France is ramping up its enforcement efforts against counterfeit fashion as the 2024 Paris Olympics open. As it readied Paris for the Olympics, France reinforced existing efforts to dissuade consumers from purchasing and carrying knockoff goods and to target the vendors of these goods. In anticipation of a flood of tourists for the 2024 summer games, the French government has placed notices at its airports, warning consumers of the significant penalties they may face from buying and wearing counterfeit clothing and accessories, up to a €300,000 fine and three years’ imprisonment. It has also conducted raids on vendors selling counterfeit items, including an early April one where police shuttered almost a dozen sellers and seized 63,000 counterfeits, including bags and shoes, at the famed Saint-Ouen flea market.Continue Reading Authorities Go for Gold on Fake Fashion Enforcement as Paris Olympics Begin
Fashion
Scrutiny of Green Claims is in Fashion: Zalando Forced to Overhaul Sustainability Claims
Europe’s biggest online fashion retailer, Zalando, recently agreed to dramatically and rapidly overhaul its sustainability marketing in the face of pressure by the European Commission. This is yet another example of why companies need to be extremely careful when making environmental claims in their advertising. Such claims are facing increasing regulatory scrutiny and activist litigation in the European Union, the United Kingdom, the United States and elsewhere around the globe.Continue Reading Scrutiny of Green Claims is in Fashion: Zalando Forced to Overhaul Sustainability Claims
Anti-Counterfeit Measures Help Brands Protect Against the Trafficking of Fake Products
In the past several years, the market for counterfeit goods has grown rampantly. Estimates of the total value of counterfeit goods sold each year range from $1.7 trillion to $4.5 trillion. Makers of luxury goods are among the hardest-hit industries, as well as those dealing in footwear, apparel, fine art, and collectables. The rise of online shopping has further thwarted companies’ ability to protect their brands. Illegitimate sellers on e-commerce marketplaces employ techniques like posting fake positive reviews and using copyrighted branding to reach consumers and sell counterfeit goods. Continue Reading Anti-Counterfeit Measures Help Brands Protect Against the Trafficking of Fake Products
Fashionable Parody or a Trademark Infringing Wearable Sneaker? The Second Circuit Hears Both Sides.
Allegations of trademark infringement against celebrity-founded brands are not new. In 2015, resort-wear brand Island Company LLC sued Kendall and Kylie Jenner for use of the phrase “Run Away, Fall in Love, Never Return,” which resembled Island Company’s trademark phrase “Quit Your Job, Buy a Ticket, Get A Tan, Fall In Love, Never Return”.[1] The case was settled in January 2016. In 2021, an Italian tribunal ordered social media influencer Chiara Ferragni to pull her snow boots from her footwear line, finding infringement on Tecnica group’s trademark for the world-renowned Moonboot.[2] Now, Vans, Inc., a sneaker company born out of 1960s California counter-culture, alleges trademark infringement by MSCHF, a Brooklyn art collective endorsed by rapper Tyga.Continue Reading Fashionable Parody or a Trademark Infringing Wearable Sneaker? The Second Circuit Hears Both Sides.
New Federal Report on Microfiber Pollution Spotlights Textile and Fashion Industries
A new draft report to Congress by the U.S. Environmental Protection Agency and the National Oceanic and Atmospheric Administration on behalf of the Interagency Marine Debris Coordinating Committee cites textiles and the fashion industry as the leading sources of microfiber pollution in the environment. While the draft report acknowledges uncertainty about how microfiber pollution impacts the environment and human health, the report’s authors recommend that the textile and fashion industry—along with manufacturers of clothes washers and dryers and personal care products—design their products to prevent microfibers from being released into the environment.
The draft report was required to be developed pursuant to the Save Our Seas 2.0 Act, enacted in 2020 on a bipartisan basis to address problems associated with marine debris and plastics in the ocean. It has been made available for public comment, which closes October 17, 2022.Continue Reading New Federal Report on Microfiber Pollution Spotlights Textile and Fashion Industries
Crowell Provides Insight on Recent H&M Class Action Complaint
In the article, “H&M class action: what lawyers told us”, featured in Apparel Insider, Partner Jason Stiehl commented on a recent class action complaint filed against H&M over its use of Higg Sustainability labels and its justification to charge premium prices for sustainable clothing. Stiehl provided insight on the importance to tighten internal systems…
In the bag (for now): Hermès survives motion to dismiss in MetaBirkin NFT lawsuit
Earlier this year, Hermès filed a trademark infringement suit against Los Angeles-based designer Mason Rothschild for creating and selling faux-fur digital renditions of the luxury Hermès Birkin handbags and using a collection of 100 NFTs, titled “MetaBirkins,” to authenticate the digital images.[1] In response, Rothschild filed a motion to dismiss Hermès’ trademark infringement claim under the Rogers test on the basis that the digital images of the Birkin bags are “art” and, therefore, receive First Amendment protection.[2] Hermès opposed, arguing that the Polaroid factors— instead of the Rogers test—should apply, to assess likelihood of confusion.[3] On May 18, 2022, the court denied Rothschild’s motion to dismiss, concluding that: (1) the Rogers test applies to the trademark infringement analysis of the “MetaBirkins” title, and (2) the Polaroid factors apply to the explicit misleadingness analysis.[4]Continue Reading In the bag (for now): Hermès survives motion to dismiss in MetaBirkin NFT lawsuit
CFPB Announces Policy Against Consumer Review Suppression
We recently reported on the Federal Trade Commission’s (“FTC”) increased enforcement against review curation policies that disproportionately restrict or remove negative reviews. Now, the Consumer Financial Protection Bureau (“CFPB”) has issued a Bulletin that makes clear that the suppression or manipulation of consumer reviews posted about financial products and services is an unfair and deceptive act or practice. The CFPB’s Bulletin drew from recent FTC guidance and enforcement activity as well as the Consumer Review Fairness Act of 2016 and stated that conduct such as (1) deceptively posting fake reviews that appear independent, (2) suppressing or manipulating reviews such as by limiting the posting of negative reviews, or (3) imposing contractual ‘gag’ clauses on consumers in form contracts that prohibit honest reviews is generally a violation of the Consumer Financial Protection Act.
Continue Reading CFPB Announces Policy Against Consumer Review Suppression
FTC Ramps Up Enforcement on Consumer Reviews
A few months after putting the nation’s top advertisers on notice that consumer endorsements are high priority, the Federal Trade Commission (“FTC”) recently announced a settlement with online retail company Fashion Nova, LLC (“Fashion Nova”) for allegedly blocking negative reviews from being posted on its website, signaling to retailers that the FTC is cracking down on companies that inflate consumer reviews. In conjunction with the settlement, the FTC also released guidance regarding the collection and publication of online reviews directed to online retailers and review platforms and announced that it sent letters to 10 companies offering review management services.
Continue Reading FTC Ramps Up Enforcement on Consumer Reviews
Podcast: Year of the Knockoff
In the first episode of ACC Chicago’s It’s All Hearsay podcast, Crowell & Moring attorneys Preetha Chakrabarti and Josh Pond expanded upon their “Year of the Knock-Off” webinar. This discussion analyzed trends in counterfeit products, related business concerns, and strategies for countering counterfeits at the U.S. International Trade Commission.
Click here to…