Comparative study on the liability for trade mark infringement of online auction providers

Abstract

Despite global economic downturn, online trade, in particular the sale of counterfeit goods via the Internet, continues to soar. An important player in this game is the online auction provider. Though it is not the direct infringer, trademark owners see it as the logical legal defendant. Due to the nature of online auction, an online auction provider may be sued by the same or different plaintiffs in different jurisdictions. Not surprisingly, the outcome of litigation varies from court to court. This fragmented approach of different courts to the liability of online auction providers calls for harmonization of the law. Focusing largely on the recent lawsuits against Ebay in different jurisdictions, this article suggests that an improved solution based on the German model may be the best way forward.

Despite global economic downturn, online trade, in particular the sale of counterfeit goods via the Internet, continues to soar. An important player in this game is the online auction provider. Though it is not the direct infringer, trademark owners see it as the logical legal defendant. Due to the nature of online auction, an online auction provider may be sued by the same or different plaintiffs in different jurisdictions. Not surprisingly, the outcome of litigation varies from court to court. This fragmented approach of different courts to the liability of online auction providers calls for harmonization of the law. Focusing largely on the recent lawsuits against Ebay in different jurisdictions, this article suggests that an improved solution based on the German model may be the best way forward.