• MSNBC, Thursday, November 15, 2007 12:02 PM

A three-judge panel of the 4th U.S. Circuit Court of Appeals affirmed a lower court's ruling that Haute Diggity Dog's "Chewy Vuiton" toy was a successful parody of the products from the French fashion company. Judge Paul V. Niemeyer found that Chewy Vuiton is "a joking and amusing parody" that "pokes fun at the elegance and expensiveness of a Louis Vuitton handbag."

Louis Vuitton sued Haute Diggity Dog, its principal owner Victoria Dauernheim, and retailer Woofie's Pet Boutique in Ashburn, Va., in 2006 for trademark, trade dress and copyright infringement. It argued that the toy company infringed on its trademarks because the toys are likely to cause confusion.

"We believe the court misapplied the law of parody, which is designed to protect freedom of speech, but not to allow infringers to make money by exploiting the good name and famous trademarks," Vuitton said in a statement.

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