eBay Wins Counterfeit Court Case

After taking a hammering over counterfeits in European courts, eBay has won a significant victory regarding counterfeits in New York.

During June, eBay lost a pair of European lawsuits over the sale of counterfeits on the auction site. Yesterday it reversed that slide when a New York judge ruled that it couldn’t be responsible for the sale of counterfeit goods on its site, in a suit brought by jewelry company Tiffany.

Retailers have felt that eBay’s current reporting and protection system for counterfeits doesn’t go far enough, but the decision by Judge Richard Sullivan indicated that their procedures are adequate, effectively putting the onus on manufacturers and designers to protect their brands.

In a statement, eBay said:

"The ruling confirms that eBay acted reasonably and has adequate procedures in place to effectively address counterfeiting. While today’s decision is a victory for consumer choice, it is a shame that so much effort has been wasted when Tiffany could have worked with eBay to more effectively fight counterfeits."