Oakley Settles Suits Against Nike

Oakley Inc. said it settled patent infringement lawsuits against Nike Inc. over sunglasses. Financial terms weren’t disclosed.

Sunglass maker Oakley sued Nike in 1997 and 2001, accusing the world’s largest maker of athletic shoes of infringing patents for XYZ Optics and lens coatings. Oakley uses the patented technology in its X Metal line of glasses. Nike filed a countersuit, claiming unfair competition. Both denied wrongdoing.

Under the agreement, the two companies agreed to continue competing. Oakley will sell under the XYZ Optics name and Nike will sell sunglasses with its Max Lens Technology, which the two sides agree don’t use features covered by Oakley patents.

Shares of Oakley fell 10 cents to $19.89, while Nike shares rose 55 cents to $55.23, both on the New York Stock Exchange.

Oakley, based in Foothill Ranch, reported $429.3 million in sales last year, primarily from sunglasses. Beaverton, Ore.-based Nike reported sales of $7.21 billion for the nine months ended Feb. 28.

Officials with the two companies were not immediately available for comment.