It's Nelly vs Shein: Swedish brand appeals copyright ruling against Chinese label

Swedish online fashion brand Nelly isn’t backing down in its legal tussle with fast-fashion giant Shein. The company has now appealed a court ruling that recently cleared two Shein-linked firms of copyright infringement.Earlier this month, Sweden’s Patent and Market Court ruled that Infinite Styles Ecommerce Ltd, an Ireland-based Shein subsidiary, had indeed copied Nelly’s photos without permission and displayed them on Shein’s Swedish website. However, the court let two other Shein-connected companies, Roadget Business (Shein’s parent firm) and Infinite Styles Services (another Dublin-based unit), off the hook.Because of that, Nelly was not only denied damages from those two entities but was also ordered to pay their legal costs.

The only real penalty came for Infinite Styles Ecommerce, which faces a conditional fine of SEK 500,000 (around $53,000) if it repeats the offence.

But for Nelly, the case isn’t just about money, it’s about principle. The brand first filed the lawsuit back in September 2024, claiming Shein’s companies used its copyrighted photos to sell similar products on their site. Now, Nelly wants the court to hold all three Shein entities responsible.

“We want all three companies to be held accountable and have this threat of a fine if they infringe again,” said Nelly CEO Helena Karlinder-Ostlundh, adding that her company simply wants a fair playing field.“We felt that this is a broader question, not just for us, but for the industry as a whole,” she told Reuters, suggesting the fight is about setting a precedent for protecting creative work online.Shein, known globally for its ultra-fast fashion model and low-priced pieces, has not yet commented on the appeal.

The company has previously said it quickly removed the disputed images and remains “committed to protecting the rights of IP rights holders.”

This case comes at a time when Shein has been under the microscope in several countries. In 2025, French regulators fined the company €150 million for unauthorised cookie tracking, along with another €40 million for misleading discounts. Italy also fined Shein €1 million over greenwashing claims.Following these controversies, Shein’s executive chairman Donald Tang told investors that the company has created a Business Integrity Group to strengthen compliance and internal auditing, signalling that the brand is trying to clean up its image.For now, all eyes are on the appeal to see whether Nelly succeeds in holding the global fashion giant fully accountable or whether Shein escapes with just a warning this time.