Burberry v. J.C. Penney - Complaint
Burberry v. J.C. Penney - Complaint
Burberry v. J.C. Penney - Complaint
BURBERRY LIMITED,
a United Kingdom Corporation
BURBERRY LIMITED,
a New York Corporation,
Plaintiffs,
v.
J.C. PENNEY CORPORATION, INC. and
THE LEVY GROUP, INC.,
Defendants.
COMPLAINT
dilution and for violations of the New York State common law and related causes of action
brought pursuant to Sections 32, 43(a) and 43(c) of the Lanham Act, 15 U.S.C. 1114, 1125(a)
and (c), Sections 349 and 360-1 of the New York General Business Law, and the common law of
the State of New York. Through this action, Burberry seeks injunctive relief and damages
arising from Defendants willful misappropriation of Burberrys famous and distinctive
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BURBERRY CHECK trademarks for their own gain. Upon information and belief, Defendants
import, distribute, promote, offer for sale and/or sell wearing apparel that display infringing
versions of Plaintiffs famous trademarks.
2.
promoting the goodwill of its principal trademarks, including its distinctive check trademarks
(referred to collectively herein as the BURBERRY CHECK Trademark or the BURBERRY
CHECK Trademarks), among others, for a wide variety of goods, including scarves, coats, and
other apparel and related items. As a result, the BURBERRY CHECK Trademark has become
among the most famous marks in the United States and around the world for such products.
3.
CHECK Trademark, the Defendants have offered for sale and sold merchandise, including scarf
coats and jackets, which display the BURBERRY CHECK Trademark or substantially
indistinguishable reproductions thereof. Defendants have offered for sale and sold their
infringing products without Burberrys permission, authorization, or approval. Defendants
infringement of the BURBERRY CHECK Trademark is likely to cause, and has caused,
consumers to believe mistakenly that the Defendants are either affiliated with, sponsored by or
somehow connected to Burberry, or that the infringing products sold and promoted by
Defendants either are genuine Burberry products, or, were endorsed or authorized by Burberry.
4.
For these and other reasons, Defendants conduct has caused and, unless enjoined,
will continue to cause irreparable injury to Burberry and an incalculable loss of goodwill and
damages.
THE PARTIES
Plaintiffs
5.
Plaintiff Burberry Limited is a corporation duly organized and existing under the
laws of the United Kingdom with a principal place of business at Horseferry House, Horseferry
Road, London SW1P 2AW, United Kingdom (Burberry (UK)).
6.
Plaintiff Burberry Limited is a corporation duly organized under the laws of New
York with a principal place of business at 444 Madison Avenue, New York, New York 10022
(Burberry (US)).
Defendants
7.
Upon information and belief, J.C. Penney Corporation, Inc. (J.C. Penney) is a
corporation duly organized under the laws of Delaware with a principal place of business at 6501
Legacy Drive, Plano, Texas 750243698. Defendant J.C. Penney offers for sale and sells apparel
and other merchandise nationwide online and through stores in New York and elsewhere.
8.
Upon information and belief, Defendant The Levy Group, Inc. (Levy Group) is
a privately held corporation duly organized under the laws of New York with a principal place of
business at 512 Seventh Avenue, New York, NY 10018. Defendant Levy Group is a
manufacturer, marketer and distributor of mens and womens outerwear and tailored clothing.
JURISDICTION AND VENUE
9.
This action is based on Section 32(1)(a) of the Lanham Act, 15 U.S.C. 1114,
Sections 43(a) and (c) of the Lanham Act, 15 U.S.C. 1125(a) and (c), Sections 349 and 360-1
of the New York Business Law, and the common law of the State of New York.
10.
This Court has jurisdiction over the subject matter of this action pursuant to
Section 39 of the Lanham Act, 15 U.S.C. 1121, 28 U.S.C. 1331, and 1338(a) for the claims
arising out of the violations of Sections 32(1)(a) and 43(a) and (c) of the Lanham Act; has
supplemental jurisdiction pursuant to 28 U.S.C. 1367 for the claims arising out of the violation
of Sections 349 and 360-1 of the New York Business Law and all other claims arising under the
common law of the State of New York; and has jurisdiction pursuant to 28 U.S.C. 1338(b)
and 1367 for the claims under the common law of unfair competition.
11.
This Court has personal jurisdiction over all Defendants. Defendant Levy Group
is a New York corporation headquartered in New York County and regularly transacts business
within this judicial district and elsewhere in New York. Defendant J.C. Penney regularly
transacts business within this judicial district and throughout New York through several retail
stores, including stores in Manhattans Herald Square and in the Bronx. Jurisdiction is further
proper over both Defendants because the unlawful, tortious conduct complained of herein has
caused, and continues to cause, injury to Burberry within New York and this judicial district.
12.
Upon information and belief, a substantial part of the events giving rise to the
claims occurred in this district. Venue in this Court is therefore proper under 28 U.S.C. 1391.
FACTUAL BACKGROUND
A.
13.
Burberry is a global luxury brand with a distinctively British heritage that designs
and sources high-quality apparel, including coats and scarves as well as accessories.
14.
its predecessor in interest, Mr. Thomas Burberry, first opened an outfitters shop in 1856. In the
1920s, the BURBERRY CHECK Trademark was introduced by Mr. Burberrys company. The
BURBERRY CHECK Trademark has been used on various Burberry merchandise over the
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years, including, for example, clothing, accessories, and other items. The BURBERRY CHECK
Trademark has been continuously used in both the original colors of red, camel, black and white,
as well as other color combinations for over three quarters of a century.
15.
16.
The BURBERRY CHECK Trademarks are in full force and effect and have
become incontestable pursuant to 15 U.S.C. 1065. True and correct copies of federal
trademark registration certificates for the BURBERRY CHECK Trademarks are attached hereto
as Exhibit A.
17.
The BURBERRY CHECK Trademark has been featured on many of the products
offered by Burberry in the United States including scarves, shirts and jackets, as well as luggage,
handbags and other items. As a result of its widespread use, the BURBERRY CHECK
Trademark has become a symbol of modern luxury as well as a symbol of Burberry and its high
quality merchandise. The BURBERRY CHECK Trademarks have acquired secondary meaning
and have come to be known as a source identifier for authentic Burberry merchandise.
18.
goodwill therein, Burberry has advertised and distributed merchandise displaying the
BURBERRY CHECK Trademarks throughout the United States, in New York and within this
judicial district. Burberrys advertising, promotional, and marketing efforts have resulted in
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widespread and favorable public acceptance and recognition of the BURBERRY CHECK
Trademarks.
19.
Burberrys advertising, promotional, and marketing efforts and its continuous use
of the BURBERRY CHECK Trademarks for many years has resulted in widespread and
favorable public acceptance and recognition of the BURBERRY CHECK Trademarks. Burberry
has attained one of the highest levels of recognition among luxury brands in the United States
and the BURBERRY CHECK Trademarks have become famous.
B.
20.
importing, distributing, supplying, promoting and/or selling apparel. Upon information and
belief, Defendant J.C. Penney sells merchandise through department stores and online
nationwide, including the infringing products at issue here. Upon information and belief,
Defendant Levy Group supplied merchandise that infringed the BURBERRY CHECK
Trademarks to J.C. Penney, and J.C. Penney offered for sale and sold such merchandise to
consumers.
21.
22.
Defendants have also offered for sale and sold a Quilted Jacket that also
features an exact copy of the BURBERRY CHECK Trademarks. The Quilted Jacket was not
manufactured, packaged, or approved for sale and/or distribution by Burberry. True and correct
images of a representative Quilted Jacket, designated as Item Nos. RP263-1712D; RP2644720D; and RP268-1812D, appear below:
23.
long after Burberry established its rights in BURBERRY CHECK Trademarks. Further, upon
information and belief, Defendants continued offering the infringing products for sale for
approximately two months after learning of Burberrys objections to their use of the
BURBERRY CHECK Trademarks on Scarf Coats and Quilted Jackets. By their actions, and
their knowing and conscious disregard for Burberrys rights to the famous BURBERRY CHECK
Trademarks, Defendants activities are willful.
24.
Even though Defendants infringing products are of inferior quality, they appear
superficially similar to genuine Burberry products. Defendants actions are intended to deceive
and mislead consumers into believing that Defendants or their products are authorized,
sponsored by or connected to Burberry.
25.
irreparably harm Burberry and dilute the distinctive quality of the BURBERRY CHECK
Trademarks. Defendants egregious conduct makes this an exceptional case.
FIRST CLAIM FOR RELIEF
Trademark Infringement Under Section 32 of the Lanham Act
26.
Burberry hereby incorporates by reference and realleges each and every allegation
Section 32(1)(a) of the Lanham Act, 15 U.S.C. 1114(1)(a), prohibits any person
from using in commerce, without the consent of the registrant, any trademark or any
reproduction, counterfeit, copy or colorable imitation thereof in connection with the marketing,
advertising, distribution, or sale of goods or services which is likely to result in confusion,
mistake, or deception.
28.
The BURBERRY CHECK Trademarks are federally registered. These marks are
inherently distinctive and are associated in the mind of the public with Burberry.
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29.
consent or authorization. Defendants use, including the importation, sale, offer for sale, and/or
distribution of infringing products in interstate commerce, is likely to cause confusion and
mistake in the mind of the public, leading the public to believe that Defendants products
emanate or originate from Burberry, or that Burberry has approved, sponsored or otherwise
associated itself with Defendants or their infringing products.
30.
Defendants are unfairly benefiting from Burberrys goodwill and reputation, as well as the fame
of the BURBERRY CHECK Trademarks. This has resulted in substantial and irreparable injury
to the public and to Burberry.
31.
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
SECOND CLAIM FOR RELIEF
Trademark Counterfeiting Under Section 32 of the Lanham Act
33.
Burberry hereby incorporates by reference and realleges each and every allegation
substantially indistinguishable from, the BURBERRY CHECK Trademarks on goods for which
Burberry holds federal trademark registrations. Defendants have used these spurious
designations in connection with the advertising, sale, offering for sale and/or distribution of
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goods for their own financial gain. Defendants egregious conduct makes this an exceptional
case. Burberry has not authorized Defendants use of the BURBERRY CHECK Trademarks to
advertise, offer for sale, sell and/or distribute Defendants infringing products.
35.
connection with the advertising and sale of counterfeit goods constitutes Defendants use of
Burberrys registered trademarks in commerce.
36.
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
THIRD CLAIM FOR RELIEF
False Designations of Origin and False Descriptions and Representations
Under Section 43(a) of the Lanham Act
38.
Burberry hereby incorporates by reference and realleges each and every allegation
Section 43(a) of the Lanham Act, 15 U.S.C. 1125(a), prohibits, inter alia, the
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40.
genuine Burberry products, these products have become widely known and have acquired a
worldwide reputation for excellence. Moreover, the BURBERRY CHECK Trademarks have
become uniquely associated with Burberry, and have come to symbolize the reputation for
quality workmanship and luxury associated with Burberry and its merchandise. As such, the
BURBERRY CHECK Trademarks have acquired secondary meaning. The BURBERRY
CHECK Trademarks are also inherently distinctive.
41.
Trademarks, Defendants have used false designations of origin and false representations in
connection with the importation, distribution, advertising, promotion, offering for sale and/or
sale of goods that are likely to cause confusion, mistake or deception as to the affiliation or
connection of Defendants with Burberry and as to the origin, sponsorship, association or
approval of Defendants goods by Burberry in violation of Section 43(a) of the Lanham Act,
15 U.S.C. 1125(a).
42.
43.
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
FOURTH CLAIM FOR RELIEF
Trademark Dilution Under 43(c) of the Lanham Act
44.
Burberry hereby incorporates by reference and realleges each and every allegation
Trademarks.
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46.
The BURBERRY CHECK Trademarks are famous and distinctive within the
meaning of Section 43(c) of the Lanham Act, IS U.S.C. 1125(c), and have been famous and
distinctive since long before Defendants began using confusingly similar and/or counterfeit
marks. Among other things: (1) the BURBERRY CHECK Trademarks have a high degree of
inherent distinctiveness; (2) the BURBERRY CHECK Trademarks have been used continuously
for decades throughout the United States to promote many goods and services; (3) Burberry has
advertised and publicized the BURBERRY CHECK Trademarks continuously for decades
throughout the United States; (4) Burberry has used its trademarks in a trading area of broad
geographical scope encompassing all of the states and territories of the United States; (5) the
BURBERRY CHECK Trademarks are among the preeminent marks in the relevant market; (6)
the BURBERRY CHECK Trademarks have an extremely high degree of recognition among
consumers; (7) there are no trademarks similar to the BURBERRY CHECK Trademarks; and (8)
the BURBERRY CHECK Trademarks are the subject of valid and subsisting registrations under
the Lanham Act on the Principal Register.
47.
without authorization from Burberry, used unauthorized reproductions, counterfeits, copies and
colorable imitations of the BURBERRY CHECK Trademarks. Defendants use of the
BURBERRY CHECK Trademarks dilutes and/or is likely to dilute the distinctive quality of
those marks and to lessen the capacity of such marks to identify and distinguish Burberrys
goods. Defendants unlawful use of the BURBERRY CHECK Trademarks in connection with
inferior, infringing goods is also likely to tarnish those trademarks and cause blurring in the
minds of consumers between Burberry and Defendants, thereby lessening the value of the
BURBERRY CHECK Trademarks as unique identifiers of Burberrys products.
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48.
By the acts described above, Defendants have intentionally and willfully diluted,
and/or are likely to dilute, the distinctive quality of the famous BURBERRY CHECK
Trademarks in violation of Section 43(c) of the Lanham Act, 15 U.S.C. 1125(c).
49.
50.
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
FIFTH CLAIM FOR RELIEF
Deceptive Acts and Practices Under
Section 349 of New York General Business Law
51.
Burberry hereby incorporates by reference and realleges each and every allegation
sale and sale of products bearing marks confusingly similar to the BURBERRY CHECK
Trademarks, Defendants have engaged in consumer-oriented conduct that has affected the public
interest of New York and has resulted in injury to consumers in New York.
53.
By the acts described above, Defendants have willfully engaged in deceptive acts
or practices in the conduct of business and furnishing of goods in violation of Section 349 of the
New York General Business Law.
54.
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
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Burberry hereby incorporates by reference and realleges each and every allegation
Trademarks.
57.
within New York, the BURBERRY CHECK Trademarks have become and continue to be
famous and distinctive.
58.
without authorization from Burberry, used unauthorized reproductions, counterfeits, copies and
colorable imitations of the BURBERRY CHECK Trademarks. Defendants use of the
BURBERRY CHECK Trademarks dilutes and/or is likely to dilute the distinctive quality of
those marks and to lessen the capacity of such marks to identify and distinguish Burberrys
goods. Defendants unlawful use of the BURBERRY CHECK Trademarks in connection with
inferior, infringing goods is also likely to tarnish those trademarks and cause blurring in the
minds of consumers between Burberry and Defendants, thereby lessening the value of the
BURBERRY CHECK Trademarks as unique identifiers of Burberrys products.
59.
By the acts described above, Defendants have diluted the distinctiveness of the
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61.
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
SEVENTH CLAIM FOR RELIEF
Trademark Infringement Under Common Law
62.
Burberry hereby incorporates by reference and realleges each and every allegation
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
EIGHTH CLAIM FOR RELIEF
Unfair Competition Under Common Law
65.
Burberry hereby incorporates by reference and realleges each and every allegation
Defendants acts have caused, and will continue to cause, irreparable injury to
Burberry. Burberry has no adequate remedy at law and is thus damaged in an amount not yet
determined.
WHEREFORE, Burberry prays:
A.
B.
(ii)
(iii)
(iv)
have engaged in deceptive acts and practices under Section 349 of the
New York General Business Law;
(v)
(vi)
(vii)
Defendants J.C. Penney and Levy Group, each of their officers, agents, servants, employees and
attorneys and all those in active concert or participation with either of them from:
(i)
(ii)
(iii)
(iv)
(v)
C.
For the entry of an order directing Defendants J.C. Penney and Levy Group to
deliver up for destruction to Burberry all products, advertisements, promotional materials, and
packaging in their possession or under their control bearing the BURBERRY CHECK
Trademarks, or any simulation, reproduction, counterfeit, copy or colorable imitation thereof,
and all plates, molds, matrices and other means of production of same pursuant to 15 U.S.C.
1118;
D.
U.S.C. 1117(b); or, in the alternative, (b) all illicit profits that Defendants J.C. Penney and
Levy Group have derived while using counterfeits or infringements of the BURBERRY CHECK
Trademarks, trebled, pursuant to 15 U.S.C. 1117(b); or, in the alternative, (c) statutory
damages, awarded to Burberry pursuant to 15 U.S.C. 1117(c), of up to $2,000,000 for each
trademark that Defendants have counterfeited and infringed, as well as attorneys' fees and costs;
and (d) an award of Burberrys costs and attorneys fees to the full extent provided for by
Section 35 of the Lanham Act, 15 U.S.C. 1117; and (e) profits, damages and fees, to the full
extent available, pursuant to Sections 349 and 360-l of the New York General Business Law; and
(f) punitive damages to the full extent available under the law; and
F.
For costs of suit, and for such other and further relief as the Court shall deem
appropriate.
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