MIDWAY, Utah, Aug. 17 (Our Utah Times) — Rebel Creamery LLC, a Utah-based ice cream maker whose products are sold through grocery retailers nationwide, filed for Chapter 11 bankruptcy protection after a federal court ordered it to pay Van Leeuwen Ice Cream $23.785 million in a packaging-related trade-dress case.
Rebel filed its voluntary petition Aug. 14, 2026, in the U.S. Bankruptcy Court for the District of Utah. Its bankruptcy schedules report about $13.78 million in assets and $23.85 million in liabilities.
The filing places the company’s finances, its dispute with Van Leeuwen and the interests of its creditors under the supervision of the bankruptcy court. The available records do not show whether Rebel has stopped operating, how many workers it employs or how the filing will affect products on store shelves.
What does Rebel owe?
Rebel’s schedules list Van Leeuwen as an unsecured creditor with a claim of about $23.785 million. The claim comes from a federal judgment involving the appearance of the companies’ ice cream packaging.
Rebel marked the claim as disputed and said the judgment is under appeal. The company filed its appeal Aug. 12, two days before entering Chapter 11. The available records do not show the appeal’s current status or whether the judgment has been stayed or secured.
Rebel’s petition estimated its assets and liabilities were each between $10 million and $50 million. The filing also said funds would be available for distribution to unsecured creditors, a group that generally includes creditors without collateral securing their claims.
The bankruptcy schedules list about $5.22 million in cash and cash equivalents, $2.59 million in accounts receivable and $5.65 million in inventory. The schedules do not provide a complete picture of Rebel’s revenue, earnings, employees or other business operations.
What led to the judgment?
Van Leeuwen sued Rebel in 2021, alleging that Rebel copied the look of Van Leeuwen’s ice cream pint packaging. The dispute centered on trade dress, a legal term for the distinctive visual features that identify a product or business.
In a July 16, 2026, memorandum and order, U.S. District Judge Eric Komitee found that Rebel intentionally infringed and diluted Van Leeuwen’s trade dress. The court awarded Van Leeuwen $23.785 million, described in the ruling as Rebel’s profits from products sold with the packaging at issue.
“The evidence at trial left no doubt that Rebel infringed and diluted Van Leeuwen’s trade dress and did so intentionally,” Komitee wrote in the ruling.
The court also ordered Rebel to stop selling products in the disputed packaging and redesign it. Rebel’s appeal challenges the ruling, but the bankruptcy records do not resolve the underlying appeal.
What does Chapter 11 mean?
Chapter 11 is a form of bankruptcy that allows a company to reorganize its debts while continuing to operate under court protection. The process can give a debtor time to propose a plan for paying creditors, selling assets or restructuring the business.
A bankruptcy filing does not by itself establish that a single debt caused the company’s financial problems. Although the Van Leeuwen judgment accounts for most of the liabilities listed in Rebel’s schedules, the court records summarized in the filing do not identify it as the sole reason for the bankruptcy.
The case also does not automatically determine how much Van Leeuwen or other unsecured creditors will ultimately receive. That will depend on the bankruptcy process, the value of Rebel’s assets, any objections or settlements and the court’s decisions.
What is known about customers and retailers?
Rebel products have been identified as being sold through Walmart, Kroger, Safeway and other grocery retailers nationwide. The available records do not include statements from those retailers, nor do they say whether stores will continue carrying Rebel products or whether the packaging order will change what is available.
The records also do not identify specific effects on Rebel workers, suppliers, Utah facilities or local communities. Those issues may become clearer as Rebel files additional information in the Chapter 11 case.
