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Sachi Salon Is a Beauty Parlor with Complete Hair and Nail

Question 72

Multiple Choice

Sachi Salon is a beauty parlor with complete hair and nail services. Near the front counter of the salon, the owner of Sachi leases a small space where Belinda's Bags operates. Belinda carries a full line of Gucci, Prada, and Chanel bags. However, none of the bags costs over $175. Sachi's owner has said many times, "I got an $1100 Chanel bag for $110. Somebody's selling knock-offs." Which of the following is correct?


A) Because Sachi's owner is aware of the infringement of the trademarked goods, it can be held liable as a landlord for that infringement.
B) Sachi is not required to police the conduct of its tenants.
C) Sachi can be held liable for infringement only if it shared in profits from Belinda's sales.
D) Sachi need not inquire of Belinda whether the bags are authentic.

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