Violation of Trademark Settlement Agreement Costs Drink Company $175 Million

Both Orange Bang and Vital produced drinks branded with the title Bang. Orange Bang sued Vital in 2009 alleging the company’s pre-workout drinks would cause customer confusion with Orange Bang’s BANG drinks. The settlement a year later allowed Vital use of the Bang name limited to “creatine-based” drinks and other beverages only if they were sold via fitness-focused locations like gyms and vitamin stores. In 2015, Vital introduced a new Bang branded product. Orange Bang and Monster Energy Co brought a suit accusing Vital of breaching the settlement. The cased ended with the largest-ever trademark verdict in the US. Vital is held responsible for $175 million in damages plus a 5% royalty on worldwide sales of Bang-branded products unless it abides by the original settlement agreement.