In Gucci v. Guess, Guess Who Has to Pay $4.66 Million?

by Mark J. Miller




Guess was ordered by a federal judge Monday to fork over $4.66 million to Gucci for copying the Italian luxury brand's iconic interlinked G's logo on four designs, but the folks at Gucci would have liked more cash than that.
They’ll have to make do with what they got because U.S. District Judge Shira Scheindlin told Guess that it didn’t have to pay Gucci any more than that for “damages reflecting lost sales or harm to its brand,” Reuters reports, although Guess was also banned from making any Gucci knock-offs.
The suit had Gucci criticizing Guess for “trying to ‘Gucci-ize’ its product line by selling wallets, belts, shoes and other items whose designs copied or mimicked its own.”
New York magazine reports that Gucci had wanted more than $120 million in restitution, “which suggests they might try to pursue the case further.”
Gucci hadn’t released any comment early Monday afternoon, New York notes, but Guess CEO Paul Marciano did release a comment “that he wished the case could have been resolved between the two companies instead of in court.”
Marciano also took a poke at Gucci in the press release stating that Francois-Henri Pinault, the chairman of PPR, the parent company of Gucci, had also recently said that such things should be handled out of the public eye as well. “We hope Mr. Pinault will take this to heart and stop applying a double standard,” Marciano wrote. (G, fellas — knock it off already!)
Guess, meanwhile, may have nabbed itself a bargain — and may find itself the target of a leveraged buyout offer. As Bloomberg Businessweek writes,
“What makes the company attractive is that you’ve got one of the few true global brands out there trading at such a deep discount valuation,” Randal Konik, a New York-based analyst at Jefferies, said in a telephone interview. Investors aren’t giving Guess “enough credit for the brand power it has.”

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1 Comments:

  1. Salma Hayek should divorce her disgusting obnoxious billionaire deadbeat dad husband Francois-Henri Pinault because he is a bum who lacks good morals. He should have never abandoned his son with Linda Evangelista. Today is Pinault's birthday and I hope that he gets food poisoning when he eats his birthday cake.

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