The Case Itself: Built Brands, LLC v. Blue Unicorn, LLC, Case 2:24-cv-00838-TC in the District Court of Utah, Central Division.

SPRINGVILLE, Utah—Blue Unicorn, a small Utah-based startup in the protein bar industry, responded to a lawsuit filed by Built Brands, LLC (Built), producer of the Built Bar. In the lawsuit, Built makes several allegations. The claims include an alleged comment at a farmers market regarding the origin of Blue Unicorn’s products, as well as trade secret accusations against Dr. Luke Tolley, a respected food scientist who previously contracted with Built more than seven years ago.

“Dr. Tolley developed Blue Unicorn’s proprietary technology and recipes based on his ongoing research in plant-based proteins, work that he conducted several years after his contract with Built ended,” said Jason Christensen, founder of Blue Unicorn. “Dr. Tolley was never employed or bound by any non-compete agreement with Built.”

Unlike Built’s whey protein bars, Blue Unicorn’s products are plant-based and dairy-free, providing an alternative to those who struggle with dairy intolerance or simply prefer a cleaner, more environmentally friendly, or better-tasting source of protein.

“Our product is fundamentally different from Built’s,” said Christensen. “They make whey protein bars. We developed and produce a fluffy plant-based protein bar that has the macronutrients of the best functional protein bars, but tastes like a treat.” He then added, “Consumers deserve choices, and we’re here to provide them. This lawsuit won’t stop us from doing what we set out to do — bring innovative protein products to people whose needs aren’t being met with current options.”

Blue Unicorn invites those who believe in supporting small businesses over corporate legal departments to join the conversation online using #GoBlueUnicorn #BarWars. Blue Unicorn believes in competition through creativity, not corporate legal tactics.

The case is Built Brands, LLC v. Blue Unicorn, LLC, Case 2:24-cv-00838-TC in the District Court of Utah, Central Division.

About Blue Unicorn

Based in Springville, Utah, Blue Unicorn is revolutionizing the protein bar industry with its innovative plant-based protein bars. Built on a brand promise of “No more half-eaten protein bars,” the company’s products feature clean, allergen-friendly ingredients that are nut-free, gluten-free, dairy-free, and soy-free. Each bar delivers premium nutrition with the taste and texture of a gourmet treat, making them perfect for families and health-conscious consumers.

SOME ADDITIONAL THOUGHTS FROM THE BLUE UNICORN FOUNDER

(Some common questions he has been asked.) 

Without getting into the legal specifics, how has the pressure from a larger competitor affected your business?

It has been a massive financial and emotional burden. We are only 5 months into this and we have already paid over $40,000 in legal fees. Our monthly legal bill is often more than $10,000.  For a pre-profit startup, this becomes an almost impossible burden. It also becomes a big distraction on top of running and trying to grow a business.

What message do you think legal situations like this send to other small Utah startups entering a category with entrenched players?

The whole idea that a large corporation can wipe out any startup simply for being a threat to their business profits, regardless of the merit of their claims, is disturbing. It discourages anyone that is otherwise willing to risk everything for an idea they believe in. 

Do you think there’s an imbalance in how the legal system currently handles competition between startups and established brands?

The US legal system could do a lot more to protect innovation.  Only the attorneys and big corporations win in these situations and everyone else, including the consumer, loses when innovation isn’t protected. The creativity of companies and entrepreneurs should not be stifled by the fear of having to deal with an unfair or frivolous lawsuit. 

The US could improve this by implementing better “loser pays” systems to take away some of the incentive to pursue strategic litigation strategies. This could deter some frivolous or bad-faith lawsuits. Other changes that could be helpful might be more judicial discretion in tossing out weak cases early. A faster civil case resolution would also help to limit the weaponization of delay tactics. 

*Utah Stories reached out to Built Brands, LLC for comment, but as of publication, they have not responded.