Stopping knockoffs an elusive goal for Flyers

As Flyers fans have been flocking to games of the Eastern Conference finals and, perhaps, the Stanley Cup playoffs, so do wannabe entrepreneurs selling counterfeit sports memorabilia.

It's a huge business.

The National Hockey League puts the price tag for unsanctioned knockoff products at "tens of thousands" a year. Sales are in the millions for all pro sports leagues.

That's money the NHL, which licenses authentic goods that bear trademarked logos of its teams, does not get. And maverick hucksters do, selling their version of goods for less money on nearby street corners and at subway stops.

It's a perennial problem, as old as the NHL, which puts out public warnings before playoff games, such as the Flyers contest last night, urging unsuspecting fans to beware of unauthorized and often poorly constructed knockoff merchandise that they may not realize is unauthentic.

Sales of counterfeit products have "a major impact on our business, on our intellectual-property rights, and on fans who want to know when they see our logos, our trademarks, on products that it's legitimate and high-quality," said Michael Gold, senior counsel for legal and business affairs for NHL Enterprises L.P.

The revenue loss to all sports leagues is "millions" a year, Gold said. "Counterfeiters are not just dealing with the NHL. They'll produce product for all different teams," he said. "It is a global problem for any company that owns trademarks."

The NHL tries to counteract knockoffs with competitive pricing and works with local police to seize merchandise and crack down on violators.

Philadelphia Police Lt. Frank Vanore said police worked with the city Department of Licenses & Inspections to patrol outside city concerts and sports events, looking for people selling illegal merchandise.

At a Flyers game, only the team has the right to sell merchandise, "and it's pretty easy to spot" violators, Vanore said. Goods are confiscated and the seller is cited.

The NHL has joined other sports leagues in the Coalition to Advance the Protection of Sports Logos, known as CAPS, to fight counterfeiters.

Because knockoff items are much cheaper, the NHL offers products "at every price point," Gold said.

The NHL has a major advantage because it sells inside at games, on league Web sites, at arena souvenir stands, in team stores, and at sporting-goods retailers.

"It's difficult to compete with the prices because the counterfeiters are using the cheapest possible material," Gold said. "We can't offer two for $10 T-shirts like the counterfeiter, but we offer pucks and other products that would come in at a lower price."

Licensed NHL products range from T-shirts that cost $17.99 to sweatshirts and polar fleeces for $34.97 and NHL jerseys that cost in the $79.99 to $149.99 range, according to NHL Enterprises.

Since 1993, law enforcement has seized more than nine million products bearing logos of professional sports leagues and teams, colleges and universities, valued at more than $329 million, the NHL said.

Counterfeit goods turn up especially during high-profile sports events, such as the Stanley Cup playoffs and All-Star weekends. "It's proportionate to the level of excitement. As playoffs go along, we see increased levels of counterfeiting activity," Gold said.