Friday, November 01, 2013

The Sweet Smell of Suing Preferred Fragrance Inc.

Brooklyn-based Preferred Fragrance Inc. is being sued by Prada and Summit Entertainment for trademark infringement (LanhamAct).

Preferred Fragrance sees itself as a creator of “products that combine the same premium quality of a designer fragrance with affordable pricing and mass availability”. This sounds a lot like “they make it, we fake it”.

Prada produces Prada Candy, an eau de perfum that is sold for $82. The knockoff Party Candy can be ordered online for a mere $3.99. The look and feel of both fragrances are very similar. Prada has filed its lawsuit in the New York Southern District Court with Judge RonnieAbrams.

Summit Entertainment is also suing Preferred Fragrance for infringing on it Twilight IP. That lawsuit was filed in theCalifornia Central District Court with Judge Andrew J. Wistrich.

It is not the first time the company has been sued. In 2008 Estee Lauder Inc. and Clinique Laboratories Inc.  filed a lawsuit in the Manhattan federal court for trademark infringement, unfair competition, false advertising and dilution.


Although Preferred Fragrance has a mere annual revenue of $5 to 10 million, its parent company International Flavors & FragrancesInc. (NYSE:IFF) has deep pockets, so expect similar lawsuits in the (near) future.