2 Utah County firms settle suit over mangosteen juice

PROVO — Two Utah County companies have announced settlement of their dispute over intellectual property rights to XanGo's flagship mangosteen juice supplement.

Details were not released, but XanGo said it will continue to sell its supplement.

The dispute was between Tahitian Noni International of Provo and XanGo LLC of Lehi.

Tahitian Noni sued XanGo and several of its top executives in 4th District Court in Provo in 2003, alleging the executives stole Tahitian Noni's concept for a mangosteen-based supplement while they were employed by the Provo company's parent, Morinda Co.

The lawsuit also claimed Morinda has exclusive intellec- tual property rights to XanGo's juice supplement and sought a constructive trust be imposed on all of XanGo's assets, business opportunities, benefits and profits.

XanGo countersued. Aaron Garrity, XanGo president and chief operating officer, said in a previous newspaper interview that the idea for the business took root when Joe Morton, one of XanGo's founders, stumbled on the mangosteen fruit at a restaurant in Malaysia and found numerous scientific reports that supported health benefits of the tropical fruit.

In a joint statement Thursday, Tahitian Noni and XanGo said they have "agreed to resolve their disputes and the litigation between them and their founders.

"Both sides are satisfied with the terms of the agreement, which are strictly confidential, and they look forward to moving on and focusing their efforts on the continued success of their respective businesses," the companies said.

Randall Smith, Tahitian Noni's chief financial officer, declined further comment.

Bob Freeze, XanGo vice president of public relations, said the company can continue to sell its mangosteen juice supplement and there won't be changes to either company's business operations.

Founded in 2002 with just 14 workers, XanGo now has nearly 600 employees.