The lawsuit launched in June in the district court of Colorado accused TinctureBelle of infringing Hershey trademarks on Reese’s, Heath, Almond Joy and York with imitation products including Ganja Joy, HashHeath and Hashees.
In a consent order filed last week, TinctureBelle said that it had stopped advertising and selling the alleged offending products at the end of 2013, before Hershey launched the lawsuit.
The medical marijuana retailer agreed not to produce any products that satirize Hershey brands in future.
It also agreed not to make false or disparaging statement about Hershey and said it would disable a webpage that had sought to raise funds to fight the legal case.
TinctureBelle also agreed that it would not attempt to register trademark for the names or designs in dispute.
Hershey will be entitled to $25,000 per breach if TinctureBelle violates the settlement.
TinctureBelle president, Char Mayes said in June that the lawsuit had come as a surprise as his company had changed its entire label line six months earlier. “Our new packaging looks nothing like Hershey’s or anyone else’s,” he said at the time.
TinctureBelle is a privately held company setup in Colorado Springs in 2010. It employs around 10 people and has annual revenues of around $230,000.
Hershey is currently engaged in other trademark litigation. Last month, it filed a lawsuit against LBB Imports accusing it of infringing multiple trademarks on products such as Reese’s and York by importing similar brands into the US such as Toffee Crisp and Yorkie.
It is also fighting a case brought Mars, which accuses Hershey accusing of copying Mars’ Maltesers brand in all-red packaging.