Lipsy has received a five-figure sum from fashion wholesaler Stylewise to settle a dispute over an alleged infringement of the young fashion brand’s design rights, copyright and trademarks.
Lipsy accused Stylewise, located at 21-23 Broughton Street, Cheetham Hill in Manchester, of using its copyright-protected images, many of which featured its brand ambassador, actress Michelle Keegan, to sell similar dresses cheaply to their customers online.
Lipsy said the dresses in question were made to look like genuine products from the brand, but were lacking official care labels and hang tags and were of “noticeably lower quality”.
As part of the deal, Lipsy has agreed not to start court proceedings against Stylewise and its director Suni Puri in return for the payment and an agreement not to infringe Lipsy’s rights in the future.
London-based law firm Olswang acted for Lipsy.
A spokeswoman from Lipsy said: “We take an extremely firm stance when it comes to protecting the Lipsy brand and our intellectual property. We will continue to bring to justice anyone taking part in counterfeiting Lipsy products and other infringing activities. These claims send a strong message to those who sell fake Lipsy goods that they will be brought to justice.”
The move follows similar legal settlements by Lipsy earlier this year, when the business secured five-figure settlement payments from Egg Media (UK) - which operates the website wantthatdress.co.uk - and its director Sonney Poole, and from Abusufiyan Patel, the director of Shopgirl Clothing, over alleged infringement of Lipsy’s IP rights.
In 2014 Jacqueline and Lionel Benhaim were convicted of possessing and selling goods bearing the Lipsy logo to the general public. They were fined £1,250.