We have put together some of our more favorite counter-arguments that can be used whn dealing with VeRO takedowns. Click Here for those arguments.

Ebay set up their Verified Rights Owners ("VeRO") Program to allow the legitimate owners of copyrights and trademarks to terminate auctions in accordance with the DMCA. The VeRO Program is badly flawed and vastly misued by the VeRO members. The main reason it's flawed is because eBay refuses to take any responsibility for it's actions. We recognize that there are MANY fakes being sold on eBay. Ironically, it doesn't take much to recognize these fakes. eBay contributed to the problem by agressively recruiting and promoting the China addition to the auction website. What concerns us is not the legitimate application of trademark and copyright laws but those who abuse these rights in the name of protecting their image or perceived rights. Some companies simply do not want their products sold on eBay (such as Fleurville). Some companies seem to believe you cannot use a picture of their product when selling the item. Some people actually believe they own an idea because they "first" thought of it. These are not lawful reasons to terminate auctions.

In 2001 and 2002, Tabberone had auctions terminated by three different VeRO members (Warner Brothers, M&M/Mars and Disney Enterprises). All of those auctions were reinstated after either intense conversations and/or federal court actions. Tabberone was also threatened by Precious Moments in 2001 who backed off immediately after being reminded of the very similar court case they lost, Precious Moments vs La Infantil 1997, (D.P.R.) 971 F.Supp. 66. The VeRO abuses continued in 2003 with Tabberone filing federal lawsuits against Major League Baseball Properties, United Media (over Peanuts fabrics), Sanrio (over Hello Kitty fabrics), and many more. Most of the lawsuits were settled out of court in favor of Tabberone.

This page outlines the DCMA and the VeRO Program. The purpose is to better warn you what they can do and what you can do in response. Some bloggers have posted the statement that "99% of the VeRO program is aimed at stopping fake brand-name goods or pirated media" from being sold on eBay. WRONG. It is there to prevent eBay from being sued by trademark and copyright holders and it is poorly administered by eBay. Rights Holders are not "verified" by eBay. At one time eBay took the time to require a potential VeRO member to prove their identity and their claims but no longer. One study claims that up to 30% of VeRO-terminated auctions are bogus or questionable. 5% should be considered to be unconscionable but the eBay lawyers who conducted the VeRO seminar in Las Vegas at eBay Live in 2006 contended that there very few VeRO abuses. They pointed avoided directly answering questions about how eBay was going to stop these "few abuses" while insisting they did not exist.

The eBay VeRO Program allows eBay to comply with the DMCA. What is does not do is make any attempt to protect the seller from fraudulent auction terminations. Sellers are paying the eBay listing fees and commissions - not the VeRO members! Yet eBay has no procedure for reporting fraudulent takedowns nor does eBay seem to care. To eBay and their lawyers, we were there when they said it, there are very few impoper auction terminations.. Should you report to eBay that the VeRO member actually does not have the rights claimed, eBay says "so sorry but our hands are tied." That's why Tabberone has filed so many federal lawsuits over the takedowns. It's amazing how many VeRO members swear under penalty of perjury that an item is infringing only to change their minds when slapped with a federal lawsuit. eBay keeps score of how many times a seller has auctions terminated but not how many times a VeRO member backs off. WHY THE HELL NOT?

Proof of eBay's bias towards the VeRO members is evident in Counter Notice Letter it sends out. The language shows its entire sequence of events is weighed heavily in favor of the VeRO Member. The VeRO member is not required to state why the item is infringing, only that they believe it is infringing. As far as eBay and their lawyers are concerned, the seller is guilty until proven innocent. Even when the only evidence is only the "word" of the VeRO Member.

The Counter Notice contains a bold lettering statement about perjury yet there are no eBay consequences for the VeRO member lying and filing a false statement. And, you have to fill out a counter notice for each auction terminated while the VeRO member only files a list of auctions to be terminated. There was a newer 2003 version of the Counter Notice(2003) that eBay wanted you to use but it has been replaced with a generic version, what we call CN2007-Lite.

To our knowledge, eBay has never taken any action against a VeRO member for fraudulently terminating an auction.. We are willing to bet it happens every day but eBay doesn't fear being sued by the sellers so Ebay does nothing to the VeRO abusers. In 2007, because eBay was dragged into a court fight where Innovate! Technology was a defendant and VeRO Member, eBay countered by claiming Innovate! Technology has filed hundreds of false takedowns. Yet, not once in the court filing did eBay say it was going to recind any suspensions caused by the "alleged" false takedowns. If eBay wants to correct this statement by us, they can email us with documentation and we will post it.

Often, your first warning that there is something going on is an email from eBay informing you that your acutions have been terminated and by whom. The VeRO member is not reqiured by eBay to email you nor is the VeRO member required by eBay to respond to any inquiries you make.

Ebay, to their small credit, does sometimes send a follow-up email concerning the suspensed auctions. However, it's mostly to protect eBay and to make sure you understand it's not their fault and there's nothing they can, or will, do on your behalf. And, these emails really don't say much or give the seller much direction. WHY? Because they are for CYA ("cover your ass") purposes only. And calling eBay? What a joke. And a waste of time.

There are a lot of articles out there about eBay and the VeRO program and most of them are negative. We've gathered a bunch of them for you to read if you wish. One of them goes into detail about how eBay lies to users about user information and how eBay will disclose all kinds of information about a user without regard for the user agreement. Click Here to read the articles.