UPDATE – Luxury Resale: Chanel v WGACA

Written By: Stephanie Williams (IP Lawyer) & Gabriella Fortugno (B.Eng., J.D.)

As we have previously reported, the ongoing trademark dispute between Chanel™ and What Goes Around Comes Around™ (WGACA), a luxury reseller, has been a subject of keen interest in the luxury resale fashion community since March 2018.

On January 9, 2024, the trial began with Chanel™ challenging WGACA’s authentication process, witnesses, and the use of quotes and images related to founder, Gabrielle “Coco” Chanel.  This case deals with the use of trademarks for identifying genuine secondhand products, the alleged sale of goods bearing stolen Chanel™ serial numbers, and the tension between luxury brands and their luxury resale counterparts.  

This case could significantly shape the boundaries and practices of the luxury resale market and further increase trademark infringement allegations and legal action by other luxury brands.  However, this 6-year dispute is far from over as Chanel™ has already expressed their readiness for a potential appeal. 

We are eagerly watching for the conclusion of this trial and what this will mean for luxury resellers.

In the meantime, if you want to discuss trademarks in the fashion industry, or if you have any questions about trademark infringement in the luxury resale market, do not hesitate to contact one of our experts today!