In the 1960s, ugg boots became a popular option for competitive surfers,who used the boots to keep their feet warm after exiting from the surf.Surfing helped popularise the boots outside Australia and New Zealand, when Brian Smith started selling the boots in the United States through the company Ugg Holdings, Inc. in 1979.Ugg Holdings was sold to Deckers Outdoor Corporation in 1995.

The UGG trademark has been the subject of dispute in several countries. The trademark for "Ugh-Boots" has been removed from the trademark registry in Australia for non-use.Outside Australia and New Zealand, UGG is a registered trademark of Deckers Outdoor Corporation.

In 1971, an Australian surfer, Shane Steadman, registered the name "UGH-BOOTS" as a trademark in Australia and began selling sheepskin boots under that name. In 1982 he registered the name "UGH" and a logo containing a stylised Sun with the words "UGG AUSTRALIA".In 1979, Brian Smith, another Australian surfer, brought several pairs of Australian-made boots to the US and began selling them in New York and to surfers in California.