High Court Stepping in to Costco Wholesale Lawsuit

Patents, Copyrights and TrademarksPoliticsLocal GovernmenteBay Inc.Costco Wholesale Corporation

The Supreme Court is stepping into a legal fight over Omega's effort to stop Costco from offering the Swiss maker's watches for up to a third less than they cost elsewhere.

The case has important implications for discount sellers like Costco and Target as well as eBay, Amazon and other companies that form an estimated $58 billion annual market for goods that are purchased abroad, then imported and resold without the permission of the manufacturer.

The justices said Monday they will hear Costco's appeal of a lower court ruling that sided with Omega in its attempt to invoke U.S. copyright law to halt the discount sales. Omega owns a U.S. copyright on the Omega Globe Design symbol that is engraved on its watches at the time they are made.

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