eBay France has been fined for selling LVMH fragrances such as Dior's Dolce Vita. Photo: eBay.com
eBay was dealt a hefty blow yesterday.
A Paris commercial court fined the online auction site €1.7 million ($2.5 million) for continuing to sell perfume by brands like Christian Dior, Guerlain, Kenzo and Givenchy, all owned by luxury mega company LVMH, reports Associated Press.
The case follows up on a French ruling last year that came down on eBay for violating the old system of "selective distribution" -- brand owners like LVMH argued that luxury goods are valuable only when they are offered exclusively at selected outlets.
Alex von Schirmeister, head of eBay France, spoke out about the matter, saying that the decision "hurts consumers."
Keeping it on a positive note, Schirmeister adds, "We believe that the higher courts will overturn this ruling and ensure that e-commerce companies such as eBay will continue to provide a platform for buyers and sellers to trade authentic goods," reports the site.
This isn't the first time the company has run into courtroom drama with Paris-based LVMH. Last year, a French court ordered eBay to fork over $61 million to the company for counterfeit sales.
eBay may be mired in French legal battles, but the site is plowing ahead in the fashion world with the help of designers like Norma Kamali.