Litigation

Alpha Modus, Corp. v. Walgreens et al.

Pending

Patents at issue (1)

Plaintiffs (1)

Defendants (2)

Summary

A pending patent infringement lawsuit filed by Alpha Modus, Corp. against retailers Walgreens and Kroger, specifically concerning their use of Cooler Screens technology.

Case overview & background

Plain-language overview of the case: parties, accused product, patents at issue, and why the suit matters.

This patent infringement litigation is part of a large-scale assertion campaign by Alpha Modus, Corp., a publicly traded company (NASDAQ: AMOD) that has transitioned from a retail-tech operator to a patent-assertion business. The company has filed over two dozen lawsuits against major retailers and technology providers, aiming to license its extensive portfolio of patents related to in-store artificial intelligence and data analytics. The defendants, Walgreens and The Kroger Co., are two of the largest retail chains in the United States. They are sued for their use of an in-store advertising and merchandising technology provided by Cooler Screens, a company that replaces traditional glass cooler doors with digital smart screens. These screens use sensors and AI to display targeted ads and product information to shoppers at the point of purchase.

The lawsuit centers on alleged infringement of U.S. Patent No. 11,042,890, which is broadly titled "Method and system for customer assistance in a retail store," along with other patents in Alpha Modus's portfolio covering technologies like real-time consumer behavior monitoring and AI-driven advertising. The cases were initially filed in the U.S. District Court for the Eastern District of Texas, a venue historically viewed as favorable to patent holders, which Alpha Modus has consistently chosen for its litigation campaign. While Alpha Modus announced settlements with both Walgreens and Kroger in 2025 regarding the initial infringement claims over Cooler Screens, the litigation remains notable. Shortly after settling, Alpha Modus filed a new, more expansive lawsuit against Kroger, asserting a broader set of nine patents against a wider array of the retailer's in-store technologies, indicating a complex, ongoing monetization strategy.

The litigation is significant due to its broad scope, targeting the foundational technologies of the rapidly growing, data-driven "retail media" industry. Alpha Modus's CEO has publicly stated the company's damages estimate is over $500 million and could potentially reach billions, signaling high stakes for the retail sector. The dispute is further complicated by a parallel $200 million breach of contract lawsuit between technology provider Cooler Screens and Walgreens, creating a multifaceted legal battle over the future of in-store digital technology. This series of lawsuits highlights a deliberate and aggressive campaign by Alpha Modus to enforce its patent portfolio against many of the biggest names in American retail.

Key legal developments & outcome

Major rulings, motions, claim construction, settlements, and the present posture or final disposition.

Legal Timeline: Initial Suits Settle, New Disputes Emerge

The patent infringement litigation initiated by Alpha Modus, Corp. against Walgreens and Kroger has been marked by a series of swift settlements followed by new, broader legal challenges, illustrating an aggressive and evolving patent monetization strategy. The initial lawsuits, which centered on the retailers' use of Cooler Screens' in-store digital advertising technology, have been resolved, but have given way to more complex disputes.

Initial Filings and Swift Resolutions

  • 2025-02-04: Alpha Modus filed a patent infringement lawsuit against Walgreens in the U.S. District Court for the Eastern District of Texas. The complaint alleged that Walgreens' use of Cooler Screens' digital smart displays willfully infringed on Alpha Modus's patents covering AI-driven retail technology, including methods for data-driven advertising and consumer engagement. The patents asserted included U.S. Patent Nos. 10,360,571, 10,977,672, and the '890 patent at issue.
  • 2025-05-05: Alpha Modus announced it had reached a confidential settlement with The Kroger Co. in a similar lawsuit, also filed in the Eastern District of Texas. The case, which concerned Kroger's use of the same Cooler Screens technology, was dismissed with prejudice as a result of the agreement.
  • 2025-08-21: Alpha Modus announced a settlement with Walgreens, resolving the February lawsuit. The terms of the settlement were confidential, and the case was dismissed with prejudice.

Litigation Expands and Shifts Focus

Despite the settlements with the retailers over the Cooler Screens technology, the legal battles were far from over. Alpha Modus shifted its focus directly to the technology provider and launched a new, more extensive campaign against Kroger.

  • 2025-08-21: On the same day its Walgreens settlement was announced, Alpha Modus filed a new patent infringement lawsuit against Cooler Screens, Inc. itself. Filed in the U.S. District Court for the Northern District of Illinois, the suit asserted that Cooler Screens' core technology infringed on three Alpha Modus patents, including the '890 patent.
  • 2025-08-29: Alpha Modus filed a second, more expansive lawsuit against Kroger in the Eastern District of Texas. This new action alleged that a wide array of Kroger's internal technologies—from its "KroGO" smart carts to its "Kroger Precision Marketing" analytics platform—infringed on a broader set of seven patents. Alpha Modus's CEO stated that the prior settlement regarding Cooler Screens did not give Kroger a "free pass" to use its broader patent portfolio without a license.
  • 2025-11-12: Alpha Modus filed an amended complaint in its new case against Kroger, expanding the number of asserted patents from eight to nine. The amended suit targets a wide range of Kroger's AI and computer-vision systems.

Current Posture and Parallel Proceedings

As of May 2026, the initial cases against Walgreens and Kroger regarding Cooler Screens are closed. However, the subsequent, broader lawsuit against Kroger remains pending in the Eastern District of Texas, as does the case against Cooler Screens in the Northern District of Illinois.

There is no publicly available information indicating any inter partes review (IPR) or other post-grant proceedings have been filed at the Patent Trial and Appeal Board (PTAB) against U.S. Patent No. 11,042,890. The district court litigation did not appear to advance to significant stages like claim construction (Markman hearings) or trial before the initial settlements were reached. The cases are part of a much larger enforcement campaign by Alpha Modus, which has filed over two dozen lawsuits against various retailers and technology companies.

Plaintiff representatives

Counsel of record for the plaintiff(s): attorneys, firms, and roles (lead counsel, of counsel, local counsel).

Plaintiff's Counsel of Record Identified

Based on a review of press releases from Alpha Modus and docket information from related cases, the following attorneys have been identified as representing the plaintiff, Alpha Modus, Corp., in its recent patent assertion campaign, including the litigation against Kroger.

Lead Counsel:

  • Name: Christopher E. Hanba
  • Role: Lead Counsel
  • Firm: Dickinson Wright PLLC (Office location not specified in available documents, but the firm has a significant presence in intellectual property litigation).
  • Noteworthy Experience: Mr. Hanba has nearly 20 years of experience in intellectual property litigation, frequently appearing before federal courts and the International Trade Commission on matters involving patents, trademarks, and trade secrets. He was specifically retained by Alpha Modus for his expertise in enforcing intellectual property rights. Public filings show his involvement in initiating the patent infringement action against The Kroger Company on January 16, 2024.

Additional Counsel:

  • Name: Joshua Gabriel Jones

  • Role: Counsel

  • Firm: The search results do not explicitly name Mr. Jones's firm in the context of this case, though he filed a notice of appearance.

  • Noteworthy Experience: Filed a notice of appearance on behalf of Alpha Modus, Corp. in the Eastern District of Texas case against Kroger on February 14, 2024.

  • Name: Jordan Elizabeth Garsson

  • Role: Counsel

  • Firm: The search results do not explicitly name Ms. Garsson's firm in the context of this case, though she filed a notice of appearance.

  • Noteworthy Experience: Filed a notice of appearance on behalf of Alpha Modus, Corp. in the Eastern District of Texas case against Kroger on February 14, 2024.

It is important to note that while Alpha Modus announced settlements with both Walgreens and Kroger in 2025, it subsequently filed a new, more expansive lawsuit against Kroger in August 2025, asserting a broader set of patents. The counsel listed above are associated with the publicly available docket for the early 2024 case against Kroger. Counsel for the newer actions may have been filed under seal or have not yet been made publicly available in aggregated legal databases.

Defendant representatives

Counsel of record for the defendant(s): attorneys, firms, and roles (lead counsel, of counsel, local counsel).

Defendant Counsel

Based on a review of legal news and available dockets, the defendant retailers, Walgreens and Kroger, have retained counsel from prominent national intellectual property firms.

It is important to note that Alpha Modus announced settlements with both Walgreens and Kroger in 2025 regarding the initial infringement claims over Cooler Screens technology. As a result, the cases involving the specific patent at issue, 11,042,890, have been dismissed with prejudice. Counsel listed below represented the defendants during the course of that litigation.

For Defendant Walgreen Co.

Walgreens has historically been represented by the national intellectual property firm Fish & Richardson P.C. While specific attorneys who entered an appearance in the now-settled Alpha Modus v. Walgreen Co. (2:25-cv-00120, E.D. Tex.) case are not detailed in the available public search results, key litigators from the firm frequently handle high-stakes patent disputes.

  • Firm: Fish & Richardson P.C.
  • Note: Fish & Richardson is consistently ranked as a top-tier patent litigation firm in the U.S., with extensive experience in federal district courts, the ITC, and the Patent Trial and Appeal Board (PTAB).

For Defendant The Kroger Co.

In the related litigation filed by Alpha Modus, Kroger retained counsel from Finnegan, Henderson, Farabow, Garrett & Dunner, LLP, one of the world's largest law firms focused exclusively on intellectual property.

  • Firm: Finnegan, Henderson, Farabow, Garrett & Dunner, LLP
  • Note: Finnegan is a globally recognized IP firm known for handling complex patent litigation across a wide range of technologies for major corporate clients.

An attorney from a Texas-based firm also appeared for Kroger, likely as local counsel.

  • Name: Gregory S. Love
  • Role: Counsel
  • Firm: Not specified in available docket summary.
  • Note: Mr. Love filed an application for an extension of time to answer the complaint on behalf of Kroger in February 2024.

Following the settlement of the initial Cooler Screens case, Alpha Modus filed a new, more expansive lawsuit against Kroger in August 2025, asserting a different set of patents against a wider array of in-store technologies. Counsel for that ongoing matter may include the same firms, though appearances for the new case have not yet been made public.

Record id: 11042890-alpha-modus-corp-v-walgreens-and-kroger · edit in Admin