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Birkenstock Vs. The Law: Can Sandals Be Art?

Birkenstock sandals are an undisputed icon—embraced by counterculture movements, medical professionals, and fashionistas alike. But are they art? The German Federal Court of Justice doesn’t think so.

The Legal Battle Over Birkenstock’s Design

On February 20, Germany’s highest civil court ruled that Birkenstock’s signature sandals, while distinctive, do not qualify as art and are therefore not protected by copyright. The case, brought by the shoemaker against three competitors—including German retailer Tchibo—aimed to block the sale of similar wide-strapped, big-buckle sandals. Birkenstock claimed its designs were “copyright-protected works of applied art,” deserving of stronger intellectual property protection than ordinary consumer goods.

However, the court disagreed, concluding that functionality and craftsmanship outweighed artistic merit in this instance.

The Design Vs. Art Debate

Under German law, copyright protection extends 70 years after the creator’s death, while design protection lasts only 25 years from the product’s launch. With some of Birkenstock’s original designs dating back to the 1970s, many had already lost design protection. The company’s legal team sought to classify them as art, arguing their “iconic design” warranted extended copyright safeguards.

However, the court determined that products influenced by technical requirements and functional constraints do not meet the threshold for copyright protection. “For a work of applied art to be copyright-protected, it must reveal a distinct level of individuality beyond mere utility,” the ruling stated.

A Legacy Beyond The Courtroom

Birkenstock’s legal setback comes as the brand continues to expand its reach. Once a favorite among hippies and healthcare professionals, the brand experienced a pop culture renaissance following Margot Robbie’s pink Birkenstock cameo in the 2023 blockbuster Barbie.

Founded in 1774 and run by the Birkenstock family for six generations, the company transitioned to new ownership in 2021 when U.S. private equity firm L Catterton—backed by French billionaire Bernard Arnault’s luxury empire LVMH—acquired a majority stake. Birkenstock went public in 2023, cementing its status as both a heritage brand and a lucrative fashion player.

While Birkenstock’s sandals may not be art in the eyes of the law, their enduring cultural impact is undeniable. Whether they remain a symbol of comfort or a statement of style, their place in fashion history is already secured.

Cyprus Plans New Debt Restructuring Scheme As Collections Exceed €730 Million

Renewed Focus On Debt Restructuring

The government said restructuring plans for overdue payments to the Social Security Fund (TKA) and the Tax Department should not become a standard practice. Recent developments in the Middle East have prompted a review of this position. Authorities are reassessing policy tools to address external pressures while maintaining fiscal discipline. The discussion reflects shifting economic conditions.

Strategic Second Chances For Defaulters

Officials said the schemes aim to improve debt recovery while allowing structured repayment. Similar programs introduced in 2016 and during the COVID-19 period generated about €100 million from total liabilities of €225 million. Past outcomes show that instalment-based repayment can increase collection rates. These results are being used to guide the design of new measures.

Realized Impact And Emerging Exploitation Concerns

Tax restructuring programs have generated €630 million, contributing to total collections exceeding €730 million. These amounts would otherwise have required legal enforcement or penalties. Recent cases have shown that some debtors settled their obligations in a single payment to avoid additional charges. Authorities are examining safeguards to limit such use of the schemes.

The Third Phase Of Restructuring

The proposed plan for Social Security Fund liabilities includes repayment of up to 48 instalments. Extending repayment to 120 instalments was rejected due to the potential fiscal impact. Marinos Mousiotis, Minister of Labour, said the structure reflects a balance between support measures and fiscal sustainability. The proposal aims to limit long-term pressure on public finances.

Key Provisions And Future Outlook

The plan includes repayment options of up to 54 instalments and surcharge waivers ranging from 5% to 27%. Additional provisions include suspension of penalties, legal actions and enforcement procedures during participation. A dual repayment mechanism may apply to contractors working with the state, allocating part of the payments toward debt settlement. Final terms will depend on legislative approval.

Broader Impact On Tax Revenues

Since 2017, restructuring schemes have collected €630 million from an initial debt pool of €1.04 billion. More than 43,000 taxpayers have participated in these programs. Instalment structures vary depending on debt size, with smaller debts eligible for lower minimum payments and longer repayment periods. Larger debts require higher monthly payments.

Cautious Political Sentiment

Government officials said current conditions do not justify launching a new tax restructuring plan at this stage. Discussions are expected to continue after June during the next parliamentary session. Future decisions will depend on economic conditions and fiscal performance.

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