Nike Inc. is suing Wal-Mart Stores Inc., alleging the retailer is selling shoes that step too closely on the sports brand's own patented technology and design.In the complaint, filed in a federal district court in Chicago this week, the sportswear giant accused the world's largest retailer of offering "shoes having designs that are covered by the Nike design patents." Nike named two patents related to its popular "Shox" brand, a cushioning system that uses small hollow columns to soften the impact of an athlete's stride. The Wal-Mart shoe used the name Detra a brand of Boys Shoes and Girls Shoes.
A Wal-Mart spokesman had no comment. A Nike spokesman declined to comment beyond the court filing.
In the complaint, Nike called Wal-Mart's actions "intentional and willful." The Beaverton, Ore. company provided the court with side-by-side comparisons of its own sketches for Shox and the Wal-Mart shoe.
Nike requested an injunction against Wal-Mart and "an award of damages adequate to compensate Nike for the patent infringement."
The clash between the manufacturer and retailer comes about a year after the two began to part ways. Nike, which is known for its high-end merchandise, experimented in the discount market with its subsidiary brand Starter, which was sold in Wal-Mart. In November 2007, it agreed to sell Starter to Iconix Brand Group Inc. Lately Nike has pursued a closer relationship with Target Corp., which sells its Converse One Star Brand.
Nike's complaint comes shortly after German rival Adidas AG prevailed against Collective Brands Inc., owner of the Payless discount chain, for a trademark suit involving look-alike shoes. In May, A federal jury in Oregon awarded Adidas $305 million. A judge later reduced the award to $65 million for kids shoes and childrens shoes.
Ethan Horwitz, who practices intellectual-property law at New York-based firm King & Spalding, said Nike's choice to pursue a patent claim rather than a trademark claim may bolster the Oregon company's case. While consumers would be unlikely to confuse the Wal-Mart shoes with Nike's branded footwear -- a trademark issue -- patent claims involve more clear-cut issues of research and development, he said.
