Despite Claims, eBay Continues to Allow Counterfeits

Deceptive fakes easily fool consumers.

April 12, 2016, - Los Angeles, CA – There is a saying that if you tell a big lie and repeat it often, people may come to believe it.  Sadly, this is the case with eBay’s anti-counterfeit claim.

What’s the claim? “We don't allow replicas, counterfeit items, or unauthorized copies to be listed on eBay.”

Not only does eBay^® (EBAY) allow counterfeits to be listed, alarmingly, eBay actually sends direct email solicitations to consumers to purchase fake items – items that don’t even exist in the manufacturer’s product line - but bear their registered trademark.

During an eighteen-month investigation, The Counterfeit Report^® received over 2,000 counterfeit items representing over 400,000 counterfeit products listed and sold on eBay. The Counterfeit Report promptly reported the items to eBay along with the manufacturer’s written counterfeit confirmation, left negative “counterfeit” seller feedback to protect other buyers, and opened a refund claim for each item under eBay’s “Money Back Guarantee.” Yet, the items remain, and the prior buyers are not notified by eBay they may have received a fake and entitled to a refund. 

From auto parts to electronics and healthcare, the test purchases uncovered products on eBay that don’t exist in the well-known manufacturer’s product lines, but are still allowed despite eBay’s knowledge that the items are fake.

Consumers that purchased the products shown below received a fake.

(Clockwise from left – Photo: The Counterfeit Report^®)

• SanDisk^® 64GB microSDHC memory card. The microSDHC^® standard is limited to a maximum capacity of 32GB, but over 40,000 fake SanDisk^®, Kingston^®, Samsung^® and unbranded Generic microSDHC^® cards were sold by test purchase eBay sellers in capacities above 32GB. Data is lost or overwritten when the actual capacity, often far less than the printed capacity, is reached.  (view the alert)
  
• Vans^® does not make iPhone 6 cases – but they are common on eBay.  (view the alert)
  
• The Lunatik^® TakTik^® Extreme model case is not made for the Apple iPhone 6^®, yet The Counterfeit Report made dozens of purchases of poor quality counterfeit Lunatik^® products representing over 160,000 sales to duped eBay consumers. (view the alert)
  
• The authentic Skunk2^® performance shift knob is only available in a matte titanium finish. The Counterfeit Report purchased poor quality colored fakes listed on eBay in red, neo, blue, green, gold and chrome. And yet, the items remain. (view the alert)
  
• The Monster^® trademarked Tron T1 Headphone was never produced or sold by Monster Products, yet unsuspecting consumers can be duped out of over $300 for this fake Monster product. (view the alert)
  
• Dr. Numb^® Over-the-Counter 5% Lidocaine topical pharmaceutical is not manufactured in a 10gr. size. Unsuspecting consumers receive a fake product with unknown ingredients, and an obvious spelling error. (view the alert)

After eighteen months and over 2,000 counterfeit products received from eBay sellers, representing over 400,000 counterfeit items listed or sold to duped consumers, eBay’s claim “We don't allow replicas, counterfeit items, or unauthorized copies to be listed on eBay” just simply isn’t true.

How The Operation Worked
The Counterfeit Report made multiple purchases from eBay listings and eBay direct email solicitations. Many items were purchased from the same eBay sellers, often over a period of months and after notifying eBay of the criminal activity, but the sellers remained. eBay even admitted to Business Insider that allegations of altering and removing feedback, removing warnings, and allowing counterfeit sellers to remain were true. But, the practice continues.

eBay counsel, O’Melveny and Myer’s, went as far as to identify the products as “unbranded competing products” in an unsuccessful attempt to label The Counterfeit Report’s claims as “false and misleading statements” to dissuade public consumer warnings. Yet, the sellers remained.

The Consumer Danger
Test purchase items included auto suspension parts, OTC drugs, computer memory, iPhone chargers and other potentially dangerous items. When companies put profits over consumer protection, consumers get hurt, consumer confidence fades, and the manufacturer’s brand integrity is tarnished or destroyed.

Counterfeiting is a $1.7 trillion global criminal enterprise and costs US consumers over $600 billion and 750,000 jobs, yet regulation of the e-commerce marketplace is virtually non-existent.  Buyer beware.

What should you do if you receive an eBay counterfeit?

• Never return the counterfeit item. It is a violation of US Postal Regulations, Federal Law, and the only evidence for your refund claim.
  
• Notify eBay immediately at (866) 540-3229, and open a refund claim under eBay’s Money Back Guarantee.
  
• If eBay doesn’t satisfy your claim, dispute the credit card charge. You have the counterfeit product as proof of your claim and to support the negative feedback you leave for the seller to protect other consumers.
  
• Some cases or arbitrary eBay decisions may require more aggressive action.

Reporters interested in seeing the counterfeit items may contact The Counterfeit Report^®