Will a Former Manufacturer’s Lawsuit Burn Up Beyond Meat’s Stock Performance?
Shares of Beyond Meat (NASDAQ: BYND), the producer of plant-based meat alternatives, have been flying high since the start of the year, even as competitors multiply and investors wonder whether earnings will eventually justify such gains. But an even bigger problem is waiting in the wings: a lawsuit brought by a former manufacturer of Beyond Meat's products.
Image source: Getty Images.
Don Lee Farms filed suit in May 2017, claiming Beyond Meat wrongfully terminated their manufacturing agreement and misappropriated trade secrets. Under an exclusive supply agreement, the Beyond Burger was produced uniquely by Don Lee Farms in 2016. Then, a year later, Beyond Meat ended the deal.
Source Fool.com
