HOT SAUCE, COLD VODKA… SAME BOTTLE? A TRADE DRESS SHOWDOWN

Nicole Oden-Partner

6/23/2026 

Most business owners think trademark protection starts and ends with a name.

But sometimes, the real brand power isn’t in the name at all; it’s in what customers recognize before they even read the label.

That’s exactly why a recent dispute involving McIlhenny Company, the company behind TABASCO, and Stoli Group (USA) LLC is getting so much attention (read more here). 

The issue? Not the word TABASCO®. Not a logo.

The bottle.

McIlhenny filed suit alleging that Stoli’s “Halapeño Pepper” vodka packaging crosses the line by creating an overall look that feels too close to the famous TABASCO® bottle that consumers have recognized for generations.

And that raises a bigger question every growing brand should ask: Can the way your product looks be protected, too?

The answer is yes, and that protection is called trade dress.

Trade Dress Is the Silent Salesperson

Trade dress protects the visual identity of a product, the design choices that make consumers immediately think of your brand.

Things like:

·       Packaging

·       Product shape

·       Color combinations

·       Label placement

·       Store layout

·       Signature visual elements

It’s the reason someone can spot a product from across the room before reading a single word.

In the U.S., trade dress falls under the Lanham Act, but protection doesn’t happen automatically just because something “looks nice.”

To qualify, the look must be tied to brand recognition and not just function. Consumers must see it and think: “I know exactly whose product that is.”

And that’s the argument that McIlhenny is making for the TABASCO® brand. Its packaging has been part of its brand identity for decades, and McIlhenny argues that recognition is strong enough that consumers could assume a connection if another spicy product shows up looking too similar.

Similar Isn’t Always Safe

One of the biggest misconceptions in branding is: “If I change enough small details, I’m fine.” Not necessarily.

Trade dress disputes focus on the overall commercial impression, not a checklist of tiny differences. That means businesses can run into problems even if:

·       The product name is different

·       The logo is different

·       The industry is adjacent, not identical

Because consumers don’t usually compare products side-by-side like lawyers do. They shop quickly. They rely on memory. They notice familiarity.

And familiarity can create confusion. That’s where infringement claims begin.

Brand Expansion Changes the Analysis

This case also highlights something many founders overlook: your protection strategy should account for where your brand is going, not just where it is today.

TABASCO® is more than hot sauce. Consumers have seen the brand extend across multiple categories over the years, which makes it easier to argue that a similarly styled product in a new category could still create confusion. That matters because modern brands rarely stay in one lane.

A product brand expands into retail partnerships.

A skincare company launches a supplement line.

A food brand moves into beverages and licensing collaborations.

Your intellectual property strategy should grow with that vision.

The Real Risk Isn’t Copying, It’s Assumptions

Sometimes infringement doesn’t come from intentional copying. It comes from assumptions like:

“This color scheme is generic.”

“That bottle shape is common.”

“We’re in different industries, so it doesn’t matter.”

But if the market sees a connection, legal exposure can follow. That’s why IP protection should be proactive, not reactive. You do not want your first trade dress conversation to happen after receiving a cease-and-desist letter.

Protect the Full Brand Experience

Ask yourself:

• Is my packaging recognizable on its own?

• Do customers associate certain colors or layouts with my brand?

• Could my visual identity support future collaborations or product expansion?

Because often, your strongest brand protection isn’t what people read, it’s what they instantly recognize. If you’re building a business with long-term growth in mind, protecting your intellectual property should include more than just protecting a name.

At MLO, we help businesses look beyond the obvious, exploring trade dress, trademark strategy, and the broader IP protections that support lasting brand value.

Because protecting the brand you’re building today helps preserve the legacy you’re creating tomorrow.

If you’re ready to take a more strategic approach to protecting your brand, contact MLO to schedule a complimentary discovery call and explore the right IP protections for your business growth.