iW Magazine iW Magazine Summer 2017 | Page 169

THE PERILS OF COUNTERFEIT WATCHES Counterfeiting is the act of making or selling lookalike goods or services bearing fake trademarks. BY ADAM HARRIS RECENTLY, I TRAVELED FROM SPAIN TO THE UNITED STATES CARRYING THE TOOLS I NEED TO CONDUCT MY “LUXURY OR LIE?” SEMINAR/ COURSE. THIS IS A TRIP I’VE MADE AT LEAST TWICE A YEAR FOR PAST TWO YEARS, MOST RECENTLY FOR THE NATIONAL ASSOCIATION OF WATCH AND CLOCK COLLECTORS. REACHING BORDER CONTROL AND CHALLENGED ABOUT THE FEATHER IN MY “VINTAGE” (1960) STETSON HAT, ON INFORMING THE BORDER CONTROL AGENT, THAT IT WAS A PEACOCK FEATHER, I WAS MARCHED OFF, AND SPENT THE NEXT 45 MIN- UTES HAVING THIS ENDANGERED FEATHER SEIZED! Not content to that, the agent then searched my bags, finding my genuine Rolex that I was wearing – and my bag of counterfeit watches. No amount of explaining would help convince them that these pieces were my own, not for resale BUT indeed to teach others the perils of buying counterfeit. Three-and-a-half hours later, my genuine Rolexes and Breitlings were seized, as were 28 counterfeit watches. They could not tell the difference between a genuine or a fake. The fact is slightly confusing. Some law- yers imply it is legal to enter United States with one counterfeit piece, as long as it’s not for resale. But Border Control agents do not always admit this, so you enter at your own peril. That said, I doubt any Border Control agent could tell if the watch you are wearing was made by Rolex or by someone in China. So what started with a peacock feather lead to a $2,100 import duty for my genuine watches and 28 counterfeit watches seized. The good news is three days later I got a call from Border Control asking me to collect the “peacock” feather. They had NO idea why it was seized! Go figure. Counterfeiting is a form of trademark infringement. It’s the act of making or sell- ing lookalike goods or services bearing fake trademarks. For example, a business delib- erately duplicating the Rolex trademark on watches is guilty of counterfeiting. By copying (stealing) a luxury item’s trade mark, the counterfeiter’s primary pur- pose is to confuse or dupe consumers. It’s still counterfeiting even when the people buying and selling the merchandise are aware that it isn’t from the real source. That’s because even when a buyer knows that the product is a fake, the product can still be used to deceive others. So what exactly are all the “perils” of counterfeit watches? We all know as a seller it is highly illegal. Certain seizures earn fines and possibly imprisonment for selling coun- terfeit items. And it’s not just the manufacturer that is liable. An offer to sell counterfeit products can also trigger counterfeiting liability. Proof of actual production or sale of watches is not necessary to prove counterfeiting. Selling “counterfeit” or “replica” (same thing, different word) items is surely illegal and fraught with costly pitfalls, however buy- ing and owning counterfeit items, also has its dangers. Although my discussions are about wrist- watches, it is safe to say that I’m also refer- ring to all trademark or counterfeit items. But I will leave handbags, clothes and shoes for others to discuss. DEFINITIONS First, let’s define what constitutes counterfeit- ing. Basically a trademark is a word, name, slogan, or symbol businesses use in order to distinguish their goods or services from those of others. By registering a trademark, busi- nesses can prevent others from using their name, image, or catch-phrase to sell products. Look-a-like or homage watches that do not bear the symbol or trademark of another company, cannot be termed SUMMER 2017 | INTERNATIONAL WATCH | 167