Crocs Sues Five Below Over Alleged Knockoff Clog Designs
Crocs is suing competitor Five Below, saying that the discount retailer copied parts of its iconic footwear. What does the lawsuit allege, and how is Five Below responding? Read on for all of the details.
Crocs Sues Five Below for Allegedly Copying Its Designs
Crocs and its wholly owned subsidiary business, Jibbitz, filed a lawsuit on September 18 alleging that Five Below copied several elements of its footwear design and infringed on patents that are in place for the charms that attach to the shoes. The lawsuit was filed in the U.S. District Court for the District of Colorado, where Crocs is headquartered.
According to court documents, Crocs and Jibbitz are accusing Five Below of infringing on trademarks and patents with its Juniors Charm Clog and its accessories. Crocs is alleging that Five Below's clogs copy the distinctive parts of its Classic Clog. For example, the company claims that the Five Below clogs feature similar hole arrangements, the openings that are shaped like trapezoids, and the unique textured band.
Crocs believes that the similar features could make some consumers think that the Five Below shoes are an offshoot of its own brand. The company said that the similarities “are likely to cause confusion among consumers, who are likely to mistakenly believe that Crocs is the source of Five Below’s knockoff products or that the Five Below products are associated with, affiliated with, or licensed by Crocs.”
The lawsuit also accuses Five Below of copying the design of the charms that are designed to fit into the holes to add a personal touch. Jibbitz claims that the Five Below charms infringe on three patents used for the systems that attach the pieces to the footwear and other products. Lastly, Crocs claims that Five Below's Novelty Shoe Purse copies some design elements of its Classic Clog as well as a Crocs bag charm.
According to the details of the lawsuit, Crocs sent a letter to Five Below on March 4 that explained the intellectual property concerns. Five Below acknowledged that it read the letter; however, the company did not take action beyond that and continued to sell the products in question.
The complaint accuses Five Below of attempting to financially benefit from Crocs' investment by selling products that looked like their clogs at a much lower price. For context, the Crocs Kids Classic Clog retails online for $39.99, while adult clogs run between $50 and $65, depending on the style. Meanwhile, the Five Below Juniors Charm Clog is sold for just $7.
What Crocs is Demanding from Five Below
Crocs and its subsidiary have asked for a jury trial in addition to unspecified damages to account for what they claim are lost profits. The two companies are also requesting a permanent injunction that would ban Five Below from producing and selling products that infringe their intellectual property. Crocs and Jibbitz are also seeking legal fees and demanding that Five Below destroy the inventory of the products in question.
Beth Cooperstein, VP Global Intellectual Property for Crocs, Inc., released a statement detailing that “Crocs does not hesitate to take action against companies that seek to profit from the strength of our brand through unauthorized copying. We aggressively enforce our intellectual property rights and will continue pursuing those who attempt to trade on Crocs’ goodwill, capitalize on our innovation, or create confusion for consumers.”
The news of the lawsuit is coming at an inopportune time for Five Below as it embarks on an aggressive expansion plan. Headquartered in Philadelphia, the chain currently operates over 2,000 stores across 46 states. The name comes from its approach of selling many of its products for $5 or less. The company was founded in Wayne, Pennsylvania, in 2002.
Five Below's latest earnings report detailed that it opened 101 new stores as of August, boasting net sales increases of over 27% from the same period last year. CEO Winnie Park took over the reins in December 2024, intending to elevate the company's status as an
“extreme-value retailer."
Conversely, Crocs sells roughly 150 million pairs of shoes each year, generating over $4 billion in annual sales.
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