David Chang and Momofuku have decided to waive their enforcement of the trademark for 'chili crunch'

David Chang and his restaurant group Momofuku have decided not to enforce their trademark on the term "chili crunch." This decision allows other entities to use the term without facing legal action from Momofuku, promoting more open use of the popular condiment descriptor.

David Chang, chef and founder of Momofuku, issued a public apology on his podcast, "The Dave Chang Show," addressing the controversy surrounding Momofuku's attempt to trademark the term "chili crunch." Chang, along with Momofuku CEO Marguerite Mariscal, announced on the April 12 episode that they would no longer enforce the trademark. Chang expressed regret for any harm caused to the AAPI community and acknowledged the upset among chefs, customers, and others affected by their actions. He emphasized that the last thing he wanted was to marginalize or limit anyone.

Chang further expressed his remorse, stating, "I spent the greater part of my adult life trying to bring light to Asian food, Asian American food, Asian identity, what it means to be Asian American. I understand why people are upset and I’m truly sorry.”

The Guardian reported that Momofuku had sent cease-and-desist letters to companies utilizing the terms "chili crunch" and "chile crunch," with the intention of trademarking the former.

A spokesperson for Momofuku and Chang informed TODAY.com that when they developed their product, they intentionally selected the name "Chili Crunch" to distinguish it from the broader chili crisp category. They expressed a desire to resolve any branding disputes amicably.

Chang delved into the origins of Momofuku's chili crunch during his podcast, mentioning Lao Gan Ma as one of the primary inspirations, alongside other sauces like ssamjang and salsa macha. He clarified that they chose the name "chili crunch" as a deliberate departure from "chili crisp," out of respect for the latter, which they associated with Chinese cuisine, particularly exemplified by Lao Gan Ma.

Chang emphasized that the naming of their product was deliberate, clarifying that it wasn't simply "chili crisp" but rather had a distinct crunchy texture.

Reflecting on the trademark dispute, Chang and Mariscal revealed that Momofuku faced a similar situation when it received a cease-and-desist letter from Chile Colonial upon launching their chili crunch product. Instead of altering the product's name, Momofuku chose to engage with Chile Colonial, ultimately purchasing the trademark and granting them a perpetual license to use the name.

Mariscal explained the necessity of protecting the trademark to maintain its validity, highlighting the risk of losing it if not consistently defended. However, she acknowledged the complexity of safeguarding the trademark while ensuring fair competition.

TODAY.com reached out to Chile Colonial for comment but received no response by the time of publication. Mariscal expressed Momofuku's challenge in balancing trademark protection while avoiding monopolizing the term "chili crunch."

At the close of the podcast, Chang unveiled Momofuku's approach to the trademark issue, opting for a hands-off strategy. By refraining from enforcing the trademark, they aim to diminish its exclusivity, potentially leading to its adoption as a generic term open to all.

However, Mariscal acknowledged the inherent risk in this strategy, recognizing that a larger entity could capitalize on Momofuku's inaction to claim ownership of the mark.

Chang's career has been marked by his diverse culinary ventures, from high-end Korean cuisine to accessible microwave cooking and Asian grocery offerings. While he's courted controversy before, notably facing allegations of fostering toxic work environments in his restaurants, the backlash over the "chili crunch" trademark dispute has drawn widespread criticism and scrutiny.

In 2020, Momofuku entered the market with its own rendition of chili crunch, a fiery condiment popular across various Asian cuisines, blending chilis and oil. Despite being launched by Momofuku in 2018, similar products under various names like chili crisp, chili oil, and crunchy chili sauce have been a staple in Asian kitchens for years.

The chili crunch craze surged in popularity in the American grocery scene in 2021, with Momofuku's version joining the fray. However, it wasn't the pioneer; numerous brands had already introduced their own variations to consumers nationwide, each boasting unique recipes and branding.

Recently, on April 4, the Guardian reported on Momofuku's bid to trademark "chili crunch" with the U.S. Patent and Trademark Office. While the trademark hasn't been secured yet, Momofuku purportedly sent cease-and-desist notices to undisclosed brands utilizing "crunch" in their condiment names.

What small business owners had said in response

Stephen Coates, the attorney representing New York-based Malaysian food brand Homiah, which received a cease-and-desist from Momofuku, didn't mince words, labeling Momofuku as a "trademark bully." Homiah offers a Sambal Chili Crunch, and its founder, Michelle Tew, expressed feeling deeply disheartened by Momofuku's actions. Tew described receiving the letter as "a punch in the gut," emphasizing that being targeted by a large corporation like Kraft Heinz would have been distressing, but the involvement of Momofuku left her feeling profoundly saddened.

Jing Gao, the founder and CEO of Fly by Jing, a Sichuan chili sauce company, echoed similar sentiments, expressing disappointment over Momofuku's alleged targeting of numerous brands, including small businesses founded by minority women. Gao emphasized the dangerous precedent such actions set for fair competition and criticized the attempt to claim ownership of a culturally generic term.

Gao emphasized the importance of fostering healthy competition and expanding opportunities for all businesses, stressing that growth in the market benefits everyone. As a business owner herself, Gao highlighted the significance of inclusivity and collaboration, asserting that there's ample room for all participants in the marketplace to thrive.

Chef and Pecking House founder Eric Huang expressed strong criticism of the practice of trademarking food, dismissing it as "an exercise in capitalist nonsense." Huang highlighted the substantial effort required to establish a food business, including recipe development and logistical challenges, and asserted that trademarking food serves primarily as a profit-driven endeavor.

Regarding the trademark filing by Momofuku, Huang expressed disappointment, particularly considering the significance of Dave Chang's representation of the Asian American and Pacific Islander (AAPI) community in the food and beverage industry. He described the situation as "so uncool" and suggested that it contradicts Chang's previous image as an advocate for smaller businesses.

Huang speculated that the decision to pursue trademark enforcement might not originate from Chang personally but rather from the company's leadership, potentially composed of affluent individuals with a business background. He emphasized the disconnect between Momofuku's actions and the values it previously seemed to embody.

Source: cnbc