ONLINE SELLERS MAY PRE-EMPTIVELY FILE FOR COPYRIGHT PROTECTION TO PREVENT PRODUCTS FROM GETTING DELISTED ON AMAZON MARKETPLACE
Fueled by the pandemic-lockdown, online marketplaces like Amazon have reported record growth as the world is accelerating the adoption of e-commerce. More and more traditional mom-and-pop shops have chosen to expand market reach by selling with Amazon.
In certain cases, competitors have sought to gain a seemingly unfair advantage by filing a copyright registration with relevant authorities for the design of a product (e.g. the design of an artistic lamp), then filing a copyright infringement claim with Amazon against other sellers, which can lead to Amazon delisting the product of the other sellers.
WHAT IS COPYRIGHT? AND WHY DOES IT MATTER ON AMAZON MARKETPLACE?
In Canada, copyright is defined under s.3 of the Copyright Act, which encompass, amongst other things, the sole right to produce, reproduce the work in any material form.[1]
Creative designs in products such as an artistic lamp could fall under the umbrella of copyright-protected work. More and more sellers on Amazon MarketPlace have been registering for Copyright protection on their products. They subsequently contact Amazon to delist competing products that look similar to their designs (i.e. artistic lamps in the same shape).
Because Amazon does not serve the role of an arbitrator to determine what is and is not copyright infringement. Amazon’s likely option in response to an alleged infringement claim is to delist the product in question first, and then recommend seller to take the dispute to the appropriate venue (i.e. court).
WHAT SHOULD CREATIVE DESIGNERS DO?
Creative designers may choose to preemptively register copyright (or any relevant forms of IP protection) for their products in jurisdictions where their products are sold.
Contact Innovate LLP if you have any questions regarding online marketplace and IP protection.
[1] S.3, Copyright Act, RSC 1985, c C-42