24 June 2008

Adidas sues Wal-Mart for trademark infringement

Adidas AG is set to face off with Wal-Mart Stores Inc. for the third time on allegations that the retailer sold lookalike striped shoes that amount to trademark infringement.

The Herzogenaurach, Germany-based sporting goods maker and Wal-Mart are scheduled for a jury trial Oct. 6 in a federal court in Portland, Ore. where Adidas' U.S. headquarters are located.

It is the same court where in May Adidas was awarded a $304.6 million verdict against Payless ShoeSource for selling knockoff striped shoes.

Wal-Mart has twice settled with Adidas on what it calls "confusingly similar imitations" of Adidas' three-stripe shoe.

The company in 2002 admitted to selling a four-stripe shoe and promised a second time not to mimic Adidas' three-stripe pattern.

But the retailer's responses to a third round of accusations of trademark infringement and other charges repeatedly denied in court documents that their striped athletic shoes are imitations or that the public associates the pattern with Adidas.

"Wal-Mart... denies that the public well-recognizes and understands that the three-stripe mark distinguishes and identifies Adidas' merchandise," Wal-Mart said in court documents.

Wal-Mart spokeswoman Daphne Moore declined to comment on the suit, citing ongoing litigation.

Adidas did not return calls seeking comment.

Adidas has sued about 36 companies for trademark infringement since 1999 to protect the three-stripe pattern the company says distinguishes and identified Adidas' merchandise.

Other recent lawsuits against Steve Madden, Target and Nordstrom settled before going to trial.

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