The French courts are busy this week.
Last night, a Paris judge fined eBay $2.6 million for selling LVMH products, more specifically, lots and lots of Louis Vuitton perfume.
LVMH already took home $40 million from eBay less than two years ago, and since then, the online auction site’s taken various measures, including instituting the most strict filters, to prohibit listings of illegal items (which includes even real LVMH product). eBay says sellers make it past the barriers by spelling brand names incorrectly or posting only pictures.
Of course, eBay thinks it’s not their fault while LVMH’s rejoicing in the ruling, “Selective distribution ensures the security and quality of products for consumers. It generates numerous jobs and contributes to the ongoing world-wide success of European luxury goods brands.”
Meanwhile, a Paris court is set to rule on the Lacroix takeover today, though reports don’t sound promising. Possible buyers have failed to submit the proper guarantees and details to the court which means, nothing’s really changed. If a serious buyer comes through with the right papers today, the judge is willing to push the decision to December 8.
UPDATE: The court has just approved a restructuring plan for Lacroix. Details are still not known.
UPDATE #2: Basically under the plan the company will be reduced to a licensing operation with only 11 employees, closing down RTW and couture. Potential buyers could still negotiate with current owners to purchase the brand.