Comments on: Small Sellers Are Getting Swept Up as Brands ‘Weaponize’ the Legal System https://www.ecommercebytes.com/2023/07/16/small-sellers-are-getting-swept-up-as-brands-weaponize-the-legal-system/ Ecommerce Industry News Mon, 17 Jul 2023 14:52:57 +0000 hourly 1 https://wordpress.org/?v=6.5.3 By: PACE306 https://www.ecommercebytes.com/2023/07/16/small-sellers-are-getting-swept-up-as-brands-weaponize-the-legal-system/#comment-9850 Mon, 17 Jul 2023 14:52:57 +0000 https://www.ecommercebytes.com/?p=229568#comment-9850 WAYS TO ADDRESS THE SAD SCHEME

Changes in Online Marketplace Policies
The SAD Scheme would likely evaporate if the online marketplaces did not honor
ex parte TROs so expansively. As just one example, in theory, online marketplaces
could freeze only the items and money associated with the allegedly infringing
activity, not the entire account and all funds-in-possession. However, so long as
online marketplaces fear their own liability exposure, they don’t have enough
incentives to make nuanced interventions. It’s simpler and lower-risk for them to
categorically shut down alleged infringers identified in the TRO.

In other words – if eBay DID ITS JOB CORRECTLY – this wouldnt happen.

Defendant classes. FRCP 23 contemplates that defendants can form classes, just
like rightsowners do.61 For example, a defendant class could bust the rightsowner’s
trademark or establish defenses like descriptive fair use. However, few individual
defendants have enough motivation and resources to organize a class.

IE sue eBay and/or the rights owners in a Class Action suit

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