St Andrews Community Trust is set to benefit by a six-figure sum after a deal was struck between the links trust and a US clothing company who were breaching the town’s trademark rights.
One of the trust’s wholly-owned subsidiaries, St Andrews Links Limited, reached a resolution with Streetwear Inc which will involve donations to charities in St Andrews and America.
Streetwear was the subject of a suit filed in the United States federal court by the Links Trust last year after the trust became aware the company were about to market a clothing range that claimed to be “official” St Andrews merchandise.
The company was believed to have a consignment of clothing worth an estimated $3 million en route to stores in the USA featuring the St Andrews trademarks when the suit was filed.
A statement from the trust yesterday said that Streetwear had been unaware that the trademark registrations for the terms St Andrews and St Andrews Links relating to golf were held by the trust.
“After initial contact, St Andrews Links ascertained Streetwear Inc had produced and were actively marketing a clothing line bearing the St Andrews mark,” said the statement.
“Streetwear Inc believed they had a right to use the St Andrews mark because a third party purported to sell them that right.”
After discussions, Streetwear agreed to seek “a favourable solution that would not result in the matter proceeding through the United States’ court system.”
“St Andrews Links has now reached a satisfactory resolution, which requires Streetwear Inc to phase out all use of the trademark. The settlement also provides for a significant sum of money be donated to charities in St Andrews, Scotland and the USA.”
St Andrews Links Trust chief executive Euan Loudon said: “The links courses at St Andrews are the oldest and most renowned in the world. Their desirability has led to a number of individuals and businesses, both in Scotland and beyond, using our intellectual property and trading on local heritage, tradition and success without our permission.
“In order to protect our commercial interests we have a programme of trademark and brand protection. As part of that work we have a duty to track and enforce our intellectual property. We were alerted to a situation involving Streetwear and their marketing of a product bearing the St Andrews mark, which they were not permitted to use.”
The trust is now actively protecting its registered trademarks, but their action is intended at national and international usage of them rather than local companies using the town name.
“We would urge businesses trading on the name and reputation of St Andrews to be aware of the dangers of misrepresenting St Andrews and what it symbolises around the world,” added Mr Loudon.
“We have made significant investment to promote our commercial interests and, like all businesses holding intellectual property assets, have a duty to monitor the marketplace for infringing activity and to enforce our intellectual property as necessary.”
It is understood that the trust is continuing to pursue registration infringements abroad against other clothing retail firms who have been using the name of the town with no benefit accruing back to St Andrews.
The links trust has an exclusive clothing deal in the US with Brooks Brothers, one of America’s oldest retail firms.
The trust raises around £1 million annually from commercial partnership agreements with Allianz, Rolex, Callaway and Brooks Brothers.
The cash raised from the latest action will be available for community projects within the town.