Amazon’s IP Complaint Process: Protecting IP Holders and Supporting Sellers

Amazon provides a structured framework for intellectual property (IP) holders to report intellectual property infringements and for sellers to respond to such claims. This system addresses violations related to copyrights, trademarks, and patents, and tries to balance the rights of IP holders with the needs of sellers to operate fairly within their eco-system.

Reporting IP Infringements

If you’re an IP rights holder and notice that your intellectual property is being infringed by a seller on Amazon, the platform provides a mechanism for filing a complaint to have the seller’s listing (ASIN) removed. This process can be highly beneficial, as there are minimal repercussions for filing a complaint—aside from the possibility that Amazon may be less inclined to act on future complaints if you repeatedly submit baseless allegations of infringement.

1. Amazon Brand Registry:
   • Eligibility: IP holders with a registered or pending trademark can enroll in the Amazon Brand Registry. This program gives access to tools for monitoring and reporting IP violations, including those related to copyrights, trademarks, and patents.  It’s a one size fits all type of place to deal with infringement.
   • Report a Violation Tool: Enrolled brands can use the “Report a Violation” tool within the Brand Registry to flag IP violations, such as unauthorized use of copyrighted material, trademark misuse, or patent infringements including the APEX program.
   • Preference: While Amazon allows complaints from IP rights holders regardless of whether they sell products on the platform, it’s likely that rights holders who sell on Amazon and file complaints related to their own products may see more favorable outcomes. Amazon has a vested interest in protecting its sales revenues, and understanding the complaint process through that lens can offer insight into how Amazon evaluates and responds to IP claims.
   • Caution: If you do file a complaint with Amazon for infringement, you do open yourself up to the possibility of a counter lawsuit via a Declaratory Judgement Action.

1. Report Infringement Form:
   • For Non-Brand Registry Members: IP holders not part of the Brand Registry can submit complaints through Amazon’s Report Infringement Form. This process accommodates various types of IP claims, including copyright, trademark, and patent issues.

Process for Sellers Accused of Infringement

1. Notification:
   Sellers accused of infringement are notified through their Seller Central account. These notifications include details of the alleged infringement, the complainant’s information, and instructions on how to respond.  The respond will be different for different types of infringement.
2. Responding to the Complaint:
   Sellers must respond to these notifications promptly, as failure to do so can negatively impact account health and even lead to account suspension. The response depends on the type of alleged infringement:
   • Copyright Infringement: Provide proof of copyright ownership or authorization, such as licenses or permissions from the copyright holder.
   • Trademark Infringement: Submit documentation like licensing agreements or evidence showing that the trademark use does not infringe.
   • Patent Infringement: Demonstrate that your product does not violate the patent by providing a letter of noninfringement.

   For more guidance on responding to each type of IP complaint, sellers can refer to Amazon’s Intellectual Property Policy.

3. Outcome:
   Amazon may reinstate the listing or uphold its removal. Sellers are encouraged to resolve disputes promptly to protect their account health and listings.

Programs Supporting Sellers Against Baseless Claims

Amazon has introduced two programs that help sellers defend themselves against unfounded IP complaints:

1. Transparency Program: This program requires brands to apply unique, scannable codes to their products. These codes prove the authenticity of products.  If a seller is selling branded products, they can point to the codes to argue that the product that they sourced is 100% authentic.  In this way, this program helps sellers counter baseless infringement claims by providing tangible evidence that their items are genuine.
2. Project Zero: By allowing brands to directly remove counterfeit listings, this program minimizes the risk of legitimate sellers being falsely accused of infringement due to counterfeit activity. These initiatives empower sellers with tools to fight back against unjustified claims.

Challenges and Controversies

While Amazon’s system aims to protect both IP holders and sellers, it has faced criticism for being biased against sellers. Sellers often claim that there are minimal repercussions for IP holders who file false or baseless complaints except for a potential DJ Action, while the consequences for sellers are severe. Sellers risk damage to their account health, loss of product listings, and deactivation of ASINs, even when the complaint is unfounded.

Conclusion

Amazon’s IP complaint process is an essential tool for IP holders and sellers.  The system still requires improvements to ensure a fair balance between protecting intellectual property and safeguarding legitimate sellers.

If you’re an Amazon seller or an IP holder, understanding your rights and the tools available is crucial to protecting your business. Learn more about Amazon’s IP policies and programs like the Transparency Program and Project Zero to stay ahead of potential disputes. Call us at (949) 433-0900 for personalized guidance!