Levi’s has filed 2 new lawsuits this year to protect its red tab trademark

Global Retail // July 9, 2026 Levi’s has filed 2 new lawsuits this year to protect its red tab trademark By Melissa Daniels Levi's X Nordstrom As Levi’s grows into a direct-to-consumer denim powerhouse, it is continuing to use the federal court system to protect its design legacy. Levi Strauss & Co.

filed two new trademark lawsuits this year, one against Brazilian brand Farm Rio and another against Australian brand S/Double, for allegedly infringing on its nearly 90-year-old tab trademark, which protects the red label that says “Levi’s” sewn onto the back pocket of its jeans, as well as other variations.

The lawsuits accuse the brands of using similar design elements that risk customer confusion and can cause harm to the Levi’s brand. The suits seek to stop the brands from using elements that look like the Levi’s tab, and also ask the defendants to turn over the allegedly infringing products and associated materials.

Then on Wednesday, Levi’s filed its quarterly earnings report, which shows a “Legal Settlement Gain” of $33 million during the first six months of 2026 ending May 31.

While it’s unclear which company or companies this may come from, a footnote says “during the six months ended May 31, 2026, the company recognized a gain related to a trademark infringement legal settlement.”

Naresh Kilaru, a partner and the head of trademark practice at law firm Finnegan, said it’s not uncommon for legacy brands like Levi’s to use trademark law to defend their designs. But it can be a challenge to enforce, which is partly why Levi’s has been fairly aggressive in enforcing its tab trademark.

“Those types of site identification trademarks are very difficult to enforce unless you do it regularly,” he said.

“It’s been part of a broader enforcement program that Levi’s has had in place for decades to really make sure that it is the exclusive, or near-exclusive, user of that particular design, because once you allow one third-party to use a tab or don’t enforce against it, then that potentially opens the door for others to do it.”

Other companies Levi’s has taken to court over the tab trademark include Rails, 7 for all Mankind and Brunello Cucinelli, a case that reached a confidential settlement in May 2024. It also reached a settlement with YSL back in 2019.

Levi’s President and CEO Michelle Gass said in a prepared statement on Wednesday that the company is seeing faster growth and higher profitability as it evolves into a DTC-first business. It reported $1. 6 billion in net revenue for the second quarter, an 8% increase over the same time last year. Its DTC revenues grew 11% year over year.

In turn, it raised its full-year net revenue outlook to 7-7. 5% growth, up from 5. 5-6. 5%. “While we are pleased with the progress, we are still in the early stages of our long-term growth journey, with more ways to win than ever before,” Gass’ statement said.

Heading to court with intellectual property in hand is a strategy for many brands seeking to preserve their legacy or fight off dupes. But it’s an expensive route, and not all companies may be positioned to take it on.

Cassey Ho, founder and CEO of Popflex Active, has told Modern Retail that intellectual property litigation has been an expensive line item for her company.

Shoe company Hands Free Labs, which owns Kizik, has sued Skechers for allegedly infringing its patent on slip-on shoes, and it seeks to make intellectual property a cornerstone of its business, separate from the Kizik brand.

Federal court data crunched in a recent report from the University of Nevada Las Vegas shows that intellectual property cases in 2025 actually ticked down. Trademark lawsuits in particular went from 4,235 filings in federal court to 3,679. About 73% of cases from January 2024 to August 2025 resulted in a settlement, according to the data set.

But as Kilaru from Finnegan said, legacy companies may be in a position to have a legal strategy that enforces the brand. In the case of Levi’s, the tab trademark protects the label sewn into a seam. On most of its denim, this is a red tab sewn into the side of the pocket, but it also shows up in black, orange or white depending on the collection.

Its recent Pride 2026 collection, for instance, had black tags with hot pink lettering on some items. From a more technical perspective, Kilaru said part of the strength of Levi’s strategy is that the trademark covers any versions of tabs sewn into a seam that competitors may use: “It’s not limited to a rear pocket. It’s not limited to jeans.

So they are able to claim this very broad set of rights.” Though the vast majority of trademark cases settle before they wind up in trial, Kilaru said that brands are increasingly thinking about what kind of intellectua