According to Business Insider, the initiative, called Buy Safe America Coalition, includes retail industry groups with prominent members from companies such as Best Buy, Target, and Walmart, and come to support policies that better regulate sellers on online marketplaces. Therefore, the coalition hopes to decrease the rise of third-party sellers who sell fake goods on ecommerce sites.
Moreover, the announcement of the group came after a California appeals court ruled that Amazon is legally liable for defective items sold through third-party entities on its platform. The case concerned an Amazon user who sued the company after buying a laptop battery that exploded and caused several burns.
Consequently, the court disagreed with Amazon's argument that it was not liable because ‘it did not distribute, manufacture, or sell the product’, setting precedent on the responsibility held by online marketplaces and likely prompting crackdowns on third-party sellers.
Overall, the presence of such fraudulent products on online marketplaces, has been heightened during the coronavirus pandemic, as more shoppers seek out goods online. Therefore, through the Buy Safe America Coalition, industry group leaders will raise awareness about counterfeit and stolen goods. The organisation represents several industries, including apparel companies, toymakers, jewellers, and footwear brands, among others.
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