Lululemon Escapes $355,000 Verdict Over Nike Flyknit Patents (1)

Lululemon USA Inc. convinced a federal judge to wipe out a jury verdict finding the athletic wear company owes $355,000 for infringing a Nike Inc. patent for knit sneakers.

The parts of Nike’s US Patent No. 8,266,749 the jury found Lululemon’s footwear infringed are invalid because they’re obvious, Judge Arun Subramanian said in a Tuesday opinion in the US District Court for the Southern District of New York.

Subramanian granted Lululemon’s motion, writing Nike “is not entitled to any damages.”

The court also rejected Nike’s bid to increase the now-nixed damages award.

Lululemon is “very pleased” with the decision, a ...