Two UK-based women's clothing stores are suing Dunnes Stores for allegedly producing and selling "knock-off" copies of their designs.

The multi-million action by Coast Stores Ltd and Karen Millen Ltd, both part of British retail giant Mosaic Fashions, were entered by Mr Justice Peter Kelly into the Commercial Court list of the High Court yesterday.

Similar proceedings have also been brought by Whistles, another member of Mosaic.

In its proceedings, Coast, represented by Brian O'Moore SC, has alleged Dunnes had infringed its intellectual property rights in producing and offering for sale a bow-tie top which, the company claimed, was almost identical to "a high end fashion bow tie top" produced by its designers in two colours, black and red, in December 2005 and put on sale from July 2006.

Coast says its solicitors had written to Dunnes' solicitors and secured a "qualified" undertaking to cease selling the top.

Despite that undertaking, Coast contends Dunnes continued selling it.

Coast claims its bow-tie top had initially retailed for €60 but was later reduced in sales to €47 for the black verison and €18 for a red version. The bow-tie top in Dunnes was on sale for €25.

In similar proceedings against Dunnes, which were also entered into the Commercial Court list yesterday, Karen Millen Ltd is alleging infringement of its intellectual property rights relating to a "new and novel" striped shirt, produced and sold by the company in two different colour schemes, one in blue and white and the second in beige, black and white.

The company claims the shirts were offered by it for sale in some 90 locations in the UK and Ireland on December 19th, 2005.

However, it had learned in November 2006 that Dunnes was offering an almost identical shirt in retail locations throughout Ireland.

The UK company said it had secured a conditional undertaking from Dunnes to withdraw the shirts pending further investigation and without prejudice to admission of liability.

Dunnes had also stated it would not offer the shirts for sale again without giving Karen Millen Ltd 14 days notice.

The UK company claims it has suffered loss and damage and also pleads the undertaking given is without admission of liability and contains no admission relating to the prior infringement of intellectual property rights.