Next-owned young fashion brand Lipsy has reached undisclosed settlement agreements with two rival retailers over claims that two of its dresses had been copied.

Lipsy, which is owned by Next, has settled out of court with fashion retailer M Butterfly after it claimed the latter had copied a ruffle-tipped shift dress. The item has been removed from sale and Lipsy has received undisclosed damages.

The second settlement is with owner Wasabi Frog. Lipsy threatened legal action, alleging that it copied a jewel pocket dress design. Lipsy said the matter was settled without proceedings for an undisclosed sum. Under the terms of the settlement agreed, without admitting liability, to remove its version of the dress from sale.

Lipsy is also pursuing other fashion retailers and brands for copyright, design right and trademark infringements.

Lipsy chief executive Jeremy Stakol said: “Lipsy pursues any infringements of its intellectual property rights. The design team works closely with the legal team to ensure all infringements are pursued.”

Lipsy joins a growing number of retailers actively pursuing alleged design infringements. All Saints recently launched legal action against River Island and Arcadia. and M Butterfly did not return calls to comment.