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PepsiCo Sues to Use Name for Energy Drink

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Bloomberg News

PepsiCo Inc.’s South Beach Beverage Co. filed a lawsuit asking a judge to back its right to use the name SoBe Adrenaline Rush for one of its energy drinks.

South Beach said it paid R.J. Corr Naturals Inc. and Rush Beverage Co. $30,000 to avoid a lawsuit over Corr’s ownership claims for the word “Rush” on drinks.

Rush Beverage, based in Blue Island, Ill., filed its own suit Monday, accusing South Beach and PepsiCo of trademark infringement and fraud.

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South Beach said it signed a consent agreement with Corr and Rush for the right to use the name SoBe Adrenaline Rush but received a July 10 letter from Rush that said the agreement will be terminated for violations of the terms.

Corr, based in Posen, Ill., makes Dr. Rush, Ginseng Rush and Energy Rush drinks.

PepsiCo, based in Purchase, N.Y., owns about 90% of Norwalk, Conn.-based South Beach. Shares of PepsiCo fell 7 cents to $45.73.

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