Coach drops Target suit

Coach has withdrawn their suit against Target (referenced beow), and admitted that the Coach merchandise Target sells is genuine. Target says they got it from a department store liquidation.

In its lawsuit filed in a New York federal court, Coach alleged Target sold knock-offs of the Coach Python Signature Striped Demi purse, which typically retails for about $280. Some Target stores have been selling Coach bags for about $135.

Interesting. Does this mean that Coach can't tell the difference between their own stuff and a knock-off?