Legal Question in Business Law in California

Re: Legality of selling replica handbags on internet?

Any replica that uses the trademark (or copyright in some cases), of the original goods, is an infringement and that could/will lead to damages and possibily criminal penalities. It makes no difference whether or not you place a disclaimer, it's still an infringement.

If you were to substantially alter the logo or design so that there is no likelihood of confusion as to your product and the original product, then maybe you might be able to evade trouble. Otherwise, be warned.

To answer your question, of how everyone else is getting away with it? Who says they are? They may very well have already received a cease and desist letter or have been sued. Many have been shut down. My previous firm pursued and shut down a fake Rolex distributor. Since there are so many counterfeiters, it's hard and expensive for the companies to go after all of them.