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Fendi wins lawsuit against Burlington Coat Factory Warehouse

US department store Burlington Coat Factory Warehouse has agreed to pay $10m (£6.35m) to settle a legal case with designer brand Fendi, for selling counterfeit Fendi goods, Fendi has said.

Fendi said the settlement resolves a dispute between the two parties dating back to 1986, when it sued Burlington for sales of counterfeit Fendi branded handbags.

The company said the legal case is one of several trademark counterfeiting actions filed by Fendi since 2006 against brick-and-mortar retail store chains and their suppliers.

Michael Burke, chairman and chief executive officer of Fendi, said, “Fendi takes all appropriate and necessary action to protect our customers against counterfeiting and infringement. We also expect retailers to acknowledge and uphold their responsibility to verify their sources and to sell only authentic goods. It’s particularly reassuring that the district court made clear in its rulings in this case that the retailer is responsible for making sure that trademarked products sold to the public are authentic, and that the consequences when a retailer sells counterfeit goods are serious.”

A Burlington Coat Factory spokeswoman said: “Burlington Coat Factory does not agree with the district court’s rulings and makes no admission that it agrees with its conclusions in settling this matter. Burlington Coat Factory is a responsible company and has an active trademark compliance program. Burlington Coat Factory agreed to settle the matter with Fendi  so that current management will not have to spend time in appeals on matters that happened under prior management, many years ago. We are focused on providing customers with quality merchandise at up to 60% off department store prices.”

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