PepsiCo’s Gatorlyte Launch Proceeds Thanks to Appeals Court (1)

The Fifth Circuit allowed the launch of PepsiCo Inc.'s Gatorlyte rehydration drink to proceed Sunday, two days after a Texas federal judge said it should be stopped because Laboratorios Pisa SA de CV was likely to win claims that PepsiCo’s new drink copied the packaging of its Electrolit and would confuse potential customers.

Pisa had won a temporary emergency restraining order blocking the launch. But the U.S. Court of Appeals for the Fifth Circuit paused the injunction, sending the case back to the U.S. District Court for the Southern District of Texas for more hearings on Pisa’s motion.

Pisa’s complaint ...