Sneakerheads Take Note: New Balance Drops Trade Dress Suit Against Louis Vuitton

StyleList reports that New Balance has settled a trademark suit against Louis Vuitton for allegedly infringing upon its legendary 574 sneaker design. As part of the settlement, LV agreed to cease production of its “Minstrel” model, seen below (photo from fashionphile.com). Upon hearing the news, Pharrell Williams reportedly shed a single tear.

New Balance’s complaint, filed in United States District Court for the District of Massachusetts, is available here courtesy of Courthouse News Service. Sneakerheads should note that New Balance liberally quoted from sneaker sites such as nicekicks.com at paragraph 49 of the complaint (“the shoes are virtually identical”) in arguing that sneaker experts were immediately aware of the similarities between the LV shoe and the NB 574. Also of note is NB’s argument that the sub-$100 574 operates in the same market space as LV’s $500+ model because the 574, despite its low price, is “extremely popular with sneaker aficionados and within fashion and celebrity circles, i.e. among those who may choose to spend upwards of $500.00 on a sneaker” (see paragraph 50 of the complaint).

For newcomers to fashion litigation, such cases are generally pleaded as trade dress infringement cases. Courts have recognized that the totality of a product’s identifying sensory elements, whether aural, visual,or even olfactory (its “trade dress”), can be viewed together as a “symbol” or “device” which works to distinguish the product in the marketplace, and these combined elements are accordingly protectible under the Lanham Act, the U.S. federal trademark statute. See Cynthia Clarke Webber, “Trade Dress Basics,” Sughrue.com (restaurant decor, pill shapes, bottle shapes and even the shapes of buildings have been held protectible as trade dress).

There have also been recent trademark infringement suits filed against Target by Coach and against Steve Madden by Balenciaga. Will more fashion companies seek rent through trade dress litigation in this down market?