Posts Tagged: "costco"

Second Circuit Vacates Trademark Infringement Holding Against Costco For Use of the Term ‘Tiffany’

On August 17, the United States Court of Appeals for the Second Circuit vacated and remanded a decision of the district court in Tiffany & Co. v. Costco Wholesale Corp. In particular, the Circuit Court held that the district court’s determination that Costco was liable for trademark infringement and counterfeiting was inappropriate at the summary judgment stage. In November 2012, a customer alerted Tiffany that Costco was selling diamond engagement rings that she believed were being advertised as Tiffany & Co. rings. Costco admitted to selling rings with identifying signs using the phrases “Tiffany setting,” “Tiffany set,” or “Tiffany style,” and in some instances using only the word “Tiffany” for identifying the setting style of the ring. The rings identified by the customer were accompanied by signs reading “Platinum Tiffany.”

Amazon.com: A Retail Giant With Major Counterfeit, Piracy and Data Privacy Issues

It’s not just counterfeits of gadgets or luxury fashion items available for sale on Amazon, lining the already deep pockets of Bezos. As we’ve noted in other reports, there are plenty of counterfeit items that mimic badges and official documents from law enforcement agencies like the Federal Bureau of Investigations and the Secret Service. But a recent letter sent by the Federal Communications Commission in late May of this year indicates that Amazon is also allowing the sale of set-top boxes which falsely use FCC logos in the branding, indicating that the device is permitted by FCC regulation when in fact it is not.

Costco v. Acushnet: Costco’s Preemptive Strike Sets Tone for Litigation

Tensions between Costco Wholesale Corporation (“Costco”) and Acushnet Holdings Corp. (“Acushnet”), maker of the Titleist golf ball, have risen since Costco escalated matters last Friday by filing suit seeking a declaratory judgment in an ongoing dispute between the corporate heavyweights. The most recent in the series of intensifying clashes is over Acushnet’s claims that Costco’s Kirkland Signature (“KS”) golf ball infringes on some eleven (11) Acushnet patents, and that Costco is engaged in false advertising holding the KS golf ball against the Titleist.

Tiffany & Co. Successfully Asserts Trademark Infringement Claims Against Costco

On October 5, 2016, a jury in Tiffany and Co. v. Costco Wholesale Corp. – litigated before Judge Swain of the Southern District Court of New York – awarded Tiffany & Co. (Tiffany) $8.25 million in punitive damages for willful and bad faith infringement of their trademark by defendant Costco Wholesale Corp. (Costco). This award, in combination with an earlier award of $5.5 million in profits and statutory damages, brings the total damages owed by Costco to $13.75 million. The case is particularly notable for several reasons, but specifically because punitive damages were awarded.

Costco Attempts to Defend Sale of Counterfeit TIFFANY Diamonds

This should have been an open and shut case. But then Costco decided to aggressively defend what seems indefensible. Costco is basing its defense on the belief that the “[t]he word Tiffany is a generic term for ring settings comprising multiple slender prongs extending upward from a base to hold a single gemstone.” See opening paragraph of the Costco Answer and Counterclaim. In support of this position Costco submitted dictionary definitions, pages from Wedding Planning for Dummies discussing rings, online articles (such as from About.com), online sales pages (such as from Amazon.com) and other materials.