Cointreau settles trademark lawsuit over 'Quatreau' CBD drinks

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The logo of Cointreau, the orange-flavoured triple sec liqueur, is seen at the Carre Cointreau in the Cointreau distillery in Saint-Barthelemy-d'Anjou near Angers, France, February 8, 2019. REUTERS/Stephane Mahe

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  • Cointreau said Canopy chose brand name to play off the liqueur maker's established reputation
  • Settlement details were not disclosed

The maker of Cointreau orange liqueur has resolved its trademark dispute with Canadian cannabis company Canopy Growth over Canopy's "Quatreau" sparkling water infused with cannabidiol (CBD), according to a filing in Manhattan federal court.

France-based Remy Cointreau's Cointreau Corp and Canopy Growth USA LLC asked the court to end the case Friday based on a settlement agreement. U.S. District Judge Edgardo Ramos dismissed the case Monday.

A Cointreau spokesperson confirmed Monday that the parties had settled, but declined to comment further. Canopy and its attorneys did not immediately respond to requests for comment.

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Cointreau sued Canopy last year and said it chose Quatreau's name to trade on Cointreau's reputation, instructing customers to pronounce its name as "kwatro" (like Cointreau without the letter "n"), according to the complaint.

Cointreau said the products' similar names and sales through the same channels of trade were likely to create consumer confusion. The company also said it was "actively considering" selling Cointreau waters that could appear on the same shelves as Quatreau, and that it already owns federal Cointreau trademarks to cover non-alcoholic drinks.

Canopy denied the allegations in an answer to the complaint last year.

The case is Cointreau Corp v. Canopy Growth USA LLC, U.S. District Court for the Southern District of New York, No. 1:21-cv-05921.

For Cointreau: Jennifer Golinveaux and Diana Leiden of Winston & Strawn

For Canopy: Perry Viscounty, Nicole Valco and Jake Ryan of Latham & Watkins

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Cointreau sues maker of 'Quatreau' CBD drinks over trademarks

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Blake Brittain reports on intellectual property law, including patents, trademarks, copyrights and trade secrets. Reach him at blake.brittain@thomsonreuters.com