The Loverboy drink lawsuit most people are searching for is the 2020 trademark case brought by a Manhattan cocktail bar of the same name against Kyle Cooke’s canned beverage company. That case settled in early 2021. A second legal fight, with a Massachusetts distributor, settled later that year. Neither is what threatens the brand today: as of mid-2026, Cooke has publicly warned that Loverboy is on the “financial brink of disaster” and could face bankruptcy because of a personally guaranteed Small Business Administration loan.
The Manhattan Bar’s Trademark Suit
In September 2020, Mos Eisley LLC sued Kyle Cooke and Loverboy Inc. in the U.S. District Court for the Southern District of New York. Mos Eisley operated a cocktail bar called Loverboy at 127 Avenue C in the East Village and had registered the “Loverboy” mark with the USPTO in October 2017 for bar and restaurant services, claiming first commercial use in June 2017.1Justia Trademarks. Loverboy – Trademark Details The bar alleged willful infringement and asked for treble damages plus an order barring Cooke from using the name and logo.2Us Magazine. Summer House’s Kyle Cooke’s Loverboy Legal Issues: A Complete Guide
Loverboy Inc. counterclaimed for declaratory relief, arguing that the bar’s footprint was limited to New York City while the beverage brand operated nationally in a different product category.3Nicki Swift. Summer House Star Kyle Cooke’s Legal Issues Explained The parties told Judge Paul G. Gardephe in January 2021 that they had reached a settlement, and the court dismissed the case with prejudice on January 8, 2021. A formal stipulation of voluntary dismissal followed on February 3, with each side bearing its own costs.4PACER Monitor. Mos Eisley, LLC v. Loverboy, Inc. et al Financial terms were not disclosed. The East Village bar has since closed.5Time Out New York. Loverboy
The Night Shift Distribution Fight
Soon after settling the trademark case, Loverboy landed in a second dispute. Night Shift Distributing, a Massachusetts wholesaler, had been carrying Loverboy’s products since October 2019. On December 1, 2020, Loverboy notified Night Shift that it was ending the relationship effective January 3, 2021. Night Shift objected and demanded compensation for building the brand in the state.6Brewbound. Night Shift Distributing, Loverboy Disagree on Compensation Following Termination
The timing mattered. On January 12, 2021, Massachusetts Governor Charlie Baker signed Section 25E½ of the state’s liquor code, which allowed small brewers producing fewer than 250,000 barrels a year to end wholesaler relationships without showing “good cause” but required 30 days’ notice and payment of “fair market value” for the distribution rights.7FindLaw. MA Gen Laws Ch 138 Sect 25E 1/2 The question was whether the new statute reached back to Loverboy’s termination, issued weeks earlier.
Night Shift filed a petition with the Massachusetts Alcoholic Beverages Control Commission in January 2021 seeking an order that Loverboy continue selling to it, and followed with a March petition demanding full compensation, including remaining inventory, marketing materials, and the fair market value of the brand rights.8Brewbound. Loverboy and Night Shift Distributing Resolve Lawsuit Loverboy moved to dismiss both petitions, arguing Night Shift had contractually waived its rights under the older franchise law.6Brewbound. Night Shift Distributing, Loverboy Disagree on Compensation Following Termination
In May 2021, Loverboy sued Night Shift and co-founder Rob Burns in the U.S. District Court for the District of Massachusetts (Case No. 1:21-cv-10758), alleging fraud and breach of contract and claiming Night Shift had promised to waive state franchise protections before trying to invoke them.9Law360. Loverboy, Inc v. Night Shift Distributing, LLC et al The parties announced an amicable settlement on September 9, 2021, and the federal case was dismissed with prejudice, each side paying its own fees and waiving appeal. Loverboy said the resolution confirmed it had properly exercised a contractual right to terminate for convenience with 30 days’ notice, before the new franchise law took effect.10Loverboy. Loverboy Settles Dispute No specific payments were publicly disclosed.
The Bigger Threat: SBA Debt and Possible Bankruptcy
The lawsuits are behind Loverboy. The finances are not. During a Summer House episode that aired March 24, 2026, Cooke said the brand had been losing distribution and revenue for months and estimated the company had “six months at most” of cash reserves.11Bravo TV. Kyle Cooke Reveals Loverboy Is at Risk of Bankruptcy
The pressure comes from a $4.2 million SBA loan Cooke personally guaranteed in 2021. It carries a 10% interest rate and roughly $55,000 monthly payments. After five years, only about $1.3 million of principal had been paid down, with $2.1 million still outstanding.12Wave. Kyle Cooke – Loverboy SBA Debt, Fighting to Save a Multimillion Dollar Brand Cooke told Page Six the brand was losing $175,000 a month before loan payments, meaning operating costs alone exceeded revenue.13Page Six. Summer House Stars Amanda Batula, Kyle Cooke Didn’t Have Prenup, Loverboy as Key Asset To keep the company running, he put $500,000 of his own money into payroll, stopped taking a salary for about nine months, and started DJing to cover personal bills.14Bravo TV. Kyle Cooke Reveals Shocking Financial Details About Loverboy Decline
Because Cooke personally guaranteed the SBA loan, a company failure would not stop at the corporate level. His Summer House co-star Ben Waddell put it plainly on the show: “If Loverboy’s bankrupt, I’m bankrupt also.”11Bravo TV. Kyle Cooke Reveals Loverboy Is at Risk of Bankruptcy
As of June 2026, Cooke said the company was still operating but on the “financial brink of disaster.” He was looking for a partner to buy a minority or majority stake and said those talks were moving “way slower than I would like.” No deal has been announced.15Bravo TV. Kyle Cooke Update on Loverboy Finances By mid-April 2026, nearly every beverage on the Loverboy website was listed as sold out or preorder only, and Cooke was pushing merchandise sales to bring in immediate cash, telling followers the purchases were “literally helping keep the lights on.”16Wine Enthusiast. Loverboy RTD Market Summer House No bankruptcy petition has been filed as of that reporting.
What Loverboy Is
Cooke founded Loverboy in 2018, investing more than $75,000 of his own money to develop a zero-sugar sparkling hard tea pitched against products like Twisted Tea. He timed development to filming of Summer House Season 3 and used the show as a marketing vehicle instead of paying for traditional ads. The brand soft-launched in New York City in July 2019 after raising $1.25 million.17Hampton. Kyle Cooke By 2022, Loverboy hit $16 million in annual sales and had become the fourth-largest hard tea brand in the United States, sold at Total Wine, Whole Foods, and Kroger.18Forbes. From Summer House to $38 Million: Kyle Cooke’s Loverboy Sensation