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April 24, 2013

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Victoria's Secret wins suit over unfair trade

THE brand managers for United States lingerie maker Victoria's Secret were compensated 80,000 yuan (US$12,944) from a local company that claimed to be the lingerie's sole distributor in China, the Shanghai No.2 Intermediate People's Court ruled yesterday.

Victoria's Secret accused Shanghai Jintian Clothing Co Ltd of trademark infringement and unfair competition and demanded 5 million yuan after it discovered Jintian was selling its products in China in 2011.

The US firm said Victoria's Secret products are sold to Chinese customers online or via mail order. Jintian argued it didn't infringe on the trademark because all the products were genuine. It said in 2007, it bought US$5 million of Victoria's Secret products from Intimate Brands Inc, the parent company of Victoria's Secret, which allowed it to sell them in China. The court said Jintian didn't infringe on the trademark but broke its contract by selling the clothes wholesale.


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