EBay for Dummies (36 page)

Intellectual property owners actively defend their rights and, along with help from average eBay users, continually tip off eBay to fraudulent and infringing auctions. Rights owners can use eBay’s Verified Rights Owner (VeRO) program, as well as law-enforcement agencies. (See “VeRO to the Rescue,” later in this chapter, for info about the VeRO program.)

Questionable items: Know the laws

Because some items are prohibited in one place and not another, eBay lists a few items that you can trade but that are restricted and regulated. As a member of eBay, you’re responsible for knowing the restrictions in your area — as well as those on the eBay Web site.

Certain items are illegal in one geographic area and not another. This list mentions a few of the major questionables:

Event tickets:
Laws regarding the sale of event tickets vary from state to state, even city to city. Some laws prohibit reselling the ticket for a price higher than the amount printed on the face of the ticket. Some states limit the amount you can add to the ticket’s face value.

If you’re planning to sell event tickets, visit
pages.ebay.com/help/policies/event-tickets.html
for details. This page has details featuring the various states’ legal requirements. Be sure to double-check this page to be certain you’re following the appropriate laws for your area.

Wine and alcohol:
Selling wine and alcohol on eBay — and anywhere else, for that matter — is tricky business. For starters, you have no business in this business unless you’re at least 21 years old. eBay does not permit sales of any alcohol products unless they are sold for their “collectible” containers. You may sell alcoholic beverages for consumption if you have a liquor license and are preapproved by eBay. In the case of collectible bottles, some strict rules apply:

• The value must be in the collectible container, not in its contents. You can’t auction off your uncle’s Chateaux Margaux because the value is in the wine — not the bottle.

• The bottle must be unopened, and your auction must state that the contents are not meant for consumption.

• The container’s value must substantially exceed the price of the alcohol in the container, and it must not be available at a retail outlet.

• You must be sure that the buyer is at least 21 years old.

• You must be sure that the sale complies with all laws and shipping rules. Every state has its own laws about shipping alcohol and wine. Some states require licenses to transport it; some limit the amount you can ship. You’re responsible for knowing what your state laws are (and you’re expected to conduct your auctions accordingly).

For the latest news and all the clickable links you need to keep your wine-shipping business on the good side of the law, visit
www.wineinstitute.org/programs/shipwine/current_events/current_events.htm
or check with the Alcoholic Beverage Control (ABC) agency of your state. The Wine Institute page also gives the latest info on the status of shipping wine in the United States.

Erotica:
Some forms of erotica are allowed on eBay. To see what eBay allows and what it prohibits, type
pages.ebay.com/help/policies/adult-only.html
into your browser.

One thing that’s definitely illegal, wrong, and criminal is child pornography. If someone reports that you’re selling child pornography, eBay forwards your registration information to law enforcement for criminal prosecution.

Forbidden items

The folks on eBay didn’t just fall off the turnip truck. eBay staffers have seen just about every scam to get around paying fees or following policy guidelines. Chances are good that if you try one of these scams, you’ll get caught. Then eBay cancels the listing. Do it once, and shame on you (don’t count on getting the listing fee credited back to you). Do it a lot, and you’re no longer welcome on eBay.

The following items are definitely forbidden:

Raffles and prizes:
You need to sell something in your auction; you can’t offer tickets or chances for a giveaway.

Want ads:
If you want something, you have to search for it. Don’t try to run your needs as an ad thinly disguised as an auction. Visit eBay’s Want-It-Now (
pages.ebay.com/wantitnow/
) section and legally post your wants and needs there.

Advertisements:
An eBay auction is not the place to make a sales pitch (other than attractive copy describing your item, that is). Some eBay bad guys list an auction name and then use the auction to send bidders to some other auction or Web site. The Real Estate category is one exception. You can run an ad there for your property. Look out for eBay to expand its ads in the future.

Bait-and-switch tactics:
These are a variation on the ugly old sales technique of pretending to sell what you’re not really selling. Some eBay users who are selling an unfamiliar brand of item try to snag bidders by putting a more familiar brand in the title. For instance, writing
Designer Chanel purse — not really, but a lot like it!
is a fake-out. eBay calls it
keyword spamming.
I call it lousy.

Choice listings:
You cannot offer your bidder a choice of significantly different items. But you can, if you’re selling a particular T-shirt, list small, medium, and large sizes.

Mixing apples with oranges:
This gambit tries to attract more bidders to view an item by putting it in a high-traffic category where it doesn’t belong. Forget it. eBay will move it for you if necessary, but keeping that rutabaga recipe book
away
from the list of automotive repair manuals is more considerate.

Catalogs:
“Buy my catalog so you can buy more stuff from me!” Uh-huh. I don’t know why anyone would put a
bid
on a catalog (unless it’s a Sears-Roebuck antique). If it’s only a booklet that shows off all the cool junk you’re selling, you can’t offer it as an auction item.

Reporting a Problem Listing

You probably don’t think that eBay can monitor millions of items for sale on a daily basis. You’re right; it can’t. eBay relies on eBay members like you to let it know when a shady listing is afoot. If you ever smell something fishy, for goodness’ sake, report it to eBay. Sometimes eBay takes a few days to cancel a listing, but rest assured that eBay invests a lot of time protecting its users from fraudulent auctions.

If you see something that just doesn’t look right, you should report the auction using an online form by clicking the Report Item link, which is below the Seller info box on every eBay item listing page.

eBay doesn’t personally prosecute its users. However, eBay does have a stake in protecting its honest users — and will act as an intermediary between honest eBay users and law-enforcement agencies.

VeRO to the Rescue

If you own intellectual property that you think is being infringed upon on the eBay site, you should take advantage of the eBay
Verified Rights Owner
(VeRO) program. Owners of trademarked or copyrighted items and logos, as well as other forms of intellectual property, can become members of this program for free.

You can find out more about the VeRO program by clicking the Help link above the main navigation bar. To get eBay’s current VeRO policy, go to
pages.ebay.com/help/tp/vero-rights-owner.html
. Read the information, and if you qualify, click to download the form, fill it out, and fax it to eBay. Then you’re on your way to protecting your intellectual property from being auctioned to the highest bidder. Remember, only
you
can stop the infringement madness. If eBay agrees with you that your intellectual property is being infringed upon, it invalidates the auction and informs the seller by e-mail that the auction “is not authorized.” The high bidders in the auction are also notified and warned that they may be breaking the law if they continue the transaction.

I am a member of the Vero program. Should someone think it’s a good idea to scan and sell pirate copies of my books, I file my VeRO notice and the listing is removed within hours.

eBay understands that sometimes people don’t know that they’re selling infringing items, but it draws a hard line on repeat offenders. eBay not only shuts down the offenders’ auctions but also suspends repeat offenders of this ilk. Also, eBay cooperates with the proper authorities on behalf of its VeRO program members.