Beyond Meat Inc. (BYND) was found liable in a trademark infringement lawsuit that culminated in a $38.9 million verdict. The jury delivered its decision on November 24 2025, and the news broke on November 26 2025. The judgment was based on the company’s use of the slogans “Great Taste, Plant‑Based” and “Plant‑Based Great Taste,” which the court held infringed Vegadelphia Foods’ registered trademark “WHERE GREAT TASTE IS PLANT‑BASED.” The award consists of $23.5 million in actual damages and $15.4 million in disgorged profits.
The verdict adds a substantial liability to Beyond Meat’s balance sheet at a time when the company is already grappling with a widening net loss. In the third quarter of 2025, the company reported a net loss of $110.7 million, compared with a $26.6 million loss a year earlier, and sales fell 13.3 percent. Gross profit margins contracted to 10.3 percent from 17.7 percent a year earlier, reflecting pricing pressure and higher input costs. The $38.9 million judgment represents more than half of the company’s Q3 revenue and will likely increase short‑term legal expenses and cash outflows.
CEO Ethan Brown said the company is in a “turnaround phase” and will see “not simply more of the same.” He also confirmed that Beyond Meat intends to appeal the ruling, a move that could mitigate the financial impact if the verdict is reduced or overturned. The appeal is expected to focus on the court’s assessment of the trademark’s distinctiveness and the company’s use of the slogans in its advertising, particularly in the Dunkin’ partnership that was settled in September 2024 and dismissed from the case in November 2024.
Investors reacted to the appeal announcement and a surge in call option volume, which together signaled confidence that the company could challenge the judgment. The market’s focus on the appeal underscores the importance of legal risk management for a brand that relies heavily on distinctive marketing language. The call option activity also reflects speculative interest in the potential upside if the verdict is successfully contested.
The verdict highlights the broader legal risks associated with plant‑based food marketing. Beyond Meat’s advertising language, which has been a key differentiator, now faces scrutiny that could prompt a review of promotional strategies and trademark usage. The company’s legal exposure may also influence future partnerships and product launches, as partners may seek clearer agreements to avoid similar disputes.
In summary, the $38.9 million verdict is a significant legal and financial event for Beyond Meat. It adds a large liability, underscores the company’s ongoing margin challenges, and may drive changes in marketing and trademark strategy. The appeal decision will be closely watched as it could alter the ultimate financial impact of the judgment.
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