US Supreme Court backs Nike in Air Force 1 trade mark case
Managing IP is part of Legal Benchmarking Limited, 4 Bouverie Street, London, EC4Y 8AX
Copyright © Legal Benchmarking Limited and its affiliated companies 2024

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

US Supreme Court backs Nike in Air Force 1 trade mark case

The US Supreme Court has unanimously upheld a trade mark owner’s right to have counterclaims for trade mark cancellation dismissed if it has withdrawn infringement claims

The dispute arose after Nike sued rival Already (also known as Yums) in New York for infringement of its US trade mark 3,451,905, which covers the shape of its Air Force 1 shoe. Already counter-sued, seeking cancellation of the mark on the grounds that it was invalid, as well as a declaration that its own shoes did not infringe.

Soon after Nike withdrew the suit, and gave a broad covenant not to sue covering Already’s existing footwear product designs “and any colorable imitations thereof”.

But Already persisted with its counterclaims. Nike therefore asked the court to dismiss them.

The district court agreed with Nike, saying there was no longer any “case or controversy” between the parties. The Court of Appeals for the Second Circuit agreed.

Ruling on January 9, the Supreme Court also agreed, saying that the broad covenant not to sue made it absolutely clear the case is moot and that Nike had met the stringent requirements of the voluntary cessation doctrine.

But in a concurring opinion, four judges warned that covenants such as that given by Nike “ought not to be taken as an automatic means for the party who first charged a competitor with trademark infringement suddenly to abandon the suit without incurring the risk of an ensuing adverse adjudication”.

Already can still seek cancellation of the trade mark at the USPTO if it wishes.

INTA submitted an amicus brief in the case and reported on the decision.

More coverage of the case is available on the SCOTUS blog and the TTAB blog among other sources.

more from across site and ros bottom lb

More from across our site

Partners and other senior leaders must step up if they want diverse talent at their firms to thrive
European and US counsel reveal why they are (or aren't) concerned about patent quality and explain how external counsel can help
Firms such as Bird & Bird and Taylor Wessing have reported rising profits and highlighted the role of high-profile IP disputes and hires
We provide a rundown of Managing IP’s news and analysis from the week, and review what’s been happening elsewhere in IP
Lawyers in the corporate and IP practices discuss where the firm can steal a march on competitors, its growth plans in London, and why deal lawyers are ‘concertmasters’
Kathleen Gaynor, DEI specialist at Phillips Ormonde Fitzpatrick, says deliberate actions can help law firms reach diversity goals
Scott McKeown, who moved to Wolf Greenfield one year ago, says the change has helped him tap into life sciences work and advise more patent owners
The winners of our Asia-Pacific Awards 2024 will be revealed during a ceremony in Malaysia on September 26
Zach Piccolomini of Wolf Greenfield explains how to maximise your IP portfolio’s value while keeping an eye on competitors
Witnesses at a Congressional hearing debated whether reforming the ITC is necessary and considered what any changes should look like
Gift this article