Ck vs Warnaco Essay - 752 Words

Alexa Tondi Professor Trachtenberg FM324 Section 75A 17 November 2011 Case Study Assignment: Calvin Klein vs. Warnaco Group Inc. On May 30, 2000 The Calvin Klein family filed a lawsuit against Warnaco Group Inc for eighteen counts of trademark infringement, trademark dilution and intentional misrepresentation. Nearly a month later Warnaco answered with a counter suit, denying the major allegations and justifying the dilution to falling within the scope of the two parities licensing agreement. The case study brings forth information regarding fashion retailing, distribution practices and even the licensing practices expected within the marketplace, however as a reader one should keep in mind that during the millennium â€Å"licensing†¦show more content†¦This mutual understanding is what was portrayed within an agreement between the two parties and what worked toward success over the next forty years. This case study touches on many topics within licensing but the three most dominant aspects within the Warnaco Group vs. Calvin Klein suit are the agreements and understandings discussed with a contrac t, the rights to a trademark and the rights of both the licensor and the licensee. While briefing this case study one can not help but notice, stated on page 21, the agreements that are displayed in exhibit 1: Excerpts from Calvin Klein Jeanswear Licensing Agreement. Here it is clear that the agreement, signed by BOTH parties, states that Warnaco agrees to maximize the quantity of Articles sold, and will be consistent with CKI’s past practices. One can assume, that due to the prolonged history between the two parties this includes Costco, Sam’s Club and BJs store, which alone were held responsible for 150 million dollars in warehouse sales, just one year prior to the filing of the lawsuit. It is also important to point out that this licensing agreement is not with CKI as the owner, it is in fact a licensing agreement with the CK Trademark Trust being the beneficial owner to ALL rights, titles and interest in or to the Licensed Mark. The licensing agreement then continu es to state that â€Å"Warnaco controls any such act or thing which may cause any affect to the Trust.† With the understanding of licensing,