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Competitor seeks to file countersuit against Crumbl in Utah cookie wars

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SALT LAKE CITY — Competitors are still fighting in the cookie wars as Dirty Dough is seeking to file a countersuit against Utah-based Crumbl more than nine months after their initial infringement lawsuit.

"Dirty Dough," based in Arizona, filed the "motion for leave to file counterclaim" Thursday, saying the lawsuit itself caused "significant financial harm" to their company.

In the motion, Dirty Dough states that they believe the lawsuit was aimed to prevent their company from growing, hurt them financially and impair them from being able to compete with Crumbl in the "very competitive cookie market."

Court document state Dirty Dough lost "significant investors," as well as other financial hardship as a result Crumbl's legal action.

The cookie wars originated from a lawsuit filed by Crumbl in July 2022 against two of its competitors, Crave and Dirty Dough.

In the lawsuit, Crumbl alleged that the competitors were riding on the “valuable goodwill and reputation” and brand identity associated with Crumbl and that the brands copied packaging.

About a month after the lawsuit was filed, Crumbl leaders said in a statement they had evidence Dirty Dough had stolen trade secrets from them.

Crumbl said in the statement that they had obtained building schematics, processes, 66 Crumbl recipes, store-level statistics, cookie calendars, training videos and "other proprietary information" from a former Dirty Dough employee.

Dirty Dough leaders pushed back against the statement, saying they "categorically denied" stealing documents and that their business processes were "clearly different to the public eye."

The motion recognized that the two companies are "direct competitors" in multiple markets and that they once had a business relationship that, "soured and ended" before the suit was filed.

In addition, the documents filed push that Crumbl's claims "lack merit" and were made in an attempt to "stifle growth and competition."

Dirty Dough doesn't specify exactly how much money they would seek in a potential countersuit, rather, they request, "an award of damages, including direct, compensatory, consequential, and punitive damages, in an amount to be proven at trial, plus pre-and post-judgment interest, attorneys’ fees and costs, and any other relief the Court deems proper or appropriate."

FOX 13 News has reached out to Crumbl for a response.