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EU court backs Dior on resale dispute

EU court backs Dior on resale dispute

Write: Sayoko [2011-05-20]

The European Union's highest court ruled Thursday that Dior luxury fashion company can bar the resale of its goods by discount stores.

The Court of Justice said Dior can prevent a licensee from passing on goods to discount stores if it damages the allure and prestigious image which bestows on those goods an aura of luxury.

The ruling came after a French high court sought advice in a dispute between Christian Dior Couture SA and licensee Societe Industrielle lingerie over the sale of Dior luxury corsetry goods to a discount store.