A number of websites have cropped up that claim to be able to provide visitors with information about their guitar via its serial number.
This has misled some guitar owners into believing that their counterfeit guitar is an authentic one. In fact, some counterfeiters or sellers of these fakes now even refer potential buyers directly to one website in an effort to verify the ‘authenticity’ of the fake guitars they’re peddling.

lpFor example, one consumer recently forwarded Gibson’s manager of brand protection, Ric Olsen, a craigslist.org posting, wherein a fake guitar was being sold as an authentic Gibson. The ad read: “I am selling this beautiful Silverburst Les Paul Custom. Please note that though the headstock says Gibson, it is not a Gibson, but rather an Epiphone. You can verify this by putting the serial number, 08015553, into the following database: www.guitardaterproject.org.”

Web sites such as Guitar Dater Project also claim to be capable of identifying Fender, Ibanez and Yamaha guitars. Olsen wanted to be clear that this site and others like it — intentionally or not — are perpetuating the counterfeiting epidemic, one that is built on this kind of misinformation. With the years of shipping records in manufacturer’s books and dozens of variations on numerical schemes used across the years, decoding serial numbers isn’t an art that any one guitar aficionado, or piece of software, can undertake.

“Although Guitar Dater Project may correctly identify a guitar here and there based on historical data uploaded, it is a very unreliable way to truly identify and authenticate a Gibson or Epiphone guitar,” said Olsen.
“I could give you a serial number from a fake right now, and you could enter it on this Web site, and it would tell you it’s a real Gibson or Epiphone. But it’s definitely not.”

Counterfeiters are taking advantage of Guitar Dater Project and other similar websites by sending in a bulk of fake serial numbers. This data is uploaded and subsequently appears to show that particular serial number as authentic.
The Guitar Dater Project said that it: “aims to provide you with the information hidden in your guitar’s serial number in plain English. It is a work in progress and is constantly evolving, much of which is due to user feedback.”

Olsen warned that there are some easy ways to detect an incorrect reading from the site.
“If you come across, say, a ‘brand new’ guitar, but the serial number tells you it’s anything older than one year ago, question it,” he said.
“If you’re looking at a piece that is older than one year old and it’s being sold as ‘new,’ that’s a red flag because a lot of these fakes are coming with serial numbers that actually roll to a manufacturer date of up to five years ago or longer.”

Gibson has issued legal notices to the Web site to simply post a disclaimer but they haven’t responded.

New York City Police raided a Flushing warehouse and found $4.5 million worth of counterfeit goods. Police reported there were 50,000 pairs of sneakers, about 40,000 fake purses, and thousands of articles of clothing.

sneakersThe items’ street value was $4.5 million, but if they were the authentic Nike sneakers or Chanel bags, the retail price would be closer to $16 million. The items, made in China, were apparently just about to head out to streets. It’s believed it’s one of the biggest counterfeit good busts ever, and it took eight tractor-trailers to haul everything away.

Last month, the city raided 32 stores in Chinatown’s Counterfeit Triangle. Mayor Bloomberg and Police Commissioner Kelly emphasized that counterfeit goods cheat not only legitimate business owners, but also encourage atrocious black market practices.

The Italian fashion house Fendi won a court victory when a Manhattan federal judge ordered Filene’s Basement to stop selling handbags and other goods bearing the Fendi name or trademark without permission.

U.S. District Judge Richard Berman on Thursday granted a permanent injunction halting such sales. He said a jury should decide at trial whether Filene’s conduct was willful, and whether Filene’s former parent Retail Ventures Inc should also be held liable despite its argument it was merely a holding company.

fendi“It is undisputed that Filene’s used Fendi’s famous marks and trade name in commerce after the marks had become famous,” Berman wrote in a 45-page opinion. The judge ordered both sides to enter settlement talks, and to appear in court on April 1 to discuss their progress. “We’re disappointed the case was not entirely resolved, but are pleased with the rulings that make clear Filene’s Basement was counterfeiting,” said Richard Mattiaccio, a partner at the law firm Squire Sanders in New York, who represents Fendi.

He said the case is ready for trial but hopes it can be settled.

A lawyer for Retail Ventures did not immediately return a request for comment.

Syms Corp (SYMS.O) and Vornado Realty Trust (VNO.N) bought Filene’s at a bankruptcy auction in June.

Another judge in the same court last month ordered Burlington Coat Factory Warehouse Corp to pay Fendi about $4.7 million for violating a similar injunction, records show.

Fendi’s four-year-old lawsuit is one of many brought by luxury goods companies to protect their trademarks.

These companies are trying to thwart alleged counterfeiters whose products they believe will damage their reputation, confuse consumers and reduce sales.

This month alone in Manhattan federal court, Burberry Group Plc (BRBY.L) sued TJ Maxx parent TJX Cos (TJX.N), Coach Inc (COH.N) sued Sears Holdings Corp’s (SHLD.O) Kmart unit, and LVMH Moet Hennessy Louis Vuitton SA (LVMH.PA) sued Hyundai Motor Co (005380.KS) over alleged trademark violations.

Fendi had accused Burlington, Massachusetts-based Filene’s of selling fake Fendi-branded handbags and other leather accessories, even after receiving legal notices to stop.

In his ruling, Berman said Filene’s failed to rebut evidence that it was selling counterfeit Fendi-branded goods, and failed to rebut a presumption of bad faith.

He also rejected Filene’s use of “mere speculation or conjecture” that the alleged infringing items might have been obtained via the gray market or “authorized” Fendi retailers.

The case is Fendi Adele s.r.l. et al, v. Filene’s Basement Inc et al, U.S. District Court, Southern District of New York, no. 06-00244.

Falsely branded goods waste money, cheat buyers and vendors, and risk security.

Counterfeit high-tech products that are flooding global markets have devastating effects not only for brand owners, but the economy.

Consider these statistics: The U.S. Chamber of Commerce estimated that intellectual property theft costs domestic businesses $200 billion to $250 billion a year in lost revenue, and has resulted in a loss of 750,000 jobs in the U.S. alone. In 2003, the Business Software Alliance estimated that a mere 10% reduction in software piracy could add $400 billion to the lawful, taxable, global economy. In turn, this would lead to the generation of over 1.5 million jobs, as well as $64 billion in additional taxes.

Counterfeiting is a Global Problem

Counterfeiting is truly a global problem. According to Research And Markets, China is the top source of counterfeit electronic components; approximately 10% to 40% of electronics goods in China today are believed to be fake. Yet the estimated figure across the Middle East is 20% to 40% and across Eastern Europe, 10% to 40%. Other Asian countries—including Korea, Vietnam, and India—and some South American countries significantly contribute to the overall intellectual-property-infringement problem.

One of the most notorious areas that counterfeiters exploit is the provision of hard-to-get and newly developed products. The impact of counterfeiting is always greater than the value of the counterfeit product itself. It hurts not only vendors, but entire industries, the economy, and national security. Directly or indirectly, it impacts all of us. Counterfeiting could potentially serve to carry out wide-scale disruption and espionage.

Counterfeit cell phones, gaming systems, Bluetooth headsets — they were all shipped to the US from China and on their way to market, until U.S. Customs agents got suspicious at O’Hare International Airport.

counterfeit seizureCustoms agents said 25 crates filled with phony Nintendo, Sony and Appleproducts were likely headed to small stores and flea markets.  The seized merchandise was photographed and locked away on Thursday. But David Murphy, the director of field operations for U.S. Customs and Border Protection showed off examples of the counterfeit products seized at O’Hare.

“This is like an iPhone right here and it’s completely counterfeit. Again, you have a Bluetooth-simulated item — these are … not the real thing,” Murphy said. Customs officers are well-trained in how to spot questionable shipments, but what about the rest of us?

How does the consumer know if it’s a fake?

“Unfortunately, they don’t,” said Murphy. “They may be paying somewhat less, thinking they’re getting a great deal, when in fact they’re buying something that’s inferior, that may not last a few days, a week, a month.”

What’s worse, some of these phony items are often a safety hazard, like a mini blender with a fake Underwriter’s Laboratory label.

“You get a label for UL meaning it’s passed certain safety standards. This is not legitimate. It’s bogus. It’s not legitimate and, again, could start a fire in a house if someone wasn’t there and it was plugged in,” said Murphy.

Murphy said the problem is two-fold: consumers get ripped off and put in danger; and companies with copyrights on popular products lose billions of dollars in revenue every year.  Customs officials warned consumers not to buy electronics at flea markets, or mom-and-pop stores.