The Arizona-based parent company of Raw cannabis rolling papers has been awarded $8.7 million from a competitor for copyright infringement of package design and likeness.
According to a December ruling by Magistrate Judge Brenda Weksler of the U.S. District Court for the District of Nevada, AIMS Group USA Corp. and affiliates were ordered to pay Raw’s parent, BBK Tobacco & Foods – which does business as HBI Innovations – more than $3 million in profits and $5.6 plus million-plus in statutory damages for the copyright violations.
The court also ordered AIMS and its affiliates, Florida One Wholesale and Brocone Organic Private, to pay $10,000 each for attorney fees, according to court documents obtained by MJBizDaily.
The lawsuit centered on products sold under the “Brocone” brand, which were manufactured in India by Brocone Organic Private.
The judge ruled that AIMS’ products copied BBK’s Raw packaging designs and the exact language on products.
The ruling ends a two-year legal battle.
“We have dedicated our lives to making the best rolling products on the planet,” Raw founder Josh Kesselman said in a statement.
“Our customers are our family. … Whether it’s a counterfeit or a look-alike, we must protect our family from that sort of awful deception.”
BBK said in September 2023 it had reached a stipulated injunction and judgment in a confidential settlement with NEPA Wholesale, the primary U.S. distributor of Brocone products.
Litigation ultimately included Brocone’s U.S. importer, AIMS Group USA Corp., and distributor Florida One Wholesale.
Kesselman established Phoenix-based HBI Innovations in 2005.
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