Chanel sues eBay trader for US$56 million

Chanel sues eBay trader for US$56 million

Chanel is seeking more than US$56 million in damages in a lawsuit that alleges that eBay trader Ryan Ladijinsky has breached its trademark through the unauthorized sale of Chanel-branded cosmetics and fragrances without their original packaging, according to a report published by The Fashion Law.

In the suit, the French fashion house maintains that the packaging is integral to its ‘reputation as a premium brand’. Further, ‘as a leader in the field of luxury fashion and beauty’, the brand’s packaging is designed to ‘befit and enhance Chanel’s reputation’ and ‘reflect the hard-earned image and reputation of Chanel as a manufacturer and seller of high-end luxury goods’.

“Our goal is to ensure a purchasing experience that matches the luxury image of the Chanel brand,” claims the label behind No.5. Selling products without the packaging, asserts Chanel, amounts to infringing products under US trademark law because without the proper wrappers the products ‘are materially different from the manner in which genuine Chanel products are sold’.

Chanel is requesting injunctive relief, preventing Ladijinsky from further sales as well as US$56 million in damages for trademark infringement and punitive damages for ‘wilful infringement’.

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