Yeti Coolers Is Suing Wal-Mart Over Patent Infringement

Yeti Coolers Inc. is suing Wal-Mart Stores Inc. over items similar to the Colster Rambler beverage insulator. (Image via Yeti)
Yeti Coolers Inc. is suing Wal-Mart Stores Inc. over items similar to the Colster Rambler beverage insulator. (Image via Yeti)

Yeti Coolers Inc. (Yeti), an Austin, Texas-based manufacturer of drinkware and coolers, is suing Wal-Mart Stores Inc., Bentonville, Ark., claiming that drinkware products sold at Wal-Mart infringe on patents and trade dress infringements.

According to the Northwest Arkansas Democrat Gazette, Yeti filed a lawsuit in the U.S. District Court for the Western District of Texas last week, claiming that items sold at Wal-Mart are “confusingly similar imitations” of its own products. Yeti also alleged that Wal-Mart “has purposely advertised, promoted, offered for sale, sold and distributed, and continues to advertise, promote, offer for sale, sell and distribute drinkware products that violate Yeti’s rights.”

Yeti’s claim involves three heavy-duty insulated drinkware items—a Rambler Colster beverage holder, and 20 and 30 oz. stainless steel Rambler tumblers. The U.S. Patent and Trademark Office issued Yeti a design patent for the Rambler Colster beverage holder on March 29, but Yeti claimed that it owns trade dress rights, referring to the visual appearance of a product and its packaging. Trade dress is protected under federal law if it is distinctive, and if an imitation is likely to be confusing or misleading to customers.

“A brand is not that tangible thing itself, but it’s everything that thing connotes and stands for and creates in the mind of the customer,” Martin Thoma, a principal at Little Rock, Arkansas-based brand leadership firm Thoma Thoma, told the Northwest Arkansas Democrat Gazette. “So Yeti is clearly concerned that all of its intellectual property, its designs, its advertising and its brand building are being co-opted by another manufacturer and retailer.”

Mark Henry, a patent attorney in Fayetteville, Ark., told the Northwest Arkansas Democrat Gazette that this case especially is interesting because it deals with trade dress.

Wal-Mart is offering these similar items at much cheaper prices that Yeti, too. Yeti’s 20 oz. tumbler costs $29.99. Wal-Mart’s 20 oz. tumbler is $7.74.

A Wal-Mart spokesperson told the Northwest Arkansas Democrat Gazette that the company is in the process of reviewing the complaint and will respond with the court.

This isn’t the first time Yeti has taken potential imitators to court. In December, the company filed a trade dress infringement lawsuit against Mammoth Coolers, Cincinnati, over similar coolers.

On the same day it filed the lawsuit against Wal-Mart, Yeti also filed lawsuits against Zhejiang Zhuosheng Industry & Trade Co., a Chinese stainless steel drinkware manufacturer; and Waukesha, Wisconsin-based restaurant outfitter The Boelter Companies. Both lawsuits were trade dress infringement claims relating to Yeti’s 20 and 30 oz. stainless steel tumblers. These claims did not include patent infringement, however.

For more information on Yeti Coolers Inc., visit www.yeti.com.

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