Chipotle sues Sweetgreen over its new burrito bowl
Fast-casual chain Chipotle is wading into legal waters over a new Sweetgreen menu item that the restaurant alleges violates its trademark rights.
Chipotle Mexican Grill filed a lawsuit in California on Tuesday over Sweetgreen's new Chipotle Chicken Burrito Bowl.
"Certainly the name Chipotle is in this new Sweetgreen bowl. And if you think about it, Chipotle has become very synonymous with this type of bowl," Hitha Herzog, chief research analyst at H Squared Research, told "Good Morning America."
In the suit, Chipotle claims that Sweetgreen's "very similar and directly competitive bowl" is an attempt to capitalize on its brand, arguing that the competitor's ad uses the same font and style as Chipotle's own branding that features a similar color to their trademarked "adobo red," the same color as dry-smoked jalapeno peppers.
The lawsuit also noted reactions to Sweetgreen's latest launch on social media, citing one user's Instagram comment, "Chipotle who!?" to which the Sweetgreen account replied directly, "You said it not us."
Sweetgreen described the item as "the latest iteration of its menu ... as the brand evolves beyond salads." But the response has been spicy, with Sweetgreen's stock price falling more than 11% on Wednesday.
Chipotle has requested a court order to block Sweetgreen's use of the Chipotle name in addition to unspecified damages.
"Chipotle has a lot of trademarks on everything from colors to fonts and specific names of their food," Herzog explained. "They have cause to be concerned."
In a statement to ABC News, Sweetgreen said it would not comment on pending litigation.
