Judge Orders Permanent Halt to ‘MetaBirkin’ NFT Sales

26. June 2023 By admin Off

• Hermès has been granted a permanent injunction by the U.S. District Court for the Southern District of New York, ordering all “MetaBirkin” NFT sales to be halted.
• The artist, Mason Rothschild, had argued that his project was protected under the first amendment as artistic expression; however, this defense fell short as Judge Rakoff found him guilty of defrauding customers into believing Hermès was endorsing the project.
• Rothschild had reportedly generated more than $1 million worth of sales from the MetaBirkin collection before being ordered to pay $133,000 in damages for violating Hermès’ trademark.

Judge Grants Hermès Request to Halt All ‘MetaBirkin’ NFT Sales

French luxury fashion house Hermès has been successful in its infringement case against artist Mason Rothschild after a United States judge ordered a permanent injunction on all “MetaBirkin” nonfungible token (NFT) sales. The request was initially submitted to the U.S. District Court for the Southern District of New York in March and Manhattan-based U.S. Judge Jed Rakoff officially granted it on June 23rd.

Rothschild’s Defense Falls Short

The MetaBirkin creator argued that his project was protected under the first amendment as artistic expression; however, that defense ultimately fell short according to Judge Rakoff who stated that “[the] defendant’s entire scheme here was to defraud consumers into believing, by his use of variations on Hermes’ trademarks, that Hermes was endorsing his lucrative MetaBirkins NFTs.”

Sales Generate Over $1 Million

The MetaBirkin collection consists of 100 NFT artworks depicting furry Birkin style handbags with Rothchild reportedly generating more than $1 million worth of sales from it before being accused by Hermès for improperly using its Birkin trademark in January 2021 and subsequently leading customers to believe the brand supported the project..

Court Rules In Favour Of Hermès

In February 2021, following a nine-member jury verdict, Rothchild was found guilty and ordered to pay $133,000 in damages. He had argued that his project was an artistic expression protected by the first amendment; however this failed due to him allegedly defrauding customers into believing that Hermes endorsed his product through its variation of their trademarks..

Conclusion

Ultimately French luxury fashion house Hermès has notched another win in its infringement case against artist Mason Rothschild after a United States judge ordered a permanent injunction on all “MetaBirkin” nonfungible token (NFT) sales leading Rothchild being held liable for fraudulently marketing his product and paying damanges totalling $133 000 dollars