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The Paris Court of Appeal confirmed that eBay was liable for a counterfeiting conviction for selling on its website imitation Louis Vuitton Moet Hennessey (LVMH) products between 2001 and 2006.

EBay’s actions were in violation of the authorized selective distribution networks of LVMH. Other brand names mentioned by the decision included Christian Dior, Guerlain, Givenchy, and Kenzo perfume.

The current ruling verifies the decision by the Paris Commercial Court on June 30, 2008, which established the principles of eBay’s liability for engaging in the sale of counterfeit products as well as products reserved for selective distribution. This decision also dismissed eBay’s claim for exemption on the grounds that it was acting merely as a provider of hosting services.

Moreover, the court concluded that eBay was guilty from direct or indirect violation of selective distribution networks in the future.

The court’s decision ordered eBay Inc. and eBay AG to pay penalties amounting to $7 million. This amount falls short of the original $49 million in damages sought by LVMH.


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