For the half-year to 31 December 2014, the IPKat's regular team is supplemented by contributions from guest bloggers Rebecca Gulbul, Lucas Michels and Marie-Andrée Weiss.

Regular round-ups of the previous week's blogposts are kindly compiled by Alberto Bellan.

Wednesday, 9 March 2005

MEXICAN COURT PILES ON THE AGONY FOR LEVI STRAUSS


Today's Daily Telegraph reports on a real disaster for jeans manufacturer Levi Strauss. Local police in Mexico City, pressured by one the company's lawyers, targeted a factory run by Mexican enterprise Comexma was suspected of producing fake goods. Local media were invited along to witness the raid. Comexma's factory was indeed producing Levi branded jeans, but that was just what it was supposed to be doing: it was one of Levi's own suppliers, legitimately producing clothes under licence from the US company. Comexma then sued Levi's, seeking compensation both for commercial loss and for damage to its reputation as a result of the raid. A court in Mexico City has now ordered Levi's to pay $24.5m in damages and lost income, plus a further $20.5m for harm to Comexma's reputation.

Levi's: is there a need to patch up its legal act in Mexico?

Levi has now admitted its mistake, claiming that its Mexican trade mark protection counsel failed to check with the company's US headquarters before proceeding. A Levi's spokesman is however reported as saying that the US company "strongly disagrees" with the court decision, against which it was appealing: the raid occurred after Levi Straus had told Comexma it was terminating its contract and the Mexican company was in the process of shutting down the facility. Levi Strauss said that, even if the damages awards stand, its operating income would be higher in the first quarter than during the same period last year.

The IPKat says this is a nightmare scenario which -- irrespective of the rights and wrongs of the Mexican court decision -- both should and could be avoided by adequate policing of licensees' activities. "I didn't know Mexican courts awarded such large sums by way of damages", adds Merpel. "Is it only because Levi Strauss is a US corporation, or would a similar award be made against a local business too?"

Levi's jeans and social responsibility here
Invention of Levi Strauss blue jeans here; swinging blue jeans here
Levi Strauss and the structural study of myth here

11 comments:

Jeremy said...

Comment from Mexico We received this email today. Sorry about the technical problems posting, Juan -- your comments are always welcome, as is your support. Dear Jeremy/Ilanah,
I have tried to post a comment on this particular blog; however it seems to be impossible to retrieve the comments window from the IP Kat web page.
If it is convenient and possible from your end to post a comment, I would tell you that Mexican Courts, and particularly judges, award damages depending the size and origin of the company involved. The Mexican Law guarantees for damages at least 40% of the sale price of the counterfeit goods, so my guess would be that Comexma was a pretty large factory working on behalf of Levis.
Street talk: About a year ago Levi’s changed its IP Law Firm in Mexico and I think this was the drop that “purred” the glass.
Best regards, Juan (an avid IP Kat fan)

Anonymous said...

Great blog! If anyone is interested in websites for sale feel free to come by my site and check it out. Thanks again!

Brian said...

Hey, you have a great blog here! I'm definitely going to bookmark you!

I have a business online advertising site/blog. It pretty much covers business online advertising related stuff.

Come and check it out if you get time :-)

Anonymous said...

Informative blog about classfield.
I will definately bookmark you. My site
is about classfield
You or your visitors might like it too!

Dan said...

Good blog but without advertising com en internet language site you have little chance of selling anything.

Anonymous said...

Hey, you have a great blog here! I'm definitely going to bookmark you! The information and Internet marketing product evaluations that you provide are great for beginner webmasters.

Now, I have a related easy way to make money site/blog. It pretty much covers easy way to make money related stuff. In addition, I supply the secrets that I used to make $12,124 from Google Adsense last month.

Come and check it out if you get time :-)

Anonymous said...

Sometimes, these gambles pay off, but there are occasions when they fail miserably,

Infactahost.com said...

Hey, you have a great blog here! I'm definitely going to bookmark you!

I have a yellow page internet advertising site/blog. It pretty much covers yellow page internet advertising related stuff.

Come and check it out if you get time :-)

Anonymous said...

Great blog! If anyone is interested in computer gateway feel free to come by my site and check it out. Thanks again!

Anonymous said...

Great blog! If anyone is interested in websites for sale feel free to come by my site and check it out. Thanks again!

Anonymous said...

Wonderful thank you which was consulted very much

But in blog of my site, when that has been written about information business should drop in freely.

small business administration

Subscribe to the IPKat's posts by email here

Just pop your email address into the box and click 'Subscribe':