A magistrate judge has ruled that Gucci should be awarded just $1.3 million dollars in its trademark lawsuit against Lord & Taylor. This is a mere tenth of the $14 million it had requested.

Gucci had originally filed the lawsuit against Lord & Taylor back in 2023, accusing the brand of selling counterfeit Gucci handbags with the Gucci logo without its permission. The Italian luxury brand claimed that its agents had purchased several handbags from Lord & Taylor that bore the Gucci marks and imitated the “distinctive design of genuine Gucci products” but were not, in fact, authentic.

When the lawsuit was first filed in 2023, L&T failed to defend itself in court, leading to a default judgment request.

In a August 2024 default judgment order, a judge for the U.S. District Court for the Southern District of New York found Lord & Taylor liable for counterfeiting, trademark infringement as well as the dilution of the Gucci trademark, and issued a permanent injunction prohibiting Lord & Taylor from selling counterfeit Gucci products. Lord & Taylor were also ordered to provide the counterfeit products to Gucci for destruction.

According to Gucci, Lord & Taylor failed to comply and last month, it requested the company be held in contempt.

Founded in 1826, Lord & Taylor was once a leading fashion icon in US retail. However, the company failed to adapt to changing tastes and in recent decades fell out of favor with younger customers. Having closed the last of its physical stores in 2020, the company was forced into bankruptcy. Relaunched by its new owners, Saadia Group, as an online only store in 2021, the brand struggled with lawsuits as well as a highly competitive online retail landscape. It shuttered its website in March 2024. It once again relaunched in December as an online discount store under Regal Brands Global.