Tiffany & Co., one of the most iconic trademarks, recognized globally for their beautiful and high-quality jewelry collection is back in the courtroom with Costco. Costco Wholesale, also a worldwide company, allegedly intentionally used Tiffany’s famous name in point-of-sale signs to sell inferior copies of an engagement ring for which Tiffany is renowned.
The District Court granted summary judgment for trademark infringement and trademark counterfeiting, and for unfair competition under New York Law. The “Tiffany” Trademark was registered in 1920 with the United States Patent and Trademark Office (USPTO). Tiffany & Co. is urging the federal appeals court to affirm a $19.3 million judgment. Costco is seeking a reversal. Costco claims they did not act in bad faith by using the Tiffany name to describe the setting style of its rings. A picture submitted by a Tiffany customer shows a ring on display and a description saying, “Platinum Tiffany .70 CT VS2.1 Round Diamond Ring $3,199.99.” Costco is arguing that “Tiffany” is a generic word and they were entitled to use the word “Tiffany” to describe the ring.
The decision of this case may clear up the somewhat broad definition of counterfeiting under the federal Lanham Act. The Lanham Act is a federal statute that governs trademarks, service marks, and unfair competition. Stayed tuned for more about how Tiffany Co. and Costco are shaping Intellectual Property Law.
Written By: Sharrissa Stratton