Hermes asks court to block ‘MetaBirkin’ NFT sale after jury win

March 6 (Reuters) – French luxury house Hermes International ( HRMS.PA ) has asked a federal court in Manhattan to block artist Mason Rothschild from promoting or owning his “MetaBirkin” non-fungible tokens after a jury found that they infringes on Hermes’ trademark rights in its famous Birkin bags.

Hermes said in a court filing on Friday that Rothschild has continued to market its NFTs despite the jury’s verdict last month. It asked the court to compel him to stop using the “Birkin” trademarks and to transfer the MetaBirkins website, the NFTs that he still owns and his proceeds from the sale of tokens since the trial to Hermes.

Rothschild’s attorney Rhett Millsaps said they will oppose Hermes’ motion in court filings this week.

Representatives for Hermes did not immediately respond to a request for comment Monday.

NFTs are unique tokens on blockchain networks that are often used to verify ownership of digital art. Hermes sued Rothschild last year over its MetaBirkins, 100 NFTs linked to images showing the bags covered in colorful fur.

Calling Rothschild a “digital speculator” and the NFTs a “get-rich-quick” scheme, the fashion house said over $1 million worth of tokens had been traded in less than a month after they were introduced.

Rothschild, whose legal name is Sonny Estival, countered that the works are an absurdist statement about luxury goods and immune from the lawsuit based on First Amendment protections for art. A jury disagreed and ruled in favor of Hermes in February, awarding the company $133,000 in damages.

Hermes said in its lawsuit Friday that Rothschild receives a 7.5% royalty on all MetaBirkin sales and has continued to promote the NFTs on the MetaBirkins website and social media accounts since the ruling.

“Rothschild has continued to act as he has since November 2021 – brazenly violating Hermès’ intellectual property rights,” Hermes said.

The company said a permanent injunction was needed to stop Rothschild’s conduct because he has “demonstrated that he cannot be trusted”, and alleged that Rothschild had “repeatedly made false statements” in business dealings and during the trial.

The case is Hermes International v. Rothschild, US District Court for the Southern District of New York, No. 1:22-cv-00384.

Reporting by Blake Brittain in Washington

Our standards: Thomson Reuters Trust Principles.