A New York jury ruled in favour of French fashion house Hermès in a landmark case involving non-fungible tokens (NFTs).
The court found that artist Mason Rothschild violated trademark rights by creating and selling pictures of Hermès purses as NFTs.
According to the Guardian, the NFTs were versions of the iconic Birkin Bags, which the artist covered in fur.
Rothschild sold the ‘MetaBirkins’ collection for a total of over US$1mln, with the jury ruling the images were likely to confuse consumers.
In a letter after the case was filed, Rothschild, whose real name is Sonny Estival, said: “I’m not creating or selling fake Birkin bags. I’m creating artworks that depict imaginary, fur-covered Birkin bag.”
Rothschild even likened his work to Andy Warhol’s depictions of Campbell soup cans.
Hermès, however, said the artist was a “digital speculator who is seeking to get rich quick by appropriating.”
The case was closely followed, according to the Guardian, for its potential to clarify how trademark law will apply to NFTs.