Ecommerce Websites Not Obligated To Screen Products For IP Infringement Before Posting On Website: Delhi HC [Read Judgment]

The Delhi High Court recently refused to direct eBay to screen products for infringement of Intellectual Property Rights, before posting the same on its website. “I am further of the view that had the intention of the Legislature been to require the intermediaries as the defendant no.2 eBay herein to be vigilant as the plaintiff reads the IT Act and the Rules to require it to be, the Legislature would have merely observed that the intermediary will not permit to be hosted on its website any information infringing intellectual property rights of any other person if such person had informed the intermediary of the same. Kent had further alleged that eBay, as an “intermediary” under the Information Technology Act, 2000, was required to devise a mechanism to verify whether the products hosted on its website infringe the intellectual property rights of any other person. The Court accepted the contentions put forth by eBay, and observed, “To hold that an intermediary, before posting any information on its computer resources is required to satisfy itself that the same does not infringe the intellectual property rights of any person, would amount to converting the intermediary into a body to determine whether there is any infringement of intellectual property rights or not.