WWE News: New Jersey Court Makes Controversial Ruling In WWE Merchandise Case

What's the story?

Merchandise. It's a million dollar industry and something that allows fans of a particular sport or company to showcase their support for said entity. Unfortunately for however, some people have been known to create counterfeit merchandise in order to make a quick buck, which leaves the original company out a lot of money.

With that being said, WWE has found themselves in a similar situation over the course of their existence and are somewhat still struggling to control the flow of counterfeit merchandise sold at their events and online. That's why the company has gone to a New Jersey court in order to seek a temporary injunction that would stem the flow of fake products.

In case you didn't know...

According to a 2018 article by Forbes.com,"WWE reported $50.2 million in consumer product revenue for the six months ended in 2018, including $10.6 million in operating income. And while these figures represent decreases from the same time frame in 2017, this figure saw a 9% increase in Q2 2018 due to due to higher royalties from the sale of licensed consumer products and the timing of merchandise sales related to WWE’s WrestleMania Fan Axxess."

again, were talking about a half billion dollar industry here and that's just the merchandise aspect of it. One also has to consider that fake or counterfeit merchandise also takes money away from those that actually took the time to get the product licensed by WWE, the superstars that are having their merchandise sold and The WWE itself.

If nothing else, its a lot of money to just let fall by the wayside, which is why WWE going to court in order to seek an injunction doesn't seem all that out of place. In fact, it shows a determination to protect and investment and make sure no one is making money off the names that they have made.

The Heart of the matter

PW Insider has reported the following:

" WWE successfully obtained an injunction order in the United States District Court of New Jersey on Apr. 15 to prevent distribution and sale of counterfeit items bearing the WWE name, trademarks, or copyrights. The order allows WWE and local authorities to confiscate any counterfeit items found being sold by bootleggers."

While The WWE Universe will probably be upset by this, especially those that see fake merchandise as such a small problem and feel that the company already makes too much money, WWE does have a right to protect its property. They also have a right to confiscate any counterfeit merchandise being sold during their shows or events.

According to the court ruling.,"(a) WWE is likely to succeed in showing that Defendants have used counterfeit or infringing marks in connection with the sale, offering for sale or distribution of goods or services; (b) WWE will suffer immediate and irreparable injury and will have no adequate remedy at law if this Court declines to grant a preliminary injunction and order of seizure; (c) the harm to WWE should this Court not grant the requested preliminary injunction and order of seizure clearly outweighs any harm which Defendants might incur if the preliminary injunction and order of seizure is granted; (d) the public interest is served with the issuance of the preliminary injunction and order of seizure."

What's next?

Its believed that WWE will be also be seeking an injunction in Florida court to help stem the flow of counterfeit merchandise there as well. The reason for this is that WrestleMania 36 is set to take place in Tampa Bay Florida next year, which could be a breeding ground for those looking to make a quick buck off of fake merchandise.

In the end, no matter how much WWE makes off of it and no matter how much fans think the company won't miss the money they lose out on due to this, that's simply not the case. The Forbes article already proved that merchandise sales alone are a million dollar industry and WWE again has the right to protect that at all costs.