Anheuser-Busch InBev's Mexican arm Grupo Modelo sued U.S. firm Constellation Brands for breaching a deal on the use of the Corona brand name by applying it to a non-beer product.
Constellation has used the name for sparkling water with alcohol and flavoring dubbed Corona Hard Seltzer, one of the very popular seltzer drinks in the US.
The suit was filed in the US district court of the southern district of New York on Monday after AB InBev was unable to settle the matter directly with Constellation.
When AB InBev took full control of Grupo Modelo in 2013, it sold Grupo Modelo’s business in the US to Constellation, including the Corona brand.
But the licensing arrangement for Corona was only for beer and not for hard seltzer.
AB InBev kept rights to the Modelo brands, including Corona, in Mexico and elsewhere.
Constellation said it had “fully and completely” complied with the terms of the sub-license agreement and would vigorously defend its rights. It added that Modelo’s claims that its seltzer should not be classified as a beer were without merit and an attempt to restrain a strong competitor.
Constellation launched Corona Hard Seltzer in February 2020 and said in October the brand had a 6% share of the U.S. seltzer market, making it the fourth-biggest brand in the segment.


Stellantis Sells Free2move Car-Sharing Business to Mutares to Strengthen Core Auto Strategy
Barclays Q2 Profit Beats Forecasts as Investment Banking Strength Offsets Higher Costs
Nvidia Invests $1 Billion in Naver as South Korea AI Data Center Expansion Gains Momentum
Philips Shares Slide 10% Despite Earnings Beat as Weak Orders Raise Growth Concerns
Serica Energy to Acquire Pharos Energy for £145.7M, Sending PHARP Shares Soaring
Meta CEO Zuckerberg Opposes U.S. Ban on Chinese AI Models, Warns Against Overregulation
Galp Shares Fall After Q2 EBITDA Miss Despite Profit Beat and Higher Dividend
Brown-Forman Rejects Sazerac’s $15 Billion Takeover Bid as Family Backs Independence
Johnson & Johnson Proposes $5.5 Billion Talc Settlement to Resolve U.S. Ovarian Cancer Lawsuits
Air Liquide Q2 Sales Growth Tops Forecast as Electronics Business Drives Strong Performance
Standard Chartered Beats Profit Forecasts as First-Half Earnings Rise 9%
BHP, Port Hedland Unions Fail to Reach Wage Deal as Negotiations Continue
CXMT IPO Debut in Shanghai Puts $85.5 Billion Chipmaker in Spotlight
AstraZeneca Q2 Earnings Beat Forecasts as Oncology Growth Supports 2026 Outlook
Unilever Raises 2026 Sales Outlook After Strong Q2 Volume Growth
Tech Stock Positioning Nears Neutral as Investor Rotation Enters Final Phase, Deutsche Bank Says
Nvidia Eyes $250B Guarantee for OpenAI’s Massive Ohio AI Data Center Project 



