Jeweler Faces Lawsuit over Gray Market Rolex Claims

(IDEX Online) - A US jewelry retailer is facing legal action from three "whistleblowers" who allege they were fired for exposing a foreign gray market conspiracy involving Rolex watches.

CD Peacock, which operates three stores in the Chicago area, says it will vigorously defend the action, and says in a statement that the "former disgruntled employees … were terminated for cause".

A similar case, involving one of the current plaintiffs, was dismissed without prejudice by a federal court in Illinois in April in February 2021.

The violation of Rolex's policies and gray sales are not in themselves unlawful, but the plaintiffs also allege illegal activity.

Haskell Garfinkel, of Garfinkel Group LLC, whose firm represents two of the plaintiffs, told Fox 32 Chicago: "Our clients allege they were fired from C.D. Peacock after they refused to take part in a far-reaching scheme that involved a litany of illegal activities committed in order to profit by getting this merchandise into the hands of foreign gray market resellers."

Pic courtesy CD Peacock