Coach sues Chicago over Maxwell St. fakes

Posted May 21, 2010 at 1:53 p.m.

By Wailin Wong |
High-end leather handbag maker Coach has sued the city of Chicago over
the sale of knock-off goods at the Maxwell Street Market. The company
filed its lawsuit Wednesday in U.S. District Court in Chicago, saying
it has suffered “substantial damages” as a result of the activity.

According to the lawsuit, a Coach investigator visited Maxwell Street
in August 2009 and observed about 300 vendors selling “counterfeit
Coach products in plain view.”

Later that month, representatives of the
city’s police department returned to the market with the investigator,
who bought an $18 fake Coach bag at one booth and a $24 fake Chanel bag
at another booth. The two vendors were arrested.


Coach said that it sent a cease and desist notice to the city in late December, asking the city to curb the activity at the market. The city did not respond, the lawsuit alleges.

A Coach investigator again canvassed the market earlier this year and observed that the same practices were taking place, the company said.

Melissa Stratton, acting director of public information for the city’s department of law, said “we have not yet been served with the lawsuit, but we understand such a lawsuit has been filed.”

The city is beginning its investigation into Coach’s claims, Stratton said.

Coach’s annual worldwide sales are more than $3 billion, the company said in its lawsuit. It named the two vendors from the August 2009 canvass, along with 100 “John Does,” as defendants in the suit alongside the city.

 

44 comments:

  1. chicagoK May 21, 2010 at 2:09 pm

    Good publicity for the new tourist advertising of Chicago. Come to Chicago: buy fake goods, get murdered by drug gangs supported by the open Mexican border, attend weekly court sessions of corrupt Illinois Democrats, watch corrupt Chicago Democrats change into orange jumpsuits, witness child killings by drug gangs supported by Obama and his border policy, get over taxed by Cook County Democrats on the fake stuff you buy. Chicago is the place to come to if you want to see the world center of criminal activity. See the Daley Center: training center for corrupt politicians world wide. Daley trained Chavez and Castro!

  2. hamjor May 21, 2010 at 2:23 pm

    from the story: “The city is beginning its investigation into Coach’s claims, Stratton said.”
    Conclusion of city investigation into Coach’s claims: “Chicago is shocked, shocked to discover counterfeit Coach purses continue to be sold at Maxwell St. Market.”
    I understand, it’s trademark law, but do I really want to see tax dollars used to put an overwhelmed police force and court system to work on this, aggressively prosecuting Maxwell St. sellers, to protect the rights of Coach? No. Frankly, I couldn’t care less.

  3. mn May 21, 2010 at 2:36 pm

    @chicagoK..Perfectly Stated! i couldn’t agree more

  4. Steve May 21, 2010 at 2:37 pm

    There simply are not “300 vendors” at the Market in general. And I wonder if Coach is also suing NYC for the knockoffs in Chinatown…

  5. MikeH May 21, 2010 at 2:45 pm

    chicagoK wrote:
    ” Chicago is the place to come to if you want to see the world center of criminal activity.”
    I wonder if chicagoK has been many other places in the world or simply Illinois. chicagoK might find many better candidates for the “center of criminal activity”.
    Miami would be good start. While you are out and about, take your time getting back.

  6. Chris May 21, 2010 at 2:46 pm

    As a customer, I see nothing wrong with these bags. I bought my wife several of them from a north side vendor on the street and no one can tell the difference. Why pay more for the real thing when you can pay less for something that looks practically identical? I’m all for cheap-knockoffs because it allows me to pretend to be something I’m not: rich & snobby

  7. MikeH May 21, 2010 at 2:47 pm

    chicagoK wrote:
    ” Chicago is the place to come to if you want to see the world center of criminal activity.”
    I wonder if chicagoK has been many other places in the world or simply Illinois. chicagoK might find many better candidates for the “center of criminal activity”.
    Miami would be good start. While you are out and about, take your time getting back.

  8. STEPHANIE May 21, 2010 at 2:51 pm

    I happen to go to Maxwell Street every Sunday. Everyweek I see the same bootleg venders selling bootleg purses. CPD does patrol the market, and they never say anything. I’ve even seen cops pick up the purses and check them out, to just put them down and walk away. This does hurt the reputation of Coach and the other brands being knocked off. I haven’t bought any Coach pruses, because I see so many ghetto people walking around with the knock offs.

  9. Informed May 21, 2010 at 2:55 pm

    Chicago K is a moron!

  10. ha ha May 21, 2010 at 2:56 pm

    Coach is gross.

  11. Informed May 21, 2010 at 2:59 pm

    And seriously, do you really think that the people buying the knock-offs are the ones that would actually buy at a Coach store? NO. They are not losing any business – if anything, they are getting free publicity. I do buy at Coach but it’s because I can…

  12. tghw May 21, 2010 at 3:09 pm

    Chris | May 21, 2010 2:46 PM
    As a customer, I see nothing wrong with these bags. I bought my wife several of them from a north side vendor on the street and no one can tell the difference. Why pay more for the real thing when you can pay less for something that looks practically identical? I’m all for cheap-knockoffs because it allows me to pretend to be something I’m not: rich & snobby.
    __________________________________________________________
    So Chris, you have no problem stealing from a manufacturer huh? That is what you are doing when you buy counterfeit products. The manufacturer of these counterfeit products is stealing the name and reputation of the original manufacturer and then selling the inferior product. That results in direct damage to the original manufacturer, both monetarily, and with poor quality product that diminishs the value of the original product.
    So you are basically admitting that you have no problem being labeled a thief. You should be proud.

  13. LKJ May 21, 2010 at 3:14 pm

    Until I clicked on the link to this story, I wondered why on earth a sports coach would be suing the city over people posing as bluesmen…

  14. Mi Casa May 21, 2010 at 3:19 pm

    It’s not a Coach, its a Couch!

  15. georgepudlo May 21, 2010 at 3:22 pm

    @chicagok: maybe you should move.

  16. Debbie May 21, 2010 at 3:29 pm

    The Kane County Flea Market in St Charles has twice as many vendors selling knock-off purses than Maxwell st. We always thought Maxwell St had a lot until we went to Kane County, they’re everywhere, it’s crazy.

  17. Tom May 21, 2010 at 3:31 pm

    The lawsuit is ridiculous. A wealthy corporation that probabl pays no Chicago taxes expects the government to protect its interests? Coach should hire private investigators, get all necessary facts, and sue the fakers in civil court.
    Instead they want big government to watch out for them. Interesting all the right wing types here seem not to notice.

  18. Respondent Superior? May 21, 2010 at 3:31 pm

    How does the city NOT respond to a Coach communication of this nature? Oh, I know: Dorothy Brown intercepted it and decided not to worry about it as she lets her underlings bring their Coach bags, fake Cartier watches and other knock off goods to work one day a week if they worship her picture in the break room 15 minutes a day. How much will this completely unnecessary suit cost to defend? Compared to Coach, Chicago is hardly a deep pocket, though perhaps it once was. Before Ron Huberman, Arnie Duncan and the lame brain we call our mayor

  19. Steve May 21, 2010 at 3:32 pm

    Hey ChicagoK, MN… Stay the heck out of our city if you’re too pansy to deal with what happens in big cities. Where do you even get off using the name “ChicagoK” – shouldn’t your handle have farm or swamp in it? Get a life. Somewhere else. Hugs, Steve

  20. Ed May 21, 2010 at 3:33 pm

    And when will anyone sue the Cubs for being baseball fakes?

  21. JOHN C May 21, 2010 at 3:33 pm

    Who cares about coach and its obscene markup

  22. darryl cox May 21, 2010 at 3:39 pm

    Is there really a crime being commited? They are selling a fake bag for $18 not $300 plus. If they were doing that then maybe Coach would have a beef.

  23. MarshallField May 21, 2010 at 3:47 pm

    Coach is known for making high quality leather goods. Simplicity, limited logos high quality materials. I question some of the crap they have been making in recent years. There have been some knockoffs of near equal quality MINUS any logos. I have not seen those in a long time. Since when has Maxwell Street not been infamous with theft and selling stolen merchandise.

  24. ihateillini May 21, 2010 at 3:53 pm

    To all you idiots who wonder if a crime is being committed? Hell yes! It is trademark infringement and if someone did it to you, you would cry like a baby. They are stealing profits from a company who had an idea and protected it. They are nothing but thieves.

  25. Mrs. Foote May 21, 2010 at 3:56 pm

    Who cares? Really. Coach bags are good quality, but way overpriced. They should pay the city; they get a lot of free advertising with that logo being carried all over town.

  26. TK May 21, 2010 at 4:13 pm

    “The lawsuit is ridiculous. A wealthy corporation that probabl pays no Chicago taxes expects the government to protect its interests? Coach should hire private investigators, get all necessary facts, and sue the fakers in civil court.
    Instead they want big government to watch out for them. Interesting all the right wing types here seem not to notice.”
    What??? Are you kidding??? This corporation has a copyright on their name and products. If anybody knowingly sells replicas that bear that name for profit without their permission it is ILLEGAL! They (Coach)did discover this on their own and asked the city to investigate the fraud. They(Coach) investigated a second time and found that nothing had been done. They are not asking big government to watch out for them, they are capable of doing that themselves. They want big government to enforce the laws that they are paid to enforce.
    As for whether or not Coach pays any taxes to the city, they have a store on Michigan Avenue and sell their products in many of the city’s finer department stores, so they do, in fact, contribute their share to the local economy. This has nothing to do with being right wing or liberal or paying taxes, it has to do with VIOLATING THE LAW!!! Read the article.

  27. Rey May 21, 2010 at 4:20 pm

    If you want to get rid of fake Coach, don’t forget Lou Piniella.

  28. HEY May 21, 2010 at 4:29 pm

    How disappointing, I thought this article was going to be about fake polish sausage.

  29. Patrick May 21, 2010 at 4:32 pm

    chicagoK…
    Outstanding! Well written!

  30. Think Again May 21, 2010 at 4:35 pm

    Yes Chris – you are a snob. Your mentality is what’s wrong with too many people today. Why bother being creative, and industrious enough to see your ideas come to life when scum like you are willing to steal them. You’ll also never be rich because your comment proves that you aren’t willing to do the hard work to get there.

  31. Tom May 21, 2010 at 4:44 pm

    I read the article TK. Coach wants the city of Chicago to use valuable resources to protect its merchandise’ reputation.
    The civil court systems provide perfectly able resources to do so. Coach can get an injunction against the fakers and enforce the injunction.
    The problem appears to be doing so costs money. In this particular lawsuit, among other things, Coach asks the city to pay its attorney fees (complaint available on line if you have the software). Coach may be able to seek attorney fees from the fakers, but they probably do not have the money to pay.
    Coach can help itself here. It should help itself. Instead it wants the Chicago taxpayers to help it. You right wingers are all for big government for corporations. Bunch of hypocrites the lot of you.

  32. Judy May 21, 2010 at 4:47 pm

    I have bought real, I have bought knock-off. I argued with a clerk at the post office one day because she admired my purse and said she had just seen it on ebay at a ridiculous price and I told her it was a knock-off and she refused to believe it – like who would lie about it being a knock-off. If I wanted to carry a purse for five years – I would buy real but since I don’t, I won’t pay that kind of money anymore to be a snob.

  33. JimBob May 21, 2010 at 5:13 pm

    More mayoral bluster coming up about how a big bad company is trying to keep a few “little guys” from making a buck.
    I will bet 25% of the little guys are illegals to boot. We are a sanctuary city for them after all. They bring the guns and the lack of respect for authority straight up from our southern borders where some of our really smart pols are trying to keep the flow of illegals at full strength with no effort to stop it. Amnesty is their answer.
    WHEN are we going to say ENOUGH?
    WHEN are politicians going to do what 67% of the voters who sent them to Washington want them to do?

  34. Maris May 21, 2010 at 5:39 pm

    Member when Coach was cool? Yeah, not so much anymore.

  35. fenno May 21, 2010 at 5:43 pm

    Seriously. Why else do people shop at Maxwell? The people who have the money to buy the real stuff do so at the stores where all their friends will see them. This is not a Daley issue people so get over it. Our cops have way too much more important stuff to deal with. This city is great because it has places like the Maxwell market.

  36. Larry May 21, 2010 at 5:57 pm

    Since when is it the job of the City of Chicago’s police to enforce federal trademark laws?

  37. TheHonestBroker May 21, 2010 at 6:28 pm

    You reap what you sew. Make the crap in China and don’t complain when the knockoffs come around.

  38. nancy May 21, 2010 at 6:42 pm

    the real crime here is how much coach charges for a purse.

  39. LKJ May 21, 2010 at 7:04 pm

    Counterfeiting is illegal. That fact negates the opinions of all of you siding against Coach.

  40. Terry Kilpatrick May 21, 2010 at 7:12 pm

    This is a desperate act by Coach. It is sad to see them stoop to the level of prosecuting Maxwell St. vendors. Personally, at this point I’d be humiliated to carry one of their over-priced bags.

  41. Dave May 21, 2010 at 8:56 pm

    Is Chicago even required to protect trademarks? I’m no lawyer, but Chicago doesn’t issue trademarks, the Feds do. How much of a responsibility is this for CPD, legally?

  42. Larry May 22, 2010 at 12:03 pm

    “Counterfeiting is illegal. That fact negates the opinions of all of you siding against Coach.”
    So is entering the country illegally. I suppose that means every local cop on the beat should be checking for papers, please.

  43. ginny siegel May 24, 2010 at 10:08 a.m.

    Where is US Customs? The local Customs agents should be visiting Maxwell St. and tracking down the source of the knock-offs.
    How do so many of these projects enter the US illegally?
    gs

  44. Perry F. May 24, 2010 at 11:09 a.m.

    Knock-off products being sold on Maxwell Street. And this is “Breaking News” because …?