NEW YORK—A federal appeals court on Monday overturned Tiffany & Co’s $21 million judgment against Costco Wholesale Corp over the warehouse club chain’s sale of generic diamond engagement rings bearing the “Tiffany” name.
The United States Court of Appeals for the Second Circuit in Manhattan said a lower court judge erred in finding Costco liable for selling the rings, which Costco said had a pronged setting known as a “Tiffany” setting, leaving jurors to decide only how much Tiffany should recover.
