Second City Style Fashion Blog - Style, Luxury, Beauty & Shopping

Designer Copyrights. Vendors & Designers Disagree on Copyright Proposal

The debate continues along the lines...be careful what you wish for. Many designers are claiming there is a value of copyright protection for fashion. Yet, the debate has slowed federal legislation on the issue.

The bill, which is stalled in Congress, would allow designers to register for three years of copyright protection and would penalize knockoff artists $250,000 or $5 for each copied item, whichever is more. According to WWD, The U.S. Chamber of Commerce estimated that $12 billion in revenues were lost in 2006 because of counterfeiting and piracy of apparel and fashion goods.

The legislation was introduced in the House and Senate last year. A proposal from the Council of Fashion Designers of America, the bill's leading champion, to reach a compromise with the American Apparel & Footwear Association was rejected in March by the association's board.

On the vendor side, Ilsa Metchek, executive director of the California Fashion Association, argued that a proposed bill to shield original apparel, handbag, footwear, eyewear and belt concepts from copies would have a negative impact on business.

"It will expand into luggage; it will expand into home furnishings," she said. "At what point do you say, 'It hasn't been done before?'"

On the designer side, Rami Kashou, runner-up on season four of Bravo's "Project Runway," suggested the pending Design Piracy Prohibition Act rewards the hard work that spawns fashion innovation. "I put...everything into my designs," he said. "When an idea is invented or comes to life, and people associate a label with that idea, I would definitely hope there is some kind of protection."

Joining the debate were attorneys Anne-Marie Pecoraro, David Erikson and Robert Helfing, who delved into the legal questions surrounding fashion copyrights and placed U.S. laws in a global context. The lawyers and their firms have represented Magda Berliner, Libertine, Thierry Mugler, Frédéric Malle and Delia's, among others.

"By the time your protection issues, the market has moved on," Helfing said. "If you really want to make a knockoff artist laugh, tell him to stop what he's doing because you have a patent pending."

However, the attorneys acknowledged that the legislation was imperfect. For example, Erikson indicated that figuring out what designs merited copyright protection would be challenging, and stressed that copyrights should only be doled out to novel designs that have "not been done before" and are "not staples." What designer really designs in a white box and is not influenced by past designers whether intentional or not?

He added that the legislation doesn't inhibit designers from interpreting ideas to jump on a trend, only from making exact or very close copies of original work.

Metchek, however, said businesses already profit from creating recognizable brands, and criticized fashion copyrights for potentially resulting in frivolous lawsuits that could lead retailers to avoid vendors accused of copying.

Read more "Vendors, Designers Persist In Copyright Proposal Rift" here

Source: WWD

Legally Yours. Louis Vuitton Sues Artist for Darfur Designs.

In more legal news today, Louis Vuitton has filed a lawsuit against a 26-year-old student artist for selling posters and t-shirts of a Darfur victim holding a designer bag bearing a Louis Vuitton-like design. Although all of the proceeds of Nadia Plesner's Simple Living campaign go to the charity Divest Darfur, we can see how trading so literally on the Louis Vuitton trademark is damaging to the brand. Plesner decided to dress-up a Darfur victim with a Louis Vuitton-inspired bag, and a Paris Hilton-style accessory dog.



Louis Vuitton, however, was not amused by Nadia’s creative expression, and filed a lawsuit where they are claiming over $20,000 a day, if she continues with the project. The artist says, "My illustration Simple Living is an idea inspired by the media’s constant coverage of completely meaningless things. My thought was: Since doing nothing but wearing designer bags and small ugly dogs apparently is enough to get you on magazine covers and tons of press, maybe it is worth a try for me to accessorize people who actually deserve and need the attention.” Plesner's compositions are meant to juxtapose the frivolity of fashion to the seriousness of the situation in Africa, but the images do seem singly damning to Louis Vuitton.

In addition to the lawsuit, LV has asked charity founder and designer Michael Harris to remove Plesner from his upcoming benefit for Designers for Darfur. Harris, however, is sticking to his guns. He has respectfully declined to thwart Ms. Plesner’s efforts as he believes it is well within her artistic freedom and right to portray the current situation continuing to take place in Darfur in whatever way she deems necessary. Harris has instead decided to request the good folks of Louis Vuitton cease spending their money suing a struggling artist, and use their funds and voice to help in Darfur as well. He believes, “If Gucci can use their brand to save the children of Malawi (Madonna and Gucci collaboration) then I am sure the Louis Vuitton brand could definitely use their influential LV’s to Save Darfur.”

See more of Plesner's designs here.

Source: Page Six.
 

Legal Matters. Adidas Wins Suit Against Payless

Payless has to pay more. A lot more. $305 million to be exact. The jury, in a legal showdown between Adidas AG and Payless ShoeSource over parallel stripes, sided with Adidas.

Charlie Henn, a partner at the Kilpatrick Stockton LLP law firm that represented Adidas, said the jury award from a federal court in Portland included roughly $30 million in actual damages, $137 million for profits Payless made on the infringing goods and $137 million in punitive damages.

"Our belief is that this is the largest award ever in a trademark case," said Henn.
"The jury in this case sent a very clear message to companies that are engaged in the practice of selling knockoffs," he contunued.

Topeka, Kan.-based Collective Brands Inc., parent to Payless, doesn't plan to pay without a fight.

"The company is reviewing the verdict and assessing its impact," Collective said in a statement. "The company believes that the verdict was excessive and unjustified. The company will ask the court to set aside the verdict and, if it is not granted, intends to take all necessary steps to overturn it."

Adidas began using its recognizable three-stripe design in 1952 and trademarked the design in 1994.

Read more "Adidas Awarded $305M in Suit Against Payless" here

Source & Photo: WWD

Victoria's Secret. MORE Legal Trouble?

Victoria's Secret, who was recently sued over a bra patent, seems to be in more trouble, this time with another uber-brand- Juicy Couture. The division of Liz Claiborne, Inc. sued in Manhattan courts yesterday, alleging that the Victoria's Secret Pink line is using icons and slogans similar to those used in the Juicy line of clothing, underwear, sleepwear, and bathing suits. VS has had other Pink problems, too. They've sued Macy's over its Pinkish line, and been sued by Phat Fashions LLC for similar reasons. The main problem for Juicy is the VS Pink line's packaging: "Juicy Couture has established a strong brand image built upon many visual elements, including original and innovative packaging designs. These and other brand elements create the unique consumer experience that allows Juicy to stand apart from its competitors in the fashion markets in which it competes." To stand out in the fashion business is hard- we'd defend our brand, too!

 

Trouble For Victoria's Secret. Bra Ripped Off from Single Mom?

The Very Sexy 100-Way Strapless Convertible Bra

According to this story in The New York Post, Victoria's Secret may be running into some legal trouble with its Very Sexy 100-Way Strapless Convertible Bra. It appears that after seeing Katerina Pew's design, but declining to buy it, the large lingerie company may have used the design anyway to create their new, innovative bra. Pew claims she thought of the idea when she was struggling to find the appropriate bra for one of her own dresses in 1999, and finished constructing the bra prototype in 2000 (thankfully she thought to patent it). Victoria's Secret, after allegedly seeing Pew's patent and portfolio, released the Very Sexy bra in 2007. The bra's design features tons of eyelets to hook the straps into, making it possible to wear it in a wide variety of ways. (Sounds useful!)

The worst part for the wronged woman? She had to go purchase the bra from VS to compare it to her own in preparation for her suit. Shelling out $56 for something you yourself designed? Ouch.

See all 100 ways to wear the Very Sexy bra at VictoriasSecret.com.

Legal Eagle: Hermès & Dior...Victorious.

This one almost got by us! According to WWD, Hermès International and Christian Dior triumphed in separate efforts to protect their intellectual property. This is huge! Hermès said it is claiming $46,900 from eBay in damages for the online auction house's alleged sale of counterfeit Hermès products.

An Hermès spokeswoman confirmed the luxury goods company accused eBay of providing a platform for the sale of counterfeit bags, as well as taking a commission. Hermès declined further comment pending the court's verdict on June 4.

LVMH Moët Hennessy Louis Vuitton, Christian Dior, Rolex France and Tiffany & Co. also have taken eBay to court in France over allegedly selling counterfeit products. An eBay France spokeswoman declined all comment.

Meanwhile, Christian Dior Couture won a court victory against the French budget jewelry chain Camille & Lucie for allegedly copying one of its fine jewelry designs.

A spokeswoman for Camille & Lucie confirmed Dior was awarded around $230,000, in damages for peddling a style resembling Dior's floral Diorette ring for about $50. Camille & Lucie was also ordered to destroy the goods in question.

Did you really think that Dior bag you bought in Ebay was real? Silly girl.

Read "Hermès, Dior Notch Counterfeit Wins" here

Source: WWD

Busted! Raid in Queens Turns Up Massive Amounts of Counterfeit Goods

How's this for timing? Mere hours before Louis Vuitton hosted its Thursday night gala at the Brooklyn Museum to draw attention to counterfeiting, investigators and New York City police officers raided a Queens warehouse that turned up an estimated $5.5 million in fake handbags and sneakers, according to WWD.

Thousands of handbags bearing the Burberry, Chanel, Coach, Fendi, Kate Spade, Gucci and Prada labels were confiscated during a raid at 129-02 Northern Boulevard in the Corona section of Queens on Thursday afternoon. In addition, Nike-labeled footwear was discovered.

Kevin Dougherty, president of private investigations firm Counter-Tech Investigations Inc., which headed up the investigation, said it would likely take several days to empty the contents of the two-story brick warehouse. Dougherty said his "conservative estimate" of the amount of bogus goods in the facility stood at more than 50,000 handbags and 65,000 pairs of Nike shoes. He also believes the labels of other well-known brands are likely to be found as crews begin wading through two levels of floor-to-ceiling boxes.

Several people were taken into custody. Yeah!

Source: WWD

Counterfeit Luxury. Louis Vuitton's Special Installation

Tonight, Louis Vuitton is unveiling a new camouflage print developed by Murakami and Marc Jacobs called Monogramouflage. Why? It's a special installation designed to bring attention to counterfeiters! Genius.

Rather than alerting potential customers about the importance of protecting original designs, the French luxury goods house will be taking a novel, somewhat intriguing route. Outside the exhibition with a "Brooklyn Ball" at the Brooklyn Museum tonight, Vuitton is setting up 10 New York-style street vendors. They won't be selling fakes, but rather authentic Louis Vuitton product and special Monogramouflage canvases that Murakami has created specifically for the exhibition.

"We always thought that counterfeit requires zero tolerance for several reasons," Yves Carcelle, chairman and chief executive officer of Louis Vuitton, told WWD in an exclusive interview. "It's a gray economy that escapes all rules of normal labor and normal economic rules and taxations, so it's a bad thing for every state in the world. Secondly, it's bad for any kind of creativity, research and development, because if you don't protect intellectual property, why should people dedicate time and energy to create?"

According to WWD, Vuitton now employs a 40-member team that focuses exclusively on protecting its trademarks, designs, models, copyrights and domain names. Since 2003, the company has conducted over 30,000 raids against individuals or companies selling fake Vuitton merchandise.

"Thanks to the law, if you are a landlord and you authorize your tenant to sell counterfeits, you can be liable if the tenants cannot pay the fine," Carcelle said. "There is a self-regulation about this, which is good. Our commitment is to fight not only by ourselves but really also with our colleagues. It's a joint effort for everyone in luxury and fashion and also pharmacy and automobile spare parts and so on.

Sales from the Brooklyn Museum's store and the street vendors on the night of the gala will benefit the Federal Enforcement Homeland Security Foundation.

The Monogramouflage collection featuring luggage, handbags, small leather goods, costume jewelry and ready-to-wear will launch at the museum on June 1 and will be available at select Vuitton stores worldwide starting June 15.

Read "Fighting the Fakes: Louis Vuitton and Murakami Make a Show of It"

Source & Photo: WWD

Counterfeit Luxury: Busted! Canal Street 'Counterfeit Triangle' Raided and Shuttered

According to WWD, the collection of buildings in Chinatown occupying a city block and operating as a virtual mall for counterfeit goods also known as Counterfeit Triangle has been shuttered. They were raided by New York City police officers yesterday morning, resulting in the seizure of more than $1 million in knockoff accessories and fragrances bearing some of the fashion industry's best-known labels, including Prada, Fendi, Coach, Rolex, Gucci, Dolce & Gabbana, Burberry and Calvin Klein.

The block was found to house 32 storefronts illegally selling fake goods. The three raided buildings are owned by the Vincent Terranova estate, a landlord who city officials said has knowingly rented out space to counterfeit retailers dating as far back as 1999.

During a press conference, NYC Mayor Michael Bloomberg said it was one of the largest takedowns of trademark copiers in the city's history and proves New York's get-tough attitude toward counterfeiters.

The mayor said, "[The Counterfeit Triangle] has been one of the most notorious knockoff shopping malls in the five boroughs, one with more than 150 employees operating with impunity 10 or more hours a day, seven days a week, even while the building owners were under a long-standing federal court order to stop counterfeiting activities."

No arrests have been made, but city officials will move quickly to issue violations of health and safety codes that will result in orders to vacate the premises, effectively shutting the buildings down.

"We want all companies in this country and this world to understand if they come to New York, we will protect their rights," Bloomberg said. "We're going to go after anybody that tries to defraud them."

Bloomberg also had a message for the throngs of tourists that continue to flood Chinatown in search of knockoff labels: "This is the wrong place to come if you want to buy stolen merchandise. We are not a place that engages in criminal activity."

Read "Counterfeit Crackdown: New York Police Shutter Canal Street Buildings"

Legally Yours. Counterfeit Luxury Accessory Ring Busted

According to WWD, three defendants were indicted and arrested last week for importing more than 300,000 counterfeit luxury handbags and wallets with an estimated value of $100 million.

The China made goods, were labeled Burberry, Louis Vuitton, Coach and Gucci.

According to court documents, a motion to seal the case was filed October 2, 2007, but was unsealed Wednesday. Chong Lam, Siu Yung Chan, also known as Joyce Chan, and Eric Yuen were charged with one count of conspiracy to traffic counterfeit goods, four counts of trafficking counterfeits and two counts of illegal smuggling.

Lam and Chan were arrested in New York on Wednesday. Yuen was arrested on Thursday in Las Vegas. Also on Wednesday federal U.S. Immigration and Customs Enforcement agents searched the defendants store on West 30th Street in New York and executed a restraining order to seize assets which included 29 bank accounts and three New York properties. Investigators estimated that the defendants had received at least $16 million from sales of the illicit goods.

The penalties in the case could be as much as 55 years in prison and $8.75 million in fines for each defendant if they are convicted.

Good luck with that....

Source: WWD