NFT Litigation: Lessons From Hermes v. Rothschild (MetaBirkins) and the Implications for IP

This CLE webinar will guide IP counsel on the lessons learned from the recent MetaBirkins decision and what it means for IP. The panel will examine the first decision to examine how non-fungible tokens (NFTs) should be viewed through the lens of IP law. The panel will discuss what the decision means for IP protection, licensing, and enforcement strategies. The panel will also offer best practices for minimizing the risks and avoiding mistakes when using branded products in art.

In February 2023, a New York jury determined that Mason Rothschild had infringed the marks of Hermes with his MetaBirkins NFTs. Hermes sued Rothschild, who sold 100 of these NFTs. Rothschild argued his works were transformative art and he had a constitutional right to make and sell them. The jury found Rothschild liable for trademark infringement and that he must pay $110,000 in disgorgement along with damages for cybersquatting.

This decision provides brand owners with confidence in using the traditional methods of enforcement. Artists should recognize the risks associated with using branded products as part of their commercial artwork. Further, art using NFTs will not be protected any more than if it had been using traditional methods.

The Supreme Court will hear a case between Jack Daniel's and a company that sells dog toys that resemble Jack Daniel's bottles. Jack Daniel's Properties Inc. v. VIP Products L.L.C. Jack Daniel's asserts that these goods violated trademark law. This decision could impact any appeals that are made in the MetaBirkin case. For now, brand owners and artists have some guidance as to how the courts will address IP issues as related to NFTs.

Listen as our authoritative panel of IP attorneys examines the first decision to examine how NFTs should be viewed through the lens of IP law. The panel will discuss what the decision means for IP protection, licensing, and enforcement strategies. The panel will also offer best practices for minimizing the risks and avoiding mistakes when using branded products in art.