In Manhattan, a federal judge ruled in favor of Hermes’ request to permanently prohibit artist Mason Rothschild from selling “MetaBirkin” non-fungible tokens, post the judgment of a jury that determined the tokens was a violation of the French luxury brand’s trademark rights associated with the Birkin handbags.
U.S. District Judge Jed Rakoff proclaimed that the decision to cement the injunction was warranted since the promotion of Rothschild’s NFTs could potentially mislead consumers and cause irreparable damage to the company.
Rothschild’s appeal to revoke the Jury’s decision or to hold another trial was rejected by Rakoff, who asserted that the defendant’s entire motive was to deceive consumers into believing that Hermes approved of his MetaBirkins NFTs, making him accountable for his actions without protection under the First Amendment.
There was no immediate response given by the representatives of either party- Hermes or Rothschild- with regard to their comments on the ruling.
NFTs are exclusive digital tokens that operate on blockchain networks, primarily used for verifying ownership of digital art, and Rothschild was sued by Hermes in the preceding year over his production of MetaBirkins – 100 NFTs, which featured images of Birkin handbags, Hermes’ prized possession, cloaked in vibrant fur.
Hermes claimed Rothschild to be a “digital speculator” and the NFTs as a “quick money-making” maneuver that violated its registered “Birkin” trademark and led to a baseless assumption among the public that the fashion company promoted and supported the tokens.
Rothschild, also known legally as Sonny Estival, contended that his artwork was an absurd representation of luxurious goods and was safeguarded from litigation under the 1st Amendment of the U.S. Constitution, protecting it as an evolved style of art that uses trademarks as a significant factor without potentially confusing the intended audience.
A verdict was made in February by a jury that ruled in favor of Hermes and directed the award of $133,000 to the company. Following the trial, in March, Hermes filed a request declaring that Rothschild failed to withdraw his marketing of the NFTs. Therefore, the court was approached to terminate his promotion and demand that Rothschild surrender the remaining tokens and profits generated post-judgment
During the case proceedings, Rothschild made the assertion that the application of Hermes’ request exceeded the reasonable limits for a trial focused on artistic expression. While Rakoff mostly favored Hermes’ proposal, he did not instruct Rothschild to shift the tokens, citing an overabundance of caution in regard to the 1st Amendment considerations.
