Amazon Sues Merchants, Alleges Counterfeiting

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The e-commerce giant is suing more than 20 of its merchants, accusing them of hawking phony merchandise on its site.

Amazon is trying to rein in the sale of counterfeit goods on its website. The e-commerce giant has filed two lawsuits against merchants allegedly peddling fake items through the Amazon marketplace.

According to CNET, the Seattle-based e-tailer is accusing more than 20 companies and individuals — including ToysNet and Disk Vision — of selling “knockoff exercise and furniture moving equipment.”

This is Amazon’s most recent effort to protect customers from purchasing fake or substandard goods.

Last month, Amazon announced it was banning most incentivized reviews, in which customers receive a free or discounted item in exchange for writing a review. A year ago, Amazon sued more than 1,000 people for allegedly selling phony reviews online for products advertised on the Amazon marketplace.

According to Bloomberg, Amazon’s complaint against the alleged counterfeit-selling merchants reads:

“Amazon’s customers trust that when they make a purchase through Amazon’s website — either directly from Amazon or from one of its millions of third-party sellers — they will receive authentic products manufactured by the true manufacturer of those products. When customers purchase counterfeit goods, it undermines the trust that customers, sellers, and manufacturers place in Amazon, thereby tarnishing Amazon’s brand and causing irreparable reputational harm.”

Amazon says it spends “tens of millions” of dollars annually to fight the listing and sale of counterfeit products through its online marketplace, Bloomberg reports.

According to Amazon, just “a small number of bad actors” are attempting to sell fake merchandise on its site, reports CNET.

Is Amazon doing enough to prevent the sale of phony goods on its website? Sound off below or on our Facebook page.

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