Rebel Creamery seeks Chapter 11 protection after $23.785 million packaging verdict

Rebel Creamery, a Utah ice-cream producer whose products appear in stores such as Walmart and Target, filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of Utah. The filing lists assets and liabilities each ranging between $10 million and $50 million. The move follows a federal judge’s decision that Rebel intentionally infringed Van Leeuwen’s trade dress, ordering the company to surrender $23.785 million in profits earned from the contested pints.

The judge also mandated an injunction against the infringing packaging and required a redesign. Rebel denied the allegations, claiming its founders were unaware of Van Leeuwen’s design, but the court rejected that explanation. An appeal of the judgment was lodged on August 12, just two days before the bankruptcy filing. Van Leeuwen, founded in 2008 in New York City, has expanded to roughly 100 scoop shops nationwide.