LV sues Las Vegas shopping mall over counterfeits

Fashion brand Louis Vuitton (LV) has filed a lawsuit against a Las Vegas shopping mall, claiming it has created a "safe haven" for the sale of goods bearing counterfeits of its trademarks.

The complaint in a Nevada district court claims that the Boulevard Mall of 3528 South Maryland Parkway, run by Boulevard Ventures, provided space to a "host of individuals" that were selling counterfeits of LV and other well-known brands.

It says that the counterfeited foods included handbags, luggage, apparel, shoes, scarves, jewelry, watches, and other fashion accessories.

"Despite being aware that counterfeit Louis Vuitton products were being offered for sale and sold by their tenants, defendants turned a blind eye to this unlawful activity and continued to allow the sale of counterfeit merchandise to flourish, all to the detriment of Louis Vuitton," the suit alleges.

There have been some notable successes by brand owners in preceding legal actions against shopping malls in the last few years, including a case brought by luxury eyewear company Luxottica against a retail site in Georgia and another brought by watchmaker Omega against an outlet in New York City's Canal Street.

LV's case contends that Boulevard Ventures should be liable for the actions of its tenants as it has the ultimate form of control over their means of infringement – it could refrain from renewing or terminate the leases of those infringing trademarks, for example, or seek their eviction.

However, it failed to do so even when advised that the illicit activity was taking place by LV as well as law enforcement agencies which executed search warrants at some stores in the mall. One such raid resulted in the seizure of more than a thousand fake LV products.

"By engaging in their unlawful conduct, defendants have enjoyed the financial benefits arising from the sale and offer for sale of counterfeit merchandise…at the market," claims LV.

The suit claims contributory trademark liability and vicarious liability and is seeking an injunction on infringement of any LV trademarks and statutory damages.