Carmen Colle, 61, had argued that Chanel took a sample of a newly designed crochet material from her company, World Tricot, set up to employ jobless immigrant women, and used it as the basis for a jacket, made not by her firm but by another supplier in Italy.

She had asked for 2.5 million euros of damages for alleged counterfeit and breach of contract.

The court threw out the counterfeit claim but ordered Chanel pay the hefty damages fine for "abusive termination" of her contract.

However, Miss Colle, whose company has supplied handmade haute couture to many top fashion houses, was ordered to pay Chanel 100,000 euros in damages for "blatant denigration" of the Chanel name.

Both parties claimed victory in what has been seen as a landmark case for the "petites mains" who work as tailors and seamstresses for powerful brands in France.

"World Tricot was quashed; the court ruled there was no counterfeit," said Chanel's president of its haute couture division, Bruno Pavolovsky. "I don't know if it's a victory but it's a defeat for World Tricot," said the brand's lawyer.

Miss Colle, however, was upbeat. Describing the verdict as a "first victory for seamstresses", she said: "This shows that Chanel failed to respect its contract with World Tricot." Businesses such as World Tricot often suggest ideas for designs but they rarely ask for copyright, preferring to be given a large order from the client. France's fashion giants had feared a decision against Chanel would open the door to similar actions by other *petites mains*, sparking an industry-wide revolution.

Slamming the "cynicism" of big haute couture houses, Miss Colle said she was "determined" to continue to "fight for the respect of know-how and to allow craftspeople to defend themselves against multinationals." "The time when one could get rid of a seamstress with a click of one's fingers is over," said her lawyer.


credits:telegraph.co.uk