NFT Smartwatch Maker Sues LVMH for Patent Infringement

Watch Skins Sues LVMH for Patent Infringement Over NFT Smartwatch Technology

  • Watch Skins Corporation has filed a patent infringement lawsuit against LVMH, claiming the luxury conglomerate misappropriated its NFT smartwatch display technology.
  • The lawsuit focuses on three patents related to verifying and displaying NFT artworks on smartwatches, with TAG Heuer specifically named for allegedly enabling customers to infringe.
  • Watch Skins is seeking compensation for lost profits and royalties, plus a court order to stop LVMH from further using the patented technology.

NFT startup Watch Skins Corporation has initiated legal action against luxury giant LVMH, alleging the conglomerate infringed on its patented smartwatch NFT display technology. The March 10 complaint, filed in a Texas federal court, accuses LVMH of unlawfully incorporating Watch Skins’ verification system for displaying authenticated NFT artworks on smartwatches.

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The lawsuit specifically targets TAG Heuer, an LVMH-owned watch brand, claiming its smartwatches and other products from the luxury group’s portfolio violated three patents owned by Watch Skins. The disputed technology enables users to showcase verified NFT artworks on their smartwatch faces.

Watch Skins asserts its intellectual property covers three distinct systems: one verifying NFT ownership before display on a watch face, another requiring blockchain wallet verification before displaying NFTs, and a third focusing on retrieving and displaying customized watch faces based on NFT ownership status.

According to the complaint, TAG Heuer actively encouraged customers to infringe on these patents by providing instructions for using NFT display features. “The watch allows the NFT to be displayed if owned by the user’s crypto wallet [and] connects to a user’s crypto wallet to guarantee authenticity of works displayed,” the legal filing explained.

LVMH, a multinational holding company with a portfolio of luxury brands including Louis Vuitton, Givenchy, Tiffany, Christian Dior, Hennessy, and Moët & Chandon, now faces demands for a jury trial. Watch Skins is seeking compensation for lost profits and royalties, along with a court order preventing further use of its patented technology.

Watch Skins established its position in the market when it announced the world’s first blockchain NFT watch face marketplace at the 2020 Consumer Electronics Show in Las Vegas. Their mobile application provides consumers with the ability to purchase authentic, licensed smartwatch faces from popular brands.

At the time of reporting, LVMH had not responded to requests for comment on the litigation.

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