Written By: Gabriella Fortugno (IP Lawyer)
What the Injunction Could Mean for WGACA
If granted, WGACA would face strict limitations on its use and sale of pre-owned Chanel™-branded items.
The proposed injunction would prohibit WGACA from:
- Using any and all Chanel™ trademarks;
- displaying Chanel™ runway, marketing, and print photos;
- using hashtags with the word “Chanel”;
- using discount codes or promotional materials with the word “Chanel”;
- referencing the name, image, or likeness of the founder, Gabrielle “Coco” Chanel;
- making claims, representations, or statements relating to the authenticity of Chanel™-branded products.
The injunction also sets out specific rules for selling pre-owned Chanel™-branded items:
- Disclaimers – WGACA would need to clearly state that Chanel™ has not authenticated the items on all webpages, social media posts, and product tags. WGACA would also need to include the Chanel™ Serial Number on each product.
- Limits on the Sale of Altered Items – WGACA would be prohibited from selling Chanel™-branded products that have been altered with non-original Chanel™ parts. If items have been repaired, restored, or refurbished, the nature of the repair, restoration, or refurbishment must be clearly disclosed on the product page or physical tags.
Potential Impact on the Luxury Resale Market
This injunction could impact the luxury resale industry, setting new standards for how resellers interact with iconic brands like Chanel™. It may also influence other luxury brands to seek similar protections for their trademarks.
Stricter rules on how brands like Chanel™ are represented in the secondary market may lead to increased compliance costs and operational challenges for resellers. These restrictions might also reduce the inventory available for sale, particularly for items that have been repaired or altered.
The final decision on the injunction is still pending, but its outcome could set a precedent for how other luxury brands approach trademark enforcement in the luxury resale market.
If you want to discuss trademarks in the fashion industry, or if you have any questions about potential trademark or other intellectual property violations in the luxury resale market, do not hesitate to contact one of our experts today!
