Gucci Files Lawsuit Against American Retailers for Counterfeit Sales

Gucci has once again undertaken legal proceedings to combat counterfeiting by filing multiple complaints in a New York court against leading American retailers. The lawsuits were filed via Gucci America Inc, the American offshoot of the luxury brand that falls under the Kering corporation. The retailers, which include Lord & Taylor, Sam’s Club, Century 21, and Saks Off Fifth, are accused of selling and marketing counterfeit Gucci merchandise. “After completing an in-depth investigation, Gucci is instigating legal proceedings against Lord & Taylor, Sam’s Club, Century 21, and Saks Off Fifth for their part in selling and marketing fake Gucci products,” a brief statement issued by the luxury brand explained.

Gucci’s commitment to protecting its customers from the underhanded tactics of resellers was reiterated. Reports from WWD, the American magazine, were confirmed by the brand in saying that three disparate complaints were filed against Lord & Taylor, Sam’s Club, and Century 21. According to The Fashion Law, a specialized publication, the lawsuits allege that “Gucci’s investigators bought supposed Gucci-labeled items from the websites of Lord & Taylor, Sam’s Club, and Century 21, only to discover upon inspection that they were 'non-authentic'."

The accusations by Gucci resonate across the American fashion industry, due to the prominence of the retailers involved. Lord & Taylor, founded in 1826 and the oldest department store chain in America, was declared bankrupt in 2020 and then purchased by the Saadia group. Sam’s West is a Walmart-owned, members-only retail warehouse chain, and Century 21 is a well-known New York department store specializing in discount branded clothing.

The accused retailers have begun to respond to the allegations, according to reports from The Fashion Law. Lord & Taylor’s lawyers have admitted to knowledge of counterfeit sales but have not responded to Gucci’s communications. Century 21, although initially asserting the genuineness of the items, vowed to recall and investigate the items. Sam’s Club immediately eliminated counterfeit inventory from its stores and website while providing information about the suppliers.

Gucci “has instituted lawsuits for forgery, trademark violation, unfair competition, and misrepresentation against the charged retailers and other related entities, aiming for prohibitions and reparation,” stated The Fashion Law. The luxury brand is currently undergoing a strategic evolution, following recent management changes with Jean-François Palus taking the reins and Sabato De Sarno taking over as creative director. The brand's focus is on revamping itself within the luxury sector and implementing a widespread restructuring of its sales networks in the past year, with a focus on modernizing its reseller channel. Gucci's products are currently primarily sold via its own boutiques and a select number of authorized retailers. This strategic change reflects the company’s intensified effort to protect its brand reputation, particularly from the spread of counterfeit items.

Previously in 2021, Gucci partnered with Facebook to file a lawsuit in California against an individual suspected of utilizing the social media platform to distribute fake Gucci products.