A federal grand jury in Manhattan concluded on Wednesday that an artist’s non-fungible versions of the famous Birkin bags by the Hermes violated the trademark rights of the French fashion house.
In one of the first intellectual property tests on the popular digital tokens known as NFTsthe jury found that artist Mason Rothschild’s unauthorized “MetaBirkins” were likely to confuse consumers.
The jury awarded Hermès $133,000 in damages for trademark infringement, dilution and cybersquatting, or cyberpossession, announced the District Court for the Southern District of New York.
Rothschild attorney Rhett Millsaps called the result “a terrible day for artists and for the First Amendment (to the US Constitution).” Representatives for Hermès did not immediately respond to requests for comment.
The case has been closely watched for its potential to shed light on how trademark law applies to NFTs, which are unique tokens on blockchain cryptocurrency networks often used to verify ownership of pieces of digital art.
The designer’s prized Birkin leather bags typically sell for tens of thousands of dollars each. The company has sold over $1 billion worth of Birkins in the US. U.Smore than 100 million in the last ten years alone, according to a court filing.
The fashion house sued Rothschild last year over its MetaBirkins, 100 NFTs associated with images depicting bags covered in colorful fur.
Source: Moneytimes
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