Germany's Federal Court of Justice has ruled that using crossed-out swastikas for anti-Nazi protests is not illegal.
The court in Karlsruhe overturned a lower court decision against Juergen Kamm, who had been convicted for reproducing Nazi symbols.
He is the owner of a mail-order internet site, who sold merchandise bearing crossed-out swastikas.
The law in Germany prohibits the reproduction of Nazi symbols except for educational and scientific purposes.
The court said that Mr Kamm, who is known for his left-wing views, had not violated the intent of the law and that there was no danger that the items he sold might be misused by neo-Nazi groups.
The initial verdict, imposing a 3,600-euro (£2,460; $4,770) fine and confiscating the merchandise, was widely criticised, including by the leader of the Greens, Claudia Roth.
The court has ordered compensation for legal costs and damages for the goods confiscated from Mr Kamm.