Crocs Inc. (NASDAQ:CROX), a leading manufacturer of footwear, faces a lawsuit from Porsche Automobile Holding SE for alleged infringement of trademark.
In its lawsuit, Porsche has alleged that Crocs has used its widely popular sports car brand name Cayman for a line of footwear. With a starting price of about $51,000, Porsche Cayman is a two-seat hard-top sports car (and has won accolades such as "Best New Sports Car" by Auto Express). Crocs Cayman, on the other hand, is a rubber footwear with thick soles with a starting price of about $30 a pair.
Porsche has claimed that by using the Cayman name, Crocs has violated its trademark rights. Consequently, Porsche has asked Crocs to stop using the disputed name for its product line in its lawsuit and simultaneously pay compensation charges for the legal costs incurred. Although Crocs has not commented on the legal spat and alleged violation of trademarks, it intends to strongly defend itself against the allegations as mentioned in its recent quarterly filing.