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Tuesday 17 April 2012

Gucci Accuses Guess of Infringing Trademark and Design in $124m fight


It was fashion versus fashion as luxury retailer Gucci America Inc. faced off in court against Los Angeles clothier Guess Inc. over a multimillion-dollar trademark lawsuit.
In the opening day of trial in Manhattan, Gucci accused Guess of copying its designs in a "complicated scheme" to knock off the Italian fashion company's most iconic trademarks, according to Bloomberg.

The saga began three years ago when Gucci, a unit of the French luxury conglomerate PPR, filed suit against Guess alleging the California company tried to "Gucci-ize" its products by crafting logos that closely imitated Gucci trademarks. The lawsuit pointed to Gucci's square G logo, its green and red stripes, and its interlocking G pattern as designs that Guess had allegedly copied.
Gucci alleged that Guess' designs so closely resembled its own trademarks as to cause confusion among shoppers.
"It's about a massive, complicated scheme to knock off Gucci's best-known and iconic designs," Gucci attorney Louis Ederer said in court Wednesday, according to Bloomberg.
In court documents, Guess struck back, saying that Gucci can't cry foul because it "sat on its rights" and waited at least seven years before suing, Bloomberg said.
Guess also said that Gucci has "no evidence" that the designs in question would cause consumers to become confused.
U.S. District Judge Shira Scheindlin, who is presiding over the trial in lieu of a jury, had previously determined that Gucci had produced evidence to proceed with a straightforward infringement lawsuit, but dismissed other claims alleging trademark dilution.
Gucci is seeking damages and other penalties in excess of $124 million, Bloomberg said. adds latimes
Guess responded that Gucci's infringement claim is flawed because the company "sat on its rights" for seven years before suing.
Daniel Petrocelli, a lawyer for Guess, also argued that of 1,495 Guess products claimed by Gucci to be infringing their trademark, 99 per cent "could never be confused with Gucci."
Petrocelli asserted that Guess targets a younger customer base than Gucci, since many young women cannot afford luxury goods. "The numbers don't add up," Petrocelli told the judge. "If there was a scheme, it failed miserably."
Other defendants include Marc Fisher Footwear, who own the exclusive license to sell Guess footwear, the Max Leather Group and Swank Inc. Darren Saunders, a lawyer for Marc Fisher, stated that "there was neither an intent to copy nor an intent to deceive."
Trials have finally begun for a lawsuit filed three years ago, in which Gucci accused Guess of producing "studied imitations of the Gucci trademarks." Last week, Gucci's lawyer Louis Ederer told a judge that Guess was engaged in a "massive, complicated scheme to knock off Gucci's best-known and iconic designs," reported Bloomberg.
Now Guess has hit back. On WednesdaPaul Marciano, Guess Inc. CEO, took the stand for a four-hour long examination by Ederer. He defended his company's actions, acknowledging some design similarities but denying any wrongdoing.
"What I understand here, which is very frequent [in fashion], is an inspiration to create an original bag of G's with the same components," Marciano stated, according to Women's Wear Daily. "That's what design is."
Guess is being accused of specifically ripping off four designs: Gucci's green and red stripe; the interlocking "G" pattern; the square "G" and the brand name's delicate script font. Gucci claims that Guess sold more than $221 million worth of products featuring these trademark infringements.
Marciano admitted, as he has done before, that a pair of Guess sneakers featuring a red stripe over an interlocking "G" print was so similar to Gucci that he was "embarrassed." Yet that was one instance that the company has since repented for, Marciano argued; overall, Guess and its footwear licensee, Marc Fisher Footwear, have been following the rules.
"You interpret your own way with your own brand," he said.
The trial continues this morning. In the meantime, check out a few Guess and Gucci products below. Do you think Guess has been ripping off the Italian luxury brand? added huffingtonpost

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