Fashion Brands Sue Alibaba Over 'Fake' Goods
China's online marketplace Alibaba has been sued by the Paris-based Kering SA, the owner of Gucci, Yves Saint Laurent, Puma and other fashion brands, over counterfeit goods. Kering has filed a complaint with Manhattan federal court. The company accuses the retail giant of making it possible for US shoppers to order counterfeit goods in bulk from Alibaba's various websites, and is seeking damages and an injunction for alleged violations of trademark and racketeering laws.
Alibaba said it was already taking action against fake goods and that it planned to fight the case.
A spokesman for Alibaba, Bob Christie, said in a statement:
"We continue to work in partnership with numerous brands to help them protect their intellectual property, and we have a strong track record of doing so. Unfortunately, Kering Group has chosen the path of wasteful litigation instead of the path of constructive cooperation. We believe this complaint has no basis and we will fight it vigorously."
Alibaba says it employs many employees to battle counterfeits.
The Chines ecompany has been criticised over illegal sales made using its platforms. The company's Taobao shopping service had appeared on the US Trade Representative's list of "notorious markets" until 2012, at which point the US authorities recognised it was making efforts to combat the problem.
Through Taobao, consumers buy and sell goods to each other much like they do on the marketplace run by eBay.