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eBay Sues Amazon Over Alleged Seller Poaching


The Wall Street Journal today reports that eBay has filed a lawsuit against major retail competitor Amazon over alleged poaching of sellers following their previous cease-and-desist letter.

According to a previous report by The Wall Street Journal, an eBay investigation uncovered evidence of alleged poaching effort including around 1,000 messages sent to sellers from 50 Amazon employees.

Following this, Amazon announced it was investigating confidential information leaks.

It appears whatever investigations that Amazon conducted after the cease and desist letter wasn’t adequate to eBay.

The lawsuit, filed Wednesday in California’s Santa Clara County, accuses Amazon of having “perpetrated a scheme to infiltrate and exploit eBay’s internal member email system”.

The lawsuit alleges that numerous Amazon sales representatives in the US and abroad attempted to recruit high-value eBay sellers to Amazon.

Both Amazon and eBay permit third-party sellers to list and sell items on their sites with Amazon and eBay making commissions on sales. Amazon says these sellers account for more than half of its retail sales, while third-party sellers account for the entirety of eBay’s retail sales.

“For years, and unbeknownst to eBay, Amazon has been engaged in a systematic, coordinated effort to infiltrate and exploit eBay’s proprietary M2M system on eBay’s platform to lure top eBay sellers to Amazon,” eBay alleges in its lawsuit.

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