Discussion:
What is the name of your state? Utah
This is a letter in ITALIC from True Religion jeans I received after i had 30 pairs of their jeans ended on ebay auctions because they were fake (which i had no idea)
My response in BOLD which i have not yet sent to them, tells my side of the story.
I totally at a loss as to what I need to do. This was a completely innocent mistake and I feel like Im about to lose everything.
Im not worried about True Religion suing me because I had no idea the jeans were fake. Whats worrying me is I never declared this income in my taxes because i sold these secondhand items on the side, and if True Religion report me because I cant send them the accounts they requested, Im in real trouble.
So do i just send the letter or wait and see if they progress this.
PLEASE HELP.
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Jennifer Drysdale
6 Bryan Avenue
Re: Infringement of the TRUE RELIGION Trademarks and Copyrights
Dear Jennifer Drysdale:
We are writing to demand that you cease and desist from the use of Guru Denim, Inc._s and True Religion Apparel, Inc._s (collectively _Guru_) trademarks and copyrights on jeans offered for sale on Ebay. We also demand that you provide us with certain information and a subsequent payment, as described below.
We represent Guru, the owner of all rights in and to the True Religion trademarks, which include (without limitation) the word marks TRUE RELIGION, TRUE RELIGION BRAND JEANS, and TRUE RELIGION BRAND JEANS WORLD TOUR FASHION FOR THE SENSES, and the distinctive stitching on the back pockets of our client_s jeans (_True Religion Trademarks_). Copies of some of Guru_s registration certificates are enclosed for your review.
Guru also owns copyright rights in the artwork on the labels of its jeans (_True Religion Copyrights_). Guru has registered its copyrights in the labels with the United States Copyright Office.
We recently learned that, without Guru_s knowledge or consent, you are selling counterfeit, or at the very least unauthorized, TRUE RELIGION brand jeans (the _Infringing Goods_) on your Ebay site at < user name: falling_leaf_treasures>. Pictures of these jeans, including pictures of the distinctive stitching on the back pockets, and the copyrighted labels, are displayed on your website.
The unauthorized use of Guru_s trademarks and copyrights demonstrates a total and willful disregard for Guru_s intellectual property rights. Such acts constitute counterfeiting, trademark infringement, false designation of origin, unfair competition and dilution under the Lanham Act, passing off and unfair competition under state statutory and the common law, as well as copyright infringement. Guru has many remedies available to it for your unlawful acts, including statutory damages, actual damages, your profits, and a nationwide injunction against any further infringement. Moreover, given the blatant and willful nature of your infringement, Guru would likely be entitled to an award of its attorneys_ fees. Please note, however, that the above is not intended to be a complete listing of Guru_s rights, and Guru reserves the right to assert other claims not stated herein.
Notwithstanding the strength of our client_s claims and the available remedies, Guru is willing to resolve this matter amicably, but only if you agree in writing to immediately: (1) cease and desist from sale of the Infringing Goods; (2) cease and desist from all use of the True Religion Trademarks, and agree not to use them or any other trademark, logo, name, or the like confusingly similar thereto in the future; (3) cease and desist from all use of the True Religion Copyrights, and agree not to use anything similar thereto in the future; (4) agree not to sell, offer for sale, advertise, or otherwise display, in the future, the Infringing Goods or any other goods bearing the True Religion Trademarks or Copyrights, or anything substantially similar to either of the foregoing; and (5) provide us with an accounting based on the sale of the Infringing Goods, so that we may calculate a reasonable settlement amount that you will pay to Guru to compensate for your infringement. The accounting must state: (a) the amount of revenue that you generate through your website at user name: falling_le on a monthly and yearly basis; (b) the number of units of Infringing Goods sold by you, through any outlet, including your user name: falling_le website, from your first sale of the Infringing Goods to the present; (c) the cost to maintain your user name: falling_le website on a monthly and yearly basis; (d) the length of time the Infringing Goods have appeared on your user name: falling_le website; (e) the amount of both _hits_ and unique visitors that your user name: falling_le website receives on a monthly and yearly basis; and (f) your source for the Infringing Goods.
Please sign the letter below to indicate your agreement to these terms and return it to us along with the accounting. We have enclosed an additional copy of this letter for your files.
_
Unless we receive a signed copy of this letter and the accounting by the close of business on April 3, 2007, we will advise Guru to seek all remedies available to it for your unlawful acts. We look forward to your prompt response.
Very truly yours,
Chana Taft, Director of Operations
True Religion Brand Jeans
2263 E. Vernon Avenue
Vernon, CA 90058
cc: Jill M. Pietrini, Esq.
Scott Lochner, Esq.
Mark Kelson, Esq.
AGREED AND ACCEPTED:
user name: falling_le
___________________________ Date: ________________
Name: ______________________
Title: ______________________
Dear Chana
In answer to your email dated 3/20/07, I bought 30 pairs of these jeans from
Crossroads Thrift Store 1385 W Indiana Ave, Salt Lake City 84104.
Phone 801 359 8837
This is their Mission Statement
_Crossroads Urban Center is a non-profit, grassroots organization which assists and organizes low income, disabled, and minority Utahns to meet basic survival needs and to address essential issues affecting the quality of life. _

I had no idea they were counterfeit as I was told by the person in the store they were donated by chain store that had gone out of business. This second hand store gets lots of donations from large retailers because it gives free clothes to the homeless etc. The store had the tags on these from 2004 stating the cost $285 and they said they would sell them to me for $10 each. She specifically said to me, _I can_t charge you the usual $1 for these items because they are worth $285_.
I have been selling on eBay for 7 years with 99.4% positive feedback. I have never knowingly sold any counterfeit items on eBay or anywhere else. I have been a power seller for 5 years.
I don_t keep record of hits on eBay because I don_t even list items every month. I have no accounts as I sell mostly secondhand purses for $8.99. My guess would be $600 a month, but I can_t verify that because my eBay account is suspended (since True Religion had me removed from Ebay) so I can_t check. The cost to maintain my eBay account is about $80 a month in sellers fees.
I sold 4 pairs of these jeans for about $60, again I can_t give exact $ amount because my eBay account is suspended. I don_t and have never sold anything anywhere else but eBay. I only bought the jeans from Crossroads about a month ago. I had never even heard of True Religion jeans until then.
I did email your representatives with eBay immediately who offered me no explanation as to why these jeans were recognized as being fake. If they had explained why they knew they were fake then maybe this would not have happened. But I don_t want to take away from my responsibility.
As I stated already I would never knowingly sell fake items to innocent buyers (as was done to me).
I apologize sincerely for any harm caused by this innocent mistake by me. It seems the main damage that was done was to me in terms of me losing $300 and my eBay seller_s account.
I am worried sick that I will lose everything because I got ripped off by a Charity store that in all honesty probably had no idea if these were real or not. I hope you can understand that I_m not some business seller of fake items, just someone who triedsto buy bargain and secondhand items on ebay and sell the to buyers at a great price. I stress again that you can see that I had never sold a pair of your jeans until last month.
I of course swear I will not sell any more of your jeans and never intended in any way to sell fake or counterfeit items.
Yours Sincerely

Answer:
See this old thread from July, 2006.

Answer:
my god, surely the fact that i bought these in a thrift store that told me they were genuine will be a plus on my side. I had no idea these were not real.
The example you referenced was a reseller who was obviously aware he was buying bulk fake items and selling them.
Answer:
Have you provided them with everything that they have asked for? That's what you need to do.
Your "innocent purchase" defense might get you a reduced settlement agreement, or, if this went to court, might be able to reduce the damages you owe to the trademark holder, but it does NOT relieve you of liability for trademark infringement. The trademark holder in this case has a federally-registered trademark -- because the mark is registered, you are considered "on notice" of the trademark, whether you actually "knew" or not.
It will likely be a lot cheaper just to settle with them now. If the settlement number they give you is high, you can negotiate with them, or you can hire a lawyer to negotiate for you. But realize, they are not required to negotiate with you -- they could just file a lawsuit tomorrow and that would be it.
Answer:
Thanks for the info Div.
I called an attorney and went over everything and he suggested once I desist from seeling the items and respond to their request for me to stop, I should be o.k.
Incidently, he said they have no right to ask for any accounting information other than the information relating to their product.
He also said that even if they sue the amount would be modest statutory damages. I found this online and we certainly fall into the latter category of about $200 per work. He asked if we would like to sue the Thrift store but theres no way I'd do that as they are a charity and Im sure they're as ignorent in this as we were.
[edit] Statutory Damages in the United States
In the United States, statutory damages are set out in Title 17, Section 504 of the U.S. Code. The basic level of damages is between $750 and $30,000 per work, at the discretion of the court.
Plaintiffs who can show willful infringement may be entitled to damages up to $150,000 per work. Defendants who can show that they were "not aware and had no reason to believe" they were infringing copyright may have the damages reduced to $200 per work.
Any more info/opinions would be great.