CoolBrands International Inc., maker of frozen desserts, has settled with Weight Watchers International Inc. and Wells' Dairy Inc., ending tit-for-tat lawsuits over trademark rights.
A statement from CoolBrands was light on details but said the Markham-based company will no longer make, sell or distribute products using the Weight Watchers and Smart Ones trademarks after May 1.
The settlement confirms Iowa-based Wells' Dairy as exclusive licensee for ice cream and frozen novelties sold under the Weight Watchers brand.
"Our only statement is that we are pleased with the results," Weight Watchers spokeswoman Donna Fontana said from the company's headquarters in New York.
CoolBrands and Wells' Dairy officials did not comment.
CoolBrands had filed suit against Weight Watchers and Wells' Dairy last summer in New York, seeking $360 million (U.S.) in compensatory and punitive damages after losing its exclusive master licensing deal for the brand.
It claimed its agreement with Weight Watchers prohibited the diet company from entering into any other licenses until all components of the original deal expired in September 2005.
Weight Watchers filed a countersuit alleging violation of the license pact if CoolBrands continued to sell products carrying the Weight Watchers name.