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Luxe Knockoffs Cost eBay $63M

French court favors Louis Vuitton; auction giant may boost anti- counterfeit measures

By Jonas Oransky,  Newser Staff

Posted Jun 30, 2008 4:48 PM CDT

(Newser) – A French court sided today with couturier Louis Vuitton in a suit against eBay, ruling the auctioneer must pay $63.1 million in damages for fake goods sold on its site—a ruling the Wall Street Journal says will force eBay to step up anti-counterfeiting protections. EBay says it will appeal the judgment, its second recent defeat in French courts.

EBay has defended itself by pointing to a program that allows companies to report suspicious items, but the Paris judge was unsatisfied. “It is clear that eBay has become a focal point for certain brand owners' desire to exact ever greater control over e-commerce," the company fired back in a statement.

A model wears a creation by British fashion designer John Galliano for Dior's Haute Couture fall-winter 2008/2009 fashion collection, presented in Paris, Monday June 30, 2008.
A model wears a creation by British fashion designer John Galliano for Dior's Haute Couture fall-winter 2008/2009 fashion collection, presented in Paris, Monday June 30, 2008.   (AP Photo/Jacques Brinon)
In this Oct. 17, 2007 file photo, PayPal items for sale are seen at eBay headquarters.
In this Oct. 17, 2007 file photo, PayPal items for sale are seen at eBay headquarters.   (AP Photo/Paul Sakuma, file)
A model wears a creation by designer Paul Elbers for  French fashion house Louis Vuitton.
A model wears a creation by designer Paul Elbers for French fashion house Louis Vuitton.   (AP Photo)
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