
Recently, we reported on Shein’s €150 million fine from France’s CNIL for cookie consent violations. Now the company faces another legal setback in Europe.
What Happened
Sweden’s Patent and Market Court ruled on Friday, October 3, that Infinite Styles Ecommerce – Shein’s Ireland-based subsidiary – infringed on the copyright of smaller competitor Nelly. The company copied photographs owned by Nelly without permission and used them on Shein’s Swedish website.
Nelly, which operates the e-commerce platform Nelly.com and has its own apparel brand, filed the lawsuit for copyright infringement in September 2024. The court ruled in favor of this part of the claim.
Fine and Costs
Nelly requested a fine of 500,000 Swedish crowns (approximately $53,400). Infinite Styles Ecommerce did not object to this amount. The court also ordered Shein’s Irish subsidiary to pay Nelly’s legal costs plus interest.
“We are committed to protecting the rights of IP rights holders and take all claims of infringement seriously,” a Shein spokesperson responded. They added that the images in question were removed swiftly.
However, the court dismissed Nelly’s claim against two other Shein entities – parent company Roadget Business and Dublin-based entity Infinite Styles Services. In these cases, Nelly must pay the legal costs of these two firms.
“We welcome the part of the verdict that went our way, but are at the same time disappointed and surprised by the whole,” said Helena Karlinder-Ostlundh, Nelly’s CEO. The company is considering appealing the decision.
What This Means for E-commerce
The case highlights growing tensions between global fast-fashion platforms and smaller local players. Shein ranks among the largest online fashion retailers with aggressive pricing and a massive product offering.
For smaller e-shops, this signals that protecting proprietary content and photographs isn’t automatic. It also demonstrates the legal complexity of cases where one entity operates through multiple entities in different countries.
Legal Reality of Online Commerce
The ruling confirms that copyright rules apply in digital environments. Product photographs that e-shops create represent an investment in content and are subject to protection.
For online store operators, this provides clear guidance: protect your visual content and monitor its use by competitors. At the same time, it’s necessary to understand the jurisdiction of individual entities in cases involving international corporations.



