Why doesn't Rolex sue all of those replica watchmakers?

Before I actually made the conscious decision to start collecting watches, I started looking at thousands of watch pics on Instagram.

After about a week of doing that, I started seeing Rolex content on my Facebook feed. And I thought: oh, cool, maybe I can find a used one for under 3k or so... WRONG.

All of them are replicas, selling for near the $250.00 range. And although I am new to this hobby, I can smell a shady deal a mile away. There's no way those things are worth it, even at the $250 mark.

I have started clicking "Hide Ad / Stop Seeing Posts From This Vendor," and they have begun to disappear.

But I had the thought: How do these replica companies get away with this to begin with?!? Why doesn't Rolex take legal action against them?

Thoughts?

Rolex Submariner Date Two Tone Men's Watch 16613LN – Perfect Fake Watches  UK Shop

(Picture found on Google Images.)

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They are the best advertising Rolex can get.

Also, the pursuit and chance of gain would not be safe bets. Rolex does not take chances. 

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@OscarKlosoff 

Well, I guess that makes sense, but it still seems like stamping the watch with their trademarked logo, and enclosing "authenticity" papers would be considered fraudulent. 

And when the watches don't perform like the real thing, and people (the ones who don't know any better) complain on the internet, it seems like this would damage / "water-down" the brand.

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They do it and you can occasionally read about police raids bagging counterfeit watches that were supposedly worth millions and they do it because they need to protect their IP but they don't waste too much efforts catching sellers of 75$ fakes because the replica business isn't really hurting their business and getting serious about stomping them down is too much effort for zero gain.

They do however go very seriously after those that hurt their business by re-selling pre owned watches that were refurbished or "renewed" outside of Rolex service centers. includes non original or third party parts and are resold as "true" Rolex watches. They don't like this practice at all and have filed lawsuits against many resellers that were accused of making unapproved modifications to their watches. 

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I've written a lot about fakes in the past.  Here is me plagiarizing myself:

Here are my totally incoherent, know-nothing, raving lunatic ramblings:

  • As a Libertarian nut job, I believe that producers have an absolute, iron clad right to their own intellectual property and brands, and that it should be illegal, without question, to violate those rights
  • However, you will note that traditionally Swiss manufacturers have not aggressively pursued legal action against counterfeit manufacturers nor counterfeit consumers.  It would seem counter-intuitive.  If black market counterfeits are destroying their brand images and costing these companies billions of dollars in revenue, we should expect them to come down on counterfeiters with the fury of a thousand exploding suns, no?  Take Disney, for example.  The moment anyone uses any likeness of any of their characters, they will come down on that person / entity like a ton of bricks - there are many people literally sitting in prison this very moment due to Disney IP violations.  Why hasn't Rolex pursued the same strategy, when some estimates say that more counterfeit Rolexes are produced and purchased each year than genuine Rolexes?
  • Counter-intuitively, it may be that counterfeit luxury goods do not hurt the actual luxury goods manufacturers to the extent that the conventional wisdom would have us believe.  For the most part, folks who purchase replicas know they're purchasing replicas, and are doing so because a) they cannot afford the real deal and never will be able to afford the real deal, b) they have no intention of ever buying the real deal, and just like having a facsimile for fun, or c) can't afford the real deal yet, like having a placeholder for the time being, and then will eventually buy the real deal when they have saved up enough.  You will note that in all 3 examples above, the real manufacturer is not losing out on a single dime of revenue.  In many cases, (for example, if you delve into the replica community on Reddit) you will find that most folks there fall into camp (c)

As a producer of goods and services, you only go after a copycat / counterfeiter if they are depriving you of real revenue.  In most cases, counterfeits neither serve as adequate substitutes, nor do they harm the branding of the Swiss manufacturers, and in many cases they may help to bolster future sales, in that they help to keep the genuine article top of mind for folks aspiring to own the real deal one day.

If you look at what happened to Noob and VSF and the other highest quality counterfeiters in China, the authorities only ended up coming down on them when they finally produced a set of super-rep movements that nearly rivaled the movements in the genuine articles, and had the temerity to then display these replica movements at some industry show!!!

Regardless, I've purchased over 30 high-quality fakes from China over the course of this past year to hand out as gag gifts to friends and family.  Not a single one of the 30+ folks I've given a watch to regularly wears a watch - other than Apple Watches, and those, as we all know, aren't real watches.  😜  My friends and family LOVE their fake watches, know they're fake, tell everyone immediately that they're fake, and they get to feel the frisson of excitement of having an illicit, black market good sitting on their wrists.  For people like me, it's hipsterism for the old and boring.

I'm getting on a flight in 2 days, and I got a watch case holding 5 fake Rolexes.  If the authorities confiscate them, then they're doing their jobs.  God bless 'em for protecting Rolex's IP.

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A company with the term "Oyster" in its name, making watches for kids, is however getting sued. That part I don't understand.

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hbein2022

A company with the term "Oyster" in its name, making watches for kids, is however getting sued. That part I don't understand.

Agreed. I saw that article. Makes no sense to me.

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hbein2022

A company with the term "Oyster" in its name, making watches for kids, is however getting sued. That part I don't understand.

It's not a company based in China, so there is real legal weight to the threat. There is little point wasting time and effort on going after companies in countries that don't actually enforce IP laws. 

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I think the Pyster and Pop thing is flimsy, but a guy selling watches that actually say “Rolex” on the dial is not. Obviously Rolex  an do as they please, but I’m having trouble squaring their behavior from a moral standpoint. 

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TwiceTollingClock

@OscarKlosoff 

Well, I guess that makes sense, but it still seems like stamping the watch with their trademarked logo, and enclosing "authenticity" papers would be considered fraudulent. 

And when the watches don't perform like the real thing, and people (the ones who don't know any better) complain on the internet, it seems like this would damage / "water-down" the brand.

You would be surprised how some fakes look ridiculously like the original and perform like one. There is no telling a difference unless you start taking the watch apart. The counterfeit market especially for Rolex is insane. 

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@KristianG hit the biggest aspect of it. They fight reps pretty hard, but most rep makers are out of China and there is little enforcement. Where there is, they simply move the shop. Total game a whack-a-mole. 

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Catskinner

They do it and you can occasionally read about police raids bagging counterfeit watches that were supposedly worth millions and they do it because they need to protect their IP but they don't waste too much efforts catching sellers of 75$ fakes because the replica business isn't really hurting their business and getting serious about stomping them down is too much effort for zero gain.

They do however go very seriously after those that hurt their business by re-selling pre owned watches that were refurbished or "renewed" outside of Rolex service centers. includes non original or third party parts and are resold as "true" Rolex watches. They don't like this practice at all and have filed lawsuits against many resellers that were accused of making unapproved modifications to their watches. 

A recent video on a gray market watch channel (there are several) youtube channel showed them replacing a dial on a new Oyster Perpetual with an "after market" Tiffany dial for one of their customers. I was a little shocked that they did this on camera. 

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Rolex is so busy making wait lists they can’t be bothered to make watches let alone find time to chase homage brands, lol!

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TheMightyOz

Rolex is so busy making wait lists they can’t be bothered to make watches let alone find time to chase homage brands, lol!

These aren't homage; they are literally branded with the Rolex name and logo and come in counterfeit packaging with fake registration papers.

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TwiceTollingClock

These aren't homage; they are literally branded with the Rolex name and logo and come in counterfeit packaging with fake registration papers.

Well, before I found Pagani Design I was so fed up with the Rolex acquisition ‘game’ that I seriously considered buying a super clone.  However, a fellow WatchCrunch member suggested Pagani and I’m glad they did.  I wasn’t interested in trying to fool anyone with the super clone.  I just wanted a palm motif watch for less than double the overpriced MSRP.  Pagani killed any chance I’ll ever buy a Rolex.  If I want a luxury watch I’m not afraid to pay for it.  But the Rolex game isn’t something I’ll tolerate.  Frankly, I’d probably buy a super clone over risking getting ripped off on the scalper market.  And buying thousands of dollars on crap I don’t want that an AD can’t sell at an AD in an attempt to suck up to a snooty salesperson isn’t going to happen either.  I’d buy the super clone before I let an AD take advantage of me like that.

Thank God for Pagani is all I can say, because Rolex has done this to themselves.  It is their own marketing decisions that make super clones not only appealing, buy a better option.

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International copyright doesn’t really exist … pretty much can’t do anything about the production of them just the import to certain countries and even that is a needle in a haystack 

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Holydiver42mm

International copyright doesn’t really exist … pretty much can’t do anything about the production of them just the import to certain countries and even that is a needle in a haystack 

It's the same way with coats of arms; you can register your arms in different groups, organizations, institutions, etc., in a myriad of countries, some of which (such as England, Scotland, and Germany) will grant your arms legal protection within their jurisdictions, but in countries with no such laws pertaining to heraldry, it's a free for all.

Luckily, if you're just a plain (non-noble) armiger, your arms probably won't be usurped, because most people would rather design their own coat of arms. The people who need to worry are the ones with famous arms that people are trying to pretend relation to. But I digress.

The solution for Rolex is the same as for royal armigers: advertisement. The more widespread a coat of arms is, and the more recognizable, the harder it is to usurp. By the same token, the more well-known the Rolex brand is, the harder it is to counterfeit, at least to some extent.

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Because Rolex would have to sue themselves for copying Blancpain and other companies that made divers before them 😂

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Maybe because they don't want to get entangled with the criminal enterprises that are usually behind these endeavors...since those enterprises are also into human trafficking, drugs, murder, etc.

Not very Swiss to want to engage with that population... 

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ChronoGuy

Maybe because they don't want to get entangled with the criminal enterprises that are usually behind these endeavors...since those enterprises are also into human trafficking, drugs, murder, etc.

Not very Swiss to want to engage with that population... 

Good point, hadn't thought of that. ✔️

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There's quite a strong argument supported by some historical evidence that Rolex have copied most of their " original " designs.

The debate will never end and neither will the fakes. There is no such thing as bad press as far as Rolex are concerned here.

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Guvnor64

There's quite a strong argument supported by some historical evidence that Rolex have copied most of their " original " designs.

The debate will never end and neither will the fakes. There is no such thing as bad press as far as Rolex are concerned here.

Rolex — because five figures for an homage is worth it ;) 

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Yep totally agree! Not worth it!!

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TwiceTollingClock

Agreed. I saw that article. Makes no sense to me.

It comes down to the need to defend the trademark I think.

Everyone knows fake watches are illegal, its so obvious it doesn't really need to be said and certainly doesn't justify spending legal fees.

On the other hand, slightly left of center uses of trademarked terms like 'oyster' arent immediately obvious.  Let this go and next year there's someone selling 'oyster' bracelets again (remember when they shut those down), and before you know it courts are beginning to wonder "perhaps oyster is just an industry term and shouldn't be just rolex's".  

Hence Rolex sees a need to contest the edges but doesn't see value (especially chasing Chinese companies that just ignore you) enforcing the obvious?