Customer shopping at a bread section in Aldi supermarket. Credit: Aldi.

US-based sweet bread maker King’s Hawaiian has settled a lawsuit against supermarket giant Aldi over packaging design.

This marks the second settlement with Aldi over the same issue.

The baked goods maker filed the lawsuit in November in a federal court in Los Angeles. It alleged that Aldi infringed King’s Hawaiian’s intellectual property rights in orange packaging trade dress used for its Hawaiian sweet dinner rolls.

King’s Hawaiian also alleged that Aldi failed to abide by the parties’ earlier settlement agreement terms. King’s Hawaiian filed a similar lawsuit against Aldi in Georgia in October 2015, which was settled in 2016.

As per the lawsuit, which was settled on confidential terms, the supermarket chain will change the packaging for its Hawaiian bread stuffing mix.

“We have invested significant time and resources and it is our intent that this legal team will vigorously pursue any infringement of our trade dress any time.”

King’s Hawaiian president and chief strategy officer John Linehan said: “The King’s Hawaiian packaging trade dress is one of our most valuable assets and King’s Hawaiian has assembled a top-notch, two-firm legal team to protect and to enforce our intellectual property rights in the trade dress.

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“We have invested significant time and resources and it is our intent that this legal team will vigorously pursue any infringement of our trade dress any time, in any place, and at any cost.”

In recent years, the sweet rolls maker also filed and favourably resolved various similar lawsuits over its distinctive packaging trade dress in federal district courts in California, Georgia, and Illinois.