Hermes

Johnnyr1970

I wonder if Rolex might be watching how this story develops given some of the tales I've read on here since joining:

https://www.theguardian.com/fashion/2024/mar/20/hermes-birkin-handbag-lawsuit

Reply
TheNateApex
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I'll be interested to see where this goes. I'm not an attorney by any means, but it seems like sellers have a right to choose to whom they sell. The antitrust angle also seems pretty weak, given that Birkin bags (or Rolexes) are a small part of the market and consumers have plenty of alternatives.

JJMM1983
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Since most AD's are third party. I doubt they will get a lawsuit and I'm sure that's the same reason or excuse for buying Bucherer. To crack down on AD's pressuring buyers to buy a long laundry list of watches to get a Daytona.

RT_19X
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JJMM1983

Since most AD's are third party. I doubt they will get a lawsuit and I'm sure that's the same reason or excuse for buying Bucherer. To crack down on AD's pressuring buyers to buy a long laundry list of watches to get a Daytona.

Yep.

Rolex could potentially get in trouble in the US for the same thing they got in trouble in France for - banning AD sales on the internet - but given they are a supplier to distributors and not direct retailers themselves (for the most part), it’s unlikely they’ll have an issue here if Hermes is found liable for antitrust violations.

And I highly doubt Hermes is going to lose here. As far as I’m aware, this practice - only selling specific, desirable, and limited availability products to favored customers - has never been deemed illegal in the US. If Hermes said “you can buy a Birkin, but you have to buy these other things you don’t want at the same time,” that would be one thing. If they’re saying “we only select customers to buy a Birkin if they are good customers of ours,” that’s a different thing - because you may not ever get that Birkin and the purchase isn’t explicitly tied. That may arguably even less ethical, but it’s not illegal.

The plaintiffs are trying to create new antitrust doctrine, from what I can tell. Making new law for frivolous luxuries like watches and handbags with limited societal impact or consequences seems unlikely to me.