eBay Wins in Court – Happy Day San Jose, Sorry Tiffany & Co.

EBAY Wins a Case!

Wow, eBay Wins in court, must be a happy day in San Jose!  Today, eBay won a critical ruling in the case of Tiffany & Co. vs eBay Inc. The Court ruled eBay was not responsible for the sale of fake Tiffany on the site.

I tend to agree, eBay is thousands of sellers and each seller is responsible for the items they offer. While eBay should do more to prevent the fraudulent sale of counterfeit goods and knock offs, it can not be ultimately responsible.  The real responsibility falls upon the seller who offered the merchandise on the site should bear the legal responsibility for same.

Congrats - eBay!

NEW YORK (Reuters) - EBay Inc scored a major legal victory on Monday, when a federal judge ruled that Tiffany & Co failed to prove the online auctioneer was responsible for the sale of fake on its website.

The ruling in the 2004 lawsuit brought by Tiffany in U.S. District Court in New York could play a key role in deciding the ground rules for doing business over the Web and further refines trademark and copyright protections in cyberspace.

Tiffany alleged that turned a blind eye to the sale of fake Tiffany silver jewelry on its site. EBay said the high-end jeweler chose not to participate in eBay programs that help brand owners prevent fraud.

"The Court concludes that Tiffany has failed to meet its burden in proving its claims," wrote U.S. District Judge Richard Sullivan in his opinion.

"Given Tiffany's choice to sue eBay, rather than individual sellers, and this Court's conclusion that eBay does not continue to supply its services to those whom it knows or has reason to know are infringing Tiffany's trademarks, Tiffany's claims against eBay must fail," wrote the court.

Ebay, which has been trying to increase trust between buyers and sellers in its main auction business, has increased spending on technology and people to stem the sale of fake goods on its site.

San Jose, California-based eBay says it takes down more than 90 percent of fraudulent goods on its site within four hours of their posting.

Shares of eBay were down 2.2 percent to $27.39 on Nasdaq.

(Reporting by Alexandria Sage and Martha Graybow; editing by John Wallace/Jeffrey Benkoe)

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