Kering, parent company to global fashion brands Gucci, Saint Laurent, and Bottega Veneta, among others, is accusing e-commerce giant Alibaba Group Holdings Ltd (BABA) of producing and encouraging unchecked counterfeiting of its luxury goods.

The luxury group filed the lawsuit on May 15 in U.S. district court in New York; it charges Alibaba with trademark infringement, counterfeiting, false representation, trademark dilution and racketeering through marketing, and processing payments and shipping fees for the counterfeit goods.

Kering believes the value of its luxury brands is at stake, since exclusivity and prestige are significant aspects of these kind of goods.

"This lawsuit is part of Kering's ongoing global effort to maintain its customers' trust in its genuine products and to continue to develop the creative works and talents in its brands," the company said in a statement.

Jack Ma, executive chairman of Alibaba, told reporters that he thinks “it is regrettable that [Kering] sued us. It would have been better had they tried to find a solution through cooperation with us," he told reporters in Seoul, South Korea.

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