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News

posted 15 May 2008

A jury on May 6 awarded Kilpatrick Stockton client adidas $304,600,000 in a trademark case against Payless Shoe Source, which is owned by Collective Brands, Inc. It is the largest jury award ever in a trademark case. The previous record trademark award was less than one-half this size.

This case asserting adidas’s rights in the Three Stripes trademark on athletic shoes was filed in 2001 in federal court in Portland, Oregon. The jury agreed that the Payless two stripe and four stripe shoes infringed adidas’s rights in the Three Stripes mark, and it awarded $30 million in actual damages (for a royalty), $137 million in profits from the willful infringement, and $137 million in punitive damages. The trial began on April 8 and lasted fifteen days, through the rest of April. The case went to the jury on May 1.