Starbucks loses bid to dismiss labor union's trademark case

By Reuters News

By Blake Brittain

Oct 2 (Reuters) - A federal judge in Pennsylvania on Friday denied Starbucks' SBUX.O request to dismiss a lawsuit filed by a union that represents thousands of its employees in an attempt to counter the coffee chain's trademark infringement claims.

  • US District Judge Michael Baylson rejected Starbucks' argument at an early stage of the case that there was no live controversy when the union sued in April because of a 2024 "memorandum of understanding" between the parties

  • The lawsuit was brought by Workers United to clear its use of the name "Starbucks Workers United" and a version of the company's logo with a raised fist

  • The trademark dispute comes amid ongoing strife between Starbucks and the union in the five years since the first Starbucks employees voted to unionize

  • Spokespeople for Starbucks and Workers United did not immediately respond to requests for comment on the decision

  • Starbucks first sued the union in Iowa in 2023 for allegedly infringing its trademarks, and the union filed its lawsuit in Pennsylvania on the same day asking for a ruling that the union does not infringe the trademarks

  • The parties dismissed their cases in 2025, but the union refiled its lawsuit in April and Starbucks refiled its Iowa lawsuit in June after failing to reach an agreement

The case is Workers United v. Starbucks, US District Court for the Eastern District of Pennsylvania, No. 2:26-cv-02202.

For Workers United: Travis Silva of Keker Van Nest & Peters

For Starbucks: Sharon Nelles of Sullivan & Cromwell

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.