Australian ugg boot-maker Eddie Oygur has suffered a $US450,000 ($643,000) loss in his “David versus Goliath” legal fight with a major US footwear and apparel company.

A jury in Chicago on Friday found Oygur’s business, Sydney-based Australian Leather, wilfully infringed a trademark registered to California-based Deckers Outdoor by selling 12 pair of ugg boots online to customers in the US.

Deckers generates more than $US1 billion in annual sales from its UGG brands. Deckers acquired the UGG Australia trademark in 1995. Oygur argued “ugg” is a generic term originating in Australia from the 1960s surfing community. “It has been a cruel blow,” Australian lawyer and former senator Nick Xenophon, who is in Chicago supporting Oygur, said.