Crocs, Inc. and Shaka Holdings, Inc have agreed to settle a lawsuit pending in the U.S. District Court for the District of Colorado. The suit filed by Crocs alleged that Shaka infringed Crocs U.S. patents and its trade dress. There is also an administrative action pending in the International Trade Commission alleging unfair acts concerning the importation of infringing footwear.
The lawsuit was resolved last week with the entry of a Consent Judgment finding that Shaka’s “Shaka Shoes” may have infringed Crocs patents, and that the Crocs patents are presumed to be valid. The administrative action was resolved with the filing of joint motion to terminate the ITC Action against Shaka based on the settlement agreement. As part of the settlement, Shaka has agreed to not infringe Crocs patents and trade dress in the future, and Crocs has released Shaka and its customers of any past liability.
Shaka is the latest defendant to settle with Crocs. In April, the company filed a broad patent and trade dress infringement lawsuit claiming that at least 20 different defendants were illegally copying Crocs design. Specifically, the suit names brands like Holey Soles, NothinZ, Airwalk, Gators footwear, Veg footwear, Komodo sandals, Eva Clogs, Easy Clogs, Sunsurfer shoes, and ten other unknown “DOE” companies who manufacture shoes sold in Wal-Mart, K-Mart, Sears, and Famous Footwear.