ARTICLE
2 August 2016

Ways Manufacturers Can Shut Down Unauthorized Resellers

W
WilmerHale

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The internet has become a dominant marketplace for consumer products and services.
United States Intellectual Property

The internet has become a dominant marketplace for consumer products and services. Historically, high capital costs of warehouse and storefront facilities tended to discourage unauthorized resellers from becoming a significant factor in the market. Now, with little upfront capital, online resellers have direct access to consumers through online marketplaces established by companies such as Amazon.com Inc., eBay Inc., Newegg Inc. and Alibaba Group Holding Ltd. and/or through the resellers' own websites. While the resulting explosion of internet sales has generally benefited most brand owners, it has created an increased potential for intellectual property violations by unauthorized resellers seeking to profit from product sales without paying for intellectual property associated with those products.

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Originally published by Law360, New York July 26, 2016

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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