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eBay Not A Host But A Broker

by Mark on June 30th, 2008

One might arrive at any number of sub-titles for this news… for ex.;

eBay Does Battle With Two Foreign Governments or or eBay Willing To Display Arrogance In Australia and France.

The bottom line is a French court has ruled against eBay in a battle involving counterfeit Louis Vuitton products. To the tune of $63 Million (US).

Eliciting this response from LVMH: “The Paris commerce court’s verdict will make case law. For the first time in France it clearly states the principle under which auction sites that operate on the web have to ensure that their activities do not permit unlawful dealings. The court has dismissed as without foundation the argument used by eBay to exonerate itself that its clients are solely responsible for their illegal undertakings when transacting. eBay is not a host but a broker.”

Ouch - case law? Dismissed without foundation? Wow, without foundation - that’s pretty heavy.

eBay responded: “We believe that this ruling represents a loss not only for us but for consumers and small businesses selling online, therefore we will appeal. It is clear that eBay has become a focal point for certain brand owners’ desire to exact ever greater control over e-commerce. We view these decisions as a step backwards for the consumers and businesses whom we empower everyday.”

Nice spin - I actually like it - blame everyone else and even include your buyers and sellers but exonerate yourself. Of course, it seems someone forgot that it wasn’t the brand owner that came to the ruling, it was a French Court!

Tags: , eBay in court, eBay loses ruling, eBay security policies


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