Ferrari Triumphs Again: Combating Brand Forgeries

By Maristella Collazo-Soto, Ferraiuoli LLC

This article was originally published in Microjuris. 

For as long as we can remember, the production, sale, and use of counterfeit goods posing as renowned brands have persisted. The allure of this illegal trade is considerable and virtually unavoidable for both counterfeit manufacturers and consumers. This is primarily because, over time, the ability to craft imitations capable of deceiving the average consumer's discernment has grown exponentially. Consequently, consumers may opt for a bracelet imitating Cartier at USD 100 instead of USD 5,000 or a wallet emulating Dior for USD 200 rather than USD 3,500.

The repercussions of this practice extend beyond the unauthorized appropriation of a brand and the associated value by the imitating third party. It also contributes to a decline in the distinctiveness and exclusivity that many brands experience due to the proliferation of counterfeits.

In colloquial terms, this practice is commonly referred to as using copies or imitations, but its official designation or technical term is counterfeiting or piracy, both of which carry civil, criminal, and/or monetary liabilities.

Individuals who are aware of these brand counterfeiting activities often recognize counterfeit products but are uncertain about what actions to take. Unfortunately, this trend is on the rise, primarily due to the absence of effective tools for reporting or identifying sources of counterfeiting.

However, Ferrari S.p.A. ("Ferrari"), the entity that owns the Ferrari brands, has ingeniously introduced a novel tool to combat and minimize brand counterfeiting practices associated with its brands—the Ferrari Anti-Piracy Reward Program (the "Program").

Participation in the Program is restricted to individuals aged 18 and above. To enroll, participants must submit a report containing information about the entity or location where they identified the alleged trademark infringement through a counterfeit, accompanied by a description of the identified products and photographic evidence.

Each report submitted will be assessed by the Ferrari team. If the trademark infringement is validated (indicating the identified products are indeed counterfeits) and is an infringement unknown to Ferrari, the person who submitted the report will receive a gift from Ferrari.

While the Program platform does not specify the nature of the gift, it guarantees that it will be a Ferrari-themed item. This approach is intriguing, and the results obtained by a renowned brand through such a consumer-friendly platform, facilitating the identification of counterfeiting or piracy, will be closely watched.

If successful, this initiative could signify the future of global anti-piracy efforts aimed at curbing the devaluation and negative impact on famous brands worldwide caused by counterfeiting.

The platform for submitting reports to Ferrari can be accessed here.