Rhode Clothing Lawsuit that Sued Hailey Bieber’s Beauty Brand for Trademark Infringement

In June 2022, just a week after Hailey Bieber launched her much-anticipated skincare brand Rhode, the brand became embroiled in a legal controversy. Purna Khatau and Phoebe Vickers, the founders of the Rhode fashion label, filed a lawsuit against Bieber’s company for trademark infringement. Despite differences in the industries they serve — fashion and beauty — the two brands sharing the same name sparked concerns of brand confusion and potential damage to the clothing line’s business.

This case quickly escalated into a high-profile “David and Goliath” struggle, drawing attention to the intersection of celebrity influence, trademark law, and small business rights. Here’s everything you need to know about the lawsuit, the history behind Rhode, and the eventual resolution.

Background of the Rhode Clothing Brand

Founders and Brand Vision

Rhode was founded in 2014 by Purna Khatau and Phoebe Vickers, who first met as roommates at Hamilton College. The duo bonded over a shared love of design and later reconnected to create a clothing line inspired by resort wear, blending business attire and streetwear. The name Rhode draws from Greek mythology, referencing a sea nymph, fitting their vision of vacation-ready, vibrant designs.

Product Offerings and Success

The brand is known for colorful, printed dresses, tops, bottoms, and accessories. Over the years, Rhode expanded into home decor and activewear collections, collaborating with retailers like Shopbop. The clothing line has been worn by celebrities like Beyoncé, Rihanna, Tracee Ellis Ross, and Khloé Kardashian, and it’s sold through high-end retailers such as Net-a-Porter, Saks Fifth Avenue, and Nordstrom.

Trademark History

In 2017, Khatau and Vickers secured a trademark for Rhode in categories related to clothing, textiles, and handbags. The name became central to their brand’s identity, representing years of hard work and dedication.

Hailey Bieber’s Rhode Skincare Line

Launch and Branding

Hailey Bieber’s skincare line, rhode (styled in lowercase), launched in June 2022 with considerable fanfare. Named after Bieber’s middle name — which is also her mother’s middle name — the brand debuted with products aimed at providing affordable, high-quality skincare. The launch included high-profile events, celebrity endorsements, and even a viral $17 smoothie at Erewhon, an upscale grocery store in Los Angeles.

Trademark Plans

Before the launch, Bieber’s team sought to trademark the name Rhode for her beauty brand. Initially, Bieber considered the name Bieber Beauty, but the U.S. Patent and Trademark Office denied her application. Despite attempts to negotiate with Khatau and Vickers to acquire the Rhode trademark for future clothing lines, the founders refused, leading Bieber to proceed with rhode for her skincare brand.

Trademark Infringement Lawsuit

Filing the Lawsuit

On June 21, 2022, just days after Bieber’s skincare launch, Khatau and Vickers filed a lawsuit for trademark infringement. Represented by attorney Lisa Simpson, they argued that Bieber’s use of the name would cause significant brand confusion and dilute their brand’s identity.

In their statement, the founders said:

“We didn’t want to file this lawsuit, but we had to in order to protect our business… We cannot overcome a celebrity with Hailey’s following using our company’s name to sell related products.”

Key Legal Arguments

Brand Confusion: The founders claimed that despite the difference between skincare and clothing, the industries overlap within the broader beauty and lifestyle market.

Reverse Confusion: Reverse confusion occurs when a larger entity, such as Bieber’s brand, overshadows a smaller brand, making it difficult for customers to find the original Rhode. This is a major concern for small businesses in competitive markets, as it threatens their visibility.

Future Expansion: Bieber’s intention to expand her brand into clothing amplified the threat of confusion, further complicating the issue of brand identity protection for Rhode.

Hailey Bieber’s Defense

Bieber’s legal team argued that her use of the name was personal, tied to her family history. They also highlighted that rhode had been trademarked specifically for beauty products, not fashion. Bieber’s publicists, lawyers, and agents declined multiple requests for comments during the case.

Legal Regulations and Court Rulings

In July 2022, a judge denied Khatau and Vickers’ request for a preliminary injunction, which would have temporarily halted Bieber’s use of the name. This allowed rhode skincare to continue operations while the lawsuit proceeded.

Trademark attorney Josh Gerben noted the significance of the case:

“The idea that a small company may be harmed by a larger company coming and using their name is a very significant area of trademark law.”

Resolution of the Lawsuit

In October 2022, the lawsuit was settled. Both parties agreed to resolve the dispute, with Bieber securing rights to use the name rhode for her skincare brand, while Khatau and Vickers maintained rights for the fashion brand. The exact terms of the settlement remain confidential, but the resolution allowed both brands to coexist under the same name in their respective industries.

Impact on the Rhode Clothing Brand

While the lawsuit brought stress and uncertainty, it also drew attention to the Rhode fashion label, boosting its visibility. However, Khatau and Vickers expressed frustration over challenges with brand recognition, including issues with Google search results and social media handles. They feared that Bieber’s celebrity influence would overshadow their years of hard work.

“We feel devastated… It’s everything we’ve worked so hard to build,” Khatau told Insider.

Key Takeaways and Broader Implications

This case highlights critical aspects of trademark law, especially for small businesses facing conflicts with high-profile entities:

• Trademark Protection: Even with a registered trademark, small brands can struggle to protect their identity against well-known celebrities. This case underscores the need for robust legal measures and timely action when brand identity is threatened.
• Reverse Confusion: When a larger entity inadvertently overshadows a smaller brand, legal protection becomes complex and challenging. This situation illustrates the vulnerability of small businesses in a market where celebrity influence can dominate public perception.
• Public Perception: Celebrity influence can dramatically impact legal disputes and brand recognition. As demonstrated in this case, a famous name can easily overshadow years of branding efforts, creating lasting challenges for smaller businesses.

FAQ

Who won the Rhode lawsuit?

The lawsuit was settled in October 2022. Both parties reached an agreement allowing Hailey Bieber’s skincare brand, rhode, to continue using the name, while the founders of Rhode Clothing, Purna Khatau and Phoebe Vickers, maintained the rights to the name for their fashion brand. There wasn’t a clear “winner,” but both brands were allowed to coexist under the same name in their respective industries.

What is the controversy with Rhode Skin Care? 

The controversy arose when Hailey Bieber launched her skincare brand, rhode, in June 2022, which shares the same name as the Rhode Clothing brand. The founders of the Rhode fashion line, Khatau and Vickers, filed a trademark infringement lawsuit, arguing that the use of the name by a celebrity-driven skincare brand would cause brand confusion and damage their business. The lawsuit highlighted concerns about reverse confusion, where the larger skincare brand could overshadow the smaller clothing brand.

Does Hailey Bieber own Rhode? 

Hailey Bieber owns rhode, the skincare brand. However, the founders of Rhode Clothing, Khatau and Vickers, own the rights to the name Rhode in the fashion industry, which led to the trademark dispute. Hailey Bieber’s brand uses rhode specifically for skincare, not for fashion.

Who owns the Rhode Clothing brand?

The Rhode Clothing brand is owned by Purna Khatau and Phoebe Vickers, who co-founded the company in 2014. They have maintained ownership of the name Rhode in the fashion industry, and despite the lawsuit, they continue to operate their brand

Conclusion

The Rhode trademark dispute underscores the challenges small businesses face in protecting their brand identities in a world dominated by celebrity influence. While the lawsuit reached a settlement, it serves as a cautionary tale for entrepreneurs operating under trademark law in competitive markets. As brands like rhode expand into new sectors, protecting one’s intellectual property becomes ever more crucial in a business climate where a single name can carry immense power.

In the end, both Rhode brands continue to thrive — but the story remains a potent reminder of the importance of legal protection, brand identity, and the enduring impact of a name.