LVMH Faces Legal Battle Over NFT Technology in Smartwatches

Luxury fashion conglomerate LVMH Moët Hennessy Louis Vuitton is embroiled in a legal dispute after being sued by Watch Skins Corporation for alleged patent infringement related to non-fungible token (NFT) technology used in smartwatches. The lawsuit, filed in a Texas federal court, claims that LVMH's TAG Heuer brand unlawfully utilized patented technology that allows users to display NFTs on their devices.

Key Takeaways

• LVMH is being sued by Watch Skins Corporation for patent infringement.

• The lawsuit centers on technology that enables NFT display on smartwatches.

• Watch Skins claims to hold multiple patents related to this technology.

• The case highlights the growing intersection of luxury goods and blockchain technology.

Overview Of The Lawsuit

Watch Skins Corporation, a company specializing in NFT designs for smartwatch faces, filed a complaint on March 10, 2025, alleging that LVMH misappropriated its innovative NFT display technology. The company asserts that it developed a unique system that verifies NFT ownership before allowing it to be displayed on a smartwatch.

The lawsuit specifically targets TAG Heuer's Connected Calibre E4 smartwatch, claiming it infringes on three patents held by Watch Skins. These patents cover:

1. A system for verifying NFT ownership before display.

2. A method requiring verification through a blockchain wallet.

3. A process for retrieving and displaying customized watch faces based on NFT ownership.

Allegations Against LVMH

Watch Skins alleges that TAG Heuer not only used its patented technology without permission but also encouraged customers to infringe on these patents by providing instructions on how to utilize the NFT display features. The complaint details how the TAG Heuer smartwatch connects to a user’s crypto wallet to ensure the authenticity of the NFTs displayed.

Implications For The Luxury Market

This lawsuit underscores the increasing convergence of luxury fashion and digital technology, particularly in the realm of NFTs. As luxury brands explore innovative ways to engage consumers, the legal landscape surrounding intellectual property rights in the digital space is becoming more complex.

Mauricio Uribe, a legal expert in data privacy and protection, noted that as NFT-related patents mature, more litigation is expected in this area. He emphasized that it typically takes several years for patent enforcement litigation to gain traction, even as the popularity of NFTs fluctuates.

What’s Next?

Watch Skins is seeking a jury trial, compensation for lost profits, and a court order to prevent LVMH from further use of the patented technology. The outcome of this case could set a significant precedent for how luxury brands navigate the evolving landscape of digital assets and intellectual property rights.

As the case unfolds, it will be crucial to monitor how both parties respond and the potential impact on the luxury watch market, especially as brands increasingly integrate blockchain technology into their offerings.

Sources

• Luxury Watch Giants Sued in Texas Over NFT Tech in Patent Showdown, Law.com.

• Luxury fashion giant LVMH sued over NFT patent tech for watches, Cointelegraph.