On June 16, 2017, the Sports and Entertainment Law Insider discussed an appeal made by Sketchers to lift a preliminary injunction granted in favor Adidas, which had alleged that the Skechers Onix sneaker was violating the trademark of the iconic Adidas Stan Smith tennis shoe. The injunction was later affirmed by the Ninth Circuit Court of Appeals. While affirming the injunction and continuing to prevent Skechers from manufacturing or selling the Skechers Onix, the appeals court noted its belief that Adidas would likely succeed at trial on a trademark infringement claim and therefore was entitled to a preliminary injunction.
The case was scheduled to hit trial on June 4, 2018. In early May 2018, Adidas filed an emergency motion for contempt when it discovered a new design of Skechers sneaker was being produced and believed the new model also infringed on the Stan Smith trademark. Skechers opposed the motion, claiming that there was no emergency and that it had complied with the orders of the injunction. Ultimately, the parties reached a settlement and dismissed all claims and counterclaims just five days ahead of trial. Counsel for Adidas released a statement, noting that the terms of the agreement will remain confidential.
The resolution of this claim is the latest in a line of cases against Skechers for allegedly benefitting off the intellectual property of other footwear manufacturers. Some footwear and fashion publications have spoken out against Skechers’ practices, despite Skechers’ recent resurgence following a $40 million setback in 2012.