Chanel Is Suing an Individual eBay Seller for Over $50 Million
Chanel is suing Ryan Ladijinsky for $56 million, alleging that he has been selling trademark Chanel products through his various eBay stores, reports The Fashion Law. The issue isn’t that the goods are counterfeit, but that Ladijinsky is not an authorized seller of Chanel products. What’s more, Chanel claims that he is selling “used goods, goods that were never intended for sale, and/or goods lacking any packaging or product information […as well as] testers of Chanel cosmetics, including lip gloss power, and blush; unboxed fragrances and cosmetics; and even used fragrance items.”
In the lawsuit, Chanel outlined 27 different trademarks that have allegedly been infringed upon, and are seeking punitive damages due to what they calls Ladijinsky’s “willful infringement.”
The core of their complaint has to do largely with the fact that Ladijinsky products are often sold without their original packaging, which Chanel claims is essential to its “reputation as a premium brand” and “integral to the product and to the buyer’s experience of Chanel’s products.”
The goal of the lawsuit, according to the brand, “is to ensure a purchasing experience that matches the luxury image of the Chanel brand.” Well, that and to scare the crap out of anyone looking to get into the Chanel resale business. They didn’t say that, of course, but it’s implied. After all, there is no way some dude selling makeup samples on eBay out of his garage could ever pay Chanel should this suit actually make it to court. Chanel knows this. And considering that they are pulling in $10 billion annually, Ladijinsky’s impact on their bottom line is negligible at best. Even so, Chanel does not mess around when it comes to protecting their trademark and they are not afraid to bring a bomb to a fist fight, if you know what I mean.
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