SAN DIEGO — The four-year legal battle between Stone Brewing and Keystone parent Molson Coors is finally headed to court next week, with hundreds of millions potentially at stake.
A jury trial in the trademark infringement case is scheduled to kick off Monday in San Diego federal court. It was originally slated for November 2020 but was delayed multiple times, in part because of intense legal wrangling on both sides.
Late last year, a U.S. District Judge in San Diego called it "one of the most contentious cases I've ever experienced, and I have had trademark/trade name cases before," according to court records.
In 2018, Stone Brewing sued MillerCoors, now Molson Coors, for allegedly hijacking its "Stone" trademark. The lawsuit also seeks damages for trademark dilution and unfair competition.
According to the complaint, Molson Coors rebranded Keystone to significantly emphasize "Stone" on its labeling — making "Key" a separate word for the first time since the brand launched in 1989.
In addition, the lawsuit contends Keystone's social media promotions featured Stone-centric taglines such as "Stone Sweet Stone."
"It is a really important trial for us," said Maria Stipp, chief executive of Stone Brewing. "Keystone has rebranded their beer "Stone" since 2017. That is a long time to be sitting on our name. I think we have plenty of proof points that talk about consumer confusion and retailer confusion and distributor confusion."
Molson-Coors counters that Keystone customers have long referred to the brand as "Stone" and cans of Keystone as 'Stones." Those terms were used in advertising before Stone Brewing opened its doors in 1996.
The beverage giant, which filed a countersuit, also contends Stone Brewing's grievances over labeling are overblown since "Key" is still visible on cans, bottles and packaging.
"Stone Brewing's claims have been wildly unfounded from the get-go," said Martin Maloney, a Molson Coors spokesman. "We have used our Keystone trademark appropriately and look forward to proving that in court."
