "chipotle" as it appeared in ads promoting the new bowl infringed on its trademarks.
One example cited in the complaint shows a sign that Sweetgreen used to promote the burrito bowl. In a photo, the sign includes the word "chipotle" in white capital letters on a red background — a use too similar to a version of Chipotle's own brand name, the chain said.
Chipotle also said that Sweetgreen's bowl has similar ingredients to an item on Chipotle's menu. Sweetgreen also planned to offer a discount on the bowl on Thursday, April 6, or "National Burrito Day." Chipotle says in its complaint that the discount "is clearly intended to copy and trade off of" Chipotle's own Burrito Day promotion, which it has offered in the past.
On Wednesday, Schalow declined to comment specifically on the case but said that Chipotle is "committed to protecting our valuable trademarks and intellectual property."
"Consistent with that, we will take appropriate actions whenever necessary to protect our rights and our brand," Schalow said.
Disputes between restaurants, retailers, and food brands over trademarks are common. In late 2021, PepsiCo dropped the word "Rise" from the name of a Mountain Dew energy drink after coffee brand Rise Brewing said the name, as presented on cans of the energy drink, was too similar to its own.
Startups are especially at risk if they infringe on a trademark or a larger brand infringes on theirs, legal experts have said, because larger companies have more money and resources to fight a claim. A key test in these cases, according to the experts, is whether or not the alleged infringement is confusing customers about which brand is selling the product.