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Global fragrance makers must face price-fixing case, US judge rules

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February 25, 2025

Four European and American fragrance makers must face lawsuits accusing them of conspiring to inflate prices of ingredients used to make cosmetics, cleaners and other household products, a federal judge in New Jersey has ruled.

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U.S. District Judge William Martini on Friday rejected efforts by the companies — Switzerland-based Givaudan and Firmenich, which has merged with DSM Group; U.S.-based International Flavors & Fragrances and Germany’s Symrise — to dismiss three proposed class action lawsuits filed in 2023 by consumers and other buyers.

The lawsuits, alleging an illegal price-fixing conspiracy, came after EU investigators in 2023 announced an antitrust investigation of some major fragrance makers.

The judge dismissed some state-based allegations but will allow those plaintiffs to file an amended lawsuit within 30 days.

Givaudan, Symrise and International Flavors & Fragrances did not immediately respond to requests for comment. DSM-Firmenich in a statement on Monday said it was cooperating with previously disclosed investigations by U.S. and European competition authorities. The companies have denied wrongdoing.

Attorneys for buyers did not immediately respond to similar requests.

Martini is presiding over cases filed by consumers, companies that purchased products directly from the defendants, and “indirect” buyers that purchased fragrance ingredients and compounds from sellers other than the defendants.

Sales of fragrance ingredients reached $9.1 billion in 2022, according to the plaintiffs, who alleged that the fragrance market was highly concentrated and “more susceptible to collusion and other anticompetitive practices.”

The fragrance companies in seeking dismissal of the lawsuits argued that the plaintiffs failed to offer adequate evidence of a conspiracy to fix prices.

“The ambition of plaintiffs’ claims stands in sharp contrast to the paucity of their factual allegations,” the companies told the judge.

They said the lawsuits were “based on nothing more than reports of government inquiries into the fragrance industry.”

European antitrust investigators said in June 2024 that their fragrance industry probe was ongoing.

The cases are In re: Fragrance Direct Purchaser Antitrust Litigation, U.S. District Court for the District of New Jersey, No. 2:23-cv-02174-WJM-JSA; In re: Fragrance Indirect Purchaser Antitrust Litigation, No. 2:23-cv-03249-WJM-JSA; and In re: Fragrance End-User Plaintiff Antitrust Litigation, No. 2:23-cv-16127-WJM-JSA.

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ECB’s Nagel sees more rate cuts as inflation outlook encouraging

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February 25, 2025

The European Central Bank has room to cut its interest rates further if inflation eases to its 2% goal this year as it expects, ECB policymaker Joachim Nagel said on Tuesday, adding the outlook for prices was “encouraging”.

The ECB is widely expected to cut rates for a fifth straight time next week after seeing inflation fall from double digits after Russia’s 2022 invasion of Ukraine to just over 2% in recent months.

Nagel said incoming data, especially the latest developments on price growth, suggested the ECB was likely to achieve its target this year.

“This would allow us on the Governing Council to lower the key interest rates further,” he said in a speech as he presented the Bundesbank’s annual accounts.

“Overall…the outlook for prices is fairly encouraging,” he added, while cautioning about “persistently elevated core inflation and the undiminished strength of services inflation”.
Meanwhile the Bundesbank, as the ECB’s main shareholder, was still paying a high price for its past largesse in the form of massive bond purchases, and the subsequent bout of high inflation.

The German central bank posted yet another loss in 2024 as meagre income from bonds it bought when rates were low was outweighed by large interest payments to banks.
The €19.2 billion- ($20.10 billion) loss wiped out the Bundesbank’s reserves and was carried forward to this year.

The German central bank said it expects to record losses for some time to come, meaning it won’t be able to pay dividends to the German federal government.

But Nagel stressed the Bundesbank had a sound balance sheet, including revaluation reserves worth 267 billion euros.
“The Bundesbank is fully unrestricted in its ability to act,” Nagel said.

© Thomson Reuters 2025 All rights reserved.



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New Walpole Brands of Tomorrow list includes E.L.V. Denim, Original Fibres, Genevieve Sweeney

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February 25, 2025

Walpole, the industry body for the British luxury sector, has announced the 2025 selection for its Brands of Tomorrow, “a unique mentoring programme” that takes 12 early-stage brands through a year-long programme of workshops and guidance to “help develop their business skills and set them on a path to growth”.

Elv Denim – Fall-Winter2025 – 2026 – Womenswear – Royaume-Uni – Londres – ©Launchmetrics/spotlight

Now in its 18th year, the body’s flagship development programme aims to pass on skills, experience and practical knowledge “to ensure the continued dynamism and prosperity of the sector”.

So which brands gained are on the 2025 list? This year there are a lot of names relevant to the fashion and beauty sectors.

They include E.L.V. Denim, the brand focused on “handcrafting timeless fashion pieces from 100% upcycled materials”. It “breathes a second life into garments that could otherwise be destined for landfill” in order to “transform loss into luxury, protect the environment for future generations and prove that an upcycling business model can be a success”. It was founded by fashion stylist Anna Foster in 2018.

Knitwear gets a place on the list via Genevieve Sweeney who we’re told is “rewriting the story of British knitwear, threading together the importance of tradition and vibrant innovation. Since its launch in 2015, the brand has embraced a commitment to craftsmanship and sustainability, creating investment pieces designed in Hertfordshire and made across the UK with small family-run mills”.

Then there’s Curate Your Style, an international personal styling company based in London’s Mayfair. It’s dedicated to “transforming the shopping and dressing experience”, and offers “wardrobe solutions tailored to each client’s unique colouring, body shape, and lifestyle”. 

Meanwhile Original Fibres, launched in 2018 by Callum McCall and George Rutherford-Jones, is a “fabric-first menswear brand born to meet the growing demand for higher-quality, lower-impact clothing”. Founded as an all-seasons linen label, it now also uses wool and via different weights and weaves of luxury-grade natural fabrics it wants “to change perceptions around how and where they can be worn”.

Original Fribres

Smock London is an artisan fashion brand on a mission to modernise the art of smocking for the 21st century. Founded by Laura Burch and Kajsa McLaren, the brand reinvents smocking as “handmade works of art that leap off the dress in a Technicolor twirl of hand-stitched joy”.

As for jewellery, MJ Jones is includes as “a British luxury brand on a mission to become a future leader in fine jewellery design, innovation, and craftsmanship” And Cece Jewellery is a modern British brand “reshaping the art of enamel through exceptional craftsmanship and captivating storytelling”. It was founded by designer Cece Fein-Hughes.

And in skincare, beauty industry veteran Teresa Tarmey “is one of the world’s most sought-after skincare and laser experts”, dubbed the ‘Super Facialist’ by Vogue.

Walpole said its programme “creates mutually beneficial relationships between established and up-and-coming luxury businesses and individuals, which not only ensures a pipeline of new British brands but keeps driving the innovation and entrepreneurship at the heart of a sector that is growing 11% annually. 

“Each new cohort of Brands of Tomorrow serves as a reflection of evolving consumer trends in the high-end market, highlighting emerging expectations and behaviours”. 

This year, alongside a continued commitment to sustainability, “many in the group are championing heritage craftsmanship. By preserving traditional skills and passing them down to the next generation of artisans and suppliers, these brands are not only honouring their craft but also ensuring its future in the luxury industry”. 

This year’s mentors include, Annalise Fard, senior director Beauty, Fine Jewellery, Watches and Home, Harrods; Sue Fox, former president of Estée Lauder UK & Ireland; Justin Stead, entrepreneur and investor; and Michael Ward, MD, Harrods, among others.

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Puma, Brooks settle lawsuits over running-shoe patents, trademarks

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February 25, 2025

Puma and Berkshire Hathaway’s Brooks Sports have agreed to settle litigation over claims that Brooks’ running shoes violated Puma’s patent and trademark rights, according to filings in Washington federal court.

Puma and Brooks asked a federal judge in Seattle on Friday to dismiss the cases with prejudice, which means they cannot be refiled. The companies said on Monday that the dispute had been resolved under confidential terms.

Germany-based Puma sued Brooks in 2022, alleging a Brooks ad campaign using “Nitro” to advertise its running shoes violated Puma’s rights in the name, which it uses with competing running shoes. Puma also said in the lawsuit that Brooks’ shoes infringed a design patent covering the foam-molding technology Puma uses in its Nitro shoes.

Brooks denied the allegations and said it used “Nitro” solely to describe its shoes’ nitrogen-infused midsoles.

Puma sued Brooks again in Seattle last June, alleging Brooks’ Hyperion running shoes infringed several other patents. Brooks denied the allegations and called the lawsuit a “baseless action” to “harass Brooks and seek leverage in the parties’ ongoing trademark dispute.”

Brooks separately sued Puma in Virginia federal court last September, seeking an order that its Glycerin running shoes did not infringe Puma patents. Brooks told the court in a filing last Wednesday that they had settled the case in principle.

The Washington cases are Puma SE v. Brooks Sports Inc, U.S. District Court for the Western District of Washington, Nos. 2:23-cv-00116 and 2:24-cv-00940.

For Puma: Johanna Wilbert, Michael Piery, Matthew Holohan and Kent Dallow of Quarles & Brady
For Brooks: Geoffrey Potter, Aron Fischer, Lachlan Campbell-Verduyn and Jay Cho of Patterson Belknap Webb & Tyler
 
 

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