It has emerged that London's Hackney Council has won a six figure sum from Nike in an out of court settlement, after the sportswear giant produced a range of clothing bearing the borough's name, and an exact replica of the Council's logo.
Nike's Hackney range sought to link up with the company's association with Hackney Marshes where the famous 'Parklife' commercial starring Eric Cantona was filmed in the 1990s. The goods were marketed globally and were sold as far afield as Japan, Russia and the Philippines.
The GBP300,000 settlement was based on a licensing royalty arrangement on sales of the range, which included trainers, footballs and t-shirts. Nike has apologised to Hackney and agreed to pay all the borough's legal costs as part of the agreement.
The borough authorities threatened Nike with court action in May this year, after Nike started selling the goods, which were produced without the permission of Hackney Council.
Hackney's Mayor, Jules Pipe pledged to spend any money gained on sports development for the young people of the borough.
Mayor Pipe announced this week:
'This is a great result for Hackney. The London Borough of Hackney logo has been in use since 1965."
He continued:
"We are very glad that Nike agreed to play ball without going to court. I know that this result was in no small part due to the support we have had from local people, and from the media, and I'd like to thank everyone who helped us achieve this."
Charlie Brooks, Head of Corporate Communications for Nike UK added that:
"Nike created a range of products that was designed to celebrate the amateur football heritage and culture of Hackney Marshes. In doing so, we inadvertently used imagery that included the council’s logo. This was done in good faith and not as a deliberate act, however we recognise the concern this has caused Hackney Council and we are pleased that this matter has now been concluded."
Hackney Marshes is viewed by many as the home of English Sunday League football.
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