A cheaper alternative to patent lawsuits
The program will match a seller claiming infringement and the accused merchant with a neutral, third-party lawyer.
According to engadget.com, the company is testing a program to help fight utility patent infringements. It’s meant to be a cheaper, faster alternative to traditional patent lawsuits, which can cost hundreds of thousands of dollars and take years to settle.
For a $4,000 deposit, the program will match a seller claiming infringement and the accused merchant with a neutral, third-party lawyer. If the accused party doesn’t respond to claims that it violated the seller’s utility patent — which details how a product is used — the product will be removed from Amazon, and the seller will get their $4,000 back. If the accused merchant wants to argue that it should be allowed to keep selling the product on Amazon, it will also have to make a $4,000 deposit. The lawyer makes a decision and collects $4,000 from whichever side loses. The winner will get their deposit back, and according to an Amazon spokesperson, the company doesn’t take a cut from anyone for going through its “Utility Patent Neutral Evaluation” process.
More Amazon news
Instagram vs TikTok: who’s ruling the e-commerce experience?
Instagram vs TikTok: social media e-Commerce marketing Instagram’s Reels feature is one of the fastest products Facebook has ever monetized, and it could be an important factor in fending off TikTok Instagram has become the network of choice for brands to market...
Amazon’s share of the US e-commerce market is expected to surpass 50%
There will be an influx of new sellers on Amazon Amazon will continue to dominate the e-commerce space. After the pandemic struck, the company’s revenue jumped 40% compared to the previous year, reaching $88.9 billion. The COVID-19 pandemic has affected every person...
Amazon paves way for third-party delivery
Amazon will probably have its own airline soon Amazon’s aircraft fleet is going to double in size in the coming months, potentially expanding into an airline and hauling third-party shipments. Amazon’s air cargo fleet is a critical part of the company’s strategy to...
