More and more companies are specializing in the personalization of branded products, be it watches, clothing or cars. However, this commercial modification of the products by third parties runs into trademark problems. Now the Swiss Supreme Court has ruled for the first time on a legal dispute between the luxury watch brand Rolex and a company that personalizes such luxury watches.
According to Swiss trademark law, it is permissible for companies to modify branded products that have already been purchased by consumers and modified on their behalf. However, it is not permitted for companies to purchase, modify, keep in stock, advertise and resell branded products.
In the present case, Rolex had filed a lawsuit against an unnamed Geneva-based company that advertised personalizing mass-produced luxury watches. This involved changing certain parts, giving them a new look or modifying various technical features in order to make the watches more exclusive according to the wishes of its customers. In the lawsuit filed in December 2020 with the Civil Division of the Court of Justice, Rolex alleged that the defendant was infringing its trademark by offering modified watches bearing its trademark without authorization.