We at Revision Legal love craft beer — especially Michigan craft beer, which is why we were incredibly excited to contribute to the crowdfunding campaign of our clients and friends at Rare Bird Brewpub in Traverse City, Michigan. Revision Legal has been proud to help Rare Bird, owned by partners Tina Schuett and Nate Crane, through the formation of their successful microbrewery — from examination and execution of key contracts, to trademark registration. Not only do Tina and Nate make great beer, but they are also great people.

That is why, when Rare Bird asked us what we wanted printed on a fermenter in their brewhouse, the choice was easy:

“There is an ancient Celtic axiom that says ‘Good people drink good beer.’ Which is true then as now. Just look around you in any public barroom and you will quickly see bad people drink bad beer. Think about it.” —Hunter S. Thompson

Cheers to our friends at Rare Bird Brewpub to many more years of success.

How Revision Legal Helps Michigan Craft Breweries

Our work with Rare Bird Brewpub reflects the kind of legal work we do with craft breweries throughout Michigan and the Midwest. A successful brewery is built on more than great recipes — it requires a solid legal foundation that protects the business, its brand, and its relationships from day one.

The craft beer industry has experienced explosive growth over the past decade. According to the Brewers Association, the United States is home to thousands of craft breweries, with Michigan consistently ranking among the top states for craft beer production and brewery density. That growth has brought intense competition — and with it, a rising volume of trademark disputes, contract conflicts, and intellectual property issues that even small breweries must take seriously.

Trademark Registration for Craft Breweries

Your brewery’s name, logo, and beer names are more than branding — they are legal assets that can appreciate significantly in value as your brand grows. Federal trademark registration with the United States Patent and Trademark Office gives you nationwide rights to your mark and the legal tools to stop competitors from trading on your reputation.

Without federal registration, your trademark rights are limited to the geographic areas where you actively use the mark. In the craft beer industry, where distribution networks expand rapidly and name recognition drives sales, that limitation can become a serious competitive disadvantage. A competitor who registers a similar name in another region can block your expansion into that market, even if you have been using your name for years.

The trademark registration process for breweries also requires careful attention to goods and services classification. Beer names are typically filed in International Class 32, while merchandise, tap handles, and related goods may require additional classes. Breweries that also operate taprooms or restaurants need to consider whether their marks require protection in Class 43 as well. Getting the classification right at the time of application protects your full scope of business activity.

Business Formation and Partnership Agreements

Many craft breweries start as partnerships between friends or co-founders with complementary skills. One partner may handle the brewing side while another manages the business and finances. These informal arrangements work well while everything is going smoothly, but they can create serious legal problems when partners disagree about the direction of the business, when a partner wants to exit, or when the business faces financial stress.

A properly drafted operating agreement or partnership agreement addresses these scenarios in advance. It defines each partner’s ownership percentage, role, and responsibilities; establishes how major decisions will be made; creates a mechanism for resolving disputes; and sets out the process for buying out a departing partner or winding down the business. This agreement is the legal document that protects both the business and the relationship between its founders.

Licensing and Distribution Agreements

As a brewery grows, distribution becomes a critical legal area. Michigan’s three-tier system of alcohol distribution — producers, distributors, and retailers — creates a complex web of licensing requirements and contractual relationships that require careful legal navigation. Michigan’s Beer and Wine Control Act, MCL § 436.1101 et seq., governs brewery licensing and imposes specific requirements on how beer can be produced, packaged, and sold.

Distribution agreements with wholesalers are particularly important to get right. Michigan’s franchise protection laws can make it difficult to terminate a distributor relationship even if the relationship sours. Before signing any distribution agreement, a brewery should have experienced legal counsel review the contract’s exclusivity provisions, termination clauses, and territory definitions to ensure the brewery retains appropriate flexibility as its business evolves.

Trade Secret Protection for Breweries

A brewery’s recipes, processes, and operational know-how can constitute protectable trade secrets under the Michigan Uniform Trade Secrets Act, MCL § 445.1901 et seq. To qualify for protection, trade secret information must be kept secret through reasonable measures. That means using confidentiality agreements with employees and contractors who have access to recipes and production processes, limiting access to sensitive information on a need-to-know basis, and implementing physical and digital security measures to prevent unauthorized disclosure.

When key employees leave to start competing breweries, trade secret claims can be a powerful tool for protecting the brewery’s investment in developing its recipes and processes. But those claims are only available if the brewery took appropriate steps to protect its secrets in the first place.

Contact Revision Legal’s Brewery Lawyers

Revision Legal has worked with craft breweries throughout Michigan and across the country on trademark registration, business formation, distribution agreements, trade secret protection, and litigation. Whether you are starting a new brewery, expanding your brand, or facing a legal dispute, our attorneys understand the craft beer industry and the legal issues it presents. Contact us today to discuss how we can help protect what you have built.

The Legal Side of Crowdfunding for Small Businesses

Rare Bird’s crowdfunding campaign for their new fermenters is a model that many small businesses — particularly breweries, restaurants, and other community-connected ventures — have used successfully. But crowdfunding for business purposes involves legal considerations that campaign organizers often overlook.

Reward-based crowdfunding platforms like Kickstarter and Indiegogo are generally structured so that backers receive a product, experience, or other non-monetary reward in exchange for their contribution. This structure typically avoids the securities law issues that arise with equity-based crowdfunding, where backers receive an ownership interest in the business. However, reward-based campaigns still create contractual obligations: when you promise your backers a specific reward by a specific date, you have made a commitment that your backers can enforce.

For a brewery campaign promising naming rights on a fermenter — as Rare Bird offered — the terms of the reward should be clearly defined in the campaign materials. What does the naming right include? How long will the name appear? Is the naming right personal to the backer or transferable? These are the kinds of questions that can lead to disputes if the campaign materials are ambiguous. Well-drafted campaign reward terms protect the brewery as much as the backers by ensuring everyone has the same understanding of what was promised and delivered.

Rare Bird Brewpub is a model of how smart legal planning from the beginning helps a craft brewery build a sustainable, protected business. We are proud to have been part of their journey and look forward to continuing to work with them as they grow. Cheers to good beer, good people, and good legal counsel.