Playboy Awarded $19M in Legal Battle Against Former Brand Licensees

Playboy Awarded $19M in Legal Battle Against Former Brand Licensees

CHICAGO — A Chicago judge on Friday sided with Playboy Enterprises Inc. and tripled a jury award against a pair of former licensees, Play Beverages LLC and CirTran Beverage Corp., that were alleged to have infringed on its trademark.

Last October, a jury unanimously found that the beverage companies intentionally sold Playboy Energy Drinks under Playboy's trademarks knowing that they were counterfeit. The jury awarded Playboy $5 million in damages for infringement, along with $1.6 million in a breach-of-contract claim.

Friday’s tripling of the jury’s award means that Play Beverages and CirTran are on the hook for $15 million in damages. The judge also awarded to Playboy attorneys' fees and costs of suit.  

The enforceable judgment as modified by the court now totals about $19 million, Playboy’s trial counsel said.

The court earlier issued a permanent injunction against the beverage companies and persons associated with them, including their principal, Iehab Hawatmeh, along with their agents and distributors.

The injunction ordered them to immediately stop manufacturing, selling, promoting and advertising Playboy Energy Drinks, as well as any other Playboy products or services.

The legal feud between the companies that were once business partners has been going on for more than five years and has worked its way through bankruptcy court, federal district courts in California and Illinois and the Chicago-area county court.

After several of CirTran’s creditors began an involuntary bankruptcy proceeding against the company in 2011, Playboy told CirTran it was terminating the licensing deal over missed royalty payments.

CirTran’s distributor Play Beverages, in response, filed claims accusing Playboy of interfering with its sales and distribution of the drinks.

The parties agreed to drop litigation to try to negotiate themselves but, in the meantime, the original deal expired and Play Beverages was unable to raise $2 million to keep its business alive.

Later, CirTran and Play Beverages sued Playboy, reasserting breach of contract allegations and claiming the company told them they intended to extend CirTran’s five-year licensing deal and encouraged them to sign contracts with distributors to sell the drink.

CirTran then claimed that Playboy actually had no intention of re-entering into the licensing deal because it was negotiating with other suitors.

Playboy moved its claims on to another venue, federal court in California, asking a judge to enter a preliminary injunction barring the company from selling the products after the license’s expiration.

After the federal court dismissed it for lack of jurisdiction, Playboy refiled its case in Illinois federal court, where a judge there said the dispute should be resolved in state court, where CirTran’s suit was still pending.

Playboy then brought several counterclaims, alleging it was CirTran that breached the contract and accusing the company of infringing on Playboy’s trademark.

In a statement today, Playboy officials said that they plan to collect on the judgment in the long-running case.

“Playboy will continue to strongly enforce its judgment and injunction against Play Beverages/CirTran Beverage to stop Iehab Hawatmeh's companies from engaging in infringing and counterfeiting activities,” Playboy said. “In addition, Playboy will continue to defend its trademarks vigorously throughout the world as Playboy has done in this case.”

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Svakom Launches 'KooSync' App

Svakom has launched its new KooSync interactive platform and app.

Full Circle Expands 'Dream Doll' Line, Adds Functional Mouths

Full Circle has introduced eight new models with functional mouths from its Dream Doll collection.

Starship Opens New Store in Augusta, Ga.

Starship Adult Stores is opening its new brick-and-mortar location in Augusta.

Besharam's Raj Armani Featured on Front Page of Financial Express

Besharam and its co-founder and COO Raj Armani are featured on the front page and in an interview for the prominent Indian newspaper Financial Express.

Pleasure Chest to Close West Village Location

The Pleasure Chest has announced the closing of its West Village location in February 2026.

Svakom 'Sam Neo 2 Pro' Featured in Aftonbladet Review

Svakom's Sam Neo 2 Pro stroker is featured in a new review in Stockholm’s Aftonbladet newspaper.

Satisfyer Signs On as Sponsor of XBIZ Honors After-Party

Satisfyer has enlisted as the sponsor of the XBIZ Honors after-party, a capstone celebration to the Pleasure Industry’s Biggest Night™.

Arcom-Targeted Sites Implement Age Verification in France

Five high-traffic adult websites based outside of France have implemented age verification as required under the nation’s Security and Regulation of the Digital Space (SREN) law, after receiving warnings from French media regulator Arcom.

Lovense 'Spinel' Vibrator Featured in Wired Review

Lovense's Spinel mini sex machine is featured in a new review on Wired.com.

Creative Conceptions Now Shipping Skins Sexual Health 'Kegels'

Creative Conceptions is now shipping the new Skins Sexual Health kegel balls.

Show More