The Oklahoma City-based company that purchased troubled ice cream maker Dippin' Dots out of bankruptcy has settled a legal dispute with a company that handled merchandising licenses for the previous owners of the brand.
The licensing company, Licensing Link, Ltd. had contracts with the previous owners of Dippin' Dots to license the company's brand to toy and candy companies and other businesses.
In court documents, Licensing Link objected to the new owners of the Dippin' Dots brand taking over some licensing agreements because of fees that Licensing Link was entitled to collect through contracts with the previous owners.
In court documents filed Monday, the new Dippin' Dot owners said they had reached an agreement to pay Licensing Link $5,000 in order to settle the dispute.
Dippin' Dots, which marketed itself as the ice cream of the future, filed for Chapter 11 bankruptcy protection in November 2011.
Bought for S12.7M
Oklahoma City-based Dippin' Dots LLC, led by Chaparral Energy CEO Mark Fischer and son Scott Fischer, purchased the Paducah, Ky.-based ice cream brand in May for $12.7 million.
The company manufactures its distinct beads of ice cream using the process of cryogenic encapsulation at its Kentucky factory and sells the product to theme parks, event venues and franchisees.
“Dippin' Dots successfully emerged from bankruptcy, and the company is moving forward with its new owners on several exciting initiatives as part of building a firm foundation for growth in the coming years,” the brand's new owners said Monday in a statement.