But Matthew, who has sold goods bearing the Arsenal shield and cannon symbol for 31 years, vowed to fight on.
He said: “I will be at the ground tonight as usual and we will have to see what happens next.”
Bruce Walker, the legal executive representing him, said: “He will not be giving in. Trading in the Arsenal logo, even as a mark of support, did not affect the club’s right to protect it.
Matthew Reed, who runs a stall outside the ground, failed to persuade the European Court he was using the Premier League champions’ trademark as a “badge of allegiance”.
“We have official stallholders which sell Arsenal merchandise for the right prices.
He said: “I might as well go all the way as this will affect a lot of small traders around the country.”
Anthony Misquitta, of British law firm Farrer and Co, said it was ”another victory for big brands over the rights of the consumer.”
But Arsenal Supporters’ Club chairperson Peggy Goulding said: ”I’m not surprised he lost the case. I think this will be heading for the Appeal Court.
“I am sure he has made a very good living because he can’t have the overheads that the club has.
WHAT THE GUNNERS
“We can’t appeal directly against this decision but we believe there are significant issues which take the case back to Europe.”
NOT A LOT ANY MORE
Matthew claimed he always made clear his products were not sanctioned by the club.
HIT: Trader Matt
He has a sign on his stall outside the Highbury ground in North London pointing out the merchandise is not official.
The judges, sitting in Luxembourg, overturned a High Court ruling last year favouring Matthew by declaring that Arsenal must be allowed to protect its trademark.
Byline: IAN MILLER
ARSENAL yesterday won a legal battle to stop a street trader selling unofficial souvenirs bearing the club’s logo.
EARN A YEAR
Arsenal registered the words “Arsenal” and “Arsenal Gunners” and the cannon and shield emblem as trademarks in 1989.
“Lots of traders do this but he is by far the biggest one and he’s totally unofficial.”
The club designs and supplies its own sports clothes and footwear and has others manufactured by a network of approved firms.
Mrs Goulding, who also runs the Arsenal souvenir shop, added: ”I don’t feel sorry for him. EARNS A YEAR
Mega-rich Arsenal, which raked in pounds 5.1million in merchandise sales in the year to May, said it was pleased with the decision. I didn’t think he would win and I thought he was pushing his luck.
He added:”The big sports kit manufacturers were very interested in this case.”
The ruling means Matthew can no longer sell the scarves, shirts and flags that have been the mainstay of his business since 1970. . This is not over yet. His prices undercut ours in the shop.
But he insisted he would be selling his goods at last night’s European Champions’ League clash with PSV Eindhoven.
But the European judges said that was no defence