Chanel has prevailed in a trademark case against the reseller What Goes Around Comes Around (WGACA), a company selling vintage and pre-owned luxury goods. The New York federal court decision weighed in favor of Chanel on all four of its causes of action, awarded $4 million in statutory damages to the luxury brand in connection with counterfeiting.

The lawsuit, initiated by Chanel in March 2018, accused WGACA, a New York-based pre-owned luxury retailer, of selling counterfeit goods and implying affiliation with Chanel through advertising and marketing materials. The issues at stake in this case were not only the unlawful selling of counterfeit goods but also the unauthorized use of Chanel’s trademarks to promote WGACA’s products and mislead consumers.

“The jury decision reaffirms the idea that brand equity and intellectual property rights remain paramount, even in the face of evolving consumer demand towards the circular economy models.” – Jeanel Alvarado, Founder & CEO, RetailBoss

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