A North Carolina barbecue chain and its original location have reached a settlement in a trademark dispute concerning the use of their shared brand on sauces and rubs, according to federal court records. The conflict, which began earlier this year, centered on allegations that the flagship restaurant was selling branded products beyond the scope of its licensing agreement.
In May 2025, the chain filed a complaint in the North Carolina Business Court, accusing the original location of misusing the brand’s trademarks to sell sauces and rubs outside the agreed-upon terms. The flagship restaurant responded by asserting that it had retained ownership of the trademarks following the entities’ separation two decades prior. The case was subsequently moved to federal court in June 2025.
The terms of the settlement have not been disclosed. This resolution highlights the complexities of trademark ownership and licensing agreements within franchise operations, emphasizing the importance of clear contractual terms to prevent disputes.
This case is part of a broader trend of trademark disputes in the restaurant industry. For instance, in June 2024, Texas-based Whataburger filed a lawsuit against North Carolina’s What-A-Burger #13 for trademark infringement, alleging violations of a coexistence agreement. Similarly, in 2023, a Rocky Mount barbecue restaurant was compelled to change its name due to a trademark infringement case.
These incidents underscore the critical need for businesses to establish and adhere to clear trademark agreements to avoid legal conflicts and protect brand integrity.