Kmart, Shein challenge Sabo Skirt design claims in Federal Court dispute
Kmart and Shein have denied claims that they copied designs from Australian fashion brand Sabo Skirt, arguing the disputed garments and prints were not original and lacked legal protection.
Kmart and Shein have rejected allegations that they copied designs from Australian fashion label Sabo Skirt, arguing that several of the disputed garments and prints were not original and therefore not entitled to copyright or design protection. The claims form part of an ongoing intellectual property dispute before the Federal Court.
Key highlights
- Kmart and Shein have denied copying Sabo Skirt designs
- The retailers argue several disputed designs were not original or distinctive
- Sabo Skirt initially accused 19 businesses of copying 36 garment designs
- Ownership of some intellectual property rights has also been challenged
- The case is scheduled to return to the Federal Court on July 7
What happened?
In February, Queensland-based fashion brand Sabo Skirt and intellectual property owner Larry and Luke launched legal action against 19 businesses.
The lawsuit alleges the companies copied the designs, patterns, prints and trademarks of 36 different garments.
Since the proceedings began, claims against seven businesses have been discontinued.
Among the remaining defendants are:
- Kmart
- Shein Australia
- Billy J
- Selfie Leslie
- A Singapore-based wholesaler linked to Shein
The businesses have denied the allegations and challenged both the originality of the designs and the ownership of the intellectual property rights involved.
Why this matters
The case could test how Australian courts assess originality and ownership in fashion-related intellectual property disputes.
The proceedings may also clarify the legal standards required for fashion designs and prints to qualify for copyright or design protection.
The outcome could have broader implications for retailers, designers and fashion brands operating in Australia.
Kmart and Shein challenge originality of designs
According to court documents, Kmart and Shein argue that several Sabo Skirt designs were not "new and distinctive" and therefore should not qualify for legal protection.
One disputed design is Sabo Skirt's "shoreline design," a print featuring lobsters, shells, leaves and other aquatic elements arranged across a white background.
The design was registered with IP Australia on October 17, 2024.
In its defence, Kmart submitted almost 50 examples of images published before the registration date, arguing they were identical or substantially similar to the shoreline design.
Shein raised similar arguments regarding Sabo Skirt's Terazza dress design.
The company submitted nine examples of earlier registered designs, including five dresses from Australian fashion brand Zimmermann.
According to court filings, Shein argued the differences between the designs were limited to minor variations commonly used within the fashion industry.
Both companies contend that these factors mean the disputed designs were not eligible for registration under Australian law.
Ownership of designs also disputed
Kmart and Selfie Leslie have also challenged whether Larry and Luke own the relevant intellectual property rights and whether it was entitled to register the designs.
Selfie Leslie said in its defence that it never sold one of the garments it was accused of copying.
The retailer also said the remaining garments were imported as completed products from China.
According to court documents, Selfie Leslie stated it was unaware of Sabo Skirt's designs before receiving legal correspondence and ceased selling and importing the products after being notified.
The company also said it transferred its remaining stock to Sabo Skirt's lawyers.
Other retailers deny allegations
Billy J, which faces allegations involving 11 garments, denied that it copied Sabo Skirt's designs.
The retailer also rejected claims that it:
- Reverse-engineered Sabo Skirt garments
- Knowingly infringed copyright
- Created confusion among consumers regarding any affiliation between the two brands
The company has denied all allegations related to copyright infringement and consumer confusion.
Background & Context
The dispute centres on fashion designs, prints and garment styles that Sabo Skirt claims were copied by competing retailers.
Fashion-related intellectual property cases often focus on questions of originality, ownership and whether similarities between designs amount to infringement.
The proceedings remain at an early stage, and the court has not yet ruled on the merits of the claims or defences.
Sabo Skirt has been contacted for comment regarding the latest court filings.
What happens next?
The matter is scheduled to return to the Federal Court on July 7.
The court will continue considering arguments from both sides regarding the originality, ownership and alleged infringement of the disputed designs.
Further filings and evidence are expected as the proceedings move forward.
FAQs
Q1: What is the dispute about?
Sabo Skirt alleges that several retailers copied its garment designs, prints, patterns and trademarks without permission.
Q2: Who is involved in the case?
The defendants include Kmart, Shein Australia, Billy J, Selfie Leslie and a Singapore-based wholesaler linked to Shein.
Q3: What is Kmart's defence?
Kmart argues that some of the disputed designs were not original or distinctive and therefore should not receive legal protection.
Q4: What is Shein's defence?
Shein claims certain Sabo Skirt designs were substantially similar to earlier designs and differed only in common fashion variations.
Q5: When is the next court hearing?
The matter is due to return to the Federal Court on July 7.
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