Homiès & Other Streetwear Parodies Test Designer's Trademark Rights

Photo: Asos.com

WWD came out with a great article last week on the prevalence of designer parodied trademarks on apparel that have become a huge trend as celebrities and fashion bloggers have embraced these re-created logos.   The most popular may be the "Homiès" sweatshirts and t-shirts created by Brian Litchenberg and seen on the backs on Rihanna, Miley Cyrus, the Kardashians and Cara Delevingne.  

But what are the legal ramifications?  Find out after the jump and see more designer parodied 
logos...

Louis Vuitton Will Not Appeal Fine Over Hermès Stake

Louis Vuitton has decided not to appeal the fine imposed from the AMF (France's equivalent of the Securities Exchange Commission in the U.S.).  The AMF fined LVMH a record €8 million a couple of months ago for failing to disclose a significant amount of Hermès' stock it accumulated by using complex derivatives to avoid detection in the public markets.  While the company initially stated it would appeal the decision, it has now changed coursed and decided to pay the fine and move on. 

LVMH said in a statement, that the decision was to avoid further costs and time dealing with an appeal and to "[ensure] the soundest possible management of its investment in Hermes."  The company also reiterated that it "never breached regulations regarding ownership thresholds or engaged in insider trading or market manipulation."Read the entire statement after the jump.

French Regulator Fines Louis Vuitton $10 Million Over Hermès Stake

The French regulator, Autorité des Marches Financiers (AMF") fined LVMH €8 Million ($10.4 million) which is less than the maximum penalty of €10 Million ($13 million) which the company was facing.  The fine was due to LVMH's failure to disclose a large accumulation of Hermès stock under French securities laws. 

This is the largest fine ever imposed by the AMF, which noted in a press release that such fine reflects the "seriousness of the successive breaches of public-disclosure requirements which consisted in concealing each stage of LVMH's stake-building in Hermès" and that "circumvention of the rules intended to ensure transparency, which is so vital to orderly markets, must be punished to the same extent as the disruption it causes."  

Hermès Sues Louis Vuitton in Commercial Court

Lately, it seems like the two premier luxury brands will never make peace as both have been filing lawsuits against each other.  Now add one more.  In its complaint filed with commercial court in Paris, Hermès accused LVMH of "most important fraud in the history of the French stock market."  Hermès wants the court to undo the transactions that allowed LVMH to secretly build up a large stake in its company. LVMH used a series of equity swaps to purchase shares without having to declare its stake over 5%.

Louis Vuitton Files Criminal Lawsuit Against Hermès

Photo: Judy Wu

The tension between LVMH and Hermès is here to stay.  Just a few weeks before the French market regulator is expected to decide LVMH's fate for secretly amassing a large stake in Hermès, LVMH decides to file a criminal complaint against an Hermès manager for slander.  The manager's identity has not been disclosed but LVMH is claiming that the manager made implications that LVMH acted fraudulently.  The media has speculated that the lawsuit is against Hermès International's CEO, Patrick Thomas.  

French Regulator to Decide Hermès - LVMH Dispute

On October 23, 2010, LVMH Moët Hennessy Louis Vuitton SA announced that they had acquired a significant stake in Hermès International, which is now at 22.3% to everyone's surprise including Hermès themselves.  We now know since 2001, LVMH has slowly been acquiring shares of Hermès below the 5% threshold in which an amount over would require disclosure under French securities laws.  The company also used complex derivatives and other financial instruments to amass its stake without tipping off the public, which may have been in violation of those securities laws.

Hermès Scarves Unveiled: "No Sex. No Blood."

Photo: Hermès

I love Thursdays not just because it means the weekend is almost here but also because on Thursdays, the Wall Street Journal and New York Times have sections dedicated to fashion.  I'm always so curious to see what the story of the week will be.  This week, the WSJ featured a story on the makings of one of the most desired and revered accessories in fashion, the Hermès scarf.  Hermès scarves are a status symbol and if you've ever looked closely at one, they are an amazing work of art.  Unfortunately, at $400+ a piece, it doesn't come cheaply either.  (Check them out on Hermès' website).