As famous jewelry brand, Tiffany & Co filed legal charges against Costco and the retail shop is seeking an appeal over the alleged sale of counterfeit Tiffany engagement rings in one of their store locations. The retail shop issued a statement and denied these allegations, CNN Money reported.
Costco reportedly denied that they are selling imitation or copies of the Tiffany & Co jewelry items and that it was not an issue about counterfeiting. The other party, however, pointed out that there are now hundreds to thousands of customers who have been deceived by the sale, CNN added.
The news agency also released a report on Tuesday saying that around $19 million has to be paid by the Retail Store to the jewelry company, for all the damages it has made and profits earned from the alleged counterfeit sale.
The report noted U.S. District Judge Laura Taylor Swain issued a ruling saying that Costco should pay $19.3 million worth of damage compensation that includes amassed profits and interests. Costco is reportedly the second largest retail outlet next to Walmart.
No to infringement
Tiffany & Co meanwhile, told CNN that they want to relay a message to stores that aim to infringe on the brand that the company has built over the years.
The jewelry company also said that they brought up this concern since they felt the need to protect the value of the purchases of their loyal customers, the article added.
They reportedly stated their message to stores that sell “fake” engagement rings claiming to belong to their brand.
Four-year long battle
The issue started way back in 2013 when the Tiffany accused the nationwide retailer of selling diamond engagement rings and claiming that they were made by the jewelry group. The former filed a lawsuit to the U.S.
District Court that year, with charges that included “trademark infringement, counterfeiting and deceptive business practices,” an earlier report on CNN said.
Along with the lawsuit was a monetary claim for the damages the sale has cost for all models of the rings that were allegedly offered and sold, the article added.
Tiffany reportedly found out about the alleged fake rings when a customer noticed them in one of the Costco stores in the United States.
The location was reportedly at Huntington Beach in California. Costco holds the reputation of being one of the largest outlets in the country that sells affordable and low-priced items to its consumers.
