Clothing brand Penguin sues NFT brand Pudgy Penguins for trademark infringement.

CoinFeed reported on March 6 that, according to The Block, PEI Licensing, owner of the Penguin clothing brand, has filed a lawsuit in federal court accusing the NFT brand Pudgy Penguins of infringing on its trademark rights. PEI claims that it issued a cease and desist letter to Pudgy Penguins in October 2023, but the latter continued to produce and sell retail goods such as plush toys and clothing, diluting the value of the Penguin brand, which PEI founded in 1955. The complaint cites examples of alleged infringement by Pudgy Penguins, stating that its unauthorized use of the trademark misleads consumers into believing there is a connection between the two. Pudgy Penguins has not yet responded to requests for comment.