Knitwear brand Lyle & Scott is seeking compensation from Primark over the use of an emblem similar to its eagle trademark, despite failing to stop the value retailer selling goods bearing the emblem.
Lyle & Scott applied to the High Court last month for an interim injunction to stop Primark selling men's clothes that carried an eagle crest, which the knitwear brand said infringed on its trademark.
The High Court refused the injunction, but Lyle & Scott chairman Robert Kimpton said Primark had agreed to stop producing further garments bearing the emblem. The retailer can continue to sell products that are already on sale.
Kimpton told Drapers the legal battle was ongoing and that the company "always litigates against any infringements". He added: "This was not designed to punish Primark - we need to protect our brand."
Primark director Breege O'Donoghue confirmed the injunction had been rejected, but refused to comment further.
Kimpton said Lyle & Scott had won two trademark infringement cases in the past two years against large retailers in the fashion and grocery sectors.