In a recent move, Amazon.com Inc has taken legal action against several members of its seller community for abusing the site’s intellectual property policies. This time, the company is targeting unauthorised sellers who have allegedly been using a practice known as ‘bogus takedown requests’ to stifle competition and gain an unfair competitive advantage.
The bogus takedown requests in question involve sellers requesting that Amazon removes a competing product from the site without any legitimate basis for doing so. This unethical practice appears to be based on the assumption that Amazon is likely to act on any takedown requests it receives and take swift action to remove the infringing item. Unfortunately, this practice results in consumers being unfairly deprived of a wide range of competing products and has the potential to put legitimate small businesses out of business.
In light of this issue, Amazon is now seeking to deter unscrupulous sellers from taking advantage of its online marketplaces by prosecuting those in violation of its rules. In a statement, the company outlined that it will “protect honest sellers against unfair practices and take appropriate actions against those taking part in unscrupulous behavior.”
To that end, Amazon has filed nineteen lawsuits against individuals and companies located in the United States, China and Turkey, who’ve issued these bogus takedown requests. If the company’s allegations are proven, it is seeking over $75,000.00 in ‘hedge damages’ from each defendant, as well as a permanent injunction preventing them from future infringement.
Ultimately, this is a welcome move from Amazon as it demonstrates the company’s commitment to maintaining a fair and open marketplace, free from anti-competitive behavior. Additionally, the lawsuit should give all sellers pause before attempting to remove their competitors from the site using unscrupulous tactics.
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