eBay Accuses Amazon in Suit of Poaching High-Value Sellers

eBay Accuses Amazon in Suit of Poaching High-Value Sellers
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eBay sued Amazon, claiming the world’s largest online retailer infiltrated EBay’s internal email system to recruit high-value sellers, according to Bloomberg. Amazon’s illegal efforts "appear to be part of a larger pattern of aggressive, unscrupulous conduct," according to the complaint filed in state court in San Jose, California.

Amazon, through a spokeswoman, declined to comment. The company has said it was investigating eBay’s allegations, which came to light this month after the internet marketplace’s lawyers sent a cease-and-desist letter to Amazon. eBay has accused Amazon of poaching sellers on its site around the world by infiltrating and using EBay’s member-to-member email system. The company said the alleged practice violates its terms of service.

eBay and Amazon are fierce competitors that rely on independent merchants who sell on their sites. Amazon has more customers, sales and faster growth than eBay, but some sellers prefer the eBay platform since it is a pure marketplace, meaning it doesn’t compete with its merchants for sales like Amazon.

The lawsuit includes claims for interference with contractual relations and violations of California’s penal code and business and professions code. eBay seeks monetary damages as well as a court order barring Amazon from poaching eBay’s member-sellers.