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4 December 2018

CK and Hugo Boss sue unauthorised retailers

Multinational beauty companies Coty, Calvin Klein and Hugo Boss have filed a trademark lawsuit against a trio of wholesalers and retailers at the US District Court for the Southern District of New York.

New York-based Coty and Calvin Klein and Hugo Boss, which is based in Metzingen, Germany, are suing Cosmopolitan Cosmetics, Cosmetic Merchandise Corporation and Cosmetic Market for trademark infringement, trademark counterfeiting and unfair competition.

The complaint alleges that the defendants knowingly and wilfully distributed and sold decoded and/or counterfeit Calvin Klein and Hugo Boss fragrances, namely ‘Deep Euphoria’, ‘Hugo MA’, ‘Boss Bottled’ and ‘Boss The Scent’.

Coty, a manufacturer and distributor of Calvin Klein and Hugo Boss, said that in order to ensure the “uniformly high quality” of both companies’ fragrances, it applies a production code to each genuine unit at the time of manufacture. This code not only dates the product but “is critical to anti-counterfeiting, anti-theft and quality control efforts”. Without this code, fragrances are no longer traceable by Coty and are often mixed with counterfeit or stolen fragrances.

The filing claimed that on August 22, Coty’s chief security officer examined 215 units of Coty fragrances in New York-based Cosmetic Market’s inventory. Of those inspected, 18 units had been decoded. Decoded fragrances are those which have had their production codes removed in order to conceal the identity of an unauthorised seller or those which are stolen.

According to the filing, Cosmetics Market owner, Moshe Nakash, identified wholesaler Cosmopolitan as the source of the retailers decoded fragrances.

Coty, Calvin Klein and Hugo Boss are also suing for unfair competition, citing an “intent to reap the benefit” and reputation associated with Coty, while also creating consumer confusion and tarnishing the famous trademarks of the Calvin Klein and Hugo Boss brands.

The companies are seeking a permanent injunction, triple profits and damages, as well as legal fees.

This is not the first time Cosmopolitan has been identified as the source of allegedly decoded fragrances. In May 2016, a fragrance retailer in Texas named the wholesaler as the supplier  of decoded units of Coty’s Vera Wang ‘Lovestruck’ fragrance.

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Trademarks
10 September 2018   American fashion brand Calvin Klein has filed a lawsuit against online counterfeiters who have allegedly been selling infringing underwear, handbags, and sunglasses.
Trademarks
28 September 2016   US fashion brand Calvin Klein has sued a group of counterfeiters who have allegedly sold unauthorised and unlicensed products bearing the company’s trademarks online.