eBay (EBAY) now has its hands full with two lawsuits aimed at the eBay Live Auction platform. One eBay Live Auction seller is suing eBay for affording an unfair competitive advantage to another eBay Live Auction seller who's being sued (along with eBay in an unrelated lawsuit) for allegedly shill bidding on the platform.
eBay Live Auctions (eBay, Inc.) has not been without its hiccups with its live auction platform. In October 2006, GoAntiques, which sells its wares on eBay Live Auctions, was accused of creating the appearance that a live auction was taking place when, in fact, a computer was generating the bidding to protect reserves. Judge Sargus for the Southern District Court of Ohio approved a class settlement on behalf of consumers.
Windsor Auctions' lawsuit against eBay alleges that a competitor within the jewelry category (on the eBay Live Auction platform), utilizes the auction end time duration tool to batch upload listings into eBay Live, thus gaining an unfair competitive edge by way flowing listings through eBay core on an hourly basis. One reader likened the use of the auction end time duration tool to that of the auction extender tool, which allowed regular eBay users the ability to extend their auctions if their listing received no bids. The developer of the auction extender tool was Ethical Technologies, which is no longer in business. As theres no one to speak to concerning the initial use of this tool on eBay (and its intermittent history on eBay), we can reconstruct the events leading up to its ultimate demise.