France — eBay Ordered To Pay Damages To
Hermès And LVMH
A French court has ordered eBay to pay damages to
Hermès, after determining that eBay did not sufficiently
ensure that its website would not be used for illegal
activities. Hermès had sued eBay and the user who sold
two fake Hermès handbags on eBay. It alleged that eBay
had participated in trade-mark infringement by allowing the
sale to occur through its website.
eBay had argued that it could not be held responsible
because it was acting solely as a host and thus was not
involved in the sale of the counterfeited items. As a host, it
had neither an obligation to monitor all information hosted on
its servers, nor an obligation to track down illicit
activities....
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