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Brussels – Whereas more than half of the EU consumer population is found to be receptive to green claims, only one-fifth appears to actually trust the sustainability claims made by brands. More and more, the market is realizing that “sustainability” is more than a buzzword and green claims should be substantiated by clear and transparent data. The reputation and trustworthiness of the brand can be at stake.…
Continue Reading ESG in fashion (2) : the EU framework on greenwashing in the fashion industry

Brussels – More and more fashion companies are announcing programs with ambitious (some more than others) goals in relation to environmental, social and governance criteria. Recently ASOS launched its ‘Fashion with Integrity’ (FWI) 2030 programme, committing to achieve Net Zero across the full value chain by 2030. Also consumer demand is not lagging behind, urging fashion companies to change the way they run their businesses and minimizing environmental impact while keeping track of human rights and labour practices across the production and supply chain.
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Continue Reading ESG in fashion: a general overview of the EU framework on environment, social and governance criteria in the fashion industry

The Federal Trade Commission (“FTC”) is distributing more than $6 million to Fashion Nova customers after the popular retailer did not “properly notify [them] or give them the chance to cancel their orders when [it did not] ship merchandise in a timely manner.” On the heels of a settlement entered into between the FTC and the Southern California-based fast fashion company almost a year ago, the government agency revealed that it “is sending refunds to more than 500,000 people,” noting that in addition to failing to ship products within the “fast shipping” time frame it promised, Fashion Nova further ran afoul of federal law when it “did not offer customers the option to cancel [the delayed] orders, and opted to issue gift cards to compensate customers for unshipped merchandise instead of providing refunds.”

In a statement on Thursday, the FTC asserted that it is “providing more than $6.5 million in payments to 518,552 consumers, including more than 40,000 consumers who live outside the United States in 169 different countries.” The distribution of the refunds – which amount to $12.60 per individual consumer – follows from an agreement between Fashion Nova and the FTC that settled charges lodged against Fashion Nova.…
Continue Reading The FTC is Paying Out $6.5 Million to Consumers in Connection with Fashion Nova Settlement

The Federal Bar Association’s Fashion Law Conference will be held online from February 8-12, 2021. Crowell & Moring is pleased to be a sponsor of the event, which promotes the advancement of fashion law. This year’s conference will explore relevant industry topics, including changes anticipated with the Biden Presidency; the increase in counterfeits in ecommerce;…

In light of the recent COVID related wave of bankruptcies affecting fashion brands such as John Varvatos and True Religion, the article explores the trends and implications since the one-year anniversary of ‘Mission Product Holdings v. Tempnology.’

It is no secret that the fashion industry has been steering against a headwind of challenges. Beginning with the rise of e-commerce and the layering on of significant amounts of debt, the current global pandemic might be said to have simultaneously exacerbated these vulnerabilities while also posing new obstacles, such as unforeseen inventory, vendor and supply chain issues.

In the span of five months, apparel companies such as True Religion, John Varvatos, Lucky Brands, and Brooks Brothers have filed Chapter 11 cases, some hoping to reorganize but, more often than not, ultimately pursuing strategic sales of their assets or opting for wholesale liquidations.

These unprecedented challenges are not without opportunities for acquirers and investors as well as licensees of brands. Notably, the wave of bankruptcies also coincides with the one-year anniversary of the Supreme Court’s decision Mission Product Holdings, Inc. v. Tempnology, LLC, a ruling that has a direct impact on the rights of a trademark licensee following the bankruptcy of a debtor-licensor.

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Continue Reading Surge of Retail Bankruptcies Coincides With the Anniversary of ‘Tempnology’

The Federal Bar Association’s Fashion Law Conference will be held on February 7, 2020 at the National Arts Club in New York, NY. Crowell & Moring is pleased to be a sponsor of the event, which promotes the advancement of fashion law in today’s globalizing world.

Coinciding with New York Fashion Week, this year’s programming…

Sustainable fashion is in vogue and retail chains are all too eager to respond to consumers who want to shop more environmentally consciously. ‘Sustainable’, ‘ecological’, and ‘environmentally ethical’ are words that we see appearing more and more often in fashion advertising. But are these clothes and materials really environmentally friendly? Or is this just a…

The Federal Trade Commission (FTC) is soliciting comments on its 1997 Enforcement Policy Statement on U.S. Origin Claims and its ongoing enforcement of that policy. On September 26, 2019, the FTC held a workshop with key stakeholders to discuss how consumers perceive “Made in USA” claims, how advertisers and marketers comply with the standard, and…