Friday, May 8, 2015

Industry Liabilities Blog



There are three e-commerce related lawsuits I am going to analyze. The first one is an e-commerce retailer, Gotham City Online, sue Art.com for allegedly stealing information. The second one is that Amazon be accused by its Prime member that claims Amazon is cheating customers through "so-called" free shipping. The last one is the famous law firm, Jones Day, sue Block Shopper, an e-commerce company, for linking back to it.

In the first case, both parties are e-commerce company. Art.com sells fine arts online while Gotham City Online that sells discount brand-name shoes. According to San Jose Mercury News, Gotham City Online claims that Art.com illegally accessed their web server and changed the security passwords and ownership credentials to prevent Gotham City employees from accessing email or company files. In the news, it also mentioned that Gotham City files have been copied and altered during the process. The lawsuit already been filed in the U.S. District Court in San Francisco. Art.com be accused of trade secret violations and computer fraud. In my opinion, if the server attack has been proved coming from Art.com the charge should be convicted. The attacker accessed Gotham City's servers that could easily to get their customer list. However, a customer list is an important trade secret, and the attacker acquisition of the trade secret through an illegal act. This behavior should be punished.

In the second case, the Prime member Marcia Burke professes that Amazon encourages third-party vendors to increase their prices to Prime members by an amount they charge for un-Prime members' shipping. Marcia Burke accuses Amazon using the a portion of those "inflated" prices as its shipping cost. Burke alleges in the lawsuit that Amazon's third-party vendors will arise their goods price when it has been posted on Amazon's site. In my opinion, if what Burke said had been proved is true Amazon is chatting to their millions of members worldwide; they are using a "so-called" free shipping disguise to charge $79 a year to its Prime members.

In the last case, Block Shopper sued by Jones Day for linking to it with the anchor text "Jones Day." Block shopper is an e-commerce company that reports real estate purchases information including the buyer's name, profession, photos and the price of the real estate. Block Shopper posted a few Jones Day lawyers name and photos from their firm's website and the price and location of the house they bought. According to the lawsuit, Jones Day is suing Block Shopper using its name as anchor text for a link to its website. Jones Day believe its mark is being diluted, and it may cause confusion. In my opinion, I believe this charge it a little bit farfetched. I believe it should focus on privacy claims.