Costco To Pay Tiffany & Co. $19 million For Years of Counterfeit

U.S. District Judge Laura Taylor Swain ruled that Costco owes Tiffany & Co. approximately $19.4 million after years of selling knock-off engagement rings. 

According to CNN Money, Tiffany released a statement saying that the decision “validates the strength of the Tiffany trademark and the value of [their] brand, and most importantly, sends a clear and powerful message to Costco and others who infringe the Tiffany mark.” 

Jeffery Mitchell, the lead counsel for Tiffany & Co., said “this has been a long, hard-fought battle to vindicate Tiffany’s rights.” 

However, in a statement Costco expressed that they plan to appeal the court ruling. “This was not a case about counterfeiting in the common understanding of that word — Costco was not selling imitation Tiffany & Co. rings.” 

Tiffany originally filed a lawsuit against Costco in 2013 after learning from a customer that Costco was selling “Tiffany” engagement rings. But little did Tiffany & Co. know, Costco had been selling these engagement rings for years.

CNN Money also reported that Costco argued they used “Tiffany” as a generic term to describe the rings. They also claimed that the rings were never stamped or marked with the Tiffany logo or sold in blue boxes.

In addition to paying Tiffany & Co., Costco will not be allowed to used the word “Tiffany” to sell products.

 – Contributed by Devyn Rorie

WHUR Contributor

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