Case Study

Trade Dress and Design Patent Damages – Footwear

1Overview

Dr. Brady was retained on behalf of Quince to provide damages opinions relating to designs for shearling footwear. The case involved three asserted trade dresses and a design patent claimed to be embodied in various models of UGG brand shearling boots and slippers. Dr. Brady evaluated and responded to lost profits and profit disgorgement damages opinions and provided affirmative opinions on disgorgement for the asserted trade dresses and a reasonable royalty for the design patent.

2The Challenge

Evaluating lost profits, disgorgement, and reasonable royalties for footwear designs

Dr. Brady’s economic analysis examined the extent to which the accused products competed with the plaintiff’s products. He evaluated the marketplace, available non-infringing designs, substitute products, and key drivers of demand for the accused products, concluding that lost profits were not an appropriate measure of damages.

For disgorgement, Dr. Brady analyzed costs associated with the production, sale, and distribution of the accused products to quantify the profits attributable to those products. He also evaluated consumer feedback indicating that the accused designs contributed, at most, only a portion of product demand. His analysis included quantitative apportionment to account for other factors contributing to the profits associated with the accused products.

Dr. Brady also provided an affirmative reasonable royalty opinion for the alleged design patent infringement. His analysis included evaluating the cost of implementing an alternative design and applying the Georgia-Pacific factors.

2Our Approach

3The Outcome

Plaintiff drops lost-profits claim; sole damages expert testifies at trial

Dr. Brady submitted an expert report and provided deposition testimony addressing his critiques of the plaintiff’s expert and his affirmative damages opinions. By trial, only the design patent remained at issue, and the plaintiff had dropped its lost profits claim. Dr. Brady was the only damages expert to testify at trial. His testimony addressed the costs that should be deducted in calculating profits as well as apportionment relating to the claimed article of manufacture. 

Case Experts
Richard Brady, Ph.D.
Richard Brady, Ph.D.
Managing Director

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