The legal pitfalls of making “Liquid Aloha” outside Hawaii

The parent company of Hawaii-based Kona Brewing Company has settled a lawsuit over how its beer is marketed.

The brewery, founded in Hawaii in 1994, has since moved the majority of its production to the U.S. mainland, while preserving a Hawaii theme across its brand. It’s a common strategy in the brewing business, but in Kona’s case led to the filing of a class action lawsuit that alleged it was misleading consumers as to the beer’s origins.

The company settled the lawsuit without admitting any wrongdoing, but it is offering a refund to households that bought its bottled product in the belief it was Hawaii-made.