Gucci scion vows to fight on in battle for her name

Rebecca Bundhun

• Last Updated: July 24. 2010 9:22PM UAE / July 24. 2010 5:22PM GMT

The battle over the use of the Gucci name on a hotel in Dubai reached new heights yesterday as the company behind the venture promised a legal challenge to a ban on its proposed use of the brand.

Gucci, the global fashion label which is now owned by the French luxury goods company PPR, won a court injunction late last week in Florence to prevent Elisabetta Gucci, the daughter of the late fashion mogul Paolo Gucci, from using her name to brand and promote a boutique hotel under development in Dubai.

“According to the court’s order, all the counterparts have to immediately cease any use of the mark at issue as well as of the domain name ‘Elisabetta Gucci’ for any business or advertising purpose,” the fashion house said. Yesterday, the Elisabetta Gucci website was no longer accessible.

“The court furthermore imposed a penalty for any possible violation of its order,” Gucci added.

But Lorens Ziller, the managing director of EG Hotels and Resorts, told The National last night the court ruling was only a “preliminary judgment”and that a legal challenge was being mounted.

“Our lawyers are preparing to oppose this preliminary judgment,” Mr Ziller said.

He said the ruling as it stood would apply only to the EU. “No advertising in any manner has been done inside the EU and also the first project itself is based outside the EU.

This preventive inhibitory judgment does not affect the project in Dubai or other projects in the Middle East, Far East, Africa and South America, which will carry on as planned.”

The fashion house Gucci said on Thursday it had won the case against the use of Elisabetta Gucci’s name in any branding, including the hotel. Mr Ziller insistedElisabetta Gucci was not actually part of the branding and pointed out that the company’s name had been changed last month to EG Hotels and Resorts, formerly known as Elisabetta Gucci Hotels and Resorts.

Gucci said it hoped the latest injunction would “act as a significant deterrent for those who intend to unlawfully licence or commercially exploit the Gucci trademarks”.

The use of the name Elisabetta Gucci had “caused customer confusion and has been harmful to Gucci’s business and well-known reputation”, it said.

“Gucci does not intend to let the power of its brand be diluted by counterfeiting or intellectual property infringements.”

EG Hotels plans to open an 87-room boutique property in Dubai Media City by early next year. The company said a few weeks ago it was aiming to open about 40 properties worldwide over the next 15 years.

Other members of the Gucci family in the past have had attempts to launch products branded with their names thwarted by the fashion house. Some years after Paolo Gucci’s death, Gemma Gucci, another of his daughters, and his ex-wife Jennifer Gucci, ended up in court and were barred from using the family name on a range of products.

Mr Ziller said he would consider all possible options to continue with the hotel projects.

“If such negative judgment should persist even after the conclusion of the case, EG Hotels may study and develop, together with Elisabetta, a different ‘main brand’ or also marry an existing hotel brand for a different and additional hospitality concept which will be accompanied by the addendum ‘by Elisabetta Gucci’ or ‘concept by Elisabetta Gucci’ in order to avoid further misunderstandings and misinterpretations.”

rbundhun@thenational.ae