EBay is sued over PayPal

budnonymous · Top Poster

EBay is sued over PayPal

budnonymous · Top Poster

More, from AuctionBytes

Antitrust Lawsuit Filed against eBay over PayPal, Payments Policies

April 06, 2007

Michael Malone filed an antitrust class-action lawsuit against eBay this week under the Sherman Act, alleging eBay "utilizes its nationwide monopoly of the on-line auction market to monopolize the available forms of payment that sellers can use on eBay." eBay controls which payment methods sellers may advertise in their listings, and this year, it eliminated buyer-protection for non-PayPal transactions. eBay owns the PayPal payment service.

The lawsuit alleges that "Sellers who would otherwise accept only money transfers must also accept Payment Card transactions." Some sellers have expressed the desire to use PayPal with the ability to reject PayPal payments funded by credit cards, which they may not do under eBay's current policy.

Malone, who resides in Texas, sold a pair of Sansui SP-2000 speakers on eBay for $200 in December 2005. eBay charged him $10.38 in listing and final value fees, and PayPal charged a $5 processing fee. Malone's lawsuit states he had requested of eBay that he be able to use his personal PayPal account to receive the winner's payment, but says he was forced to use his Premier account, requiring him to accept PayPal payments funded by credit cards.

eBay instituted a "Safe Payments" policy, later renamed "Accepted Payments" policy, that prevents sellers from advertising certain payment methods in their auctions. One of the banned methods is Google Checkout.

The lawsuit also references PayPal management's alleged threat to file an antitrust lawsuit against eBay for engaging in an illegal bundling strategy when eBay owned a payment service called Billpoint, before it had acquired PayPal. And it cites the demise of PayPal competitors Citibank c2it, Yahoo PayDirect, and BidPay (now under new ownership with a different payment model).

Malone initially filed suit in Texas in March and refiled his lawsuit this week in California, where eBay is headquartered.

-- Edited by budnonymous at 11:22, 2007-04-06

Cyber Diva · Senior Member

The lawsuit also references PayPal management's alleged threat to file an antitrust lawsuit against eBay for engaging in an illegal bundling strategy when eBay owned a payment service called Billpoint, before it had acquired PayPal. And it cites the demise of PayPal competitors Citibank c2it, Yahoo PayDirect, and BidPay (now under new ownership with a different payment model).

-- Edited by Cyber Diva at 14:02, 2007-04-06

virusesrus · Going for the Medal!

Malone, who resides in Texas, sold a pair of Sansui SP-2000 speakers on eBay for $200 in December 2005. eBay charged him $10.38 in listing and final value fees, and PayPal charged a $5 processing fee. Malone's lawsuit states he had requested of eBay that he be able to use his personal PayPal account to receive the winner's payment, but says he was forced to use his Premier account, requiring him to accept PayPal payments funded by credit cards

Gotta laugh at this bit. Don't people actually read the UA before they start selling. If they did, they would realise what they were letting themselves in for. No good crying about this after the event has happened.

Some people have far too much time on their hands. Hopfeully he will lose the case and end up owing thousands for time wasted.

There really are some dumb idiots in this world.

Cyber Diva · Senior Member

virusesrus wrote:

Malone, who resides in Texas, sold a pair of Sansui SP-2000 speakers on eBay for $200 in December 2005. eBay charged him $10.38 in listing and final value fees, and PayPal charged a $5 processing fee. Malone's lawsuit states he had requested of eBay that he be able to use his personal PayPal account to receive the winner's payment, but says he was forced to use his Premier account, requiring him to accept PayPal payments funded by credit cards

Gotta laugh at this bit. Don't people actually read the UA before they start selling. If they did, they would realise what they were letting themselves in for. No good crying about this after the event has happened.

Some people have far too much time on their hands. Hopfeully he will lose the case and end up owing thousands for time wasted.

There really are some dumb idiots in this world.

Pehaps the case wasn't presented in the best way possible but it certainly is a start in the right direction.

Hey, remember this?

This sort of thing wouldn't help eBay much in their defense of an Antitrust Lawsuit against them either:

eBay bans other payment processors

More info.....

More old news on Justice Dept. Closes Antitrust Investigation.....

Against eBay.....

edited to add link

-- Edited by Cyber Diva at 14:24, 2007-04-06

Cyber Diva · Senior Member

There has also been speculation that eBay uses "goon squads" in order to silence their critics and any info into Antitrust allegations would be deal with through these private "hit" squads so that no real evidence gets out. Wonder how true that is? Oh well.

Anyway, here is more old news but interesting just the same...

AAuction giant eBay (Nasdaq: EBAY) noted in its annual report that government regulators have closed an investigation into whether it engaged in anticompetitive practices in its battle with now-shuttered Bidder's Edge....

www.ecommercetimes.com

And...

EBay did not refer directly to the gun-sale investigation, but it noted that a federal inquiry began in January 1999 relating to "possible illegal transactions in connection with our Web site.

-- Edited by Cyber Diva at 14:45, 2007-04-06

Cyber Diva · Senior Member

Don't laugh too hard at this old Press Release statement....

It's in eBay's interest to prevent fraud and sales of illegal items on its site," he said. "It relies on the trust of its customers in order to keep operating, and it doesn't gain anything from fraud perpetrated on its site.
Source Reference...

budnonymous · Top Poster

Cyber Diva wrote:

Don't laugh too hard at this old Press Release statement....

It's in eBay's interest to prevent fraud and sales of illegal items on its site," he said. "It relies on the trust of its customers in order to keep operating, and it doesn't gain anything from fraud perpetrated on its site.
Source Reference...

I hafta laugh too, because all the denials ALWAYS blow up right in their cheating, lying faces.

How many lawsuit , biggies, are ebay/pp up aginst right now?

What if the one a bove, in the OP gained class action status?

Whooooooo--eeeeee!!!

Chinks are appearing all over the scaly hide of that sleaze-oid

Just to change the subject briefly, since we have one of our BORED PAROLEES here ...

You remember the

CAPP

BORED

PAROLEE s, right?

Let me take you back once again...
Way back here

Then, allow me to post this

Note the dates of the posting and the news article, and this key phrase:

We apologize for the inconvenience, but due to a central server meltdown your personal information was lost.

Pay attention to the PayPal/Netcraft /redirect hack which I referenced, then compare that to what is going on at the PayPal, the T&S, and the Technical boards now.

Consider the mass hack attack ongoing since 2-17-07 (at least, I have examples from as far back as Nov 06 easily...)

Throw in a bit more twilight zone spookiness for extra measure, only an IDIOT would risk using that POS site.

BWHAHAHAHA!!!!

Why is there not an authoritative voice on these issues?

If the incompetence does not get em, the hacker/hijackers will, if they dont, those lawsuits will.

(BTW, what about the merc situation, that was supposed to be cont. in March, wasnt it?)

Dance Monkeys!!!

Dance the dance of the blivet.

BWHAHAHAHHAHAHAHAHA!!!

-- Edited by budnonymous at 16:03, 2007-04-06