Amway drops suit against Oregon eBay sellers

A federal lawsuit that Amway and parent company Alticor filed in June against an Oregon couple has been dropped, Mlive reports.

The Grand Rapids direct-sales giant accused Brian and Natalie Schirle, of Bend, Ore., of acquiring Amway and Alticor products from employees and distributors, then reselling them on eBay.

Among Amway’s grievances were: the products allegedly sold through the couple’s online auctions came with a limited return policy; products were repackaged; and buyers were encouraged to send proof of purchase tabs to get free product from the company.

According to the suit, customers “indicated that they were confused as to whether products sold by the Schirleses were genuine or not,” and disgruntled customers associated their frustration with Amway.

In addition, Mlive reported, “Amway contended the eBay sales aren’t protected under first-sale doctrine because the products were acquired from employees and distributors in violation of company policy. First-sale doctrine gives people who make a legal purchase the right to resell a product without obtaining the permission of the rights holder.”

Terms of the settlement are confidential.

In other eBay-related news, the online auction giant’s new logo is boring.

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Suit: PayPal shouldn’t be your exclusive eBay pal

A class-action lawsuit is accusing eBay of violating the Sherman Anti-Trust Act, reports The Detroit News.

According to the suit, filed in U.S. District Court for the Eastern District of Michigan, the online auction giant’s practice of forcing all sellers to use PayPal exclusively “is the very reason [the Act] was passed,” said Detroit-based Peter W. Macuga II, who represents six eBay sellers.

The plaintiffs seek unspecified damages and the right for sellers to accept other forms of payment from buyers.

eBay sellers must pay a 3 percent transaction fee to PayPal, which eBay bought in 2002, in addition to eBay’s fees for listings and percentage of the final sale price.

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