Michael Kors, Costco Settle 'Bait And Switch' Ad Suit

Law360, New York (July 11, 2014, 1:42 PM EDT) -- Michael Kors LLC and Costco Wholesale Corp. on Thursday settled a lawsuit the fashion company had filed against the retailer over an ad campaign that allegedly misled customers into thinking they could buy cheap Michael Kors handbags at Costco, according to a New York federal court filing.

The famous fashion designer’s company filed the trademark infringement suit last year, accusing Costco of engaging in a nationwide “bait and switch” ad campaign that used the company’s trademarks without authorization.

The agreement does not disclose the details of the settlement, but it does say that all asserted claims are dismissed with prejudice and...

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