Daily Management Review

Balmuccino's Legal Battle With Starbucks Continues Over Coffee-Flavored Lip Balm Concept


08/17/2024




Balmuccino's Legal Battle With Starbucks Continues Over Coffee-Flavored Lip Balm Concept
Balmuccino, a Los Angeles-based company, has filed its third lawsuit against Starbucks, accusing the coffee giant of misappropriating its idea for coffee-flavored lipstick and lip gloss. This legal action was initiated on Friday in Manhattan federal court, marking the latest development in a contentious dispute that has seen two prior dismissals on procedural grounds.
 
Balmuccino claims that it began developing coffee-flavored lip balms in 2016 and presented its concept, along with prototypes and confidential information, during an October 2018 meeting at Starbucks' New York office. The meeting, according to Balmuccino, was brokered by Dr. Mehmet Oz, who contacted Starbucks CEO Howard Schultz to discuss a potential joint venture.
 
The crux of Balmuccino's lawsuit centers around the allegation that Starbucks "stole" its concept, which culminated in the coffee chain launching its "S'mores Frappuccino Sip Kit" in April 2019. The kits featured lip products in four distinct shades: Campfire Spark, Chocolicious Bliss, Graham Glam, and Marshmallow Glow. Balmuccino contends that Starbucks did not provide any compensation for the idea, leading the company to seek compensatory and punitive damages.
 
Despite two previous dismissals, Balmuccino maintains that the lawsuit is still valid. The company argues that New York law allows for the tolling of statutes of limitation under certain circumstances, such as when a court finds it lacks jurisdiction, as was the case with the earlier dismissals.
 
Starbucks, headquartered in Seattle, has yet to comment on the latest legal filing. The case, Balmuccino LLC v. Starbucks Corp, continues to unfold in the U.S. District Court, Southern District of New York.
 
(Source:www.westlaw.com)