CoolBrands sues Weight Watchers

USA/CANADA – CoolBrands is suing slimming brand Weight Watchers, claiming that it illegally signed a licensing agreement for ice cream products with Wells’ Dairy.

According to CoolBrands, it has the exclusive right to the Weight Watchers name for ice cream and frozen novelty products until 28 September and can continue to use the name until 28 September 2005 under an agreement signed in 1995.

In July, Weight Watchers and Wells’ Dairy announced that they had reached an exclusive new agreement from 1 October for the same category.

CoolBrands is seeking to recover $360 million for damages and breaching the agreement. “The issue is clear cut: Weight Watchers broke their agreement with us,” said CoolBrands chief executive David Stein. He added: “CoolBrands will not be bullied by Weight Watchers.”