By Blake Brittain
April 15 (Reuters) - Energy drink maker Monster Beverage MNST.O convinced a U.S. appeals court on Tuesday to uphold its $311 million trial win in a case accusing former rival Bang Energy and its founder Jack Owoc of falsely advertising the ingredients and benefits of Bang's energy drinks to cut into Monster's market share.
The 9th U.S. Circuit Court of Appeals rejected Owoc's arguments that a California federal court wrongly excluded evidence that would have helped their case.
Monster acquired Bang Energy for $362 million in 2023 after Bang declared bankruptcy following the verdict. Owoc's attorney Matthew Kita told Reuters that they were reviewing the opinion and considering their options.
Monster's attorney Allison Libeu of Hueston Hennigan said in a statement that the decision "recognizes that the trial court's rulings were plainly correct and that the jury's unanimous verdict in favor of Monster is amply supported."
Monster sued Bang in 2018. It accused Bang and Owoc of false advertising for allegedly touting their energy drink with "Super Creatine" as a "miracle drink" that could help cure neurological disorders like Alzheimer's and Parkinson's disease.
A jury agreed with Monster in 2022 that Bang's drinks did not contain any actual creatine and that it misled consumers about the drink's benefits, awarding Monster $293 million in damages. A California judge later barred Bang from using "Super Creatine" to market its drinks, and the award eventually totaled more than $311 million with attorneys' fees, interest and costs.
The 9th Circuit on Tuesday denied Owoc's bid to overturn the award. The appeals court rejected his argument that the jury should have heard evidence of Monster's own alleged misconduct, including that it falsely advertised its products, tried to copy Bang's drink and waged a "smear campaign" against the Bang founder.
The case is Monster Energy Co v. Vital Pharmaceuticals Inc d/b/a VPX Sports, 9th U.S. Circuit Court of Appeals, No. 23-55451.
For Monster: Allison Libeu of Hueston Hennigan
For Owoc: Matthew Kita
Read more:
Monster Energy wins $293 mln false-advertising verdict against rival Bang
Monster wins ban on Bang Energy's 'Super Creatine' advertising
Monster Energy adds to $293 mln damages win in Bang Energy ad dispute
(Reporting by Blake Brittain in Washington)
((blake.brittain@tr.com; +1 (202) 938-5713))
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