19 Jan 2021
Nike Inc. and Converse Inc. recently opened a 130-page lawsuit with the New York District Court. They filed against hundreds of websites and social media accounts for knowingly selling counterfeit products.
Here’s what we know…
On January 12th, the two major brands cracked down on 589 websites, 676 social media accounts, and more than 100 unidentified companies and individuals for alleged counterfeit activity. Some going so far as to openly admit they offer copied or replicated versions of Converse and Nike goods.
“The vast majority of defendants’ infringing websites contain either vague or completely false statements as to the authenticity of the products being offered for sale,” Nike claims in the report.
As we’ve shown in your Real vs Fake content, brands, especially Nike and Jordan have a few immediate tells for spotting a fake sneaker. Things like UV guidelines, materials used for specific construction, even the unique font size, color, and shape. However, the accounts in question took things a step further with their fraud than most.
“To ensure that consumers make the association between defendants’ counterfeit products and the genuine Nike Products from which they were copied, defendants not only copy the designs, patterns and color schemes associated with [Nike and Converse] products, but also expressly identify the counterfeit products as ‘Nike’ or ‘Converse’ products,” the filing writes.
But that’s not all…
Additionally, Nike reports the defendants currently operate “a counterfeit scheme.” They use 42 separate networks based in Bahrain, China, Saudi Arabia, and other overseas jurisdictions. While Saudi Arabia adopted new intellectual properties in 2016, U.S. patents and trademarks are not protected in Bahrain. Although China’s IP protection began in the 1980s, several U.S. companies have reported China stealing their IP between 2009-2019.
“Further, defendants make unauthorized use of plaintiffs’ marks, including the trademark-protected ‘Nike’ and ‘Converse’ names, throughout the infringing websites and infringing social media on which these goods are advertised or offered for sale to consumers in the United States and this District.”
Collectively, the 1,300+ accounts, websites, and individuals come accused of nine counts of trademark counterfeiting, trademark cyberpiracy, trademark infringement. Also, other actions deemed illegal under New York State and other federal laws.
So, the big question is “what happens now?” Converse and Nike suing so many sites could affect not just counterfeiters, but the resell market as well. But, only time will tell. For now, be sure to keep it locked to YankeeKicks for more updates.
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