Burlington Coat Factory Ordered to Pay Fendi $4.7 Million in Lawsuit

by Bee-Shyuan Chang (Subscribe to Bee-Shyuan Chang's posts)
Posted Feb 22nd 2010 at 3:45PM

The bag's out at Burlington Coat Factory's Fendi trademark infringement. Photo: eBay.com

I told you once, I told you twice. That's what Fendi must be thinking with its whopping $4.7 million win against Burlington Coat Factory.

After a trademark infringement spat over counterfeit goods was resolved between the two in 1987 -- the court ordered an injunction against Burlington Coat Factory Warehouse Corp. from selling any Fendi-labeled products, the two were at it again in 2006.

Fendi North America Inc. filed suit in the U.S. District Court in Manhattan claiming that Burlington Coat Factory had violated the injunction by continuing to sell counterfeit bags bearing Fendi's logo.

Now the verdict is in and Judge Leonard Sand was all for Fendi, reports WWD. The court found Burlington Coat Factory in contempt of the injunction and ordered the retailer to pay up: as in $4.7 million up! The amount includes the profits the retailer earned plus interest and attorney's fees.

Fendi's CEO Michael Burke was plenty pleased with the outcome and spoke out on the responsibilities of retailers. Burke told the paper, "Retailers have a duty to society and their customers to do a certain amount of due diligence. Clearly [Burlington Coat] did not."

But the bad news may not be over for Burlington Coat Factory just yet. Judge Sands is still pending the magistrate court's recommendations for damages for infringement, which were not included in the $4.7 million penalty.

Trademark infringement seems to be the court date of choice these days. See who Marc Jacobs is suing.

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Filed under: Fashion, News, Designers & Brands
Tags: Burlington Coat Factory, fashion lawsuits, Fendi, Lawsuits, Retailers, trademark infringement

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READER COMMENTS

(10)Add A Comment

Ken, 2-23-2010, 3:00PM

rggirt what the hell are you talking about? How can a trademark infringement case in which two very wealthy white controlled corporations have anything to do with a judge hating white society? You are an idiot!

I pray to God that you don't have children and pass along your stupid gene.

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jeff, 2-23-2010, 6:25PM

True and funny.....Good one!

demarsaque, 2-23-2010, 4:20PM

normally, i don't like criticisms from one person to another. but, ken, in this situation, your response was wonderful...! thanks for the good laugh....right on!!!

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The Villain, 2-23-2010, 4:38PM

Are there other brands being sold there as knockoffs? I remember reading about some mens' suits not too long ago. I think the brand was Perry Ellis, that also turned out to be fakes. I'm not sure if it was Burlington or TJ Max . Wow, and I thought knockoff were only available on the streets.

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Brad, 2-23-2010, 5:42PM

These "designer" brands are such crap anyway. They are merely status symbols at best. There is nothing in each bag or outift that is worth anywhere near the money they charge. They dupe people into paying huge sums so they can live well.

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Walt, 2-23-2010, 6:22PM

good job, this poor guy (riggirt) needs help, or he is very young and filled with hate, oviously he does not understand the law.

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sarah, 2-23-2010, 9:37PM

They also got caught selling coats, that when the name tag came off it revealed they were really from walmart.

And some coats a few years back from China had real dog and cat fur in the trim.

I don't shop Burlington and now am really glad I don't.

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sdean50, 2-23-2010, 10:04PM

I worked for Burlington CF when we had to remove all the merchandise with dog fur. That was true.

FameAppeal.com, 3-04-2010, 1:07PM

Burlington Coat Factory had it coming, not to mention TJ MAXX, Marshals and countless other "bargain retailers." There is a fine line between boutique/luxury store inventory and what you find in department stores and "bargain retailers" can not get away with trying to sell Fendi next to a kenneth cole reaction tote bag. It just does not work out like that...

more power to fendi... and other high-end labels....

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dawn, 3-11-2010, 9:19PM

Ebay is the WORST,they have fake,chanel LV everything,its so obvious,if you report it,they do nothing,how can it be reported to authorities,I know that these fake sellings are funding so called (bad)things)

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