Immediate release—Houston-based Farouk Systems, manufacturer of CHI® and BioSilk® brands filed a lawsuit on October 27, 2009 charging the Seattle-based Costco Wholesale Corporation for violating the Lanhm Act which prohibits the selling of counterfeit, non-genuine goods.
After nearly two years of litigation, the jury agreed and found that Costco had indeed sold counterfeit CHI-branded merchandise consistent with the charges made by Farouk Systems.
Farouk Systems Pleased With Verdict
“We are pleased that the jury returned a verdict in our favor and found Costco liable for selling counterfeit merchandise bearing the CHI trademark,” says General Counsel Wisam Ghuneim representing Farouk Systems.
Ghuneim said “This verdict is a significant milestone in the ongoing fight against buyers, distributors, and sellers of counterfeit and fake goods. It is of paramount importance that retailers employ better and prudent practices to ensure that the products they sell the public are genuine. Not only do counterfeit and fake goods infringe on intellectual property rights of brand owners, but they also take much needed jobs away from the American economy”.
Farouk Shami, founder and chairman of Farouk Systems added, “I’m very pleased with the verdict and this shows that Farouk Systems will fight known counterfeiting and will preserve the integrity and authenticity of CHI products consumers purchase.”
Judgement Against Multiple Chinese Entities For Selling Counterfeit CHI Irons
This win comes nearly a year after Farouk Systems had secured a judgment against multiple Chinese entities for selling and distributing counterfeit CHI irons over the internet.
In that case, a federal judge awarded Farouk Systems a monetary judgment in the amount of $304 million dollars against the defendants.
More About Farouk Shami & Farouk Systems, Inc.,
Farouk Shami, a Palestinian-American businessman, is Founder, Chairman of the Board of Farouk Systems, Inc. a Houston based company which manufactures high quality professional hair care and spa products.
Farouk Systems' uniqueness comes from being a company owned and operated by a team of hairdressers which include over 2,000 educators in over 100 countries.
"I began Farouk Systems based on a mission and a dream. My mission and dream was to provide my fellow hair artists with a safer workplace environment - free of harsh chemicals, advanced knowledge through education and new professional only systems that could not be duplicated at home. This is why Farouk Systems' mission statement has always been and still is: Environment, Education, & Ethics. Farouk Shami - Founder, Chairman of the Board
He currently resides in Houston, Texas, where his company is based. Farouk was born in Beit Ur al-Tahta, a village near Ramallah, Palestine. Shami has worked for decades in the field of hair-care product development, and attended cosmetology school in Arkansas.
He invented the first ammonia-free hair color, after developing an allergy to the chemical which initially led doctors to encourage him to leave his profession.
The Houston-based Farouk Systems Inc., currently employs over 2,000 people.Farouk System Inc., exports its line of hair and skin care products under the BioSilk, SunGlitz and Cationic Hydration Interlink (CHI) brands to over 106 countries worldwide.