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An American Indian arts group wants $8 million from Utah-based Milne Jewelry Co. for allegedly marketing dolls made in China that the plaintiffs say too closely resemble authentic Indian images.
A spokesman for the defendant labels the lawsuit as nothing short of extortion.
"This group gets on Internet to look for people advertising things that look Indian, they make a purchase and lay in wait to allow damages to accumulate." said Milne's attorney Bryce Dixon. "They try to shake down companies for as much money as they can get. It's a racket."
Repeated calls to Chicago-based Native American Arts Inc., representing Ho-Chunk tribal members, were not returned.
But in testimony before the U.S. Senate in 2000, Jacob Lonetree, then president of the Ho-Chunk Nation, said the arts group had reached confidential settlements in nine lawsuits involving counterfeit Indian items
"These actions are expensive and difficult cases brought after extensive investigations," said Lonetree. "But they can and have been effective."
Native American Arts is suing under the Indian Arts and Crafts Act, which allows tribes recognized by the federal or state governments, tribal members or American Indian arts groups to file civil actions. The plaintiffs can collect triple damages or $1,000 for each day a violation occurs, whichever amount is greater.
Attorney Dixon points to two dolls manufactured in China by Timeless Collection as evidence the arts group is harassing his client Wes Milne, 75, who founded Milne Jewelry in St. George in 1952. Besides its porcelain Indian dolls, Timeless Collection also markets other lines such as babies, cowboys, ferries and bride dolls.
On its Web site, Timeless Collection says the Indian dolls are not authentic. Dolls manufactured by Timeless are sold through companies selling collectibles and on eBay.
In addition to the Indian dolls, Native American Arts also is suing Milne for marketing five jewelry pieces, including pendants, necklaces and earrings labeled as Navajo, Zuni and Hopi. Native American Arts insists the pieces were not made by certified Indian artisans.
Dixon says that even though the jewelry is authentic, lawsuits such as this one have a dampening effect on other businesses buying from American Indians.
"Instead of protecting Indians the law is hurting them," he said. "Any business that has every reason in the world to believe they're buying products made by certified Indians, and you happen to be wrong, you're going to pay big bucks."
Wes Milne says stores and Internet sites are staying away from advertising any products made by certified Indians. Instead of Hopi silver jewelry, for instance, companies market silver pieces.
The Indian Arts and Craft Act, a truth-in-advertising law, was passed in 1935 to protect Indian artisans. But initially the penalties proved to be no meaningful deterrent to those who sold counterfeit wares. The act was amended in 1990 to include tougher civil and criminal penalties.
Because there are historic discrepancies in government certification of tribes, the law is not universally popular with American Indians. In the book The Arbitrary Indian: The Indian Arts and Craft Act of 1990, author Gail K. Sheffield argues that the law had unintended consequences of sanctioning discrimination against American Indians whose tribal affiliation has not been recognized by federal or state authorities.
1990 Indian Arts and Crafts Act
* It is illegal to sell an item that falsely suggests it is made by an American Indian.
* An American Indian is defined as a member of a federal- or state- recognized tribe.
* A government- recognized tribe also may certify an individual as an Indian artisan.
* The law covers all Indian arts and crafts produced after 1935.
*The first violation carries a fine up to $250,000 and a 5-year prison term.
* Businesses face civil penalties and fines up to $1 million for each violation.
Source: U.S. Department of Interior