A court in Germany has partially sided with Nike a stripes-centric trademark lawsuit waged against it by adidas. In a newly issued decision that overturns a lower court’s previous order barring Nike from offering up five different styles of stripe-bearing track pants, the Higher Regional Court in Düsseldorf held that Nike can legally manufacture and sell four of the pants styles at issue, all of which bear a two or three-stripe motif. In a small win for adidas, the court held that Nike is still prohibited by making and selling a fifth style of the allegedly infringing pants.
The two sportswear giants have been facing off in court in Germany since early 2022 when adidas filed a trademark infringement lawsuit against Nike, alleging that a number of Nike-manufactured pants styles bear marks that consumers are likely to confuse with its famed three-stripe trademark.
The Higher Regional Court in Düsseldorf’s decision comes on the heels of a district-level court sided with adidas in September 2022 and banning Nike from offering five styles of pants in Germany. The win for adidas prompted an appeal from Nike, which argued (mirroring claims made by others that have faced trademark claims waged by adidas) that the scope of adidas’ rights in its 3-stripe mark is “narrow” since the mark consists of an “everyday, simple, and obvious design” that has been used by entities across the sportswear industry, including on the outer seams of track pants. As a result of such widespread use of stripes on apparel, counsel for Nike asserted that adidas’ striped mark fails to function as an indicator of source of the apparel upon which it appears.
Still yet, Nike argued in furtherance of its appeal that the width, spacing, and color contrast of the stripes design on its pants serve to distinguish its design from adidas’ mark – and at the same time, its pants bear its well-known Swoosh logo, which further distinguishes its offerings from those of adidas.
Counsel for adidas argued that Nike’s striped designs are a direct attempt to piggyback on the appeal of the adidas brand and its highly-recognizable stripes mark, asserting during arguments before the appeals court that the strength of adidas’ striped mark is at risk if rivals – like Nike – are permitted to begin “mass-producing similar products.” Arguing against Nike’s claim about the limited scope and consumer recognition of the striped mark, adidas’ counsel claimed that the consuming public routinely identifies the multi-stripe mark with adidas when it is used on sporting goods and apparel.
THE BIGGER PICTURE: Looking beyond the trademark scuffle at hand, Nike and adidas have been sparring in a separate out-of-court battle for control when it comes to representation on the world stage. In March, the German Football Association revealed that it would cut ties with adidas, and embark on a new chapter with Nike, which will manufacture and supply the country’s national soccer teams with their official kits for the World Cup and other championships beginning in 2027 and running through 2034. The announcement comes ahead of the end of adidas’ contract with the German Football Association in 2026.
In a statement in March, the German Football Association said that Nike had made “by far the best financial offer” – but did not otherwise disclose the terms of the new deal.