Another eBay fine in brand-name row

Third ruling in favour of Louis Vuitton group, which accuses the auction site of cashing in on its famous brands

ONLINE auction giant eBay has been hit with another fine for promoting and selling brand-name goods on its French site.

eBay had taken out a series of online ads that appeared alongside search results for Louis Vuitton, directing visitors to the auction site.

The Louis Vuitton Moet Hennessy (LVMH) group accused the site of using famous brands for its own commercial gain.

A court in Paris has ordered the auction company to pay €200,000 in damages plus legal costs. It is banned from mentioning the Louis Vuitton brand in any advertising.

LVMH said the ruling set a clear precedent and protected web users against the risk of buying fakes online.
However eBay accused Louis Vuitton of trying to control "what people can buy, where they can buy it and how much they must pay". The company has not said whether it will appeal the latest judgment.

This is the third time LVMH has successfully sued in eBay in France. Last December, the site was fined €1.7m for selling Christian Dior, Kenzo and Givenchy perfumes without the manufacturer's consent.

eBay was also fined €38m in June 2008 for selling counterfeit perfumes on the site.