Items sold on online marketplace Etsy could be counterfeit or in breach of trademarks, according to a new report by American jewellery business title JCK.
An independent analyst told the publication that “as many as two million items” on Etsy – roughly 5% of all merchandise – could be in breach of trademarks and copyright laws.
The analyst argues Etsy is an ideal breeding ground for counterfeit “candidates” selling items infringing the copyrights of brands like Chanel, Michael Kors and Disney.
Recent court rulings like Tiffany vs eBay suggest Etsy may not be legally liable for the items, as it is the individual sellers themselves who take responsibility. However, a high volume of counterfeit items could damage the sites reputation.