De Longhi Defends Its Exclusive Rights on Avito

Italian manufacturer De’Longhi has filed five lawsuits involving Avito: the home appliance producer is seeking to combat the sale of De’Longhi products without its authorization. In all cases, the claims concern compensation for infringement of exclusive trademark rights. Since the beginning of the year, De’Longhi has filed around 20 lawsuits against various organizations over intellectual property violations.

According to an Avito representative, listings that infringe intellectual property rights are prohibited on the platform and are blocked upon complaints from rights holders. At the same time, most sellers on Avito are private individuals selling personal belongings. Legal claims involving the platform are largely procedural: lawsuits are filed not against Avito itself, but to obtain information about a specific seller, which the platform is not legally permitted to disclose without a court order. Such cases are typically resolved in favor of the platform, while claims are ultimately brought against the actual infringer.

For infringement, a rights holder may seek compensation ranging from RUB 10,000 to RUB 10 million, or up to double the value of counterfeit goods.

However, companies from so-called “unfriendly countries” face practical difficulties in collecting compensation from infringers, notes patent attorney and managing partner of Zuykov and partners, Sergey Zuykov. Under a decree issued by the President of the Russian Federation, monetary awards must be transferred to a special “Type O” account, which companies from sanctioned countries generally do not possess. Even if such an account is opened, the funds can only be used within Russia. As a result, such companies often do not open Type O accounts in Russia, and courts infrequently award compensation in their favor, he explains.

A one-time sale of personal second-hand appliances and systematic trading in “new original” products without proof of origin represent “different legal situations,” says Alexey Tibirkov, Deputy COO at MEF Legal. Ordinary Avito users selling personal used appliances face lower risks if they use their own photographs, honestly describe the condition of goods, and retain proof of lawful purchase.

Rights holders regularly monitor Russian websites for unauthorized use of trademarks and other infringements of intellectual property rights, says lawyer Yana Matatova. Ultimately, rights holders sue the owner of the infringing account. Users should be particularly cautious not to register Avito profiles for third parties using their own phone number, as the person listed during registration bears legal responsibility for actions taken on the platform.

Source: Vedomosti