B.A.F.F.L.E.D. Fashion Law
Burberry Trailblazes "See Now, Buy Now"; Skirts Fakes
With smartphones being more commonplace than almost
any other item in our daily lives, they've had both positive and harmful affects on the fashion industry. The "Runway to Rack" model has created its own lane in fashion, and unfortunately hurt designers. This is the business model allowing a photo of a runway design to immediately hit a manufacturing table, and in as little as 2 weeks--a fast fashion rack. Luxury, and even startup brands have struggled with this quite a bit in the last decade or so. Technology, talent, and sales all cut both ways.
any other item in our daily lives, they've had both positive and harmful affects on the fashion industry. The "Runway to Rack" model has created its own lane in fashion, and unfortunately hurt designers. This is the business model allowing a photo of a runway design to immediately hit a manufacturing table, and in as little as 2 weeks--a fast fashion rack. Luxury, and even startup brands have struggled with this quite a bit in the last decade or so. Technology, talent, and sales all cut both ways.
"See Now, Buy Now"
Burberry is changing the tide. Starting in September, the iconic British luxury brand will start hosting only 2 runway shows a year, and make the looks seen on the runway immediately available for purchase. Versus Versace has endeavored on something similar. This will certainly help in circumventing how the "Runway to Rack" method has cramped high fashion's brand protection.
More Changes Coming?
This new approach will continue Burberry's show of leadership in digital marketing, as well as complement the CFDA's review of the traditional fashion calendar. Social media is clearly showing it is here to stay. Burberry is showing its longevity is, too.
Thanks to Fashionista.com for this tip!
B.A.F.F.L.E.D. Fashion Law
Same Shirt, Different Name--Zara Sued (Again) for Copying--
Zara was just sued by the socially-conscious brand, Reformation for infringing on their model-moniker-bearing sweatshirt design. Reformation previously sold a plain grey sweatshirt with model Cindy Crawford's name across the chest. Zara is now selling a similarly styled shirt--but bearing the model Elle Macpherson's name.
Zara still has the shirt up for sale on their site, though a cease and desist letter has to be in transit as we speak. There are clearly some trademark and even publicity rights issues on hand here as well. Who knows if Elle approved of the shirt. Reformation actually got permission from Cindy Crawford for the sweatshirt bearing her name. She posed for promos.
This will be interesting...yet familiar territory for Zara. They've been sued in the past for copying, namely by Christian Louboutin. Tom Ford has expressed frustration in being copied by Zara--Dior, Celine, and Kenzo have been aggravated as well.
Here they go again.
B.A.F.F.L.E.D. Fashion Law
Fab Fashion Law News from 2015--
It's the time of year--and frankly the last day--do to these listicles discussing the year that was. While we've retired our weekly Tuesday Tops feature (which still has great stuff to check out), we still like the idea of compiling solid, handy lists.
Since fashion law is our specialty, and we want you to stay as up-to-date as possible on our favorite field, we're listing the Top Fashion Law Stories of 2015. Let's hit it backwards, starting with last week...
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Fashion Law Is Back on Capitol Hill--Child Labor Laws for Fashion Shows
Blissful Ignorance: Abercrombie Can't Pretend They Didn't Know They Were Discriminating By: Dana Martin
Why You Should Care About Fashion Law By: Dana Martin
Can't wait for more fashion law news in 2016!
B.A.F.F.L.E.D. Fashion Law
Big Brands Keep Fighting Fakes--
Counterfeiting is about 2% of world trade--equating to about $1trillion, according to the International Chamber of Commerce. Make no mistake, many purchasers of counterfeits were never going to purchase the real thing anyways. But, some were, and got bamboozled. Whether they were looking for the real thing or just something to pass at a quick glance, the harm done by fakes doesn't change. There's a cost far greater than the black market price.
Counterfeits are making waves in the fashion industry and it's nothing good. In recent months, designers have had to step their protection game up in several ways, just to keep the infringers at bay. As reported earlier this week, Christian Louboutin, Jimmy Choo, Celine and others have sought a slew of design patents to protect their creations.
The lack of copyright protection in America makes protection a bit of a challenge. Trade dress, trademark, and patents are heavily depended on, but take some time to secure. Stella McCartney had to sue Steve Madden for infringement on her "Falabella" bag--a bag already holding 2 design patents for its continuous chain design. Tory Burch also came up big recently in fighting for her "Isis Cross" trademark. She won $38.9M in a lawsuit against Lin & J to protect her trademark. Despite claiming victory over YSL, Louboutin is still awaiting trademark validity from the EU. This stems from their 2013 battle with Van Haren infringing on the red soles.
While keeping us showered with designs for the new season, designers have to keep an eye on the counterfeit market. According to NetNames, a London-based brand protection firm, counterfeiting is getting a consistent boost from e-commerce, channeling sales up about 15%. Much of the items are sourced through China--nearly 70%. The raw materials are there. The factories are there. And, the labor is pretty inexpensive. An NYC couple was was just charged with conspiring to traffic counterfeits after being caught with over 130,000 counterfeit items in their rented warehouse. Many of the goods were said to have been sourced from China. It's the largest source, but certainly not the only.
Counterfeiting is about 2% of world trade--equating to about $1trillion, according to the International Chamber of Commerce. Make no mistake, many purchasers of counterfeits were never going to purchase the real thing anyways. But, some were, and got bamboozled. Whether they were looking for the real thing or just something to pass at a quick glance, the harm done by fakes doesn't change. There's a cost far greater than the black market price. B.A.F.F.L.E.D. Fashion Law
Louboutin Adds Protection with Design Patents--
Fab shoemaker Christian Louboutin is always working to protect his brand. His latest attempt has been obtaining a design patent for his spiked toe design. He's already overcome the red sole battle, and is now continuing on in making sure there's no confusion as to what belongs to him and only him.
In addition to the spiked toe patent, CL has about 10 others. His design patents include some of his lace-up boots and stuffed flats...surely more are to come. Be careful doing your fall and winter shopping. There's likely to be fakes out there. Christian isn't the only one protecting his brand with every design protection option possible. Jimmy Choo, YSL (a former Louboutin opponent in court), and Celine are just a few others also taking the protection to the next level.
With the counterfeit market grossing in the billions, no chances can be taken!
For more on Intellectual Property Basics, click here. And for a plethora of fashion law news and tips, click here!
Fab shoemaker Christian Louboutin is always working to protect his brand. His latest attempt has been obtaining a design patent for his spiked toe design. He's already overcome the red sole battle, and is now continuing on in making sure there's no confusion as to what belongs to him and only him.
In addition to the spiked toe patent, CL has about 10 others. His design patents include some of his lace-up boots and stuffed flats...surely more are to come. Be careful doing your fall and winter shopping. There's likely to be fakes out there. Christian isn't the only one protecting his brand with every design protection option possible. Jimmy Choo, YSL (a former Louboutin opponent in court), and Celine are just a few others also taking the protection to the next level.With the counterfeit market grossing in the billions, no chances can be taken!
B.A.F.F.L.E.D. Fashion Law
Fast Fashion Has In-Fighting Over Copies--
Retailer H&M is suing its fellow fast fashion colleague, Forever 21 over copyright infringement. H&M claims Forever 21 is selling a "Beach Please" bag, distinctly made for H&M, which was also registered for a copyright this past June. The sales have continued even after cease and desist letters.
The story here seems to be a tad bit more about the irony of one fast fashion retailer suing another. Both are widely known for taking designs straight from the runway to their quick manufacturers, then sales floor within weeks. Forever 21 is said to have commissioned one of their loyal Chinese manufacturers for the H&M bag copy. Both retailers have been sued over copies in the past--several times. 
It will be interesting to see how this one plays out. Forever 21 is known for settling their infringement suits under the table. Maybe this will be no different. There are many arguments on both sides for protection of fashion designs expanding past prints and patterns. Usually, the fight is between a luxury retailer and fast fashion giant...or even a boutique designer and established retailer. How will 2 common infringers settle it? Nevertheless, there's something more to be hammered out here.
For more on fashion law and infringement's damage, check out these posts!
B.A.F.F.L.E.D. Fashion Law
Designers Focus In On Internet Vigilance--
Many established designers were hesitant to embrace the virtual world. After all, their namesake founders began the collections in small shops or even rooms in their homes. Soon enough, the internet world caught on, and the ease of shopping made for big benefits to seasoned luxury retailers.
Then came the negatives.
Designers must be forever cautious of how they market their brand and where they allow it to be exploited. Just recently, Gucci owner Kering sued China's largest e-commerce brand over harboring fakes on the site. Nearly $82billion is lost annually to designers' fight against fakes. Many designers are putting millions into this vigilance--millions away from the design shop and brand promotion. Although the money is a major factor, let us not forget the disregard for brand reputation, too. It's so similar to one's personal reputation. Guard it with your life.
Many established designers were hesitant to embrace the virtual world. After all, their namesake founders began the collections in small shops or even rooms in their homes. Soon enough, the internet world caught on, and the ease of shopping made for big benefits to seasoned luxury retailers. Then came the negatives.
Despite the plethora of advantages to e-commerce, burdens and disadvantages come along as well. While luxury brands bring customer experience to the fingertips, so too, do counterfeiters and gray market producers. As we've discussed here many times, gray market goods are those produced in legitimate luxury factory settings, but outside of legitimate production terms. Counterfeiters usually take it a step further, producing their own look-alike items. These goods are generally 2's and 3's in the marketplace. Remember the Rating System?
Why Does This Really Matter? Everyone is Making Money?
With so many online squatters, luxury brands are forced to keep up constant vigilance over their brands online. This becomes extremely difficult when the internet is flooded with search terms, improper image use, licensing breaches, and sites changing every single day. But, who cares? The reputable brands get money from their base, and the counterfeit market gets money from their, wholly separate base, right? Nope.
We've discussed the great downside of counterfeits--the funding they provide for human trafficking and other horrible crimes. There is a damage to the designer, too (not eclipsing the trafficking, of course--just separate).
The crime to the brand--whether luxury founded in the 1800s or worked on tirelessly in a university studio this year-- hurts the bottom line. It hurts more, the name; the reputation. The problem here is the compromise to one's rights, image to the public, and invitation for confusion when consumers are looking for the right item to suit them.
B.A.F.F.L.E.D. Fashion Law
Fashion Law and the Local Economy--
Fashion law is in fact taking over the globe. But, its impact is local in nature, too. Despite there being an ongoing battle for protection of fashion designs at the national level in the U.S., many large cities, are doing their part to protect brands as well as their local economies.
While fashion trends change almost faster than the seasons, brands are made to last forever. Creators set out to achieve longevity. In recent years, there have been a number of efforts to curb harm to brands. Whether it be through the sale of fakes, thereby infringing on trademarks, or even penalizing the consumers of fakes, local governments are taking no prisoners in preserving the integrity of fashion.
What's been happening?!
What's set to happen next?
Local governments are pressed to keep up the services they've been able to provide. We need smooth streets and snow plowed, right? Losing out on tax revenue is no help. Locales with counterfeit districts, like Canal St. in NYC are watching for dealers who skimp residents of their service money and are issuing penalties left and right. Cities with flea markets are heavily watching the products coming through their borders, too. Many large flea markets have been the scene of busts when local or federal authorities uncover fakes sold by vendors.
Surely fashion industry leaders like Susan Scafidi and Diane von Furstenberg will continue working with the CFDA on federal legislation as well.
We'll continue watching the counterfeit scene. You should do the same. Fakes are never in fashion.
Fashion law is in fact taking over the globe. But, its impact is local in nature, too. Despite there being an ongoing battle for protection of fashion designs at the national level in the U.S., many large cities, are doing their part to protect brands as well as their local economies.
While fashion trends change almost faster than the seasons, brands are made to last forever. Creators set out to achieve longevity. In recent years, there have been a number of efforts to curb harm to brands. Whether it be through the sale of fakes, thereby infringing on trademarks, or even penalizing the consumers of fakes, local governments are taking no prisoners in preserving the integrity of fashion.
What's been happening?!
- Both coasts are equipped with amazing fashion law programs to help train upcoming lawyers in this billion-dollar industry. The Fashion Law Institute at Fordham and the Fashion Law Project at Loyola dig deeply into fashion law issues. Being in the garment districts of the nation's 2 largest cities doesn't hurt either.
- In 2011, the New York City Bar Association established a fashion law committee. Many bar associations across the country have held symposiums on the topic since then.
- In 2013, NY Councilwoman Margaret Chin introduced an ordinance to penalize counterfeit purchasers. It's not far-fetched--Italy, France, and England all penalize consumers for purchasing fakes. The NYC measure didn't pass, but it definitely got the attention of counterfeiters and the impact tax avoidance has on the local economy. She introduces a subsequent effort to prohibit the storage or sale of fake goods in any NYC building. She's not giving up on this.
- Chicago makes necessary use of its Trademark Violation Ordinance, which revokes the business licenses of retailers possessing and selling counterfeits. O'Hare Airport, recently named the busiest in the U.S. has uncovered millions in fakes at their international gates as well.
- North Carolina isn't playing any games either. The Secretary of State's office led police throughout NC on Operation Faux Pas, seizing more than $12million in fakes across the state.
What's set to happen next?
Local governments are pressed to keep up the services they've been able to provide. We need smooth streets and snow plowed, right? Losing out on tax revenue is no help. Locales with counterfeit districts, like Canal St. in NYC are watching for dealers who skimp residents of their service money and are issuing penalties left and right. Cities with flea markets are heavily watching the products coming through their borders, too. Many large flea markets have been the scene of busts when local or federal authorities uncover fakes sold by vendors.
Surely fashion industry leaders like Susan Scafidi and Diane von Furstenberg will continue working with the CFDA on federal legislation as well.
We'll continue watching the counterfeit scene. You should do the same. Fakes are never in fashion.
B.A.F.F.L.E.D. Fashion Law
The Latest in Fashion Law: News & Updates--
A lot has been going on in fashion law lately, so we want to make sure you're up to speed. Here's the latest:
Ralph Lauren forced to destroy knockoffs
In October, Converse sued a bunch of designers who infringed on their famous Chuck Taylor shoe. Now, as part of their settlement, RL has decided to destroy their 36 infringing styles, along with all molds and materials used to make them. Trademark protection is everything. Even big brands get caught up in it.
Seahawks are protecting their fans
Just in time for the Super Bowl, the Seattle Seahawks are working to trademark the number "12" and "boom". After successfully registering "Legion of Boom", efforts to secure "12th man"and just the number "12" in jersey font have proven a bit more difficult because of marks already in use. The Seahawks aren't giving up, though. They're working to find as much specificity as possible to protect what's pushed them to their 2nd Super Bowl in 2 years. Good luck!
Federal Agents Seize Super Bowl Fakes
While Seattle is trying to protect their brand, the NFL is working to do the same for theirs. Just this past weekend, near Phoenix, about $1million in knockoff NFL merchandise was seized by the feds. Merchandise included watches, other jewelry, and even flasks. Yikes.
"Faking It" exhibit continues at FIT
New York's Fashion Institute of Technology recently launched an exhibit in their museum examining the history of copying, both authorized and unauthorized, as the $600billion counterfeit industry continues to threaten designers. Faking It: Originals, Copies and Counterfeits displays genuine and copied items from designers like Louis Vuitton and Coco Chanel--2 designers who have actually stood on opposite sides of the issue. Following Charles Fredrick Worth's debut of a label in his designs in 1903, brands like Louis Vuitton have worked tirelessly to protect themselves against fakes. Meanwhile Madam Chanel once said "One should not bother to protect that which dies the minute it is born". Is she right?
Patrons of the exhibit get to check out bags, suits, dresses and more, all while comparing the real to the fake. A little fashion law history is laid out as well. The exhibit lasts until April 25th.
Louis Vuitton and Google partner to fight fakes
Continuing their quest to forever protect their well-known brand, LVMH is now working with Google to keep the conglomerate safe on the internet. After filing many lawsuits against Google for harboring ads and sales of infringing merchandise, the 2 major brands have signed a cooperation agreement, promising to end their legal dispute. The deal provides for each side to combine their resources to keep counterfeit LV items from being marketed and sold via the internet giant.
Is this the start of stronger crackdowns? Let's keep watching.
A lot has been going on in fashion law lately, so we want to make sure you're up to speed. Here's the latest:
Ralph Lauren forced to destroy knockoffs
In October, Converse sued a bunch of designers who infringed on their famous Chuck Taylor shoe. Now, as part of their settlement, RL has decided to destroy their 36 infringing styles, along with all molds and materials used to make them. Trademark protection is everything. Even big brands get caught up in it.
Seahawks are protecting their fans
Just in time for the Super Bowl, the Seattle Seahawks are working to trademark the number "12" and "boom". After successfully registering "Legion of Boom", efforts to secure "12th man"and just the number "12" in jersey font have proven a bit more difficult because of marks already in use. The Seahawks aren't giving up, though. They're working to find as much specificity as possible to protect what's pushed them to their 2nd Super Bowl in 2 years. Good luck!
Federal Agents Seize Super Bowl Fakes
While Seattle is trying to protect their brand, the NFL is working to do the same for theirs. Just this past weekend, near Phoenix, about $1million in knockoff NFL merchandise was seized by the feds. Merchandise included watches, other jewelry, and even flasks. Yikes.
"Faking It" exhibit continues at FIT
New York's Fashion Institute of Technology recently launched an exhibit in their museum examining the history of copying, both authorized and unauthorized, as the $600billion counterfeit industry continues to threaten designers. Faking It: Originals, Copies and Counterfeits displays genuine and copied items from designers like Louis Vuitton and Coco Chanel--2 designers who have actually stood on opposite sides of the issue. Following Charles Fredrick Worth's debut of a label in his designs in 1903, brands like Louis Vuitton have worked tirelessly to protect themselves against fakes. Meanwhile Madam Chanel once said "One should not bother to protect that which dies the minute it is born". Is she right?
 |
| Afternoon Dress by Charles Fredrick Worth (1903) |
Patrons of the exhibit get to check out bags, suits, dresses and more, all while comparing the real to the fake. A little fashion law history is laid out as well. The exhibit lasts until April 25th.
Louis Vuitton and Google partner to fight fakes
Continuing their quest to forever protect their well-known brand, LVMH is now working with Google to keep the conglomerate safe on the internet. After filing many lawsuits against Google for harboring ads and sales of infringing merchandise, the 2 major brands have signed a cooperation agreement, promising to end their legal dispute. The deal provides for each side to combine their resources to keep counterfeit LV items from being marketed and sold via the internet giant.
Is this the start of stronger crackdowns? Let's keep watching.
B.A.F.F.L.E.D. Fashion Law
Victoria's Secret Loses Its Pink--
In a recent London-based lawsuit, the famous lingerie line lost their ability to use the "Pink" trademark. Victoria's Secret, an L Brands line, was sued by Thomas Pink, an English brand specializing in dressing men for work and formal events. While you can find Thomas Pink items in America at various retail stores like Macy's, the brand thought VS's use of "Pink" brought confusion to the market.
A trademark is a symbol used in the market to signal the source, and often quality, of goods. Popular trademarks are often registered with their respective nation's trademark office, and provide protection to the brand. Thomas Pink accused Victoria's Secret of infringement based on confusion, claiming the separation of brands may not be distinct enough to shoppers seeking ties and dress shirts--not hoodies and panties.
The men's line was delighted to find a judge agree the trademarks were too similar for comfort in this global market. “We are delighted with the outcome of this case, and will continue to protect the considerable investment that has been made into building Thomas Pink into a leading luxury clothing brand,” Jonathan Heilbron, the company’s chief executive officer said.
This outcome could set the pace for stricter regulation of trademarks. Brands are taking advantage of both vertical and horizontal integration, so the selection and use of names in a global market largely dependent on internet and social media is increasingly difficult. Of course Victoria's Secret believes the clear distinction in customer base alleviates any confusion between the 2, but for now, they'll have to figure out some other mark for their varsity line. Any ideas?
In a recent London-based lawsuit, the famous lingerie line lost their ability to use the "Pink" trademark. Victoria's Secret, an L Brands line, was sued by Thomas Pink, an English brand specializing in dressing men for work and formal events. While you can find Thomas Pink items in America at various retail stores like Macy's, the brand thought VS's use of "Pink" brought confusion to the market.A trademark is a symbol used in the market to signal the source, and often quality, of goods. Popular trademarks are often registered with their respective nation's trademark office, and provide protection to the brand. Thomas Pink accused Victoria's Secret of infringement based on confusion, claiming the separation of brands may not be distinct enough to shoppers seeking ties and dress shirts--not hoodies and panties.
The men's line was delighted to find a judge agree the trademarks were too similar for comfort in this global market. “We are delighted with the outcome of this case, and will continue to protect the considerable investment that has been made into building Thomas Pink into a leading luxury clothing brand,” Jonathan Heilbron, the company’s chief executive officer said. This outcome could set the pace for stricter regulation of trademarks. Brands are taking advantage of both vertical and horizontal integration, so the selection and use of names in a global market largely dependent on internet and social media is increasingly difficult. Of course Victoria's Secret believes the clear distinction in customer base alleviates any confusion between the 2, but for now, they'll have to figure out some other mark for their varsity line. Any ideas?