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On August 13, Shein lost a lawsuit against its rival Temu over alleged copyright infringements. According to the judge, the marketplace was not liable for infringements committed by third-party sellers.
Complaint dismissed
Shein had accused Temu of using thousands of photos of its clothing to advertise copies of Shein’s private-label brands on its website, thereby capitalizing on the success of a more established competitor. However, because the photos in question were product images uploaded by third-party sellers, Shein’s complaint was dismissed by the High Court in London.
According to the judge, Temu was merely a passive intermediary, and the disputed images were hosted on servers outside the UK. This ruling may mean that marketplaces are less likely to be held liable for infringements committed by third-party sellers.
The rivalry between these two e-commerce players frequently leads to lawsuits, including in the U.S.
