Impossible Foods Owes Texas Business $3.25 Million for Trademark Infringement, Jury Rules

The “meat-substitute” company has a history of litigating small businesses into submission.

Impossible Foods and Impossible LLC Lawsuit

This article has been updated since publication to include comment from Impossible Foods.

Joel Runyon—social media influencer and founder of the Austin-based performance lifestyle company Impossible LLC—has been awarded $3.25 million from the California-based Impossible Foods for trademark infringement.

The multi-billion dollar plant-based meat substitute giant has become notorious for targeting its competition with lengthy lawsuits. Runyon’s win could signal an end to this practice.

Background

As previously reported, Runyon’s business has been operating under the “Impossible” name since 2010—three years before Impossible Foods.

By March 2012, Impossible LLC had obtained its first federal IMPOSSIBLE-formative trademark registration with the United States Patent and Trademark Office (USPTO), giving it priority rights to use IMPOSSIBLE as part of its marks to prevent confusingly similar uses by other companies in that marketplace.

In 2013, a company called Maraxi, Inc.—which reportedly made artisanal cheeses from nuts—was looking to rebrand with the mission “[t]o invent and provide great tasting plant-derived foods to replace animal-based foods worldwide.” The leading name choice for this rebrand was “Impossible Foods.”

Before the decision was final, Maraxi’s general counsel reportedly commissioned a comprehensive trademark search report in October 2013. The report listed Impossible LLC’s trademarks and websites, but did not prevent Maraxi from rebranding to Impossible Foods.

In April 2020, Impossible Foods applied for an IMPOSSIBLE-formative trademark to provide “information about recipes, ingredients and cooking information.”

Impossible LLC—which had long been offering such services—sent a letter to Impossible Foods in November 2020, seeking to clarify the intent of the trademark application and a “mutual agreement regarding a defined coexistence to avoid consumer confusion.”

Ultimately, Impossible LLC filed a trademark opposition before the USPTO and granted Impossible Foods extra time to respond.

Days before discovery was due, Impossible Foods filed a federal lawsuit in California, arguing it had superior rights to the trademark. The suit was thrown out in 2021 based on jurisdiction, but was reinstated in 2023.

Jury Verdict

Last week, an eight-person jury in the U.S. District Court for the Northern District of California, San Jose Division, returned a verdict awarding Runyon’s Impossible LLC a total of $3.25 million in damages from Impossible Foods.

The jury determined that Impossible Foods failed to prove that Impossible LLC committed fraud with the USPTO.

Instead, it found that Impossible Foods willfully infringed Impossible LLC’s registered and unregistered trademarks in connection with recipes, apparel, and cookbooks.

The jury also determined that Impossible LLC proved, by clear and convincing evidence, that Impossible Foods acted with oppression, fraud, or malice in infringing on its unregistered trademark, “IMPOSSIBLE,” under California law.

Compensatory (actual) damages were assessed at $1.5 million. Punitive damages—which are awarded at the court’s discretion when a party’s behavior is found to be especially harmful—were assessed at $1.75 million.

“We’re grateful to the Court and the jury for the time they have invested to help us get to this just result,” said Runyon. “The jury’s verdict sends a clear message that trademarks are not just pieces of paper and a brand is more than just the name of a company—they stand for something, they matter, and they can’t be willfully trampled. I’m looking forward to getting back to growing my company and inspiring people to do something IMPOSSIBLE.”

Trademark infringement verdicts are notoriously difficult to secure, making Runyon’s victory a significant one.

The ruling could signal an end to Impossible Foods’ practice of attempting to litigate its competition into submission. The company has been accused of burying small businesses under legal fees in “David vs. Goliath” fights.

A spokesperson for Impossible Foods reached out to Texas Scorecard, responding to the verdict.

“While we respectfully disagree with the jury’s verdict, we remain confident in our position as a business and brand, and we’re evaluating all available options for moving forward. Our focus is on continuing to build the Impossible Foods brand as the best plant-based protein company and giving consumers the clarity they deserve in the marketplace.”

Runyon documented the lengthy litigation with Impossible Foods on X, highlighting his refusal to give up the fight. He also launched a website, impossiblelawsuit.com, providing an overview of the case.

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