- Kering SA’s PPRUF PPRUY Gucci and Facebook Inc FB have lodged a multiparty lawsuit in California against an unidentified individual for alleged sale of counterfeit Gucci products under multiple Facebook and Instagram accounts, Reuters reports.
- The lawsuit claimed the violations of the social media platform’s terms and the breach of Gucci’s intellectual property rights, Bloomberg reports.
- Amazon.Com Inc AMZN lodged similar lawsuits over the last year with Valentino and Ferragamo.
- Facebook and Instagram suspended over one million content pieces in the first half of 2020, based on the counterfeit content report from brand owners, including Gucci.
- Gucci’s in-house intellectual property team had led to the suspension of four million online counterfeit product listings, 4.1 million counterfeit product seizures, and the disablement of 45,000 websites in 2020.
- Facebook’s luxury market and social commerce aspirations were getting hammered by fake item sales. Many brands also hesitated to sell their products via third-party players.
- Price action: FB shares traded higher by 0.42% at $304.30 in the premarket session on the last check Tuesday.
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