Business

Bernard Arnault owned company says small business must change its name

A small business owner has found herself embroiled in a legal battle with one of the world’s largest luxury conglomerates owned by the planet’s richest man, Bernard Arnault.

Kenz Beauty, a skincare brand specializing in all-natural products, has been issued a letter from Louis Vuitton Moet Hennessy’s subsidiary, Kenzo, claiming that their name is “deceptively similar” and demanding an immediate change.

Rim Daghmash, the founder of Kenz Beauty, is fighting to protect the business she created as a tribute to her four-year-old daughter, Kenzie, who has who has autism.

Inspired by her daughter’s inner beauty, Daghmash aimed to counteract the negative stigma associated with autism by incorporating Kenzie’s name into the business and donating a portion of every sale to autism research.

“We wanted to change the narrative and show the world that autistic children are beautiful,” Daghmash said on Wednesday night’s edition of A Current Affair. ”That‘s why we started Kenz Beauty.”

Rim Daghmash poses with husband and daughter, Kenzie.
Rim Daghmash, owner of Kenz Beauty, used her daughter’s name in her company title to promote autism awareness. @RimDaghmash / Instagram

However, the company‘s positive message has come under attack from Kenzo, part of the global luxury powerhouse LVMH and owned by Arnault, who has an estimated net worth of $215 billion.

Despite the stark differences in the two business names, Kenzo has demanded that Kenz Beauty change its name.

Daghmash is unable to afford the exorbitant legal fees and has offered mediation, which has so far been ignored. “They are a giant brand, and I feel like they are crushing us,” she says.

“I think it‘s bullying, I think it’s just the big corporate bullying a small business. We’re not a threat to them, we’re just a small startup, a family business.

Bernard Arnault is demanding the small business Kenzie Beauty change it's name due to similarities with his brand, Kenzo.
Bernard Arnault is demanding the small business Kenzie Beauty change it’s name due to similarities with his brand, Kenzo. AFP via Getty Images

“A five-year-old will be able to tell the difference between Kenzo and Kenz Beauty. They‘re two totally different names. Our brand, our logos, our products are different.”

The loss of the Kenz Beauty name would not only strip Daghmash of her financial profits, but would also take away from the central message of her business: that Kenzie and all autistic children are beautiful.

“I put my heart and soul into this business, and I just want them to leave me alone,” Daghmash says, with a sense of injustice and frustration.

This is a classic David versus Goliath story, where a small business owner with a powerful message is battling a multinational conglomerate with seemingly unlimited resources.

It is also important to point out that Louis Vuitton regularly claims it supports the growth of small business and inclusivity.

The outcome of this legal battle remains to be seen, but one thing is for certain – Daghmash‘s unwavering commitment to her daughter and her cause will not be silenced.

“In my experience, companies such as Louis Vuitton almost have endless resources when it comes to this sort of thing,” Patent lawyer Sharon Givoni said.

“They can basically keep coming back until the small company simply runs out of puff and out of money.”

A statement realeased by a Kenzo spokesperson said the business was simply trying to “protect its brand” and “fight against infringement”.

“Kenzo is acting worldwide to protect its brand and products in order to avoid any risk of confusion with a third-party brand and, above all, to fight against infringement,” a statement released to Channel Nine read.

“Discussions have been initiated with the founder of “Kenz Beauty”, without ever questioning the existence, the values and the functioning of this brand, but simply to avoid any risk of confusion to the public.

“Discussions are ongoing and we are willing to reach an amicable agreement that will preserve our mutual interests, just as we wish full success to Ms Daghmash and the action she is achieving via her company.”