Topeka, Kan. Collective Brands Inc. on Monday said it will file several motions in court seeking to set aside or reduce an unfavorable verdict in a lawsuit with Adidas.
Last week, a federal jury in Oregon ordered Collective Brands to pay $305 million in damages to Adidas AG. The verdict stems from a lawsuit that Adidas filed in 2001 against Payless ShoeSource, which changed its name to Collective Brands last year, for selling shoes that Adidas said violated its trademarked three-stripe logo.
The amount includes $30.6 million in actual damages and $274 million divided between Payless profits and punitive damages, Collective Brands said.
Collective Brands CEO Matthew E. Rubel said the company has “strong grounds” to have the verdict overturned or reduced.
He said if the trial court does not grant the company’s motions it could take several years for the matter to be resolved on appeal.
Separately, Rubel said the company has maintained its focus on its business and offered guidance ahead of expectations.