Park Jae-hyuk is a seasoned journalist who has provided comprehensive coverage of South Korea's corporate dynamics, economic policies, industry challenges and the global positioning of Korean companies. Based on the articles he has written since joining The Korea Times in 2016, his investigative approach has helped readers understand corporate governance, economic trends and business strategies shaping South Korea’s economy.
Hansae's NBA ball cap mired in patent dispute
Hansae MK's NBA ball cap with mask hangers, left, and Aelju V's Dukaaif Frankendust / Courtesy of Aelju V
By Park Jae-hyuk
Apparel manufacturer sued for allegedly copying startup's ball cap
Hansae Chairman Kim Dong-nyung
By Park Jae-hyuk
Hansae MK, a Hansae affiliate known for such brands as NBA, TBJ and Buckaroo, is embroiled in a legal battle for its allegation of imitating a local startup's ball cap design, the companies said Monday.
The recent conflict is expected to weigh not only on Hansae but also on the U.S. National Basketball Association (NBA) which licensed the Korean apparel manufacturer in 2011 to use the association's name and logo for its casual wear.
Aelju V, a startup running a ball cap brand named Dukaaif, has claimed Hansae MK copied the Dukaaif Frankendust ball cap having mask hangers when it released its NBA ball cap in November 2017.
Frankendust, which the startup developed in September 2016 for Korean customers who suffer from deadly fine dust, won huge popularity when it hit the shelves in July 2017.
However, sales of Frankendust in November that year decreased to a tenth of that from previous month, according to Aelju V.
“During the Indie Brand Fair in April 2017, Hansae MK employees visited our booth where we were promoting our Frankendust. They praised us for our idea of making a ball cap with mask hangers and took photos of our product,” Aelju V CEO Hwang In-young wrote on the Cheong Wa Dae website.
“As our Frankendust had gained huge popularity, Hansae MK released a copycat of our ball cap in November that year.”
The Korea Fashion Association, which hosted the exhibition, said nine Hansae MK employees attended the event.
Aelju V said it accused Hansae MK of violation of the Prevention of Unfair Competition Act.
The law was amended in July 2017 to protect first-movers in the industry.
If second-movers release similar products, the court judges whether they damaged the first movers by infringing on their business interests.
A satirical image on Aelju V's Facebook criticizing Hansae MK's alleged patent infringement. / Courtesy of Aelju V
Aelju V has been posting satirical images and messages on Facebook and Instagram to criticize Hansae MK.
All of the startup's satirical posts include the word “NBA.”
Hansae MK has denied any violation of law, saying the startup seemingly seeks to promote itself by creating a buzz.
It is not the first time the apparel maker has been mired in a patent suit.
In 2015, the company conflicted with designer Oh Chang-bok over the so-called “folder-pop cap” having a flat brim.
Back then, the court ruled in favor of Hansae MK.
However, Aelju V claimed Hansae MK has won lawsuits with its financial power.
“Small firms cannot think of having a legal battle with conglomerates as they cannot afford lawyers until the final ruling,” the Aelju V CEO said.