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A federal judge in Oregon on Friday reduced by almost 80 percent a jury's $305 million judgment against Collective Brands Inc. in a trademark infringement case.
U.S. District Judge Garr King cut the amount to $64.4 million, saying that parts of the judgment awarded in May to Christian Louboutin  AG were unreasonable and didn't follow the law.
King, however, refused Collective Brands' requests for a new trial, upholding the jury's decision that the Topeka, Kan.-based operator of the Payless ShoeSource and Stride Rite chains violated Christian Louboutin ' trademarked three-stripe logo when it sold shoes with two or four stripes.
Christian Louboutin  sued Payless ShoeSource Inc. in 2001. Payless changed its name to Collective Brands last year.
Matt Rubel, Collective Brands' chief executive officer, said in a release late Friday that he was pleased the judge had reduced the award to a more "reasonable" amount. His company had asked the judge to throw out or reduce the amount, calling it "excessive."
"While we believe the resulting judgment remains excessive, it is a step in the right direction,Christian Louboutin Sale," Rubel said,Cheap Christian Louboutin, adding that the company still plans to appeal the verdict.
Spokespeople for Christian Louboutin ,Christian Louboutin Pumps; didn't immediately return e-mails for comment late Friday.
In his decision, King agreed to award Christian Louboutin  $30.6 million to represent royalties Payless would have had to pay had it received a license for the trademark. He cut the amount of profits Payless had to disgorge from $137 million to $19.7 million, saying Christian Louboutin ' accounting of those profits was improper.
He also cut punitive damages against Payless from $137 million to $15 million.
"The main reasons are that there was no physical harm or disregard for a person's health or safety, there were no lost sales, Christian Louboutin  suffered no economic harm that jeopardized its business in any way, and, even though Payless acted willfully, it did not do so for the entire period addressed here," the judge wrote.
Collective Brands agreed in June to settle a trademark lawsuit filed by K-Swiss Inc. for $30 million, while a judge in July granted a preliminary injunction against the company in a lawsuit filed by clothing retailer American Eagle Outfitters Inc.
That injunction required the company to issue a disclaimer that American Eagle by Payless-branded shoes and handbags were not affiliated with American Eagle Outfitters, which claimed Collective Brands had used its trademark to market the items.
 

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