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Target's Apparel Lawsuits on the Rise

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Target's Apparel Lawsuits on the Rise

As frigid weather begins to set in throughout the U.S., warm and comfy apparel becomes a necessity to survive stepping outside. Just as retail giant Target (NYSE: TGT) rolls out boots, socks and slippers for the season, the company may have to rethink a certain pair of shoes as Minnetonka Moccasins is suing the merchant for a look-alike pair.

According to The Huffington Post, Minnetonka believes Target snagged its "Thunderbird" design, placing the long-used beaded bird on the toe of similar looking shoes. Court documents reveal that Target once tapped Minnetonka to begin selling the brand in stores, which the moccasin maker clearly rejected.

Minnetonka, known for its celebrity clientele and reliable footwear, sells signature moccasins for higher prices than Target customers are likely willing to pay. Therefore, Target has been selling several competing moccasin styles for around $20 a pair - about half the price of the Minnetonka version (depending on what retailer the shoes are purchased from). The exact pair Minnetonka is suing the company for could not be found in a quick browse of the website, suggesting that Target has since removed the questionable item.

This is not the first time Target has come under fire for knock-off products. The company is currently being sued by Estee Lauder (NYSE: EL) in Australia, as the fragrance and cosmetics brand claims that Target is selling M•A•C Cosmetic rip-offs.

"Target is aware of the allegations raised regarding the authenticity of the M•A•C products sold in our stores and is currently investigating, including further testing of the products by our supplier," Target's statement reads. "Before going on sale in our stores and online, the product was tested by our supplier, who provided assurance it was genuine."

Target, along with Apple (NASDAQ: AAPL), was sued back in April by an individual claiming both of the retailers infringed on his ribbed computer case patent.

As Target continues to fight battles in the courtroom, the retailer is expected to see better trends in the coming month than it had experienced in September. According to Piper Jaffray, apparel pricing declined 4.2 percent throughout September, which was the first year-over-year decline since November 2010. However, lower numbers and going up against 2011's warm winter leave room for improvement this year.

Target closed on Friday at $63.47, up about 24 percent year-to-date.

 

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Posted-In: Minnetonka Moccasins Piper Jaffray the Huffington PostNews Retail Sales Legal Global Best of Benzinga

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